XML 24 R19.htm IDEA: XBRL DOCUMENT
v3.20.1

Stock-Based Compensation | 3 Months Ended
--- | ---
Mar. 31, 2020
Stock-Based Compensation |
Stock-Based Compensation | 11. Stock-Based Compensation ​ On April 5, 2017, our Board approved an amendment to our 2010 Stock Incentive Plan to increase the number of shares of common stock reserved for grant under the plan to 12.7 million shares from 9.2 million shares. This amendment was approved by our stockholders at our annual meeting held on June 8, 2017. On April 4, 2019, our Board adopted The Cheesecake Factory Incorporated Stock Incentive Plan. This plan was approved by our stockholders at our annual meeting held on May 30, 2019. The maximum number of shares of common stock available for grant under this plan is 4.8 million shares plus 1.8 million shares, which, as of May 30, 2019, were available for issuance under our 2010 Stock Incentive Plan plus 1.9 million shares which may become available for issuance under The Cheesecake Factory Incorporated Stock Incentive Plan due to forfeiture or lapse of awards under our 2010 Stock Incentive Plan following May 30, 2019. Approximately 4.8 million of these shares were available for grant as of March 31, 2020. ​ The following table presents information related to stock-based compensation, net of forfeitures (in thousands): ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Thirteen | ​ | Thirteen | ​
​ | ​ | Weeks Ended | ​ | Weeks Ended | ​
​ |  | March 31, 2020 |  | April 2, 2019 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Labor expenses | ​ | $ | 1,966 | ​ | $ | 1,720 | ​
Other operating costs and expenses | ​ |  | 70 | ​ |  | 69 | ​
General and administrative expenses | ​ |  | 3,471 | ​ |  | 4,058 | ​
Total stock-based compensation | ​ |  | 5,507 | ​ |  | 5,847 | ​
Income tax benefit | ​ |  | 1,353 | ​ |  | 1,438 | ​
Total stock-based compensation, net of taxes | ​ | $ | 4,154 | ​ | $ | 4,409 | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Capitalized stock-based compensation (1) | ​ | $ | 40 | ​ | $ | 63 | ​
(1) | It is our policy to capitalize the portion of stock-based compensation costs for our internal development department that relates to capitalizable activities such as the design and construction of new restaurants, remodeling existing locations and equipment installation. Capitalized stock-based compensation is included in property and equipment, net on the condensed consolidated balance sheets.
​ Stock Options ​ The weighted-average fair value at the grant date for options issued during the first quarter of fiscal 2020 and 2019 was $6.66 and $9.90 per share, respectively. The fair value of options was estimated utilizing the Black-Scholes valuation model with the following weighted-average assumptions for the first quarter of fiscal 2020 and 2019, respectively: (a) an expected option term of 6.9 years in both periods, (b) expected stock price volatility of 25.7% and 26.3%, (c) a risk-free interest rate of 1.5% and 2.6%, and (d) a dividend yield on our stock of 3.6% and 2.9%. ​ Stock option activity during the thirteen weeks ended March 31, 2020 was as follows: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | ​ |  | ​ | ​ |  | Weighted |  | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | Average | ​ | ​ | ​
​ | ​ | ​ | ​ | Weighted | ​ | Remaining | ​ | ​ | ​
​ | ​ | ​ | ​ | Average | ​ | Contractual | ​ | Aggregate
​ | ​ | Shares | ​ | Exercise Price | ​ | Term | ​ | Intrinsic Value (1)
​ | ​ | (In thousands) | ​ | (Per share) | ​ | (In years) | ​ | (In thousands)
Outstanding at December 31, 2019 |  | 1,829 | ​ | $ | 47.32 |  | 4.3 | ​ | $ | 844
Granted |  | 654 | ​ |  | 40.16 | ​ | ​ | ​ | ​ | ​
Exercised |  | (4) | ​ |  | 29.79 | ​ | ​ | ​ | ​ | ​
Forfeited or cancelled |  | — | ​ |  | — | ​ | ​ | ​ | ​ | ​
Outstanding at March 31, 2020 |  | 2,479 | ​ | $ | 45.46 |  | 5.5 | ​ | $ | 10,687
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Exercisable at March 31, 2020 |  | 1,239 | ​ | $ | 46.79 |  | 3.0 | ​ | $ | 6,380
(1) | Aggregate intrinsic value is calculated as the difference between our closing stock price at fiscal period end and the exercise price, multiplied by the number of in-the-money options and represents the pre-tax amount that would have been received by the option holders, had they all exercised their options on the fiscal period end date.
​ The total intrinsic value of options exercised during the thirteen weeks ended March 31, 2020 and April 2, 2019 was $35.6 million and $3.4 million, respectively. As of March 31, 2020, total unrecognized stock-based compensation expense related to unvested stock options was $10.5 million, which we expect to recognize over a weighted-average period of approximately 4.0 years. ​ Restricted Shares and Restricted Share Units ​ Restricted share and restricted share unit activity during the thirteen weeks ended March 31, 2020 was as follows: ​
​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | Weighted
​ | ​ | ​ | ​ | Average
​ |  | Shares |  | Fair Value
​ | ​ | (In thousands) | ​ | (Per share)
Outstanding at December 31, 2019 |  | 1,764 | ​ | $ | 47.76
Granted |  | 579 | ​ |  | 40.01
Vested |  | (208) | ​ |  | 51.38
Forfeited |  | (70) | ​ |  | 55.70
Outstanding at March 31, 2020 |  | 2,065 | ​ | $ | 44.96
​ Fair value of our restricted shares and restricted share units is based on our closing stock price on the date of grant. The weighted average fair value for restricted shares and restricted share units issued during the first quarter of fiscal 2020 and 2019 was $40.01 and $46.03, respectively. The fair value of shares that vested during the first quarter of fiscal 2020 and 2019 was $10.4 million and $11.1 million, respectively. As of March 31, 2020, total unrecognized stock-based compensation expense related to unvested restricted shares and restricted share units was $47.3 million, which we expect to recognize over a weighted-average period of approximately 3.4 years.

X
- Definition The entire disclosure for share-based payment arrangement. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -URI http://asc.fasb.org/topic&trid=2228938 + Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsSharebasedPaymentsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration