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Stock-Based Awards
 9 Months Ended
Apr. 26, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Stock-Based Awards
Stock-Based Awards

The Company has certain stock-based compensation plans which provide for the grants of equity awards, including stock options, restricted shares, performance shares, restricted share units, performance share units, and stock appreciation rights.

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. For performance share units ("Performance RSUs"), the total amount of stock-based compensation expense ultimately recognized is based on the number of awards that actually vest and fluctuates as a result of performance criteria for performance-based awards, as well as the vesting period of all stock-based awards. 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. Compensation expense previously recognized with respect to performance share units will be reversed to the extent that performance goals are not met. Stock-based compensation expense and the related tax benefit recognized related to stock options and restricted share units during the three and nine months ended April 26, 2014 and April 27, 2013 were as follows:
 
For the Three Months Ended
 
For the Nine Months Ended
 
April 26, 2014
 
April 27, 2013
 
April 26, 2014
 
April 27, 2013
 
(Dollars in thousands)
Stock-based compensation
$
2,671

 
$
2,513

 
$
9,721

 
$
7,275

Tax (benefit) recognized in the statement of operations
$
(1,071
)
 
$
(931
)
 
$
(3,736
)
 
$
(2,779
)


As of April 26, 2014, unrecognized compensation expense related to stock options, time-based restricted share units ("RSUs") and target Performance RSUs was $4.2 million, $7.2 million and $12.9 million, respectively, based on the Company's estimate of performance goal achievement. This expense will be recognized over a weighted-average period of 2.2 years, 2.8 years and 1.6 years, respectively, which is based on the average remaining service periods of the awards. As of April 26, 2014, the Company may recognize an additional $9.7 million in compensation expense related to Performance RSUs if the maximum amount of restricted share units are earned based on certain performance goals being met.

Stock Options - The following table summarizes stock option award activity during the nine months ended April 26, 2014: 
 
Stock Options
 
Shares
 
Weighted Average Exercise Price
 
 
 
 
Outstanding as of July 27, 2013
2,769,132

 
$
18.27

Granted
89,956

 
$
27.50

Options exercised
(767,552
)
 
$
18.25

Forfeited or canceled
(5,949
)
 
$
22.86

Outstanding as of April 26, 2014
2,085,587

 
$
18.66

 
 
 
 
Exercisable options as of April 26, 2014
1,615,544

 
$
18.77



RSUs and Performance RSUs - The following table summarizes RSU and Performance RSU activity during the nine months ended April 26, 2014:

 
Restricted Stock
 
RSUs
 
Performance RSUs
 
Share Units
 
Weighted Average Grant Price
 
Share Units
 
Weighted Average Grant Price
 
 
 
 
 
 
 
 
Outstanding as of July 27, 2013
463,318

 
$
17.78

 
1,315,138

 
$
18.44

Granted
94,456

 
$
27.36

 
429,485

 
$
27.66

Share units vested
(137,333
)
 
$
16.19

 
(265,025
)
 
$
18.35

Forfeited or canceled
(5,844
)
 
$
19.26

 
(281,995
)
 
$
18.55

Outstanding as of April 26, 2014
414,597

 
$
20.47

 
1,197,603

 
$
21.73


 
The granted Performance RSUs in the above table is comprised of 373,465 target shares, granted to officers and employees, and 56,020 supplemental shares, granted to officers. Approximately 265,000 Performance RSUs outstanding as of July 27, 2013 were canceled during the first quarter of fiscal 2014 as a result of the fiscal 2013 performance criteria for attaining supplemental shares not being met. The total amount of Performance RSUs outstanding as of April 26, 2014 is comprised of 754,752 target shares and 442,851 supplemental shares.