Stock-Based Compensation

12 Months Ended

Dec. 31, 2015

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

NOTE 13. STOCK-BASED COMPENSATION

In April 2013, the stockholders further amended and restated the 2005 Stock Incentive Plan increasing the available number of restricted shares from 1,500,000 to 2,000,000. As of December 31, 2015, 1,435,308 of such awards were issued leaving 564,692 awards available to be issued in subsequent periods.

Stock-based compensation granted under our Company’s stock plans is expensed in tranches over the vesting period. Options and non-performance based grants generally vest equally over a three or four year period and the options have a maximum term of ten years. Our Company’s performance based share grants generally consist of three types of awards. The performance units issued in 2015 and 2014 will cliff vest on the third anniversary of the date of the grant with 100% dependence on the rate of cumulative annual growth in tangible book value for the three years immediately prior to the vesting date, with actual shares that vest ranging between 150% to 50% of that portion of the original award. The performance units issued between 2011 - 2013 will have cliff vested on the third anniversary of the date of grant, with 50% vesting in full, and 50% dependent on the rate of compound annual growth in book value per share for the three years immediately prior to the vesting date, with actual shares that vest ranging between 150% to 0% of that portion of the original award.

Unvested restricted stock units and performance units outstanding as of December 31, 2015, 2014 and 2013, and changes during the years ended on those dates, are presented in the following table:

	December 31,
	2015			2014			2013
Beginning balance		718,892			626,812			587,629

Granted - Performance		185,050			228,607			114,463
Granted - Non Performance		32,158			59,523			155,463
Total Granted		217,208			288,130			269,926

Vested - Performance Earned		—			—			(15,714	)
Vested - Performance Unearned		(68,080	)		(93,453	)		(57,585	)
Vested - Non Performance		(135,600	)		(90,263	)		(60,183	)
Total Vested		(203,680	)		(183,716	)		(133,482	)

Forfeited		(35,905	)		(12,334	)		(97,261	)

Ending balance		696,515			718,892			626,812

As of December 31, 2015 and 2014, the total unrecognized compensation expense, net of estimated forfeitures, related to unvested stock units was $17.3 million and $16.3 million, respectively, which is expected to be recognized as expense over weighted average periods of 2.0 years and 2.3 years, respectively. The aggregate fair value of all unvested restricted stock units as of December 31, 2015 and 2014 was $55.2 million and $46.1 million, respectively.

Stock options outstanding as of December 31, 2015, 2014 and 2013 are as follows:

	December 31,
	2015					2014					2013
				Average					Average					Average
	# of Shares			Exercise Price		# of Shares			Exercise Price		# of Shares			Exercise Price
Beginning balance		1,500		$	36.03		6,750		$	30.65		90,250		$	29.94
Granted		—			—		—			—		—			—
Exercised		(1,500	)	$	36.03		(5,250	)	$	29.11		(83,500	)	$	29.88
Expired or forfeited		—			—		—			—		—			—
Ending balance		—		$	—		1,500		$	36.03		6,750		$	30.65
Number of options exercisable		—		$	—		1,500		$	36.03		6,750		$	30.65

We offer an Employee Stock Purchase Plan (the “ESPP”) to all of our eligible employees. Employees are offered the opportunity to purchase our Company’s Common stock at 90% of fair market value at the lower of the price at the beginning or the end of each six month offering period. Each employee can invest up to 10% of their base compensation subject to the lesser of 1,000 common stock shares or total market value of $25,000. There were 20,857 shares purchased in 2015 from funds withheld during the July 1, 2014 to December 31, 2014 and January 1, 2015 to June 30, 2015 offering periods. There were 19,386 shares purchased in 2014 in the aggregate from funds withheld during the offering periods of July 1, 2013 to December 31, 2013 and January 1, 2014 to June 30, 2014. We expense both the value of the 10% discount and the “look-back” option, which provides for the more favorable price at either the beginning or end of the offering period.