Popeye's 2014 Annual Report Download - page 79

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Popeyes Louisiana Kitchen, Inc.
Notes to Consolidated Financial Statements
For Fiscal Years 2014, 2013, and 2012 — (Continued)
61
The following table summarizes the restricted stock awards activity for the 52 week period ended December 28, 2014:
(share awards in thousands) Shares
Weighted
Average
Grant
Date Fair
Value
Unvested restricted stock awards:
Outstanding beginning of year 27 $ 22.52
Granted 20 $ 40.57
Vested (6) $ 23.50
Canceled (9) $ 21.54
Outstanding end of year 32 $ 33.77
The grant date fair values of the restricted stock awards are based on the Company's closing stock price on the date of the grant.
The weighted average grant date fair value of restricted share awards granted during 2013 and 2012 were $35.77 and $15.93,
respectively.
These awards are amortized as expense on a graded basis over the three-year vesting period. The Company recognized
approximately $0.4 million, $0.2 million, and $0.5 million, in stock-based compensation expense associated with these awards
during 2014, 2013, and 2012, respectively. During the vesting period, recipients of the shares are entitled to dividends on such
shares, provided that such shares are not forfeited. Dividends are accumulated and paid out at the end of the vesting period.
As of December 28, 2014, there was approximately $0.6 million of total unrecognized compensation cost related to unvested
restricted stock awards which are expected to be recognized over a weighted average period of approximately 1.5 years. The total
fair value at grant date of awards which vested during 2014, 2013, and 2012, was $0.1 million, $0.1 million, and $0.6 million,
respectively.
Restricted Share Units
The Company grants restricted stock units (RSUs) to members of its board of directors pursuant to the 2006 Incentive Stock
Plan. Vested RSUs are convertible into shares of the Company’s common stock on a 1:1basis at such time the director no longer
serves on the board of the Company. The Company recognized $0.6 million, $0.6 million, and $0.6 million in stock-based
compensation expense associated with these awards during the 2014, 2013, and 2012, respectively. As of December 28, 2014,
there was approximately $0.2 million of total unrecognized compensation cost related to unvested RSUs, which is expected to be
recognized over a weighted average period of approximately 0.4 years.
The following table summarizes the restricted share unit activity for the 52 week period ended December 28, 2014.
(share awards in thousands) Units
Weighted
Average
Grant
Date Fair
Value
Unvested restricted stock units:
Outstanding beginning of year 196 $ 14.53
Granted 17 37.20
Vested (36) 13.56
Outstanding end of year 177 $ 16.86
The weighted average grant date fair value of restricted share units vested in 2013 was $11.98, respectively. The weighted
average grant date fair value of restricted share units granted during 2013 and 2012 were $34.42 and $21.02, respectively.
Note 14 — 401(k) Savings Plan
The Company maintains a qualified retirement plan (“Plan”) under Section 401(k) of the Internal Revenue Code of 1986, as
amended, for the benefit of employees meeting certain eligibility requirements as outlined in the Plan document. All Company