During 2017, the Company, with the approval of shareholders, created the 2017 Equity Incentive Plan (the “2017 Plan”). The 2017 Plan permits the award of up to 800 thousand shares to the Company’s directors and employees to attract and retain exceptional personnel, motivate performance and most importantly to help align the interests of Farmers’ executives with those of the Company’s shareholders. There were 29,045 service time based shares and 50,187 performance based shares granted under the 2017 Plan during the year ended December 31, 2020, as shown in the table below. The actual number of performance based shares issued will depend on the relative performance of the Company’s average return on equity compared to a group of peer companies over a three year vesting period, ending December 31, 2023. As of December 31, 2020, 396,315 shares are still available to be awarded from the 2017 Plan.

The restricted stock awards were granted with a fair value price equal to the market price of the Company’s common stock at the date of grant. Expense recognized was $1.4 million for 2020 and 2019 and $1.7 million for 2018. As of December 31, 2020, there was $1.2 million of total unrecognized compensation expense related to the non-vested shares granted under the Plan. The remaining cost is expected to be recognized over 2.2 years.

	Maximum Awarded Service Units			Weighted Average Grant Date Fair Value		Maximum Awarded Performance Units			Weighted Average Grant Date Fair Value
Beginning balance - non-vested shares		81,165		$	14.17		192,665		$	13.72
Granted		29,045			15.01		50,187			15.93
Vested		(35,006	)		14.50		(80,026	)		13.55
Forfeited		(7,439	)		14.61		(9,756	)		14.97
Ending balance - non-vested shares		67,765		$	14.32		153,070		$	14.46

The 115,032 shares that vested in 2020 had a weighted average fair value of $11.71 per share.