Share-Based Compensation

6 Months Ended

Jun. 30, 2021

Share-based Payment Arrangement [Abstract]

Total share-based compensation included as a component of general and administrative expenses was as follows:


	Quarter Ended				Two Quarters Ended
	June 30, 2021		June 24, 2020		June 30, 2021		June 24, 2020
	(In thousands)
Employee share awards	$	3,164	$	1,326	$	6,417	$	(420)
Restricted stock units for board members	224		185		443		394
Total share-based compensation	$	3,388	$	1,511	$	6,860	$	(26)

Employee Share Awards

During the two quarters ended June 30, 2021, we granted certain employees approximately 0.5 million performance share units ("PSUs") with a grant date fair value of $24.74 per share that vest based on the total shareholder return (“TSR”) of our common stock compared to the TSRs of a group of peer companies (from 0% to 200% of the target award). As the TSR based performance shares contain a market condition, a Monte Carlo valuation was used to determine the grant date fair value. The performance period for these PSUs is the three year fiscal period beginning December 31, 2020 and ending December 27, 2023. The PSUs will completely vest and be earned at the end of the performance period at which point the TSR will be determined.

We also granted certain employees approximately 0.2 million restricted stock units ("RSUs") with a grant date fair value of $15.91 per share. The RSUs vest evenly over the three year period ending December 27, 2023.

During the two quarters ended June 30, 2021, we issued 0.2 million shares of common stock related to vested performance share units. In addition, 0.1 million shares of common stock were withheld in lieu of taxes related to vested performance share units.

We recognize compensation cost associated with our PSU and RSU awards on a straight-line basis over the entire performance period of the awards. As of June 30, 2021, we had approximately $19.1 million of unrecognized compensation cost related to unvested performance share awards and restricted share awards outstanding, which have a weighted average remaining contractual term of 2.0 years.

Restricted Stock Units for Board Members

During the quarter and two quarters ended June 30, 2021, we granted less than 0.1 million restricted stock units (which are equity classified) with a weighted average grant date fair value of $17.35 per unit to non-employee members of our Board of Directors. The restricted stock units vest after a one year service period. A director may elect to convert these awards into shares of common stock either on a specific date in the future (while still serving as a member of our Board of Directors), upon termination as a member of our Board of Directors, or in three equal annual installments commencing after termination of service as a member of our Board.

During the quarter and two quarters ended June 30, 2021, less than 0.1 million restricted stock units were converted into shares of common stock.

As of June 30, 2021, we had approximately $0.8 million of unrecognized compensation cost related to unvested restricted stock unit awards outstanding, which have a weighted average remaining contractual term of 0.9 years.