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Share-Based Payments
3 Months Ended
Mar. 29, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Share-Based Payments

(4)  Share-Based Payments

            The Company measures the cost of employee services received in exchange for an award of equity instruments based on the grant date fair value of the award. That cost is recognized over the period during which an employee is required to provide services in exchange for the award, the requisite service period (usually the vesting period). The Company provides an estimate of forfeitures at initial grant date. Reductions in compensation expense associated with the forfeited options are estimated at the date of grant, and this estimated forfeiture rate is adjusted periodically based on actual forfeiture experience. The company uses the Black-Scholes option pricing model to determine the fair value of the stock options granted.

 

            During the quarter ended March 29, 2014, a total of 108,500 stock options were granted to employees under the Company’s 2009 Stock Incentive Plan (the “Plan) and a total of 30,000 stock options were granted to outside directors. There were no shares granted under the Plan during the quarter ended March 30, 2013.

 

            During the quarter ended March 29, 2014 the Company issued 32,900 shares as a result of employee option exercises. There were no stock option exercises during the quarter ended March 30, 2013. During the quarters ended March 29, 2014 and March 30, 2013 there were no expired stock options.

 

            During the quarter ended March 29, 2014 the Company repurchased 14,964 shares from employees to facilitate their exercise of stock options.

 

As of March 29, 2014, there was $646,584 of total unrecognized compensation cost related to nonvested share-based compensation arrangements granted under the plans; that cost is expected to be recognized over a weighted average period of 2.88 years.

 

 

During the quarters ended March 29, 2014 and March 30, 2013, the Company recognized $72,447 and $53,631 respectively as shared-based compensation expense related to previously granted shares under the Plan.