Shareholders' Equity

9 Months Ended

May 27, 2017

Stockholders' Equity Note [Abstract]

Shareholders' Equity

Shareholders' Equity

Stock-Based Compensation

We have a 2014 Omnibus Equity, Performance Award, and Incentive Compensation Plan (as amended, the "Plan") in place as approved by shareholders, which allows us to grant or issue non-qualified stock options, incentive stock options, share awards and other equity compensation to key employees and to non-employee directors.

On October 11, 2016 and October 13, 2015 the Human Resources Committee of the Board of Directors granted an aggregate of 97,600 and 204,200 shares, respectively, of restricted common stock to our key employees and non-employee directors under the Plan. The value of the restricted stock award is determined using the intrinsic value method which, in this case, is based on the number of shares granted and the closing price of our common stock on the date of grant.

Stock-based compensation expense was $0.7 million and $0.6 million during the third quarters of Fiscal 2017 and 2016, respectively. Stock-based compensation expense was $2.2 million and $1.8 million during the first nine months of Fiscal 2017 and 2016, respectively. Compensation expense is recognized over the requisite service period of the award.

Dividends

On March 15, 2017, the Board of Directors declared a quarterly cash dividend of $0.10 per share of common stock, which was paid on April 26, 2017 to shareholders of record at the close of business on April 12, 2017.

On May 24, 2017, the Board of Directors declared a quarterly cash dividend of $0.10 per share of common stock, payable on July 26, 2017 to shareholders of record at the close of business on July 12, 2017. The accrued dividend was $3.2 million on the accompanying balance sheet as of May 27, 2017.

Share Registration

As a result of the acquisition of Grand Design, Winnebago agreed to register the 4,586,555 shares of common stock issued to the Summit Sellers and the RDB Sellers pursuant to the terms of a registration rights agreement. Under the registration rights agreement, Winnebago filed a shelf registration statement on January 20, 2017 to register these shares for resale. On April 11, 2017, pursuant to an underwriting agreement dated as of April 5, 2017, by and among Winnebago, the Summit Sellers and Morgan Stanley & Co., LLC, the Summit Sellers sold 2,293,277 shares of common stock in an underwritten block trade.