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Stock-Based Compensation
 12 Months Ended
Dec. 31, 2014
Stock-Based Compensation [Abstract]  
Stock-Based Compensation
(14) Stock-Based Compensation
                                                                                                                                                                                                                      
In April 2008, the Company adopted the NBT Bancorp Inc. 2008 Omnibus Incentive Plan (the “Plan”). Under the terms of the Plan, options and other equity-based awards are granted to directors and employees to increase their direct proprietary interest in the operations and success of the Company.  The Plan assumed all prior equity-based incentive plans and any new equity-based awards are granted under the terms of the Plan.  Under terms of the Plan, stock options are granted to purchase shares of the Company’s common stock at a price equal to the fair market value of the common stock on the date of the grant. Options granted have a vesting period of four years and terminate ten years from the date of the grant.  Shares issued as a result of stock option exercises and vesting of restricted shares and stock unit awards are funded from the Company’s treasury stock.  Restricted shares granted under the Plan vest after five years for employees and three years for non-employee directors.  Restricted stock units granted under the Plan may have different terms and conditions.  Performance shares and units granted under the Plan for executives may have different terms and conditions.  Since 2011, the Company primarily grants restricted stock unit awards.  Stock option grants since that time were reloads of existing grants.
 
The following table summarizes information concerning stock options outstanding at December 31, 2014:

 
 
Number of Shares
  
Weighted average exercise price
 
Weighted Average Remaining Contractual Term (in yrs)
 
Aggregate Intrinsic Value
 
Outstanding at January 1, 2014
  
1,341,500
  
$
22.98
 
 
 
Granted
  
3,296
   
24.80
 
 
 
Exercised
  
(290,243
)
  
22.58
 
 
 
Forfeited
  
(105
)
  
20.19
 
 
 
Expired
  
(16,106
)
  
22.36
 
  
 
 
Outstanding at December 31, 2014
  
1,038,342
  
$
23.10
   
3.40
  
$
3,353,951
 
 
                
Exercisable at December 31, 2014
  
1,031,726
  
$
23.09
   
3.37
  
$
3,342,258
 
 
                
Expected to Vest
  
5,249
  
$
24.50
   
7.32
  
$
9,354
 
 
Total stock-based compensation expense for stock option awards totaled $0.1 million, $0.2 million, and $0.5 million for the years ended December 31, 2014, 2013, and 2012, respectively.  Cash proceeds, tax benefits and intrinsic value related to total stock options exercised is as follows:
 
 
 
Years ended December 31,
 
(dollars in thousands)
 
2014
  
2013
  
2012
 
Proceeds from stock options exercised
 
$
6,554
  
$
7,927
  
$
1,908
 
Tax benefits related to stock options exercised
  
313
   
178
   
8
 
Intrinsic value of stock options exercised
  
789
   
905
   
498
 
Fair value of shares vested during the year
  
393
   
766
   
1,656
 
 
The Company has outstanding restricted and deferred stock awards granted from various plans at December 31, 2014. The Company recognized $4.2 million, $3.8 million, and $3.7 million in stock-based compensation expense related to these stock awards for the years ended December 31, 2014, 2013, and 2012, respectively.  Tax benefits recognized with respect to restricted stock awards and stock units were $2.9 million, $2.4 million and $1.5 million for the years ended December 31, 2014, 2013 and 2012, respectively.  Unrecognized compensation cost related to restricted stock awards and stock units totaled $4.4 million at December 31, 2014 and will be recognized over 1.7 years on a weighted average basis.  Shares issued are funded from the Company’s treasury stock.  The following table summarizes information for unvested restricted stock awards outstanding as of December 31, 2014:

 
 
Number
of
Shares
  
Weighted-
Average
Grant Date Fair
Value
 
Unvested Restricted Stock Awards
 
  
 
Unvested at January 1, 2014
  
66,650
  
$
23.15
 
Forfeited
  
-
   
-
 
Vested
  
(14,650
)
  
22.16
 
Unvested at December 31, 2014
  
52,000
  
$
23.43
 

The following table summarizes information for unvested restricted stock units outstanding as of December 31, 2014:

 
 
Number
of
Shares
  
Weighted-
Average
Grant Date Fair
Value
 
Unvested Restricted Stock Units
 
  
 
Unvested at January 1, 2014
  
539,850
  
$
27.36
 
Forfeited
  
(5,090
)
  
-
 
Vested
  
(105,013
)
  
-
 
Granted
  
209,228
   
24.11
 
Unvested at December 31, 2014
  
638,975
  
$
31.01
 
 
The Company has 3.8 million securities remaining available to be granted as part of the Plan at December 31, 2014.