Share-Based Compensation Arrangements (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Compensation Cost for Share-based Compensation Arrangements

The following table presents share-based compensation expense and the related income tax benefit recognized in the Consolidated Statements of Income for stock options, nonvested share awards and nonvested performance shares:

(Dollars in thousands)
Years ended December 31,	2017		2016		2015
Share-based compensation expense		$2,577		$2,190		$2,074
Related income tax benefit		$606		$810		$767

Stock Options Fair Value Assumptions

The following presents the assumptions used in determining the grant date fair value of the stock option awards granted to certain key employees:

	2017		2016		2015
Options granted	47,725		53,400		48,600
Cliff vesting period (years)	3		3		3-5
Expected term (years)	7.0		7.5		7.5
Expected dividend yield	3.57	%	3.89	%	3.94	%
Weighted average expected volatility	27.10	%	29.99	%	40.76	%
Weighted average risk-free interest rate	1.70	%	1.66	%	1.95	%
Weighted average grant-date fair value	$10.60		$7.92		$11.15

Stock Options Activity

The following table presents a summary of the status of Washington Trust’s stock options outstanding as of and for the year ended December 31, 2017:

	Number of Stock Options		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value (000’s)
Beginning of period	219,279			$32.70
Granted	47,725		58.05
Exercised	(39,076	)	28.30
Forfeited or expired	(4,075	)	43.06
End of period	223,853			$38.68	7.22		$3,487
At end of period:
Options exercisable	80,003			$25.89	4.38		$2,189
Options expected to vest in future periods	143,850			$45.80	8.80		$1,298

Schedule of Stock Options Outstanding and Options Exercisable

The following table presents additional information concerning options outstanding and options exercisable at December 31, 2017:

	Options Outstanding				Options Exercisable
Exercise Price Ranges	Number of Shares	Weighted Average Remaining Life (Years)	Weighted Average Exercise Price		Number of Shares	Weighted Average Exercise Price
$15.01 to $20.00	11,700	1.87		$17.52	11,700		$17.52
$20.01 to $25.00	38,593	3.88	23.14		38,593	23.14
$25.01 to $30.00	—	—	—		—	—
$30.01 to $35.00	29,710	6.00	32.76		29,710	32.76
$35.01 to $40.00	46,000	7.76	39.39		—	—
$40.01 to $45.00	50,800	8.80	40.25		—	—
$45.01 to $50.00	—	—	—		—	—
$50.01 to $55.00	—	—	—		—	—
$55.01 to $60.00	47,050	9.80	58.05		—	—
	223,853	7.22		$38.68	80,003		$25.89

Nonvested Shares Activity

The following table presents a summary of the status of Washington Trust’s nonvested share units as of and for the year ended December 31, 2017:

	Number of Shares		Weighted Average Grant Date Fair Value
Beginning of period	49,675			$37.12
Granted	15,900		54.46
Vested	(11,325	)	32.79
Forfeited	(475	)	40.25
End of period	53,775			$43.13

Nonvested Performance Shares Outstanding

The following table presents a summary of the performance share awards as of December 31, 2017:

		Grant Date Fair Value per Share	Current Performance Assumption	Expected Number of Shares
Performance shares awarded in:	2017	$51.85	140%	36,470
	2016	36.11	133%	45,220
	2015	38.02	135%	35,775
Total				117,465

Nonvested Performance Shares Activity

The following table presents a summary of the status of Washington Trust’s performance share units as of and for the year ended December 31, 2017:

	Number of Shares		Weighted Average Grant Date Fair Value
Beginning of period	101,998			$36.58
Granted	36,470		51.85
Vested	(16,707	)	34.66
Forfeited	(4,296	)	36.93
End of period	117,465			$41.58