Note 16. Stock-Based Compensation

The Company’s Board of Directors adopted in January 2008, and the stockholders approved in May 2008, the QCR Holdings, Inc. 2008 Equity Incentive Plan (“2008 Equity Incentive Plan”). The Company’s Board of Directors adopted in February 2010, and the stockholders approved in May 2010, the QCR Holdings, Inc. 2010 Equity Incentive Plan (“2010 Equity Incentive Plan”). The Company’s Board of Directors adopted in February 2013, and the stockholders approved in May 2013, the QCR Holdings, Inc. 2013 Equity Incentive Plan (“2013 Equity Incentive Plan”). The Company’s Board of Directors adopted in February 2016, and the stockholders approved in May 2016, the QCR Holdings, Inc. 2016 Equity Incentive Plan (“2016 Equity Incentive Plan”). Up to 250,000, 350,000, 350,000, and 400,000 shares of common stock, respectively, may be issued to employees and directors of the Company and its subsidiaries pursuant to equity incentive awards granted under these plans.

The 2008 Equity Incentive Plan, the 2010 Equity Incentive Plan, the 2013 Equity Incentive Plan, and the 2016 Equity Incentive Plan (collectively, the “Equity Plans”) are administered by the Compensation Committee of the Board of Directors (the “Committee”). As of December 31, 2019, there were 219,305 remaining shares of common stock available for the grant of future awards under the Equity Plans; however, such future awards may be granted only under the 2016 Equity Incentive Plan.

The number and exercise price of options granted under the Equity Plans are determined by the Committee at the time the option is granted. In no event can the exercise price be less than the value of the common stock at the date of the grant for stock options. All options have a 10‑year life and will vest and become exercisable from 3‑to‑7 years after the date of the grant.

Stock-based compensation expense was reflected in the Consolidated Financial Statements as follows for the years ended December 31, 2019, 2018, and 2017.


	2019		2018		2017
	(dollars in thousands)

Stock options	$	475	$	472	$	554
Restricted stock awards		1,850		857		553
Stock purchase plan		144		114		80
	$	2,469	$	1,443	$	1,187

Note 16. Stock-Based Compensastion (continued)

Stock options:

A summary of the stock option plans as of December 31, 2019, 2018, and 2017 and changes during the years then ended is presented below:


	December 31,
	2019				2018				2017
			Weighted				Weighted				Weighted
			Average				Average				Average
			Exercise				Exercise				Exercise
	Shares		Price		Shares		Price		Shares		Price
Outstanding, beginning		469,572	$	18.52		513,554	$	17.13		587,961	$	14.83
Granted		20,200		36.00		16,315		44.02		43,250		43.86
Exercised		(59,393)		12.11		(60,127)		13.56		(114,100)		15.12
Forfeited		(3,466)		31.59		(170)		16.81		(3,557)		26.74
Outstanding, ending		426,913		20.14		469,572		18.52		513,554		17.13

Exercisable, ending		365,084				358,270				354,269

Weighted average fair value per option granted	$	11.29			$	14.68			$	14.75

A further summary of options outstanding as of December 31, 2019 is presented below:


	Options Outstanding
		Weighted			Options Exercisable
		Average	Weighted			Weighted
		Remaining	Average			Average
Range of	Number	Contractual	Exercise		Number	Exercise
Exercise Prices	Outstanding	Life	Price		Exercisable	Price
$7.99 to $8.93	18,405	1.11	$	8.10	18,405	$	8.10
$9.00 to $9.30	88,490	1.47		9.21	88,490		9.21
$15.50 to $15.65	67,541	3.24		15.64	66,741		15.64
$17.10 to $18.00	115,645	4.56		17.31	114,633		17.30
$21.71 to $22.64	59,905	6.08		22.63	46,309		22.63
$36.00 to $48.50	76,927	7.91		41.84	30,506		43.73
	426,913				365,084

Restricted stock awards:

A summary of changes in the Company’s nonvested restricted stock, restricted stock unit and performance stock unit awards as of December 31, 2019, 2018 and 2017 is presented below:


	December 31,
	2019		2018		2017
Outstanding, beginning		64,099		46,389		39,438
Granted*		85,961		37,315		28,289
Released		(37,624)		(19,605)		(21,338)
Forfeited		(5,610)		—		—
Outstanding, ending		106,826		64,099		46,389

Weighted average fair value per share granted	$	20.14	$	43.50	$	44.44

* At December 31, 2019, includes 18,634 shares of restricted stock, 49,269 restricted stock units and 18,058 performance share units.

At December 31, 2018, includes 22,660 shares of restricted stock and 14,655 restricted stock units.

At December 31, 2017, includes 28,289 shares of restricted stock.

Note 16. Stock-Based Compensation (continued)

The total grant value of restricted stock and restricted stock unit awards that were released during the years ended December 31, 2019, 2018 and 2017 was $1.3 million, $622 thousand and $509 thousand, respectively.

Stock purchase plan:

The Company’s Board of Directors and its stockholders adopted in October 2002 the QCR Holdings, Inc. Employee Stock Purchase Plan (the “Purchase Plan”). On May 2, 2012, the Company’s stockholders approved a complete amendment and restatement of the Purchase Plan. As of January 1, 2019, there were 128,320 shares of common stock available for issuance under the Purchase Plan. For each six-month offering period, the Board of Directors will determine how many of the total number of available shares will be offered. The purchase price is the lesser of 85% of the fair market value at the date of the grant or the investment date. The investment date, as established by the Board of Directors, is the date common stock is purchased after the end of each calendar quarter during an offering period. The maximum dollar amount any one participant can elect to contribute in an offering period is $10 thousand. Additionally, the maximum percentage that any one participant can elect to contribute is 15% of his or her compensation for the year ended December 31, 2019. The maximum percentage that any one participant could elect to contributes was 10% of his or her compensation for the years ended December 31, 2018 and 2017. Information for the stock purchase plan for the years ended December 31, 2019, 2018, and 2017 is presented below:


	2019		2018		2017
Shares granted		29,882		17,305		12,414
Shares purchased		28,775		15,528		13,318
Weighted average fair value per share granted	$	4.81	$	6.63	$	6.42