Stock-Based Awards

12 Months Ended

Dec. 31, 2011

Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract]

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

7. Stock-Based Awards

The 2006 Incentive Plan (the “2006 Incentive Plan”), initially adopted in 2006, and amended and restated in 2011, provides for grants of options with terms of up to ten years, grants of restricted stock or stock unit awards (SUAs), issuances of stock bonuses or grants other stock-based awards, covering up to 500,000 shares of common stock, plus cash based awards, to officers, directors, employees, and consultants. As of December 31, 2011, 275,450 shares remained available for future grant under the 2006 Incentive Plan.

The fair value of the SUAs is determined by the closing price on the date of grant. The SUAs vest over a period of two to four years and are convertible into an equivalent number of shares of the Company’s common stock provided that the employee receiving the award remains continuously employed throughout the vesting period. The Company records compensation expense related to the SUAs on a straight-line basis over the vesting term of the SUA. Employees are issued shares upon vesting, net of tax withholdings.

In 2010, the Company granted 94,000 SUAs on April 7. The fair value of the SUAs was $7.75 per share, which was the closing price of the Company’s stock on that date. The SUAs vest over a period of two to four years and are convertible into an equivalent number of shares of the Company’s common stock provided that the awardee remains continuously employed throughout the vesting period. Of these 94,000 units, 20,350 were cancelled upon termination of three employees in 2010.

In 2011, the Company granted 59,000 SUAs on May 24. The fair value of the SUAs was $10.03 per share, which was the closing price of the Company’s stock on that date. The SUAs vest over a period of two to four years and are convertible into an equivalent number of shares of the Company’s common stock provided that the awardee remains continuously employed throughout the vesting period.

The Company also has stock option plans that have expired or been terminated, but shares can be issued upon exercise of outstanding options that were granted prior to such expiration or termination. No additional grants of options or other stock based awards may be made under such expired or terminated plans. Activity for these plans is included in this footnote. Options granted under the plans consisted of both non-qualified and incentive stock options and were granted in each case at a price that was not less than the fair market value of the common stock at the date of grant. These options generally have lives of ten years and vest either immediately or over periods up to four years.

A summary of stock option activity for the Company’s stock option plans is as follows:

	Number of Shares			Weighted Average Exercise Price per Share		Weighted Average Remaining Contractual Life		Aggregate Intrinsic Value (1)
Outstanding, December 31, 2008		392,110			15.22
Granted		—			—
Exercised		—			—
Terminated		(55,189	)		17.75
Outstanding, December 31, 2009		336,921			14.80
Granted		—			—
Exercised		—			—
Terminated		(47,550	)		19.93
Outstanding, December 31, 2010		289,371			13.96
Granted		—			—
Exercised		—			—
Terminated		(68,132	)		15.06
Outstanding, December 31, 2011		221,239		$	13.62		2.8 years	$	7,762

(1) The aggregate intrinsic value on this table was calculated based on the amount, if any, by which the closing market value of the Company’s stock on December 31, 2011 ($9.10) exceeded the exercise price of the underlying options, multiplied by the number of shares subject to each option.

All SUA’s were issued for $0.00 per share. A summary of activity for SUAs under the Company’s 2006 Incentive Plan is as follows:

	Number of Shares			Weighted Average Remaining Contractual Life		Aggregate Intrinsic Value (2)
Outstanding & Unvested, December 31, 2008		67,600
Granted		—
Converted to common stock*		(25,000	)				156,022
Terminated		—
Outstanding & Unvested, December 31, 2009		42,600
Granted		94,000
Converted to common stock*		(21,550	)				179,801
Terminated		(20,350	)
Outstanding & Unvested, December 31, 2010		94,700
Granted		59,000
Converted to common stock*		(34,600	)				355,351
Terminated		—
Outstanding & Unvested, December 31, 2011		119,100			2.9 years	$	1,083,810
Available for grant, December 31, 2011		275,450

(2) The aggregate intrinsic value on this table was calculated based on the closing market price of the Company’s stock on December 31, 2011 ($9.10). For value on the converted stock, the price used is the price on the grant date.

* Figure includes 8,406 shares in 2011, 6,064 shares in 2010 and 6,196 shares in 2009 withheld to cover federal income taxes.

As of December 31, 2011, a total of 615,789 shares of common stock were reserved for issuance under the various stock option and stock-based plans. As of December 31, 2011, the unamortized fair value of awards relating to SUAs was $811,848 to be amortized over a weighted average period of approximately 2.9 years.