Note 12 - Employee Benefit Plans

12 Months Ended

Dec. 31, 2014

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

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

NOTE 12: EMPLOYEE BENEFIT PLANS

Retirement Plans

The Company’s 401(k) retirement plan covers substantially all employees.  Contribution expense totaled $837,000, $690,000 and $624,000, in 2014, 2013 and 2012, respectively.

The Company has a discretionary profit sharing and employee stock ownership plan covering substantially all employees.  Contribution expense totaled $3,659,000 for 2014, $3,076,000 for 2013 and $2,952,000 for 2012.

The Company also provides deferred compensation agreements with certain active and retired officers.  The agreements provide monthly payments of retirement compensation for either stated periods or for the life of the participant.  The charges to income for the plans were $453,000 for 2014, $473,000 for 2013 and $258,000 for 2012.  Such charges reflect the straight-line accrual over the employment period of the present value of benefits due each participant, as of their full eligibility date, using an appropriate discount factor.

Employee Stock Purchase Plan

The Company established an Employee Stock Purchase Plan in 2006 which generally allows participants to make contributions of up 3% of the employee’s salary, up to a maximum of $7,500 per year, for the purpose of acquiring the Company’s stock.  Substantially all employees with at least two years of service are eligible for the plan.  At the end of each plan year, full shares of the Company’s stock are purchased for each employee based on that employee’s contributions.  The stock is purchased for an amount equal to 95% of its fair market value at the end of the plan year, or, if lower, 95% of its fair market value at the beginning of the plan year.

Stock-Based Compensation Plans

The Company’s Board of Directors has adopted various stock-based compensation plans.  The plans provide for the grant of incentive stock options, nonqualified stock options, stock appreciation rights, and bonus stock awards.  Pursuant to the plans, shares are reserved for future issuance by the Company upon exercise of stock options or awarding of bonus shares granted to directors, officers and other key employees.

Stock-based compensation expense for all stock-based compensation awards granted after January 1, 2006, is based on the grant date fair value.  For all awards except stock option awards, the grant date fair value is the market value per share as of the grant date.  For stock option awards, the fair value is estimated at the date of grant using the Black-Scholes option-pricing model.  This model requires the input of highly subjective assumptions, changes to which can materially affect the fair value estimate.  Additionally, there may be other factors that would otherwise have a significant effect on the value of employee stock options granted but are not considered by the model.  Accordingly, while management believes that the Black-Scholes option-pricing model provides a reasonable estimate of fair value, the model does not necessarily provide the best single measure of fair value for the Company's employee stock options.

The fair value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model that uses various assumptions.  Expected volatility is based on historical volatility of the Company’s stock and other factors.  The Company uses historical data to estimate option exercise and employee termination within the valuation model.  The expected term of options granted is derived from the output of the option valuation model and represents the period of time that options granted are expected to be outstanding.  The risk-free rate for periods within the contractual life of the option is based on the U.S. Treasury yield curve in effect at the time of grant.  Forfeitures are estimated at the time of grant, and are based partially on historical experience.

The table below summarizes the transactions under the Company's active stock compensation plans at December 31, 2014, 2013 and 2012, and changes during the years then ended:

	Stock Options Outstanding					Non-Vested Stock Awards Outstanding
	Number of Shares (000)			Weighted Average Exercise Price		Number of Shares (000)			Weighted Average Grant-Date Fair-Value
Balance, December 31, 2011		228		$	26.76		127		$	26.49
Granted		-			-		51			26.29
Stock Options Exercised		-			-		-			-
Stock Awards Vested		-			-		(44	)		28.29
Forfeited/Expired		(10	)		26.54		-			-
Balance, December 31, 2012		218			26.77		134			25.89
Granted		-			-		75			26.89
Stock Options Exercised		(24	)		24.88		-			-
Stock Awards Vested		-			-		(63	)		26.82
Forfeited/Expired		(9	)		26.16		(1	)		26.54
Balance, December 31, 2013		185			27.04		145			26.00
Granted		-			-		134			37.51
Stock Options Exercised		(65	)		25.86		-			-
Stock Awards Vested		-			-		(51	)		30.62
Forfeited/Expired		-			-		(1	)		26.54
Balance, December 31, 2014		120		$	27.72		227		$	31.88
Exercisable, December 31, 2014		120		$	27.72

The following table summarizes information about stock options under the plans outstanding at December 31, 2014:

					Options Outstanding						Options Exercisable
Range of Exercise Prices					Number of Shares (000)		Weighted Average Remaining Contractual Life (Years)		Weighted Average Exercise Price		Number of Shares (000)		Weighted Average Exercise Price
$	24.50	-	$	24.50		20		0.39		24.50		20		24.50
	26.19	-		27.67		32		1.37		26.21		32		26.21
	28.42	-		28.42		34		2.41		28.42		34		28.42
	30.31	-		30.31		34		3.41		30.31		34		30.31

Stock-based compensation expense totaled $1,366,000 in 2014, $1,417,000 in 2013 and $1,388,000 in 2012.  Stock-based compensation expense is recognized ratably over the requisite service period for all stock-based awards.  There was no unrecognized stock-based compensation expense related to stock options at December 31, 2014.  Unrecognized stock-based compensation expense related to non-vested stock awards was $5.9 million at December 31, 2014.  At such date, the weighted-average period over which this unrecognized expense is expected to be recognized was 2.5 years.

Aggregate intrinsic value of both the outstanding stock options and exercisable stock options was $1,548,000 at December 31, 2014.  Aggregate intrinsic value represents the difference between the Company’s closing stock price on the last trading day of the period, which was $40.65 at December 31, 2014, and the exercise price multiplied by the number of options outstanding.  There were 64,720 stock options exercised in 2014, with an intrinsic value of $957,000. There were 24,290 stock options exercised in 2013, with an intrinsic value of $298,000.  There were no stock options exercised in 2012.

The fair value of the Company’s employee stock options granted is estimated on the date of grant using the Black-Scholes option-pricing model.  There were no stock options granted in 2014, 2013 or 2012.