13. EMPLOYEE STOCK OWNERSHIP PLAN
The Company’s matching contributions charged to expense were $0.7 million and $0.6 million in each of the three-month periods ended April 5, 2015 and March 30, 2014, respectively. During the first three months of 2015, there were no changes to the number of outstanding shares of PDC redeemable common stock. During the first three months of 2014, as a result of hardship withdrawals, 695 shares of PDC redeemable common stock were repurchased at an aggregate price of approximately $11,000.
In accordance with ASC 480, “Distinguishing Liabilities from Equity,” the appropriate accounting for redeemable equity first depends upon a determination of whether the equity is currently redeemable or not currently redeemable. Shares that are currently redeemable should be recorded at redemption value. For shares that are not currently redeemable, the accounting guidance allows for changes in redemption value to be accreted from the initial issuance date to the earliest redemption date. This guidance also specifies that if the redemption value is less than the original issuance cost, the carrying amount of the redeemable common stock should not be less than the original issuance cost.
As of April 5, 2015, the fair market value of one share of PDC common stock was $11.00. Based upon the estimated fair value of the redeemable common stock at April 5, 2015, an ultimate redemption liability of approximately $79 million was determined. The redeemable common stock recorded book value as of April 5, 2015 was $121 million. As a result of there being no stock activity during the first quarter of 2015, there was no change in fair value and accretion of redeemable common stock.
The above information was disclosed in a filing to the SEC. To see this filing in its entirety, click here.
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Other recent filings from the company include the following:
Notification of inability to timely file Form 10-Q or 10-QSB - Nov. 15, 2017
Entry into a Material Definitive - Nov. 6, 2017
Entry into a Material Definitive - Oct. 24, 2017