Benefit Plans

12 Months Ended

Dec. 31, 2011

Benefit Plans [Abstract]

BENEFIT PLANS

NOTE–M - BENEFIT PLANS

The Corporation has a non-contributory retirement plan which provides benefits to certain key officers. The Corporation’s future obligations under the plan have been provided for via the purchase of single premium key man life insurance of which the Corporation is the beneficiary. The Corporation recorded expense related to the plan totaling approximately $138,000, $172,000 and $62,000 during the years ended December 31, 2011, 2010 and 2009, respectively.

The Corporation also has a 401(k) Salary Savings Plan covering substantially all employees. Contributions by the employees are voluntary and are subject to matching contributions by the employer under a fixed percentage, which may be increased at the discretion of the Board of Directors. Total expense under this plan was $286,000, $304,000 and $267,000 for the years ended December 31, 2011, 2010 and 2009, respectively.

Stock Option Plans

The Corporation follows a fair-value based method for valuing stock-based compensation that measures compensation cost at the grant date based on the fair value of the award.

The fair value of each option grant is estimated on the date of grant using the modified Black-Scholes options-pricing model. The following table details the fair value and assumptions used to value stock options as of the grant date that were granted in 2011, 2010 and 2009:

	2011			2010			2009
Fair value, calculated	$	1.49		$	1.65		$	1.43
Exercise Price	$	2.14		$	2.51		$	2.46
Risk-free interest rate		3.58	%		3.61	%		2.66	%
Expected stock price volatility		57.30	%		51.62	%		61.00	%
Expected dividend yield		—			—			1.63	%
Expected Life		10 years			10 years			10 years

The following information applies to options outstanding at December 31, 2011:

	Options outstanding						Options Exercisable
Range of Exercise Prices	Number Outstanding		Weighted- Average Remaining Contractual Life (Years)		Weighted- Average Exercise Price		Number Exercisable		Weighted- Average Exercise Price
$1.90 - $2.51		472,328		8.3	$	2.38		206,319	$	2.44
$8.92		19,260		6.0		8.92		15,394		8.92
$11.36 - $14.16		45,879		4.3		13.70		45,879		13.70
$16.13 - $17.17		49,875		2.3		16.44		49,875		16.44
		587,342		7.4	$	4.68		317,467	$	6.58

A summary of unvested options as of, and changes during the year ended, December 31, 2011, were as follows:

	Number
Unvested options:
Beginning of period		206,605
Granted		161,538
Forfeited		(7,133	)
Vested during the period		(91,135	)
Unvested options at December 31		269,875

The total intrinsic value of options exercised during the years ended December 31, 2011, 2010, and 2009, was $0 as no options were exercised in the respective years.

As of December 31, 2011, there was $300,000 of total unrecognized compensation cost related to non-vested stock options. The unrecognized compensation cost is expected to be recognized over a weighted-average period of 3.0 years.

A summary of the status of the Corporation’s stock option plans as of December 31, 2011, and changes during the year then ended is presented below:

	Shares			Weighted average exercise price
Outstanding at beginning of year		463,642		$	5.84
Granted		161,538			2.14
Exercised		—			—
Forfeited		(29,338	)		7.03
Expired		(8,500	)		11.93
Outstanding at end of year		587,342		$	4.68
Options exercisable at year-end		317,467		$	6.58
Weighted-average fair value of options granted during the year				$	1.49