Stock-Based Compensation (Tables)

9 Months Ended

Oct. 28, 2017

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

The fair value of each option granted is estimated on the date of grant using the Black-Scholes option-pricing model. The following assumptions were used for grants for the first nine months of fiscal 2017 and fiscal 2016:

	October 28, 2017			October 29, 2016
Expected volatility		49.9	%		39.3	%
Risk-free interest rate		1.44	%	0.78%
Expected life	3.0 yrs			2.0 yrs
Dividend rate		—			—

Employee Stock Plan, 2006 Plan and 2016 Plan

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Summary of Restricted Stock Activity

The following tables summarize the share activity and stock option activity for the Company’s 2006 Plan and 2016 Plan, on a combined basis, for the first nine months of fiscal 2017:

	Restricted shares			Restricted Stock Units ⁽¹⁾			Deferred shares ⁽²⁾			Fully-vested shares ⁽³⁾			Total number of shares			Weighted-average grant-date fair value ⁽⁴⁾
Shares
Outstanding non-vested shares at beginning of year		856,332			369,828			64,876			—			1,291,036		$	5.09
Shares granted		484,558			804,701			74,968			66,325			1,430,552		$	2.68
Shares vested/issued		(430,336	)		(27,697	)		(44,599	)		(66,325	)		(568,957	)	$	2.66
Shares canceled		(857,221	)		(37,649	)		—			—			(894,870	)	$	4.94
Outstanding non-vested shares at end of quarter		53,333			1,109,183			95,245			—			1,257,761		$	3.52

(1)

Restricted Stock Units (“RSUs”) were primarily granted in connection with the 2017-2018 LTIP. The RSUs will vest in two tranches with the first 50% vesting on April 1, 2019 and the second 50% vesting on April 1, 2020.

(2)

The 74,968 shares of deferred stock, with a fair value of $182,852, represent compensation to certain directors in lieu of cash, in accordance with their irrevocable elections. The shares of deferred stock will vest three years from the date of grant or at separation of service, based on the irrevocable election of each director.

(3)

During the first nine months of fiscal 2017, the Company granted 66,325 shares of stock, with a fair value of approximately $166,139, to certain directors as compensation in lieu of cash, in accordance with their irrevocable elections. Directors are required to elect 50% of their quarterly retainer in equity. Any shares in excess of the minimum required election are issued from the Company’s Third Amendment to the Second Amended and Restated Non-Employee Director Compensation Plan (“Non-Employee Director Compensation Plan”).

(4)

The fair value of a restricted share, deferred share and fully-vested share is equal to the Company’s closing stock price on the day immediately preceding the date of grant.

Stock Option Activity

	Number of shares			Weighted-average exercise price per option		Weighted-average remaining contractual term	Aggregate intrinsic value
Stock Options
Outstanding options at beginning of year		2,524,546		$	4.98		$	11,286
Options granted		30,000		$	1.85
Options canceled		(1,259,579	)	$	5.05
Options exercised		—			—
Outstanding options at end of quarter		1,294,967		$	4.82	4.8 years	$	3,000
Options exercisable at end of quarter		1,294,967		$	4.82	4.8 years