STOCK COMPENSATION

12 Months Ended

Dec. 31, 2015

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

Board of Director’s Stock Compensation

Members of the Board of Directors receive common shares of the Corporation equal in value to the amount of fees individually earned during the previous year for service as a director. The common shares are distributed to the Corporation's individual Board of Directors members from treasury shares of the Corporation on or about January 15 following the calendar year of service.

Additionally, the Chief Executive Officer of the Corporation, who does not receive cash compensation as a member of the Board of Directors, is awarded common shares equal in value to the average of those awarded to Board of Directors members not employed by the Corporation who have served for 12 months during the prior year.

During January 2016, 2015, and 2014, 9,532, 9,673 and 8,385 shares, respectively, were re-issued from treasury to fund the stock component of the directors' and the Chief Executive Officer’s compensation. An expense of $262 thousand, $271 thousand and $273 thousand related to this compensation was recognized during the years ended December 31, 2015, 2014 and 2013, respectively. This expense is accrued as shares are earned.

Restricted Stock Plan

Pursuant to the Corporation’s Restricted Stock Plan (the “Plan”), the Corporation may make discretionary grants of restricted stock to officers other than the Corporation's Chief Executive Officer. Compensation expense is recognized over the vesting period of the awards based on the fair value of the stock at issue date.

A summary of restricted stock activity as of December 31, 2015, and changes during the year ended is presented below:



	Shares		Weighted–Average Grant Date Fair Value
Nonvested at December 31, 2014	26,428		$	27.92
Granted	7,628		27.55
Vested	(11,487	)	27.34
Forfeited or Cancelled	—		—
Nonvested at December 31, 2015	22,569		$	28.09

As of December 31, 2015, there was $615 thousand of total unrecognized compensation cost related to nonvested shares granted under the Plan. The cost is expected to be recognized over a weighted-average period of 3.76 years. The total fair value of shares vested during the years ended December 31, 2015, 2014 and 2013 were $314 thousand, $152 thousand and $181 thousand, respectively.