EMPLOYEE STOCK PLANS

As of March 27, 2016, we had approximately 4.2 million shares available for future grants under our 2012 Equity Incentive Plan (the "2012 Plan").

On May 28, 2015, the stockholders approved an amendment to our 2012 Plan, (i) increasing the number of shares reserved for issuance under the 2012 Plan by an additional 2.5 million shares bringing the total number of shares reserved thereunder, to 19,475,000 shares; and (ii) removing the 1.75 share accounting ratio applicable to stock awards and restricted stock units.

Stock Options

Options to purchase common stock granted under the 2012 Plan generally have terms not exceeding seven years. Options to purchase stock under our equity incentive plans are generally granted at exercise prices that are at least 100 percent of the fair market value of our common stock on the date of grant. Generally, options granted to new employees typically vest over a period of four years at a rate of 25 percent after the first year and 1/48th of the initial amount granted each month thereafter, and beginning in 2014, options granted to established employees with more than 1-year of service, typically vest over a period of four years at a rate of 1/48th each month.

The following table summarizes the stock option activity under all of our equity incentive plans for the three months ended March 27, 2016:



	Number of Shares		Weighted- Average Exercise Price		Weighted- Average Remaining Term	Aggregate Intrinsic Value
	(thousands)		(per share)		(years)	(thousands)
Outstanding as of December 31, 2015	4,172		$	2.04
Exercised	(89	)	$	1.59
Forfeited or expired	(18	)	$	1.12
Outstanding as of March 27, 2016	4,065		$	2.05	3.9	$	6,512
Exercisable as of March 27, 2016	2,857		$	1.85	3.4	$	5,160

The aggregate intrinsic value represents the pre-tax differences between the exercise price of stock options and the quoted market price of our stock on March 27, 2016 for all in-the-money options.

The following table provides supplemental information pertaining to our stock options for the periods indicated (in thousands, except weighted-average fair values):



	Three Months Ended
	March 27, 2016		March 29, 2015
Weighted-average fair value of options granted, per share	$	—	$	1.67
Intrinsic value of options exercised	$	177	$	1,940
Cash received from options exercised	$	142	$	1,526

Restricted Stock Units

The 2012 Plan provides for grants of time-based and performance-based restricted stock units ("RSUs"). As of March 27, 2016, we only had time-based RSUs outstanding.

Time-Based Restricted Stock Units

Historically, 25 percent of the time-based RSUs vest on each anniversary of the vesting commencement date or date of grant. In December 2013, our Board of Directors approved a quarterly vesting schedule for RSUs. On occasion, we grant time-based RSUs for varying purposes with different vesting schedules. Time-based RSUs granted prior to May 28, 2015 under the 2012 Plan are counted against the total number of shares of common stock available for grant under the 2012 Plan at 1.75 shares of common stock for every one share of common stock subject thereto.

The associated stock-based compensation expense on time-based RSUs is determined based on the fair value of our common stock on the date of grant of the RSU and recognized over the vesting period.

The following table summarizes RSU activity under all of our equity incentive plans for the three months ended March 27, 2016:



	Number of Shares		Weighted Average Grant Date Fair Value
	(thousands)		(per share)
Outstanding as of December 31, 2015	1,289		$	2.78
Released	(178	)	$	2.13
Forfeited	(7	)	$	2.95
Outstanding as of March 27, 2016	1,104		$	2.88

Employee Stock Purchase Plan

Our 1994 Employee Stock Purchase Plan ("1994 Plan") is a non-compensatory employee stock purchase plan ("ESPP"), which allows each eligible employee to withhold up to 15 percent of gross compensation over semi-annual six month ESPP periods to purchase shares of our common stock, limited to 4,000 shares per ESPP period in 2016. Under the ESPP, employees purchase stock at a price equal to 90 percent of the fair market value (generally the closing price of our common stock) on the last trading day prior to the end of the six month ESPP offering period.

We reserved 6.2 million shares of common stock for issuance under the ESPP, of which 2.4 million shares were available for issuance as of March 27, 2016.