Stock-Based Awards

3 Months Ended

Oct. 29, 2011

Stock-Based Awards [Abstract]

Stock-Based Awards

14. Stock-Based Awards

Stock-based awards are granted by the Company under its 2003 Long-term Incentive Plan (“2003 Plan”) and the 2007 Non-Employee Directors Equity Plan (“2007 Directors Plan” and, together with the 2003 Plan, “the Plans”). The Company also has several other plans under which awards are outstanding but under which no further awards will be granted, including expired plans. The Company’s policy is to issue new shares to satisfy equity awards under the Plans. Under the terms of the Plans, stock options are granted at the closing price on the date of the grant, generally vest ratably over a four year period, and are exercisable over a period of up to ten years. The Plans also provide for the grants of time based restricted share units (“RSUs”), that currently vest ratably over a four year period from the date of grant. Additionally, the 2003 Plan provides for the grants of performance based restricted share units (“Performance RSUs”). Outstanding Performance RSUs vest over a three year period from the grant date if certain Company performance goals are achieved.

The following table summarizes the stock-based awards activity during the three months ended October 29, 2011:

	Stock Options					RSUs				Performance RSUs
	Shares			Weighted Average Exercise Price		Share Units		Weighted Average Grant Price		Share Units			Weighted Average Grant Price
Outstanding as of July 30, 2011		3,879,555		$	15.91		215,319	$	11.56		149,552		$	10.49
Granted		-		$	-		-	$	-		92,584		$	18.86
Options Exercised/Share Units Vested		(73,747	)	$	12.75		-	$	-		(17,745	)	$	10.04
Forfeited or cancelled		(2,600	)	$	16.83		-	$	-		(66,743	)	$	10.09
Outstanding as of October 29, 2011		3,803,208		$	15.97		215,319	$	11.56		157,648		$	15.65
Exercisable options as of October 29, 2011		1,783,455		$	21.87

The Performance RSUs in the above table represent the maximum number of awards which may vest under the outstanding grants assuming that all performance criteria are met. Approximately 67,000 Performance RSUs outstanding as of July 30, 2011 were cancelled during the first quarter of fiscal 2012 due to fiscal 2011 performance criteria not being met.

Compensation expense for stock-based awards is based on the fair value at the measurement date and is included in general and administrative expenses in the condensed consolidated statements of operations. The compensation expense and the related tax benefit recognized related to stock options and restricted share units for the three months ended October 29, 2011 and October 30, 2010 are as follows:

	For the Three Months Ended
	October 29, 2011			October 30, 2010
	(Dollars in thousands)
Stock-based compensation expense	$	1,326		$	791
Tax benefit recognized	$	(372	)	$	(166	)

The Company evaluates compensation expense quarterly and recognizes expense for performance based awards only if management determines it is probable that the performance criteria for the awards will be met. The total amount of expense ultimately recognized is based on the number of awards that actually vest. Accordingly, the amount of compensation expense recognized during any fiscal year may not be representative of future stock-based compensation expense.

Under the Plans, the maximum total unrecognized compensation expense and weighted-average period over which the expense would be recognized subsequent to October 29, 2011 is shown below. For performance based awards, the unrecognized compensation cost is based on the maximum amount of restricted share units that can be earned under outstanding awards. If the performance goals are not met, no compensation expense will be recognized for these share units and compensation expense previously recognized will be reversed.

	Unrecognized Compensation Expense		Weighted-Average Period
	(In thousands)		(In years)
Stock options	$	9,291		2.7
Unvested RSUs	$	1,668		2.6
Unvested Performance RSUs	$	2,414		1.7