Note O - Share-based Compensation

9 Months Ended

Dec. 26, 2021

Notes to Financial Statements

Share-based Payment Arrangement [Text Block]

NOTE O – SHARE-BASED COMPENSATION

Total share-based compensation during each of the thirteen-week periods ended December 26, 2021 and December 27, 2020 was $8,000 and $29,000, respectively. Total share-based compensation during each of the thirty-nine week periods ended December 26, 2021 and December 27, 2020 was $66,000 and $87,000, respectively. As of December 26, 2021, there was $122,000 of unamortized compensation expense related to share-based incentive awards. We expect to recognize this expense over approximately twenty-two months, which represents the weighted average remaining requisite service periods for such awards.

The Company recognizes compensation cost for unvested stock-based incentive awards on a straight-line basis over the requisite service period. Compensation cost charged to expense under all stock-based incentive awards is as follows (in thousands):

	Thirteen weeks ended				Thirty-nine weeks ended
	December 26, 2021		December 27, 2020		December 26, 2021		December 27, 2020
Stock options	$	8	$	21	$	52	$	64
Restricted stock		-		8		14		23
Total compensation cost	$	8	$	29	$	66	$	87

Stock options:

During the thirty-nine week period ended December 26, 2021, the Company granted options to purchase 10,000 shares at an exercise price of $68.50 per share, all of which expire five years from the date of grant. All such options vest ratably over a four-year period commencing August 10, 2021.

The weighted-average option fair values, as determined using the Black-Scholes option valuation model, and the assumptions used to estimate these values for stock options granted during the thirty-nine week period ended December 26, 2021 are as follows:

Weighted-average option fair values	$	13.04
Expected life (years)		4.4
Interest rate		0.82	%
Volatility		27.69	%
Dividend yield		2.04	%

The expected dividend yield is based on historical and projected dividend yields. The Company estimates volatility based primarily on historical monthly price changes of the Company’s stock equal to the expected life of the option. The risk-free interest rate is based on the U.S. Treasury yield in effect at the time of grant. The expected option term is the number of years the Company estimates the options will be outstanding prior to exercise based on expected historical exercise patterns and employment termination behavior.

Transactions with respect to stock options for the thirty-nine weeks ended December 26, 2021 are as follows:

			Weighted-		Weighted-		Aggregate
			Average		Average		Intrinsic
			Exercise		Remaining		Value
	Shares		Price		Contractual Life		(in thousands)
Options outstanding at March 28, 2021		10,000	$	89.90		2.46		-
Granted		10,000	$	68.50		4.62		-
Exercised		-		-		-		-
Options outstanding at December 26, 2021		20,000	$	79.20		3.17		-
Options exercisable at December 26, 2021		10,000	$	89.90		1.71		-

Restricted stock:

Transactions with respect to restricted stock for the thirty-nine weeks ended December 26, 2021 are as follows:

				Weighted- Average Grant-date Fair value
	Shares			Per share
Unvested restricted stock at March 28, 2021		333		$	89.90
Granted		-			-
Vested		(333	)	$	89.90
Unvested restricted stock at December 26, 2021		-			-