SHARE-BASED COMPENSATION

The Company's primary plan used for granting equity compensation awards is the 2017 Equity Incentive Plan (the "2017 Plan").

The following table summarizes the Company’s share-based compensation expense:



	Three-Month Periods Ended
	June 29, 2018		June 30, 2017
	(In thousands)
Cost of sales	$	5,404	$	3,319
Selling, general and administrative expenses	15,549		18,477
Total share-based compensation expense	$	20,953	$	21,796

Total unrecognized compensation expense related to share options under all plans was $5.7 million, and will be recognized over a weighted-average remaining vesting period of 1.9 years. As of June 29, 2018, the number of options outstanding and exercisable under all plans was 1.1 million and 0.5 million, respectively, at a weighted-average exercise price of $3.38 per share and $4.83 per share, respectively.

During the three-month period ended June 29, 2018, the Company granted 5.1 million unvested restricted share unit awards. Of this amount, approximately 3.9 million are plain-vanilla unvested restricted share unit awards with no performance or market conditions with an average grant date price of $14.05 per share and will vest over four years. Further, approximately 1.2 million unvested shares represent the target amount of grants made to certain key employees whereby vesting is contingent on certain market conditions. The expense for these awards contingent on certain market conditions is immaterial for the three-month period ended June 29, 2018 as the awards were granted close to the quarter end. The number of shares contingent on market conditions that ultimately will vest will range from zero up to a maximum of 2.4 million based on a measurement of the percentile rank of the Company’s total shareholder return over a certain specified period against the Standard and Poor’s (“S&P”) 500 Composite Index and will cliff vest after a period of three years, if such market conditions have been met.

As of June 29, 2018, approximately 14.9 million unvested restricted share unit awards under all plans were outstanding, of which vesting for a targeted amount of 2.6 million is contingent primarily on meeting certain market conditions. The number of shares that will ultimately be issued can range from zero to 5.2 million based on the achievement levels of the respective conditions. During the three-month period ended June 29, 2018, 0.6 million shares vested in connection with the restricted share unit awards with market conditions granted in fiscal year 2016.

As of June 29, 2018, total unrecognized compensation expense related to unvested restricted share unit awards under all plans was approximately $194.5 million, and will be recognized over a weighted-average remaining vesting period of 2.8 years.