Share-Based Awards

9 Months Ended

Sep. 25, 2020

Share-based Payment Arrangement, Additional Disclosure [Abstract]

Options on common shares granted and outstanding, as well as the weighted average exercise price, are shown below (in thousands, except exercise prices):


	Option Shares	Weighted Average Exercise Price		Options Exercisable	Weighted Average Exercise Price
Outstanding, December 27, 2019	12,112	$	28.91	8,231	$	23.75
Granted	1,399	55.26
Exercised	(2,117)	19.87
Canceled	(43)	43.69
Outstanding, September 25, 2020	11,351	$	33.79	7,677	$	27.20

The Company recognized year-to-date share-based compensation of $21.4 million in 2020 and $23.2 million in 2019. As of September 25, 2020, there was $10.4 million of unrecognized compensation cost related to unvested options, expected to be recognized over a weighted average period of 2.5 years.

The fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions and results:


	Nine Months Ended
	September 25, 2020			September 27, 2019
Expected life in years	7.5			7.5
Interest rate	1.5		%	2.6		%
Volatility	22.0		%	24.6		%
Dividend yield	1.3		%	1.4		%
Weighted average fair value per share	$	12.18		$	12.26

Under the Company’s Employee Stock Purchase Plan, the Company issued 400,000 shares in 2020 and 398,000 shares in 2019. The fair value of the employees’ purchase rights under this Plan was estimated on the date of grant. The benefit of the 15 percent discount from the lesser of the fair market value per common share on the first day and the last day of the plan year was added to the fair value of the employees’ purchase rights determined using the Black-Scholes option-pricing model with the following assumptions and results:


	Nine Months Ended
	September 25, 2020			September 27, 2019
Expected life in years	1.0			1.0
Interest rate	1.5		%	2.6		%
Volatility	21.9		%	22.7		%
Dividend yield	1.4		%	1.4		%
Weighted average fair value per share	$	11.55		$	11.36