Stock-Based Compensation

6 Months Ended

Jun. 30, 2011

Stock-Based Compensation

Stock-Based Compensation

(13)  Stock-Based Compensation

Accounting for stock-based compensation requires that the cost resulting from all stock-based payments be recognized in the financial statements based on the grant-date fair value of the award. The Company’s stock-based compensation expense consists of stock options and restricted stock awards. We recognized stock-based compensation cost of approximately $0.2 million and $0.4 million for the three- and six-month periods ended June 30, 2011, respectively, and $0.2 million and $0.3 million for the three- and six-month periods ended June 30 2010, respectively.

Stock Options

A summary of the Company’s stock options and related activity as of and for the six months ended June 30, 2011 is presented below:

					Weighted
					Average
			Weighted		Remaining
			Average		Contractual	Aggregate
			Exercise		Term	Intrinsic
	Shares		Price		(Years)	Value
						(in thousands)
Options outstanding at January 1, 2011	747,400		$	7.99
Granted	—		—
Exercised	—		—
Expired	(5,000	)	9.85
Forfeited	—		—
Options outstanding at June 30, 2011	742,400		$	7.98	5.99	$	93
Options exercisable at June 30, 2011	516,400		$	8.31	5.14	$	93

As of June 30, 2011, there was approximately $0.8 million of total unrecognized compensation cost related to unvested stock options. That cost is expected to be recognized over a weighted average period of 2.0 years.

Restricted Stock Awards

A summary of the Company’s restricted stock awards and related activity as of and for the six months ended June 30, 2011 is presented below:

	Number of
	Shares
Shares outstanding at December 31, 2010	28,890
Shares granted	96,126
Shares vested	(28,890	)
Shares outstanding at June 30, 2011	96,126

In March 2011, the Company granted (i) 27,258 shares of restricted stock awards to non-employee directors that cliff-vest one year from the grant date; and (ii) 68,868 shares of restricted stock awards to executive management that time-vest over a three-year period. The weighted-average grant-date fair value of the awards was $6.58 — which was based on the fair value of our common stock on the respective grant dates. Holders of the restricted stock awards have voting rights, and vesting of the grants is based on their continued service. Sales of the restricted stock are prohibited until the awards vest. As of June 30, 2011, there was approximately $0.5 million of total unrecognized compensation cost related to unvested restricted stock awards to be recognized over a weighted average period of 2.2 years.