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Shareholders' Equity | 3 Months Ended
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Apr. 05, 2020
Stockholders' Equity Note [Abstract] |
Shareholders' Equity | SHAREHOLDERS’ EQUITY The following tables depict the activity in the accounts which make up shareholders’ equity for the three months ended April 5, 2020 and March 31, 2019:
| SHARES |  | COMMON STOCK |  | ADDITIONAL PAID-IN CAPITAL |  | RETAINED EARNINGS |  | PENSION LIABILITY |  | FOREIGN CURRENCY TRANSLATION ADJUSTMENT |  | CASH FLOW HEDGE
| (In thousands)
Balance, at December 29, 2019 | 58,416 |  |  | $ | 5,842 |  |  | $ | 250,306 |  |  | $ | 286,056 |  |  | $ | (56,700 | ) |  | $ | (113,139 | ) |  | $ | (4,163 | )
Net loss | — |  |  | — |  |  | — |  |  | (102,167 | ) |  | — |  |  | — |  |  | — |
Stock issuances under employee plans | 220 |  |  | 22 |  |  | 197 |  |  | — |  |  | — |  |  | — |  |  | — |
Other issuances of common stock | 107 |  |  | 10 |  |  | 1,720 |  |  | — |  |  | — |  |  | — |  |  | — |
Unamortized stock compensation expense related to restricted stock awards | — |  |  | — |  |  | (1,731 | ) |  | — |  |  | — |  |  | — |  |  | — |
Dividends declared | — |  |  | — |  |  | — |  |  | (3,807 | ) |  | — |  |  | — |  |  | — |
Forfeitures and compensation expense related to stock awards | (255 | ) |  | (25 | ) |  | (4,114 | ) |  | — |  |  | — |  |  | — |  |  | — |
Pension liability adjustment | — |  |  | — |  |  | — |  |  | — |  |  | 1,733 |  |  | — |  |  | — |
Foreign currency translation adjustment | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (15,245 | ) |  | — |
Cash flow hedge unrealized loss | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (6,140 | )
Balance, at April 5, 2020 | 58,488 |  |  | $ | 5,849 |  |  | $ | 246,378 |  |  | $ | 180,082 |  |  | $ | (54,967 | ) |  | $ | (128,384 | ) |  | $ | (10,303 | )
| SHARES |  | COMMON STOCK |  | ADDITIONAL PAID-IN CAPITAL |  | RETAINED EARNINGS |  | PENSION LIABILITY |  | FOREIGN CURRENCY TRANSLATION ADJUSTMENT |  | CASH FLOW HEDGE
| (In thousands)
Balance, at December 30, 2018 | 59,508 |  |  | $ | 5,951 |  |  | $ | 270,269 |  |  | $ | 222,214 |  |  | $ | (43,610 | ) |  | $ | (101,487 | ) |  | $ | 1,326 |
Net income | — |  |  | — |  |  | — |  |  | 7,059 |  |  | — |  |  | — |  |  | — |
Stock issuances under employee plans | 509 |  |  | 51 |  |  | 379 |  |  | — |  |  | — |  |  | — |  |  | — |
Other issuances of common stock | 224 |  |  | 22 |  |  | 3,900 |  |  | — |  |  | — |  |  | — |  |  | — |
Unamortized stock compensation expense related to restricted stock awards | — |  |  | — |  |  | (3,922 | ) |  | — |  |  | — |  |  | — |  |  | — |
Cash dividends paid | — |  |  | — |  |  | — |  |  | (3,900 | ) |  | — |  |  | — |  |  | — |
Forfeitures and compensation expense related to stock awards | (225 | ) |  | (22 | ) |  | 29 |  |  | — |  |  | — |  |  | — |  |  | — |
Pension liability adjustment | — |  |  | — |  |  | — |  |  | — |  |  | (91 | ) |  | — |  |  | — |
Foreign currency translation adjustment | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (5,203 | ) |  | — |
Cash flow hedge unrealized loss | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (3,306 | )
Balance, at March 31, 2019 | 60,016 |  |  | $ | 6,002 |  |  | $ | 270,655 |  |  | $ | 225,373 |  |  | $ | (43,701 | ) |  | $ | (106,690 | ) |  | $ | (1,980 | )
In the first quarter of 2020, the Company elected to change its method for recognizing forfeitures of share-based awards. The cumulative effect of this change was $1.4 million of additional expense recognized in selling, general and administrative expenses within the consolidated condensed statement of operations for the three months ended April 5, 2020. Prior to this change, the Company estimated forfeitures and reduced stock compensation expense based on that estimate. Under the new forfeiture method, the Company will account for forfeitures as they occur as permitted by generally accepted accounting princ iples. The impact of this change would have resulted in a decrease of $0.1 million to stock compensation expense for the period if the forfeiture methodology had not been changed. Stock Option Awards In accordance with accounting standards, the Company measures the cost of employee services received in exchange for an award of equity instruments based on the grant date fair value of the award. That cost will be recognized over the period in which the employee is required to provide the services – the requisite service period (usually the vesting period) – in exchange for the award. All outstanding stock options vested prior to the end of 2013, and therefore