XML 79 R14.htm IDEA: XBRL DOCUMENT
v2.4.1.9

Stock Options, Stock Grants and New Stock | 12 Months Ended
--- | ---
Jan. 03, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] |
Stock Options, Stock Grants and New Stock Issues | Stock Options, Stock Grants and New Stock Issues A summary of activity in the Company's stock option plans is as follows:
| Weighted Average Exercise Price |  | Options Outstanding |  | Weighted Average Contractual Term (in years) |  | Intrinsic Value of Options |  | Options Available
At December 31, 2011 | $ | 11.28 |  |  | 120,800 |  |  | 8.0 |  | $ | 6,448 |  |  | 250,000 |
Granted February 9, 2012 | $ | 11.35 |  |  | 36,740 |  |  |  |  |  |  | (36,740 | )
Granted August 21, 2012 | $ | 12.73 |  |  | 75,000 |  |  |  |  |  |  | (75,000 | )
Exercised | $ | 10.50 |  |  | (11,800 | ) |  |  |  |  |  |  |  |
Expired | $ | — |  |  | — |  |  |  |  |  |  |  | — |
At December 29, 2012 | $ | 11.82 |  |  | 220,740 |  |  | 8.4 |  | $ | 367,937 |  |  | 138,260 |
Granted February 7, 2013 | $ | 13.70 |  |  | 40,594 |  |  |  |  |  |  |  | (40,594 | )
Exercised | $ | 10.69 |  |  | (15,247 | ) |  |  |  |  |  |  |  |
Expired | $ | 12.70 |  |  | (83,351 | ) |  |  |  |  |  |  | 83,351 |
At December 28, 2013 | $ | 11.95 |  |  | 162,736 |  |  | 7.5 |  | $ | 582,894 |  |  | 181,017 |
Granted February 20, 2014 | $ | 14.76 |  |  | 13,790 |  |  |  |  |  |  | (13,790 | )
Exercised | $ | 11.23 |  |  | (17,074 | ) |  |  |  |  |  |
Expired | $ | 13.70 |  |  | (2,157 | ) |  |  |  |  |  | 2,157 |
At January 3, 2015 | $ | 12.25 |  |  | 157,295 |  |  | 6.9 |  | 852,810 |  |  | 169,384 |
Exercisable options | $ | 11.73 |  |  | 56,787 |  |  | 6.4 |  | $ | 337,467 |  |  |  |
Options expected to vest: |  |  |  |  |  |  |  |  | Grant Date Fair Value |  |  |
At December 29, 2012 | $ | 11.97 |  |  | 191,740 |  |  | 8.9 |  | $ | 6.40 |  |  |  |
Granted February 7, 2013 | $ | 13.70 |  |  | 40,594 |  |  |  |  | $ | 6.30 |  |  |  |
Vested | $ | 11.49 |  |  | (27,347 | ) |  |  |  |  |  |  |
Forfeited unvested options | 12.71 |  |  | (82,842 | ) |  |  |  |  |  |
At December 28, 2013 | $ | 12.18 |  |  | 122,145 |  |  | 7.8 |  | $ | 7.19 |  |  |  |
Granted February 20, 2014 | $ | 14.76 |  |  | 13,790 |  |  |  |  | $ | 6.70 |  |  |
Vested | $ | 11.98 |  |  | (33,702 | ) |  |  |  |  |  |
Forfeited unvested options | $ | 13.70 |  |  | (1,725 | ) |  |  |  |  |  |
At January 3, 2015 | $ | 12.54 |  |  | 100,508 |  |  | 7.2 |  | $ | 6.76 |  |  |
The following table summarizes information about stock options outstanding at January 3, 2015:
Range of Exercise Prices |  | Outstanding Stock Options |  | Exercisable Stock Options
| Shares |  | Weighted Average |  | Shares |  | Weighted Average Exercise Price
|  | Exercise Price |  | Remaining Contractual Life in Years |  |
$ | 11.55 |  |  | 82,342 |  |  | $ | 11.55 |  |  | 6.05 |  | 42,342 |  |  | $ | 11.55 |
$ | 11.35 |  |  | 27,996 |  |  | $ | 11.35 |  |  | 7.09 |  | 8,912 |  |  | $ | 11.35 |
$ | 13.70 |  |  | 33,167 |  |  | $ | 13.70 |  |  | 8.09 |  | 5,533 |  |  | $ | 13.70 |
$ | 14.76 |  |  | 13,790 |  |  | $ | 14.76 |  |  | 9.13 |  | — |  |  |  |
|  |  | 157,295 |  |  |  |  |  |  |  | 56,787 |  |  |  |
The 2011 Plan is an incentive stock option plan, therefore there are no income tax consequences to the Company when an option is granted or exercised. On February 9, 2012, the Company granted options to purchase 36,740 shares of its common stock at an exercise price of $11.35 to participants in the 2011 Plan and an additional 75,000 options were granted on August 21, 2012 to the President of Palmer in connection with his employment agreement with the Company at an exercise price of $12.73. The fair value of the option grants were $5.03 and $5.44, respectively. The fair value of the grants were estimated using the Black-Scholes option-pricing model based on a risk-free interest rate of 2.04 percent