COMMITMENTS

Executive Severance Agreement

The Company is a party to Executive Severance Agreement (the “Executive Severance Agreement”) each of Bradley S. Vizi, the Company's Executive Chairman and President (dated as of

June 1, 2018),

and Kevin Miller, the Company’s Chief Financial Officer (dated as of

February 28, 2014,

as amended), which set forth the terms and conditions of certain payments to be made by the Company to the executive in the event, while employed by the Company, such executive experiences (a) a termination of employment unrelated to a “Change in Control” (as defined therein) or (b) there occurs a Change in Control and either (i) the executive’s employment is terminated for a reason related to the Change in Control or (ii) in the case of Mr. Miller, the executive remains continuously employed with the Company for a period of

three

months following the Change in Control. Each Executive Severance Agreement also provide for certain payments, if either (a) the executive is involuntarily terminated by the Company for any reason other than “Cause” (as defined therein), “Disability” (as defined therein) or death, or (b) the executive resigns for “Good Reason” (as defined therein), and, in each case, the termination is

not

a “Termination Related to a Change in Control” (as defined therein).

Leases

The Company leases office facilities and various equipment under non-cancelable leases expiring at various dates through

March 2024.

Certain leases are subject to escalation clauses based upon changes in various factors. The minimum future annual operating lease commitments for leases with non-cancelable terms, exclusive of unknown operating escalation charges, are as follows ($ in thousands):

Fiscal Years	Amount
2019	$	2,485
2020		1,921
2021		1,406
2022		1,108
2023		782
2024		158
Total	$	7,860

Rent expense for the fiscal years ended

December 29, 2018

and

December 30, 2017

was

$2,777

and

$3,696,

respectively.

The Company, from time to time, subleases space to other tenants at various office locations under lease agreements. During the fiscal year ended

December 29, 2018,

payments of approximately

$78

were received under these leasing arrangements. During the fiscal year ended

December 30, 2017,

there were

sublease payments. The Company offsets these payments against its expense for reporting purposes.