Share-Based Compensation

6 Months Ended

Sep. 26, 2015

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

The Company recognizes expense related to the fair value of its share-based compensation awards using the Black-Scholes model to estimate the fair value of awards on the date of grant, except for unvested restricted stock unit awards which are valued at the fair value of the Company's stock on the date of award. The Company recognizes compensation expense for all share-based compensation awards on a straight-line basis over the requisite service period of the award.

Stock-settled stock appreciation rights (SARs) grant the right to receive shares of the Company's stock equivalent to the increase in stock value of a specified number of shares over a specified period of time, divided by the stock price at the time of exercise. Similar to options, SARs are measured at the fair value of the award on the grant date and the expense is recognized on a straight-line basis over the requisite service period of the award.

The Company granted a total of 703,700 restricted stock units (RSUs), 467,000 SARs, and zero stock options during the first two quarters of 2016. The Company granted 513,700 RSUs and 260,000 SARs, and zero stock options during the first two quarters of 2015.

Share-based compensation expense was included in the Company’s Condensed Consolidated Statements of Operations as follows:



	Fiscal quarter ended				Two fiscal quarters ended
(In thousands)	Sep 26, 2015		Sep 27, 2014		Sep 26, 2015		Sep 27, 2014
Cost of sales	$	114	$	151	$	243	$	320
Selling, general and administrative	746		602		1,461		1,467
Research, development and engineering	206		280		425		576
Total share-based compensation expense	$	1,066	$	1,033	$	2,129	$	2,363

No share-based compensation costs were capitalized in the first two quarters of 2016. As of September 26, 2015, the Company had $9.1 million of total unrecognized share-based compensation costs, net of estimated forfeitures, which are expected to be recognized over a weighted average period of 2.2 years. The amounts shown in the table above for the fiscal quarter ended September 26, 2015 and two fiscal quarters ended September 26, 2015, do not include $173 thousand and $497 thousand, respectively, in expense related to acquisitions. Refer to Note 5 "Business Acquisitions" for discussion of stock amounts considered compensation related to acquisitions.