and 1.80 percent, respectively, an expected volatility of 0.53 and 0.51, respectively, with both grants using an expected life of seven years and a dividend yield of 2.10 percent. On February 7, 2013, the Company granted options to purchase 40,594 shares of its common stock at an exercise price of $13.70 per share to participants in the 2011 Plan. The fair value of this stock option grant was $6.30. The Black-Scholes model for this grant was based on a risk-free interest rate of 2.00 percent, an expected life of seven years, an expected volatility of 0.53 and a dividend yield of 1.80 percent. On February 20, 2014, the Company granted options to purchase 13,790 shares of its common stock at an exercise price of $14.76 per share to participants in the 2011 Plan. The stock options will vest in 20 percent increments annually on a cumulative basis, beginning one year after the date of the grant. In order for the options to vest, the employee must be in the continuous employment of the Company since the date of the grant. Any portion of the grant that has not vested will be forfeited upon termination of employment. The Company may terminate any portion of the grant that has not vested upon an employee's failure to comply with all conditions of the award or the 2011 Plan. Shares representing grants that have not yet vested will be held in escrow by the Company. An employee will not be entitled to any voting rights with respect to any shares not yet vested, and the shares are not transferable. The per share weighted-average fair value of this stock option grant was $6.70. The Black-Scholes model for this grant was based on a risk-free interest rate of 2.00 percent, an expected life of seven years, an expected volatility of 0.52 and a dividend yield of 1.80 percent. In 2014, 2013 and 2012, options for 17,074, 15,247 and 11,800 shares were exercised by employees and directors for an aggregate exercise price of $192,000, $163,000 and $124,000, respectively. The proceeds were generated from cash received of $42,000 and repurchase of 9,094 shares from employees and directors totaling $150,000 in 2014, from cash received of $138,000 and repurchase of 1,752 shares from employees and directors totaling $25,000 in 2013 and from cash received of $124,000 in 2012. At the 2014, 2013 and 2012 respective year ends, options to purchase 56,787, 40,591 and 29,000 shares with weighted average exercise prices of $11.73, $11.26 and $10.84, respectively, were fully exercisable. Compensation cost charged against income before taxes for the options was approximately $261,000 for 2014, $249,000 for 2013 and $228,000 for 2012. As of January 3, 2015, there was $459,000 of unrecognized compensation cost related to unvested stock options granted under the Company's stock option plans. The weighted average period over which the stock option compensation cost is expected to be recognized is 2.32 years. The Company has a 2005 Stock Awards Plan in effect at January 3, 2015. A summary of plan activity for 2012, 2013 and 2014 is as follows:
| Shares |  | Weighted Average Grant Date Fair Value
Outstanding at December 31, 2011 | 43,572 |  |  | $ | 11.39 |
Vested | (11,099 | ) |  | $ | 12.60 |
Forfeited | — |  |  |  |
Outstanding at December 29, 2012 | 32,473 |  |  | $ | 10.98 |
Vested | (8,161 | ) |  | $ | 11.06 |
Forfeited | (5,060 | ) |  | 10.20 |
Outstanding at December 28, 2013 | 19,252 |  |  | $ | 11.15 |
Granted October 16, 2014 | 31,080 |  |  | $ | 15.69 |
Granted November 21, 2014 | 23,665 |  |  | $ | 15.85 |
Vested | (7,434 | ) |  | $ | 10.60 |
Forfeited | (160 | ) |  | $ | 13.34 |
Outstanding at January 3, 2015 | 66,403 |  |  | $ | 15.00 |
