Stock-Based Awards

9 Months Ended

Sep. 28, 2019

Note 9—Stock-Based Awards

Subject to certain adjustments, as of September 28, 2019, the Company was authorized to issue a maximum of 13,805,566 shares of its common stock pursuant to awards granted under its Amended and Restated 2006 Incentive Plan (“Amended 2006 Plan”). As of September 28, 2019, the Company had 1,160,322 shares of common stock available for issuance pursuant to future awards to be granted under the Amended 2006 Plan.

Stock Options

Stock options granted under the Amended 2006 Plan generally vest at a rate of at least 25% per year over four years and expire 10 years from the date of grant. The following table summarizes the Company’s stock option activities during the nine months ended September 28, 2019:


			Weighted-
	Number of		Average
	Shares		Exercise
	(in thousands)		Price
Outstanding at December 29, 2018	8,186	$	1.18
Granted	595		0.35
Exercised	(62)		0.36
Expired or forfeited	(1,182)		1.02
Outstanding at September 28, 2019	7,537		1.15

Restricted Stock Awards

Restricted stock vests annually on each anniversary of the grant date over a two-year term. RSUs granted for employees and consultants generally vest semi-annually from the grant date over a four-year term, and RSUs granted for independent directors fully-vest on the grant-date. The activities of all restricted stock awards during the nine months ended September 28, 2019 are as follows:


			Weighted-
			Average
	Number of		Grant-Date
	Shares		Fair Value
	(in thousands)		per Share
Outstanding at December 29, 2018	525	$	0.25
Granted	3,727		0.55
Vested	(1,012)		0.47
Forfeited	(113)		0.54
Outstanding at September 28, 2019	3,127		0.52

Stock-Based Compensation Expense

The following table summarizes the stock-based compensation expense by line item in the condensed consolidated statements of operations (in thousands):


	Three Months Ended				Nine Months Ended
	September 28,		September 29,		September 28,		September 29,
	2019		2018		2019		2018
Cost of sales	$	6	$	7	$	20	$	19
Research and development		67		46		163		182
Selling, general and administrative		170		104		599		370
Total	$	243	$	157	$	782	$	571

As of September 28, 2019, the Company had approximately $1.8 million, net of estimated forfeitures, of unearned stock-based compensation, which it expects to recognize over a weighted-average period of approximately 3.0 years.