Stock-Based Compensation

9 Months Ended

Sep. 30, 2013

Stock-Based Compensation [Abstract]

Stock-Based Compensation

NOTE 8 – STOCK-BASED COMPENSATION

We currently have stock-based compensation plans in place for our directors, officers, employees, consultants and advisors.  Under the terms of these plans we may grant restricted shares and stock options for the purchase of our common stock.  The stock-based compensation is granted under terms determined by our Compensation Committee.  Our standard stock option grants have a maximum term of 10 years, generally vest over periods ranging between one and four years, and are granted with an exercise price equal to the fair market value of the common stock on the date the options are granted.  Restricted stock is valued at the market value of the common stock on the date of grant and generally vests between two and seven years.  All dividends paid on restricted stock, whether vested or unvested, are granted to the shareholder.

Information regarding our stock option plans as of September 30, 2013, was as follows:

			Weighted
			Average	Weighted
			Exercise	Average	Aggregate
	Number of		Price per	Contractual	Intrinsic
	Shares		Share	Term	Value
Options outstanding, beginning of year	55,751	$	12.48
Options expired	(12,729)		10.59
Options outstanding, end of quarter	43,022	$	13.04	0.76	-
Options exercisable, end of quarter	43,022	$	13.04	0.76	-
Option price range at end of quarter	$8.99 to $16.45
Option price range for exercisable shares	$8.99 to $16.45

During the three months ended September 30, 2013 and 2012, we expensed $60 thousand and $39 thousand, respectively, in stock-based compensation under restricted stock awards.  During the nine months ended September 30, 2013 and 2012, we expensed $174 thousand and $112 thousand, respectively, in stock-based compensation under restricted stock awards.  The summary of changes in unvested restricted stock awards for the nine months ended September 30, 2013, is as follows:

			Weighted
			Average
	Number of		Grant Date
	Shares		Fair Value
Unvested restricted stock, beginning of year	123,144	$	4.83
Granted	32,940		6.06
Vested	(28,162)		5.52
Unvested restricted stock, end of period	127,922	$	4.99

At September 30, 2013, unrecognized compensation expense for non-vested restricted stock was $500 thousand, which is expected to be recognized over an average period of 2.5 years.