Stock Compensation Plans (Notes)

12 Months Ended

Dec. 31, 2020

Share-based Payment Arrangement [Abstract]

Share-based Payment Arrangement [Text Block]

Stock Compensation Plans

The West Bancorporation, Inc. 2017 Equity Incentive Plan (the 2017 Plan) was approved by the stockholders in April 2017. The 2017 Plan replaced the West Bancorporation, Inc. 2012 Equity Incentive Plan (the 2012 Plan). Upon approval of the 2017 Plan, the 2012 Plan was frozen, and no new grants were made under that plan. Outstanding awards under the 2012 Plan will continue pursuant to their terms and provisions. The 2017 Plan and the 2012 Plan are administered by the Compensation Committee of the Board of Directors, which determines the specific individuals who will be granted awards under the 2017 Plan and the type and amount of any such awards. All employees and directors of, and service providers to, the Company and its subsidiary are eligible to become participants in the 2017 Plan, except that nonemployees may not be granted incentive stock options. Under the terms of the 2017 Plan, the Company may grant a total of 800,000 shares of the Company’s common stock as nonqualified and incentive stock options, stock appreciation rights and stock awards. As of December 31, 2020, 338,035 shares of the Company’s common stock remained available for future awards under the 2017 Plan.

Under the 2017 Plan, the Company may grant RSU awards, as determined by the Compensation Committee, that vest upon the completion of future service requirements or specified performance criteria. All RSUs granted through December 31, 2020 under the 2017 and 2012 Plans were at no cost to the participants, and the participants will not be entitled to receive or accrue dividends until the RSUs have vested. Each RSU entitles the participant to receive one share of common stock on the vesting date or upon the participant’s termination due to death or disability, or upon a change in control of the Company if the RSUs are not fully assumed or if the RSUs are assumed and the participant’s employment is thereafter terminated by the Company without cause or by the participant for good reason. RSUs granted to employees vest 20 percent per year over a five year period, and RSUs granted to directors vest after one year. If a participant terminates employment prior to the end of the continuous service period other than due to death, disability or retirement, the award is forfeited. If a participant terminates service due to retirement, the RSUs will continue to vest, subject to provisions of the 2017 and 2012 Plans.

The following table includes a summary of nonvested RSU activity for the years ended December 31, 2020, 2019 and 2018.

	2020			2019			2018
		Weighted			Weighted			Weighted
		Average			Average			Average
		Grant Date			Grant Date			Grant Date
		Fair Value			Fair Value			Fair Value
(actual amounts, not in thousands)	Shares	Per Share		Shares	Per Share		Shares	Per Share
Nonvested shares, beginning balance	380,600	$	21.52	354,350	$	22.13	339,300	$	19.55
Granted	147,465	15.38		154,000	20.00		136,500	25.81
Vested	(137,800)	21.09		(127,750)	21.38		(121,450)	19.05
Forfeited	—	—		—	—		—	—
Nonvested shares, ending balance	390,265	$	19.35	380,600	$	21.52	354,350	$	22.13

The fair value of RSU awards that vested during 2020, 2019 and 2018 was $2,150, $2,540 and $3,144, respectively. Total compensation costs, including director compensation, recorded for the RSUs were $2,312, $2,993 and $2,741 for the years ended December 31, 2020, 2019 and 2018, respectively. The tax expense related to vesting of RSUs totaled $116 for the year ended December 31, 2020. The tax benefit related to the vesting of RSUs totaled $15 and $261, respectively, for the years ended December 31, 2019 and 2018. As of December 31, 2020, there was $3,524 of unrecognized compensation cost related to nonvested RSUs, and the weighted average period over which these remaining costs are expected to be recognized was approximately 1.6 years.