Earnings Per Share

6 Months Ended

Jul. 01, 2023

Basic and diluted weighted-average shares outstanding are as follows:


	Six Months Ended		Three Months Ended
(In thousands)	July 1, 2023	July 2, 2022	July 1, 2023	July 2, 2022
Weighted Average Shares - Basic	32,560	32,007	32,614	32,082
Net Effect of Dilutive Stock Options	—	—	—	—
Weighted Average Shares - Diluted	32,560	32,007	32,614	32,082

Stock options with exercise prices greater than the average market price of the underlying common shares are excluded from the computation of diluted earnings per share because they are out-of-the-money and the effect of their inclusion would be anti-dilutive. The number of common shares covered by out-of-the-money stock options was approximately 594,000 shares as of July 1, 2023 and 1,338,000 shares as of July 2, 2022. Further, due to our net loss in the three and six month periods ended July 1, 2023 and July 2, 2022, the assumed exercise of stock compensation had an antidilutive effect and therefore was excluded from the computation of diluted loss per share.

Currently, the Company expects to fund the 401K contribution for the quarter ended July 1, 2023 with treasury stock in lieu of cash. The earnings per share calculation for the quarter ended July 1, 2023 is inclusive of the approximately 0.1 million in shares outstanding for the equivalent shares needed to fulfill the obligation using the closing share price as of July 1, 2023. Actual shares issued may differ based on the sale price on the settlement date.