Note 6 - Stock-Based Compensation

3 Months Ended

Dec. 27, 2014

Notes to Financial Statements

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

(6) Stock-Based Compensation

Under the Company’s equity incentive plans, employees and directors may be granted stock options, restricted stock, restricted stock units and performance awards. As of December 27, 2014, there were 387,000 shares available for future grants under the plans.

Stock

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Under the Company’s equity incentive plans, employees and directors may be granted options to purchase shares of the Company’s common stock at the fair market value on the date of the grant. Options granted under these plans generally vest over three years and expire ten years from the date of the grant. Compensation expense and excess tax benefits associated with stock options for the three-month periods ended December 27, 2014 and December 28, 2013 are as follows:

	Three Months Ended
	December 27,		December 28,
(In thousands)	2014		2013
Stock options:
Compensation expense	$	173	$	165
Excess tax benefits		-		(86	)

As of December 27, 2014, the remaining unamortized compensation cost related to unvested stock option awards was $279,000, which is expected to be recognized over a weighted average period of 1.53 years.

The following table summarizes stock option activity for the three-month period ended December 27, 2014:

								Contractual
								Term -	Aggregate
	Options		Exercise Price Per Share					Weighted	Intrinsic
	Outstanding					Weighted		Average	Value
	(in thousands)		Range			Average		(years)	(in thousands)
Outstanding at September 27, 2014		871	$ 6.89	-	$ 20.50	$	14.23
Exercised		-	-	-	-		-
Outstanding at December 27, 2014		871	6.89	-	20.50		14.23	6.16	$	7,947
Vested and anticipated to vest in the future at December 27, 2014		869					14.23	6.15		7,935
Exercisable at December 27, 2014		594					12.85	4.98		6,246

Stock option exercises include “net exercises,” pursuant to which the optionee received shares of common stock equal to the intrinsic value of the options (fair market value of common stock on the date of exercise less exercise price) reduced by any applicable withholding taxes.

 

Restricted stock uni

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Restricted stock units (“RSUs”) granted under the Company’s equity incentive plans are valued based upon the fair market value on the date of the grant and provide for a dividend equivalent payment which is included in compensation expense. The vesting period for RSUs is generally one year from the date of the grant for RSUs granted to directors and three years from the date of the grant for RSUs granted to employees. RSUs do not have voting rights. RSU compensation expense for the three-month periods ended December 27, 2014 and December 28, 2013 is as follows:

	Three Months Ended
	December 27,		December 28,
(In thousands)	2014		2013
Compensation expense	$	269	$	243

As of December 27, 2014, the remaining unrecognized compensation cost related to unvested RSUs was $477,000, which is expected to be recognized over a weighted average vesting period of 1.74 years.

The following table summarizes RSU activity during the three-month period ended December 27, 2014:

			Weighted
	Restricted		Average
	Stock Units		Grant Date
(Unit amounts in thousands)	Outstanding		Fair Value
Balance, September 27, 2014		197	$	15.68
Granted		-		-
Released		-		-
Balance, December 27, 2014		197	$	15.68