On our shareholders re-approved the Delta Apparel, Inc. Stock Plan ( Stock Plan") that was originally approved by our shareholders on The re-approval of the Stock Plan, including the material terms of the performance goals included in the Stock Plan, enabled us to continue to grant equity incentive compensation awards that are structured in a manner intended to qualify as tax deductible, performance-based compensation under Section (m) of the Internal Revenue Code of as applicable.  Recently enacted tax legislation in changed several conclusions under Section (m), including that there will longer be a performance-based compensation exemption, and the Chief Financial Officer position is now included in the applicable calculation along with the next highest-paid officers.  This reform impacted taxes related to fiscal years and

 

Since additional awards have been or will be granted under either the Delta Apparel Stock Option Plan ("Option Plan") or the Delta Apparel Incentive Stock Award Plan ("Award Plan"); instead, all stock awards have been granted under the Stock Plan.

 

Shares are generally issued from treasury stock upon exercise of the options or the vesting of the restricted stock units, performance units or other awards under the Stock Plan.

 

Compensation expense is recorded on the SG&A expense line item in our Condensed Consolidated Statements of Operations over the vesting periods. During the -month periods ended , and , we recognized million and million, respectively, in stock-based compensation expense.

 

 

Under the Stock Plan, the Compensation Committee of our Board of Directors has the authority to determine the employees and directors to whom awards be granted and the size and type of each award and manner in which such awards will vest. The awards available under the plan consist of stock options, stock appreciation rights, restricted stock, restricted stock units, performance stock, performance units, and other stock and cash awards. The aggregate number of shares of common stock that be delivered under the Stock Plan is plus any shares of common stock subject to outstanding awards under the Option Plan or Award Plan that are subsequently forfeited or terminated for any reason before being exercised. The Stock Plan limits the number of shares that be covered by awards to any participant in a given calendar year and also limits the aggregate awards of restricted stock, restricted stock units and performance stock granted in a given calendar year. If a participant dies or becomes disabled (as defined in the Stock Plan) while employed by the Company or serving as a director, all unvested awards become fully vested. The Compensation Committee is authorized to establish the terms and conditions of awards granted under the Stock Plan, to establish, amend and rescind any rules and regulations relating to the Stock Plan, and to make any other determinations that it deems necessary.

 

During the -month period ended restricted stock units and performance units, each consisting of shares of our common stock, were granted and are eligible to vest upon the filing of our Annual Report on Form -K for the fiscal year ended One-half of the restricted stock units and -half of the performance units are payable in common stock with the remainder payable in cash.

 

During the -month period ended restricted stock units and performance units representing and shares of our common stock, respectively, vested upon the filing of our Annual Report on Form -K for the fiscal year ended and were issued in accordance with their respective agreements. One-half of the restricted stock units were paid in common stock and -half were paid in cash. Of the performance units, were paid in common stock and were paid in cash.

 

During the -month period ended restricted stock units and performance units representing and shares of our common stock, respectively, vested upon the filing of our Annual Report on Form -K for the fiscal year ended , and were issued in accordance with their respective agreements. All vested awards were paid in common stock.

 

As of , there was million of total unrecognized compensation cost related to unvested awards granted under the Stock Plan. This cost is expected to be recognized over a period of years.