STOCK-BASED COMPENSATION

6 Months Ended

Jun. 30, 2018

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION

5. STOCK-BASED COMPENSATION

In April 2014, the Company reserved 8,000,000 shares of common stock under the 2014 Stock Incentive Plan with a term of 10 years expiring in April 2024. This plan provides for the issuance of various forms of stock incentives, including, among others, incentive and non-qualified stock options and restricted shares. As of June 30, 2018, there were 5,358,867 shares available for grant.

Stock-based employee compensation expense was as follows for the periods indicated:

	Three months ended				Six months ended
	June 30,				June 30
(in thousands)	2018		2017		2018		2017
Pre-tax expense	$	2,031	$	3,325	$	4,586	$	6,012
After tax expense	$	1,533	$	2,112	$	3,462	$	3,818

Restricted Stock

The following is a summary of the changes in non-vested restricted shares for the six months ended June 30, 2018:

	Shares		Weighted Average Grant-Date Fair Value
Non-vested shares at December 31, 2017		2,736,365	$	14.50
Granted		522,800		25.13
Vested		732,213		13.02
Forfeited		107,212		16.77
Non-vested shares at June 30, 2018		2,419,740	$	17.15

The total fair value of shares vested was approximately $16,194,000 during the six months ended June 30, 2018 and $19,271,000 during the six months ended June 30, 2017. Excess tax benefits realized from tax compensation deductions in excess of compensation expense are recorded as a discrete tax adjustment. This discrete tax adjustment was $1,620,000 for the six months ended June 30, 2018 and $2,562,000 for the six months ended June 30, 2017.

As of June 30, 2018, total unrecognized compensation cost related to non-vested restricted shares was $48,332,000, which is expected to be recognized over a weighted-average period of 3.7 years.