The Company expenses the fair value of all stock awards over their requisite service period, ensuring that the amount of cumulative stock-based compensation expense recognized at any date is at least equal to the portion of the grant-date fair value of the award that is vested at that date. The Company has elected to adjust stock-based compensation expense for an estimated forfeiture rate for those shares not expected to vest and to recognize stock-based compensation expense on a straight-line basis for awards that only have a service requirement with multiple vest dates.

The Company has granted the following types of stock awards to employees at management levels and above, each of which are granted under the Company’s stockholder approved stock plans, other than inducement grants outside of the Company’s stockholder approved stock plans in accordance with Nasdaq Listing Rule 5635(c)(4):

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Performance Awards are in the form of restricted stock units and have, in addition to a service requirement, performance criteria that must be achieved for the awards to be earned. For Performance Awards granted, the Target Shares earned can range from 50% to 200% once minimum thresholds have been reached and depend on the achievement of Adjusted EBITDA and revenue performance measures for the cumulative period comprised of three-consecutive fiscal years beginning with the fiscal year of the grant date. The applicable percentage of the Target Shares, as determined by performance, vest after the completion of the applicable three-year performance period and upon determination of achievement of the performance measures by the Compensation Committee of the Board of Directors, and unearned Target Shares are forfeited. The fair value of the Performance Awards granted are based on the closing price of the Company’s common stock on the grant date. Stock-based compensation expense is recognized ratably over the related service period reduced for estimated forfeitures of those awards not expected to vest due to employee turnover and adjusted based on the Company’s estimate of the percentage of the aggregate Target Shares expected to be earned. Typically, the Company accrues for Performance Awards on a 100% payout unless it becomes probable that the outcome will be significantly different, or the performance can be accurately measured.

The following table provides a summary of the Company’s stock-based compensation expense, which is included in Selling and administrative expense in the Condensed Consolidated Statements of Operations:


	13 Weeks Ended
(in thousands)	April 28, 2023		April 29, 2022
Deferred awards	$	979	$	1,555
Performance awards (1)		—		(71	)
Option awards		104		—
Total stock-based compensation expense	$	1,083	$	1,484

(1)

For the 13 weeks ended April 28, 2023 based on actual and projected results relative to performance measures the Company is not recording an accrual for unvested Performance Awards. Net credit expense for the 13 weeks ended April 29, 2022 includes a reduction of the accrual for Performance Awards based on actual and projected results relative to performance measures.

The following table provides a summary of the Deferred Awards activity for the 13 weeks ended April 28, 2023:


	Deferred Awards
(in thousands, except per share amounts)	Number of Shares			Weighted Average Grant Date Fair Value per Share
Unvested deferred awards as of January 27, 2023		906		$	16.46
Granted		—			—
Vested		(406	)		12.39
Forfeited or expired		(65	)		21.00
Unvested deferred awards as of April 28, 2023		435		$	19.57

Total unrecognized stock-based compensation expense related to unvested Deferred Awards was approximately $6.1 million as of April 28, 2023, which is expected to be recognized ratably over a weighted average period of 1.8 years. The total fair value of Deferred Awards vested during the 13 weeks ended April 28, 2023 was $5.0 million.

The following table provides a summary of the Performance Awards activity for the 13 weeks ended April 28, 2023:


	Performance Awards
(in thousands, except per share amounts)	Number of Shares			Weighted Average Grant Date Fair Value per Share
Unvested performance awards as of January 27, 2023		355		$	24.39
Granted		—			—
Vested		—			—
Forfeited or expired		(55	)		24.33
Unvested performance awards as of April 28, 2023		300		$	24.40

There was no unrecognized stock-based compensation expense related to unvested Performance Awards as of April 28, 2023 based on actual and projected results relative to performance measures.

During the 13 weeks ended April 28, 2023 there was no Option Awards activity. The following table provides a summary of information about the Option Awards vested and expected to vest during the contractual term, as well as Option Awards exercisable as of April 28, 2023:


(in thousands, except per share and contractual life amounts)	Option Awards		Weighted Average Remaining Contractual Life (Years)		Weighted Average Exercise Price		Aggregate Intrinsic Value
Option Awards vested and expected to vest		511		5.74	$	16.08		—
Option Awards exercisable		343		3.88	$	18.66		—

Total unrecognized stock-based compensation expense related to Option Awards was approximately $1.0 million as of April 28, 2023, which is expected to be recognized over a weighted average period of 2.6 years.