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Share-based compensation
 6 Months Ended
Jul. 03, 2011
Share-based compensation [Abstract]  
Share-based compensation
11.   Share-based compensation
 
Share-based compensation expense, which includes stock options and restricted stock units, for the three and six months ended July 3, 2011 and July 4, 2010, respectively, were as follows (unaudited):
 
                                 
    Three Months Ended   Six Months Ended
    July 3,
 		  July 4,
 		  July 3,
 		  July 4,
    2011   2010   2011   2010
    (In thousands)
 
Total cost of share-based payment plans
  $ 183     $ 109     $ 360     $ 288  
 
Stock options.  The Company uses the Black Scholes option pricing model to estimate the fair value and compensation cost associated with employee incentive stock options which requires the consideration of historical employee exercise behavior data and the use of a number of assumptions including volatility of the Company’s stock price, the weighted average risk-free interest rate and the weighted average expected life of the options. No options were granted during the three and six months ended July 3, 2011 and July 4, 2010.
 
The following table summarizes Lakes’ stock option activity during the three months ended July 3, 2011 and July 4, 2010 (unaudited):
 
                                 
    Number of Common Shares  
                      Weighted-Avg.
 		 
    Options
 		          Available
 		    Exercise
 		 
    Outstanding     Exercisable     for Grant     Price  
 
2011
                               
Balance at January 2, 2011
    2,031,084       904,076       699,215     $ 2.99  
Restricted stock unit activity, net
    —       —       1,667       3.25  
Forfeited/cancelled/expired
    (313,946 )     —       155,996       3.19  
                                 
Balance at July 3, 2011(*)
    1,717,138       683,620       856,878       2.95  
                                 
2010
                               
Balance at January 3, 2010
    1,704,187       442,350       1,121,413     $ 3.93  
Restricted stock unit activity, net
    —       —       3,333       3.25  
Forfeited/cancelled/expired
    (103,105 )     —       10,505       11.24  
                                 
Balance at July 4, 2010 (**)
    1,601,082       462,656       1,135,251       3.46  
                                 
 
 
(*) Options outstanding do not include 38,337 of outstanding restricted stock units.
 
(**) Options outstanding do not include 86,662 of outstanding restricted stock units.
 
As of July 3, 2011, the options outstanding had a weighted average remaining contractual life of 7.6 years, weighted average exercise price of $2.95 and aggregate intrinsic value of $0.2 million. The options exercisable have a weighted average exercise price of $3.47, a weighted average remaining contractual life of 5.8 years and aggregate intrinsic value of zero as of July 3, 2011.
 
There were no options exercised during the three and six months ended July 3, 2011 and July 4, 2010. Lakes’ unrecognized share-based compensation related to stock options was approximately $1.0 million, as of July 3, 2011, which is expected to be recognized over a weighted-average period of 2.3 years.
 
Lakes issues new shares of common stock upon the exercise of options.
 
Restricted stock units.  The following table summarizes Lakes’ restricted stock unit activity during the three months ended July 3, 2011 and July 4, 2010 (unaudited):
 
                 
          Weighted-Average
 		 
    Restricted
 		    Grant-Date
 		 
Non-vested Shares:   Stock Units     Fair Value  
 
2011
               
Balance at January 2, 2011
    79,996     $ 3.25  
Vested
    (39,992 )     3.25  
Forfeited
    (1,667 )     3.25  
                 
Balance at July 3, 2011
    38,337       3.25  
                 
2010
               
Balance at January 3, 2010
    135,000     $ 3.25  
Vested
    (45,005 )     3.25  
Forfeited
    (3,333 )     3.25  
                 
Balance at July 4, 2010
    86,662       3.25  
                 
 
During the six months ended July 3, 2011, 36,302 common shares were issued upon the vesting of restricted stock units, net of common shares redeemed at the election of the grantee for payroll tax payment. As of July 3, 2011, Lakes’ unrecognized share-based compensation was approximately $0.1 million related to non-vested restricted stock units, which is expected to be recognized over a weighted-average of 0.6 years.