Restricted Common Stock

9 Months Ended

Sep. 30, 2019

Common Stock Number Of Shares Par Value And Other Disclosures [Abstract]

Restricted Common Stock

(14) Restricted Common Stock

On May 6, 2014, Mid Penn shareholders approved the 2014 Restricted Stock Plan (the “Plan”), which authorizes the issuance of awards that shall not exceed, in the aggregate, 100,000 shares of common stock.  Awards under the Plan are limited to employees and directors of the Company, and the recipients are selected by the Compensation Committee of the Board of Directors, to advance the best interest of Mid Penn and its shareholders.  

Share-based compensation expense relating to restricted stock is recognized on a straight-line basis over the vesting periods of the awards and is a component of salaries and benefits expense.  As of September 30, 2019, a total of 57,655 restricted shares were granted under the Plan, of which 2,346 shares were forfeited and available for reissuance, 27,270 shares were vested, and the remaining 28,039 shares were unvested. No shares were forfeited during the nine months ended September 30, 2019, while 490 shares were forfeited due to a voluntary termination of an employee during the nine months ended September 30, 2018. The Plan shares granted and vested resulted in $90,000 in share-based compensation expense for the three months ended September 30, 2019, while $74,000 of share-based compensation expense was recorded for the three months ended September 30, 2018.  Compensation expense related to the Plan was $250,000 and $187,000 for the nine months ended September 30, 2019 and 2018, respectively.