The Compensation & Long-Term Incentive Committee of the Board of Directors of the Company approves stock grants under the Company's 2005 Stock Awards Plan to certain management employees of the Company. On October 16, 2014, 31,080 shares, with a market price of $15.69 per share, were granted under the Plan to the chief executive officer of the Company. On November 21, 2014, as a result of the acquisition of Specialty, 23,665 shares, at a market price of $15.85 per share, were granted under the Plan to certain management employees of Specialty. The stock awards vest in 20 percent increments annually on a cumulative basis, beginning one year after the date of grant from shares held in treasury with the Company. In order for the awards to vest, the employee must be in the continuous employment of the Company since the date of the award. Any portion of an award that has not vested is forfeited upon termination of employment. The Company may terminate any portion of the award that has not vested upon an employee's failure to comply with all conditions of the award or the 2005 Stock Awards Plan. An employee is not entitled to any voting rights with respect to any shares not yet vested, and the shares are not transferable. Compensation expense on the grants issued is charged against earnings equally before forfeitures, if any, over a period of 60 months from the dates of the grants, with the offset recorded in Shareholders' Equity. Compensation cost charged against income for the awards was approximately $103,000, $66,000 net of income taxes, or $0.01 per share for 2014, $82,000, $52,000 net of income taxes, or $0.01 per share for 2013 and $110,000, $70,000 net of income taxes, or $0.01 per share, for 2012. As of January 3, 2015, there was $902,000 of total unrecognized compensation cost related to unvested stock grants under the 2005 Stock Awards Plan. The weighted average period over which the stock grant compensation cost is expected to be recognized is 4.55 years. Each year, the Company allows each non-employee director to elect up to 100% of their annual retainer in restricted stock. The number of restricted shares issued is determined by the average of the high and low common stock price on the day prior to the Annual Meeting of Shareholders or the date prior to the appointment to the Board for those individuals that are appointed mid-term. On April 24, 2014 and April 25, 2013, non-employee directors received an aggregate of 7,088 and 9,411 shares, respectively, of restricted stock in lieu of total retainer fees of $111,000 and $128,000, respectively. The shares granted to the directors are not registered under the Securities Act of 1933 and are subject to forfeiture in whole or in part upon the occurrence of certain events. On September 30, 2013, the Company closed on an underwritten public offering of 2,000,000 shares of its common stock at a price of $15.75 per share. The underwriters also exercised their option to purchase and close upon an additional 300,000 shares of common stock at a price of $15.75 per share. The Company received net proceeds, after underwriting discounts and estimated expenses, of approximately $34,233,000. The Company used the net proceeds from the offering to invest approximately $3,500,000 in new equipment for the CRI Tolling facility, and used $18,061,000 to pay off the outstanding balance on the line of credit.

X
- Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsSharebasedPaymentsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5047-113901 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 50 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6406099&loc=d3e25284-112666 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 40 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6418621&loc=d3e17540-113929 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 4 -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5444-113901 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Staff Accounting Bulletin (SAB) -Number Topic 14 + Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration