The Company has incentive stock plans, the Omnibus Incentive Plan (the Plan”) and the Omnibus Equity Compensation Plan (the Plan”). As a result of the approval of the Plan by the Company's stockholders at the Company's annual meeting, grants longer be issued under the Plan.

 

The Company believes that awards of long-term, equity-based incentive compensation will attract and retain directors, officers and employees of the Company and will encourage these individuals to contribute to the successful performance of the Company, which will lead to the achievement of the Company's overall goal of increasing stockholder value. Awards granted under the Plan be in the form of incentive stock options, non-qualified stock options, shares of restricted or unrestricted stock, stock units, stock appreciation rights, or other stock-based awards. Awards be granted subject to the achievement of performance goals or other conditions, and certain awards be payable in stock or cash, or a combination of the two. The Plan is administered by the Compensation Committee (the “Compensation Committee”) of the Company's Board of Directors (the “Board”), which selects eligible employees, non-employee directors and other individuals to participate in the Plan and determines the type, amount, duration (such duration to exceed a term of () years for grants of options) and other terms of individual awards. At shares of the Company's common stock were available for future issuance under the Plan, which be issued from authorized and unissued shares of the Company's common stock or treasury shares.

 

Stock-based compensation is calculated according to FASB ASC Topic , which requires stock-based compensation to be accounted for using a fair-value-based measurement. The Company recorded stock-based compensation expense of and for the months ended and respectively, and recorded and for the months ended and respectively. The Company records the compensation expense associated with stock-based awards granted to individuals in the same expense classifications as the cash compensation paid to those same individuals. stock-based compensation costs were capitalized as part of the cost of an asset as of

 

The following table represents stock option activity for the -month periods ended and

 

		Nine-Month Periods Ended
		December 27, 2020								December 29, 2019
		Weighted-								Weighted-
		Average				Number of				Average				Number of
		Exercise				Options				Exercise				Options
		Price				Outstanding				Price				Outstanding
Outstanding at Beginning of Period		$	6.86				517,500			$	7.45				457,500
Granted			4.92				110,000				4.76				125,000
Exercised			5.49				(95,000	)			6.20				(10,000	)
Forfeited			-				-				7.07				(55,000	)
Outstanding at End of Period			6.71				532,500				6.86				517,500
Exercisable at End of Period			7.59				360,000				7.74				347,500

 

As of the intrinsic value of the outstanding and exercisable stock options was and respectively. The Company did receive any cash from the exercise of stock options during the and months ended and Upon the exercise of stock options, participants choose to surrender to the Company those shares from the option exercise necessary to satisfy the exercise amount and their income tax withholding obligations that arise from the option exercise. The effect on the cash flow of the Company from these “cashless” option exercises is that the Company remits cash on behalf of the participant to satisfy his or her income tax withholding obligations. The Company used cash to remit the required income tax withholding amounts from “cashless” option exercises of during each of the and -month periods ended and during each of the and -month periods ended

 

To determine the estimated fair value of stock options granted, the Company uses the Black-Scholes-Merton valuation formula, which is a closed-form model that uses an equation to estimate fair value. The following table sets forth the assumptions used to determine the fair value of the non-qualified stock options that were awarded to certain employees during the -month periods ended and which options vest over a -year period, assuming continued service.

 

		Nine-Month Periods Ended
		December 27, 2020				December 29, 2019
Number of options issued			110,000				125,000
Grant date			June 10, 2020				June 13, 2019
Dividend yield			6.50	%			6.72	%
Expected volatility			30.00	%			25.00	%
Risk free interest rate			0.275	%			1.810	%
Contractual term (years)			10.00				10.00
Expected term (years)			4.00				4.00
Forfeiture rate			5.00	%			5.00	%
Exercise price (grant-date closing price) per option		$	4.92			$	4.76
Fair value per option		$	0.56			$	0.39

 

During the and -month periods ended and the Company classified its compensation expense associated with stock options within the accompanying unaudited condensed consolidated statements of income as follows (in thousands):

 

		Three-Month Period Ended December 27, 2020												Three-Month Period Ended December 29, 2019
		Cost of				Marketing &								Cost of				Marketing &
		Products				Administrative				Total				Products				Administrative				Total
Options Granted in Fiscal Year		Sold				Expenses				Expense				Sold				Expenses				Expense
2019		$	-			$	-			$	-			$	2			$	4			$	6
2020			3				3				6				2				3				5
2021			3				3				6				-				-				-
Total stock option compensation		$	6			$	6			$	12			$	4			$	7			$	11

 

		Nine-Month Period Ended December 27, 2020												Nine-Month Period Ended December 29, 2019
		Cost of				Marketing &								Cost of				Marketing &
		Products				Administrative				Total				Products				Administrative				Total
Options Granted in Fiscal Year		Sold				Expenses				Expense				Sold				Expenses				Expense
2018		$	-			$	-			$	-			$	5			$	1			$	6
2019			3				3				6				7				6				13
2020			8				11				19				5				7				12
2021			7				8				15				-				-				-
Total stock option compensation		$	18			$	22			$	40			$	17			$	14			$	31

 

As of total unrecognized stock option compensation expense amounted to which will be recognized as the underlying stock options vest over a weighted-average period of months. The amount of future stock option compensation expense could be affected by any future stock option grants and by the separation from the Company of any individual who has received stock options that are unvested as of such individual's separation date.

The Board granted the following shares of non-vested stock to the Company's non-employee directors:

 

Number of Shares			Fair Value per Share			Grant Date
41,452			$	5.79		August 12, 2020
46,512				5.16		August 14, 2019
28,000				5.43		August 8, 2018
28,000				5.50		August 9, 2017

 

These shares vest over a -year period, assuming continued service. The fair value of the non-vested stock granted to the Company's non-employee directors was based on the closing price of the Company's common stock on the date of each grant. In and and shares that had been granted to the Company's non-employee directors vested, having an aggregate value of and respectively.

 

On upon the appointment of Donna Sheridan to serve as the President and Chief Executive Officer of NoJo Baby & Kids, Inc. (“NoJo”), a wholly-owned subsidiary of the Company, the Board granted shares of non-vested stock to Ms. Sheridan. These shares will vest on assuming continued service. The fair value of these shares of non-vested stock is per share, which is based upon the closing price of the Company's common stock on the date of the grant.

 

On the Board granted shares of non-vested stock to certain executive officers. These shares will vest on assuming continued service. The fair value of these shares of non-vested stock is per share, which is based upon the closing price of the Company's common stock on the date of the grants.

  On the Compensation Committee terminated the Company's Performance Bonus Plan (the Plan”). Under the Plan, certain executive officers were eligible to receive awards of shares of the Company's common stock if the aggregate average market value of the Company's common stock during the relevant fiscal year, plus the amount of regular cash dividends paid in respect of the Company's common stock during such period, increased. shares were granted and compensation expense was recorded during either of the or -month periods ended or in connection with the Plan. During the -month period ended shares that had been granted during fiscal year vested, with such shares having an aggregate value of Individuals holding shares that vested surrendered to the Company the number of shares necessary to satisfy the income tax withholding obligations that arose from the vesting of the shares, and the Company remitted to the appropriate taxing authorities on behalf of such individuals.

 

For the and -month periods ended and the Company recorded compensation expense associated with stock grants, which is included in marketing and administrative expenses in the accompanying unaudited condensed consolidated statements of income, as follows (in thousands):

 

		Three-Month Period Ended December 27, 2020												Three-Month Period Ended December 29, 2019
						Non-employee				Total								Non-employee				Total
Stock Granted in Fiscal Year		Employees				Directors				Expense				Employees				Directors				Expense
2019		$	18			$	-			$	18			$	19			$	19			$	38
2020			-				30				30				-				30				30
2021			13				30				43				-				-				-
Total stock grant compensation		$	31			$	60			$	91			$	19			$	49			$	68

 

		Nine-Month Period Ended December 27, 2020												Nine-Month Period Ended December 29, 2019
						Non-employee				Total								Non-employee				Total
Stock Granted in Fiscal Year		Employees				Directors				Expense				Employees				Directors				Expense
2018		$	-			$	-			$	-			$	-			$	26			$	26
2019			55				25				80				55				57				112
2020			-				90				90				-				50				50
2021			29				50				79				-				-				-
Total stock grant compensation		$	84			$	165			$	249			$	55			$	133			$	188

 

As of total unrecognized compensation expense related to the Company's non-vested stock grants amounted to which will be recognized over the respective vesting terms associated with each block of non-vested stock indicated above, such grants having an aggregate weighted-average vesting term of months. The amount of future compensation expense related to the Company's non-vested stock grants could be affected by any future non-vested stock grants and by the separation from the Company of any individual who has non-vested stock grants as of such individual's separation date.