STOCK-BASED COMPENSATION PLANS (Tables)

12 Months Ended

Sep. 30, 2022

STOCK-BASED COMPENSATION PLANS

Schedule stock based compensation expense related to stock options and restricted stock

Stock based compensation expense related to stock options and restricted stock for the years ended September 30, 2022, 2021 and 2020 is as follows:

(In thousands)	2022		2021		2020
Stock option expense	$	296	$	92	$	86
Restricted stock expense		391		184		193

Schedule of fair value of options granted

The fair value of options granted during the year ended September 30, 2022 was determined using the following assumptions:

Expected dividend yield		2.32	%
Risk-free interest rate		1.55	%
Expected volatility		27.0	%
Expected life of options		7.1 years
Weighted average fair value at grant date	$	7.03

The fair value of options granted during the years ended September 30, 2021 and 2020 was determined using the following assumptions:

Expected dividend yield		1.75	%
Risk-free interest rate		2.13	%
Expected volatility		14.6	%
Expected life of options		7.5 years
Weighted average fair value at grant date	$	6.13

Schedule of stock option activity

A summary of stock option activity as of September 30, 2022, and changes during the year then ended is presented below.

				Weighted
		Weighted		Average
		Average		Remaining	Aggregate
	Number of	Exercise		Contractual	Intrinsic
	Shares	Price		Term (Years)	Value
Outstanding at beginning of year	217,074	$	16.58
Granted	137,250		26.72
Exercised	(2,955)		13.36
Forfeited or expired	—		—
Outstanding at end of year	351,369	$	20.57	6.8	$	1,566,000
Vested and expected to vest	351,369	$	20.57	6.8	$	1,566,000
Exercisable at end of year	168,344	$	15.28	4.7	$	1,458,000

Schedule of nonvested restricted shares activity

A summary of the Company’s nonvested restricted shares activity as of September 30, 2022 and changes during the year then ended is presented below.

		Weighted
	Number	Average
	of	Grant Date
	Shares	Fair Value
Nonvested at October 1, 2021	17,799	$	16.72
Granted	45,750	$	26.72
Vested	(12,225)	$	14.88
Forfeited	—	$	—
Nonvested at September 30, 2022	51,324	$	26.07