Note 12. Stock-Based Compensation

We recognize compensation expense for awards ratably over the requisite service period of the award, which is generally three years. We recognize compensation expense based on the number of awards expected to vest using an estimated average forfeiture rate. We calculate the fair value of stock-based awards based on the closing price on the date the award was granted.

During the 26 weeks ended October 27, 2018, we granted the following awards:

•

385,171 performance share unit ("PSU") awards to employees that will vest based upon the achievement of pre-established performance goals related to absolute total shareholder returns ("TSR") determined by the Company's common stock price, DSS segment revenue and Company Adjusted EBITDA measured over a two year performance period (Fiscal 2019 - Fiscal 2020) with one additional year of time-based vesting. The number of PSU awards that will vest range from 0%-150% of the target award based on actual performance.


•	1,336,216 restricted stock units ("RSU") awards were granted to employees with a three year vesting period in accordance with the Equity Incentive Plan.


•	107,530 RSU awards and 21,506 restricted stock ("RS") awards were granted to the current Board of Directors ("BOD") members for annual compensation with a one year vesting period in accordance with the Equity Incentive Plan.

We recognized stock-based compensation expense for equity-based awards in selling and administrative expenses as follows:



	13 weeks ended					26 weeks ended
	October 27, 2018		October 28, 2017			October 27, 2018		October 28, 2017
Restricted stock expense	$	20	$	30		$	50	$	60
Restricted stock units expense ^(a)	1,952		2,140			4,150		4,040
Performance shares expense^(a)	57		(265		)	114		(333		)
Performance share units expense^(b)	603		268			659		386
Stock-based compensation expense	$	2,632	$	2,173		$	4,973	$	4,153

(a) The stock-based compensation expense for the 13 and 26 weeks ended October 28, 2017 for the restricted stock units reflect a forfeiture adjustment for unvested shares related to the CEO transition. See Note 10. Supplementary Information - Restructuring and Other Charges for additional information.

(b) The stock-based compensation expense for performance shares and performance share units reflect a catch-up adjustment for a change in expected level of achievement of the respective grants.

Total unrecognized compensation cost related to unvested awards as of October 27, 2018 was $17,942 and is expected to be recognized over a weighted-average period of 2.2 years. Approximately $2,498 of the unrecognized compensation cost is related to performance shares and performance share units, which is subject to attaining the stated performance metrics.