Share-Based Compensation Plan

9 Months Ended

Sep. 30, 2015

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

The Company sponsors one share-based compensation plan, the 2006 Equity Compensation Plan, which provides for the granting of stock options, stock appreciation rights, restricted stock awards, performance share awards, incentive awards, and stock units. The 2006 Equity Compensation Plan was approved by the Company’s shareholders at the Annual Meeting held on April 26, 2006, and has succeeded the Company’s 1997 Stock Incentive Plan. Under the plan, the Company may grant share-based compensation to its directors, officers, employees, and other persons the Company determines have contributed to the profits or growth of the Company. The number of shares reserved for issuance total 430,000 shares.

For the nine months ended September 30, 2015, and 2014, the Company recorded $443,000 and $297,000, respectively, in share-based compensation expense. As of September 30, 2015, there was $1.6 million of total unrecognized compensation expense related to non-vested restricted awards under the 2006 Equity Compensation Plan. For the three and nine months ended September 30, 2015, the Company recorded no compensation expense related to option awards. As of September 30, 2015 all outstanding option awards were previously vested and, accordingly, there was no unrecognized compensation expense as of September 30, 2015.

The aggregate intrinsic value, noted in the tables below, represents the amount by which the current market value of the underlying stock exceeds the exercise price as of September 30, 2015. Given there is no exercise price for restricted stock, the amount is equal to the current market value of the stock. This amount changes based on changes in the market value of the Company’s common stock.

The following table summarizes restricted stock awarded under the 2006 Equity Compensation Plan:



	September 30, 2015
	Shares		Weighted-Average Grant Date Fair Value		Aggregate Intrinsic Value (in thousands)
Non-vested at December 31, 2014	134,108		$	16.66
Granted	36,150		18.50
Vested	(15,692	)	15.82
Forfeited	(500	)	18.07
Non-vested at September 30, 2015	154,066		$	17.17	$	2,713

The weighted-average remaining contractual term for non-vested service award grants at September 30, 2015, was 3.17 years.

The following table summarizes options outstanding under the 2006 Equity Compensation Plan and remaining outstanding unexercised options under the 1997 Stock Incentive Plan.



	September 30, 2015
	Shares	Weighted-Average Exercise Price		Aggregate Intrinsic Value (in thousands)
Outstanding at December 31, 2014	30,012	$	14.00	$	—
Granted	—	—		—
Exercised	—	—		—
Forfeited	—	—		—
Outstanding at September 30, 2015	30,012	$	14.00	$	108
Options exercisable at September 30, 2015	30,012	$	14.00	$	108

As of September 30, 2015, options outstanding and exercisable are summarized as follows:



Exercise Prices		Options Outstanding	Weighted-Average Remaining Contractual Life (years)	Options Exercisable
$	14.00	25,012	3.45	25,012
$	14.00	5,000	4.09	5,000
$	14.00	30,012	3.56	30,012