The Company operates an equity-based compensation plan (the “2021 Plan”), which allows for the issuance of stock options (incentive and nonqualified), restricted stock, dividend equivalents, restricted stock units (“RSUs”), other stock-based awards, and cash awards (collectively, the “2021 Plan Awards”). As of March 30, 2024, 19,564,333 shares of Class A common stock have been authorized to be awarded under the 2021 Plan and 9,119,667 shares were available for 2021 Plan Awards.

The Company also operates the 2023 Retention Equity Award Plan (the “2023 Plan” and, together with the 2021 Plan, the “Plans”), the purpose of which is to retain and motivate critical personnel over the short-term by providing them additional incentives in the form of RSUs (the “Retention Awards” and together with the “2021 Plan Awards,” the “Awards”). As of March 30, 2024, 600,000 shares of Class A common stock were authorized to be awarded under the 2023 Plan and 80,700 shares were available for Retention Awards.

Equity-based compensation, net for Awards granted under the Plans for the three months ended March 30, 2024 and April 1, 2023 totaled $2,591 and $1,718, respectively. Expenses and expense reductions are primarily included in selling, general and administrative expense with a nominal amount in research and development expense within the consolidated condensed statements of operations and comprehensive loss based upon the department of the employee. There were no income tax benefits related to equity-based compensation expense for the three months ended March 30, 2024. Income tax benefits related to equity-based compensation expense for three months ended April 1, 2023 totaled $430.

During the three months ended March 30, 2024, the Company granted time-based RSUs which vest at various dates through March 15, 2028. RSU compensation expense is recognized over the vesting period, which is typically between 1 and 4 years. Unamortized compensation expense related to the RSUs totaled $8,159 at March 30, 2024, and is expected to be recognized over a weighted average period of approximately 1.71 years. A summary of the RSU award activity for the three months ended March 30, 2024 is as follows (number of units in thousands):


	Number of units	Weighted-average grant-date fair value per unit
Unvested at December 31, 2023	2,066	$	4.51
Granted	2,124	5.34
Vested	(196)	8.17
Forfeited or canceled	(55)	8.94
Unvested at March 30, 2024	3,939	$	4.69

During the three months ended March 30, 2024, the Company granted time-based stock options which vest over 1 to 4 years following the date of grant and expire within 10 years. The fair value of time-based stock options is determined using the Black-Scholes valuation model, with such value recognized as expense over the service period, which is typically 1 to 4 years, net of actual forfeitures. A summary of the Company’s assumptions used in determining the fair value of the stock options granted during the three months ended March 30, 2024 is shown in the following table:


Risk-free interest rate	3.93% - 4.3%
Expected dividend yield	—	%
Expected stock price volatility	36.1% - 36.3%
Expected life of stock options (years)	6.25

The weighted-average grant date fair value of options granted during the three months ended March 30, 2024 was $2.26 per share. The expected term of the options granted is estimated using the simplified method. Expected volatility is based on the historical volatility of the Company’s peers’ common stock. The risk-free interest rate is determined based upon a constant U.S. Treasury security rate with a contractual life that approximates the expected term of the option. Unamortized compensation expense related to the options totaled $5,211 at March 30, 2024, and is expected to be recognized over a weighted average period of approximately 2.15 years.


	Number of options	Weighted-average exercise price		Weighted average remaining contractual term	Aggregate intrinsic value
Outstanding at December 31, 2023	4,347	$	8.68
Granted	1,752	5.18

Exercised	(209)	5.18
Forfeited or canceled	(332)	12.60
Outstanding at March 30, 2024	5,558	7.61		7.39	$	3,733
Exercisable and vested at March 30, 2024	2,149	$	10.50	4.62	$	147

The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying options and the market price of the Company’s Class A common stock for options that had exercise prices lower than $5.20 per share as this was the closing price of the Company’s Class A common stock on March 28, 2024, the last trading day of the first quarter.

The Company operates a non-qualified Employee Stock Purchase Plan (“ESPP”), which provides for the issuance of shares of the Company’s Class A common stock to eligible employees of the Company that elect to participate in the plan and purchase shares of Class A common stock through payroll deductions at a discounted price. As of March 30, 2024, the aggregate number of shares reserved for issuance under the ESPP was 1,519,604. No shares were issued under the ESPP during the three months ended March 30, 2024. A total of 222,076 shares were issued under the ESPP and $128 of expense was recognized during the three months ended April 1, 2023.