Stock-Based Compensation

3 Months Ended

Mar. 31, 2013

Stock-based Compensation [Abstract]

STOCK-BASED COMPENSATION

12. STOCK-BASED COMPENSATION

The Company applies the provisions of FASB ASC 718, “Compensation – Stock Compensation,” to account for the Company’s share-based compensation.  Share-based compensation cost is measured at the grant date based on the calculated fair value of the award and is recognized over the employees’ requisite service period.  The Company recorded stock compensation expense of $631 and $739 for the three-month period ended March 31, 2013 and 2012, respectively, related to restricted stock awards and performance unit awards.

Shares issued as a result of vested stock-based compensation generally will be from previously issued shares which have been reacquired by the Company and held as Treasury shares or authorized but previously unissued common stock.

The excess tax benefit realized for the tax deduction from stock-based compensation approximated $189 and $48for the three months ended March 31, 2013 and 2012, respectively.  This excess tax benefit is included in cash flows from financing activities in the Condensed Consolidated Statements of Cash Flows.

Stock Option Awards

A summary of the option activity as of March 31, 2013 is presented below.

				Weighted		Aggregate
			Weighted	Average		Intrinsic
			Average	Remaining		Value
			Exercise	Contractual		(Dollars in
	Shares		Price	Term		thousands)
Outstanding and Exercisable at January 1, 2013	22,500	$	10.41	2.2
Granted	-		-	-
Canceled	-		-	-
Exercised	-		-	-
Outstanding and Exercisable at March 31, 2013	22,500	$	10.41	2.0	$	762

At March 31, 2013, common stock options outstanding and exercisable under the Company’s equity plans had option prices ranging from $7.81 to $14.77, with a weighted average exercise price of $10.41.  At March 31, 2012, common stock options outstanding and exercisable under the Company’s equity plans had option prices ranging from $4.10 to $14.77, with a weighted average exercise price of $8.92 per share.

The total intrinsic value of stock options outstanding and exercisable at March 31, 2012 was $754.

The weighted average remaining contractual life of the stock options outstanding at March 31, 2013 and 2012 was 2.0 and 2.6 years, respectively.

There were no stock options exercised during the three-month period ended March 31, 2013.  There were 1,450 stock options with a weighted average exercise price per share of $9.30 exercised during the three-month period ended March 31, 2012.  The total intrinsic value of stock options exercised during the three-month period ended March 31, 2012 was $30.

Restricted Stock Awards

For the three-month periods ended March 31, 2013 and 2012, the Company granted approximately 13,000 and 84,000 shares, respectively, of restricted stock to employees.    A summary of restricted stock award activity follows:

					Aggregate
			Grant Date		Fair Value
Grant Date	Shares		Fair Value		(Dollars in Thousands)	Vesting Date
February 1, 2012	66,000	$	30.15	$	1,990	February 1, 2016
March 6, 2012	18,347		27.49		504	March 6, 2016
February 27, 2013	12,973		42.49		551	February 27, 2017

These forfeitable restricted stock awards time-vest after a four-year holding period, unless indicated otherwise by the underlying restricted stock agreement.  Certain awards of restricted stock included in the above table provide for incremental vesting over a period up to the vesting date listed. 

Performance Unit Awards

Annually, under separate three-year long-term incentive plans, pursuant to the Omnibus Plan, the Company grants performance units.  Units granted during the three-month periods ended March 31 are as follows:

						Aggregate
Incentive				Grant Date		Fair Value
Plan	Grant Date	Units		Fair Value		(Dollars in Thousands)	Vesting Date
2011 - 2013	March 15, 2011	34,002	$	38.46	$	1,308	March 15, 2014
2012 - 2014	March 6, 2012	43,042		27.49		1,183	March 6, 2015
2013 - 2015	February 27, 2013	31,418		42.49		1,335	February 27, 2016

Performance units are subject to forfeiture and will be converted into common stock of the Company based upon the Company’s performance relative to performance measures and conversion multiples as defined in the underlying plan.  The aggregate fair value in the above table is based upon achieving 100% of the performance targets as defined in the underlying plan.