XML 57 R46.htm IDEA: XBRL DOCUMENT v3.24.0.1
Share-Based Compensation (Tables)
 12 Months Ended
Dec. 31, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Summary of Share-Based Compensation

Share-based compensation during the fiscal years ended December 31, 2023, January 1, 2023 and January 2, 2022 was recorded in the consolidated statements of operations within a separate line item as shown in the following table:

 

 

 

For the Fiscal Year Ended

 

(in thousands)

 

December 31, 2023

 

 

January 1, 2023

 

 

January 2, 2022

 

SARs

 

$

7,485

 

 

$

9,425

 

 

$

15,998

 

Restricted stock awards (Growth Shares)

 

 

1,101

 

 

 

2,285

 

 

 

5,246

 

RSUs

 

 

8,446

 

 

 

12,595

 

 

 

5,416

 

Type III modification

 

 

1,843

 

 

 

1,902

 

 

 

—

 

Employer-related payroll expense(1)

 

 

1,355

 

 

 

1,474

 

 

 

—

 

Total share-based compensation expense

 

 

20,230

 

 

 

27,681

 

 

 

26,660

 

Tax benefit for share-based compensation expense

 

 

—

 

 

 

—

 

 

 

—

 

Share-based compensation expense, net of tax

 

$

20,230

 

 

$

27,681

 

 

$

26,660

 
(1)
Relates to employment related taxes, including employer national insurance tax in the UK. These amounts were settled in cash and are not included in additional paid-in capital or as an adjustment to reconcile net loss to net cash used in operating activities in the consolidated statements of cash flows.
 
Assumptions Used in Applying Pricing Model

The weighted-average assumptions used in valuing SARs and restricted stock awards (previously zero granted as Growth Shares) granted during each period are set forth in the following table:

 

 

For the Fiscal Year Ended

 

 

December 31, 2023

 

 

January 1, 2023

 

 

January 2, 2022

 

Expected average life(1)

1.70 - 5.56 years

 

 

3.92 - 6.30 years

 

 

3.50 years

 

Expected volatility(2)

55% - 59%

 

 

 

56

%

 

50 – 55%

 

Risk-free interest rate(3)

3.54% - 5.01%

 

 

3.78 - 4.25%

 

 

0.32 – 0.43%

 

Expected dividend yield(4)

 

0.00

%

 

 

0.00

%

 

 

0.00

%
(1)
The expected life assumption is based on the Company's expectation for the period before exercise.
(2)
The expected volatility assumption is developed using leverage-adjusted historical volatilities for public peer companies for the period equal to the expected life of the awards.
(3)
The risk-free rate is based on the bootstrap adjusted US Treasury Rate Yield Curve Rate as of the valuation date, term matched with expected life of the awards.
The expected dividend yield is 0.0% since the Company does not expect to pay dividends.
SARS [Member]  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Summary of Stock Option Activity

The following table shows a summary of all SARs:

 

 

Number of Shares

 

 

Weighted Average Exercise Price Per Share(1)

 

 

Weighted Average Remaining Contractual Term

 

 

Aggregate Intrinsic Value

 

Outstanding as of January 2, 2022

 

5,840,483

 

 

$

12.72

 

 

 

8.61

 

 

 

1,733,089

 

Granted

 

—

 

 

 

—

 

 

 

 

 

 

 

Forfeited (post-IPO conversion)

 

(549,764

)

 

 

12.60

 

 

 

 

 

 

 

Exercised

 

—

 

 

 

—

 

 

 

 

 

 

 

Outstanding as of January 1, 2023

 

5,290,719

 

 

$

7.49

 

 

 

5.66

 

 

$

—

 

Exercisable as of January 1, 2023

 

4,246,017

 

 

 

7.49

 

 

 

5.13

 

 

 

—

 

Vested and expected to vest as of January 1, 2023

 

5,290,719

 

 

$

7.49

 

 

 

5.66

 

 

$

—

 

Granted

 

3,113,109

 

 

 

5.00

 

 

 

 

 

 

 

Forfeited (post-IPO conversion)

 

(108,678

)

 

 

5.73

 

 

 

 

 

 

 

Exercised

 

(802,482

)

 

 

4.31

 

 

 

 

 

 

 

Expired

 

(993,753

)

 

 

12.55

 

 

 

 

 

 

 

Outstanding as of December 31, 2023

 

6,498,915

 

 

$

5.94

 

 

 

6.88

 

 

$

13,853,270

 

Exercisable as of December 31, 2023

 

4,426,827

 

 

 

5.62

 

 

 

5.88

 

 

 

10,664,618

 

Vested and expected to vest as of December 31, 2023

 

6,498,915

 

 

$

5.94

 

 

 

6.88

 

 

$

13,853,270

 

(1) In December 2022, the Company modified the exercise prices for certain outstanding SAR awards to be $4.00 per share. This contributed to the reduction in the weighted average exercise price per share to $7.49.
Restricted Stock [Member]  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Summary Of All Restricted Stock Awards

The following table shows a summary of all restricted stock awards (previously granted as Growth Shares) granted:

 

 

Number of Shares

 

 

Weighted Average Grant Date Fair Value

 

Nonvested as of January 2, 2022

 

390,865

 

 

$

13.28

 

Vested and not yet released as of January 2, 2022

 

390,866

 

 

 

13.28

 

Outstanding as of January 2, 2022

 

781,731

 

 

$

13.28

 

Granted

 

—

 

 

 

—

 

Vested

 

(260,577

)

 

 

11.26

 

Forfeited

 

—

 

 

 

—

 

Nonvested as of January 1, 2023

 

130,288

 

 

$

13.28

 

Vested and not yet released as of January 1, 2023

 

16,286

 

 

 

5.19

 

Outstanding as of January 1, 2023

 

146,574

 

 

$

12.38

 

Granted

 

—

 

 

 

—

 

Vested

 

(130,288

)

 

 

13.28

 

Forfeited

 

—

 

 

 

—

 

Nonvested as of December 31, 2023

 

—

 

 

$

—

 

Vested and not yet released as of December 31, 2023

 

—

 

 

 

—

 

Outstanding as of December 31, 2023

 

—

 

 

$

—

 
Restricted Stock Units (RSUs) [Member]  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Summary Of All RSUs Granted

The following table shows a summary of all RSUs granted under the 2021 Plan:

 

 

Number of Shares

 

 

Weighted Average Grant Date Fair Value(1)

 

Nonvested as of January 2, 2022

 

2,622,877

 

 

$

10.98

 

Vested and not yet released as of January 2, 2022

 

—

 

 

 

—

 

Outstanding as of January 2, 2022

 

2,622,877

 

 

$

10.98

 

Granted

 

1,535,975

 

 

 

4.79

 

Vested

 

(1,975,679

)

 

 

8.11

 

Forfeited

 

—

 

 

 

—

 

Nonvested as of January 1, 2023

 

2,183,173

 

 

$

8.44

 

Vested and not yet released as of January 1, 2023

 

815,692

 

 

 

4.76

 

Outstanding as of January 1, 2023

 

2,998,865

 

 

$

7.44

 

Granted

 

1,023,030

 

 

 

6.50

 

Vested

 

(1,437,153

)

 

 

7.29

 

Forfeited

 

—

 

 

 

—

 

Nonvested as of December 31, 2023

 

1,769,050

 

 

$

8.57

 

Vested and not yet released as of December 31, 2023

 

558,334

 

 

 

4.72

 

Outstanding as of December 31, 2023

 

2,327,384

 

 

$

8.57