there was no stock option compensation expense in the first three months of 2020 or 2019. As of April 5, 2020, there were 20,000 stock options outstanding and exercisable, at an average exercise price of $12.43 per share. There were no stock options granted in the first three months of 2020 or 2019. There were 7,500 stock options exercised and no stock options forfeited in the first three months of 2020. There were 10,000 stock options exercised in the first three months of 2019 and 5,000 stock option forfeitures during those three months. The aggregate intrinsic value of the outstanding and exercisable stock options was not significant as of April 5, 2020. Restricted Stock Awards During the three months ended April 5, 2020 and March 31, 2019, the Company granted restricted stock awards for 199,600 and 224,000 shares of common stock, respectively. Awards of restricted stock (or a portion thereof) vest with respect to each recipient over a one to three-year period from the date of grant, provided the individual remains in the employment or service of the Company as of the vesting date. Additionally, certain awards (or a portion thereof) could vest earlier in the event of a change in control of the Company, or upon involuntary termination without cause. Compensation expense (benefit) related to restricted stock grants was $(0.7) million and $0.8 million for the three months ended April 5, 2020, and March 31, 2019, respectively. The Company has reduced its expense for restricted stock forfeited during the period. As a result of the change in the forfeiture recognition methodology described above, compensation expense (benefit) related to restricted stock grants was impacted by $0.6 million for the cumulative effect of this change. The following table summarizes restricted stock outstanding as of April 5, 2020, as well as activity during the three months then ended:
| Restricted Shares |  | Weighted Average Grant Date Fair Value
Outstanding at December 29, 2019 | 468,200 |  |  | $ | 28.63 |
Granted | 199,600 |  |  | 15.41 |
Vested | (132,200 | ) |  | 19.24 |
Forfeited or canceled | (145,200 | ) |  | 19.86 |
Outstanding at April 5, 2020 | 390,400 |  |  | $ | 28.31 |
As of April 5, 2020, the unrecognized total compensation cost related to unvested restricted stock was $5.2 million. That cost is expected to be recognized by the end of 2022. Performance Share Awards During the three months ended April 5, 2020 and March 31, 2019, the Company issued awards of performance shares to certain employees. These awards vest based on the achievement of certain performance-based goals over a performance period of one to three years, subject to the employee’s continued employment, and will be settled in shares of our common stock or in cash at the Company’s election. The number of shares that may be issued in settlement of the performance shares to the award recipients may be greater (up to 200%) or lesser than the nominal award amount depending on actual performance achieved as compared to the performance targets set forth in the awards. The following table summarizes the performance shares outstanding as of April 5, 2020, as well as the activity during the three months then ended:
| Shares |  | Weighted Average Grant Date Fair Value
Outstanding at December 29, 2019 | 512,000 |  |  | $ | 19.71 |
Granted | 263,600 |  |  | 15.36 |
Vested | (164,300 | ) |  | 19.74 |
Forfeited or canceled | (180,000 | ) |  | 19.83 |
Outstanding at April 5, 2020 | 431,300 |  |  | $ | 17.00 |
Compensation expense (benefit) related to the performance shares was $(2.2) million and $2.0 million for the three months ended April 5, 2020 and March 31, 2019, respectively. The Company has reduced its expense for performance shares forfeited during the period. As a result of the change in the forfeiture recognition methodology described above, compensation expense (benefit) related to performance shares was impacted by $0.8 million for the cumulative effect of this change. Unrecognized compensation expense related to these performance shares was approximately $7.4 million as of April 5, 2020. Depending on the performance of the Company, any compensation expense related to these outstanding performance shares will be recognized by the end of 2022. Tax expense recognized with regard to restricted stock and performance shares was approximately $1.0 million for the three months ended April 5, 2020.

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- Definition The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -URI http://asc.fasb.org/topic&trid=2208762 + Details
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