Employee Benefit Plans (Tables)

6 Months Ended

Jun. 30, 2021

Share-based Compensation Arrangement by Share-based Payment Award

Transactions under the Company's stock option plans

				Weighted
		Weighted		average
		average		remaining	Aggregate
		exercise		contractual	intrinsic
	Shares	price		life in years	value
Outstanding at December 31, 2020	672,800	$	16.42	6.8	$	1,952,568
Options granted	89,000		19.21
Options exercised	(36,598)		7.31
Options forfeited	(2,000)		18.64
Options expired	—		—
Outstanding at June 30, 2021	723,202	$	17.22	7.0	$	3,539,123
Exercisable at June 30, 2021	447,048	$	15.58	5.8	$	2,905,420

Schedule of fair values of the options granted

The fair values of the options granted during the three and six months ended June 30, 2021 and 2020 were estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions. There were no options granted during the three months ended June 30, 2021 or 2020:

	For the six months ended June 30,
	2021			2020
Number of options granted		89,000			101,000
Weighted average exercise price	$	19.21		$	20.39
Weighted average fair value of options	$	7.72		$	5.54
Expected life in years (1)		8.38			8.66
Expected volatility (2)		43.69	%		27.13	%
Risk-free interest rate (3)		1.14	%		1.55	%
Dividend yield (4)		1.68	%		1.61	%

(1) The expected life of the options was estimated based on historical employee behavior and represents the period of time that options granted are expected to be outstanding.

(2) The expected volatility of the Company’s stock price was based on the historical volatility over the period commensurate with the expected life of the options.

(3) The risk-free interest rate is the U.S. Treasury rate commensurate with the expected life of the options on the date of grant.

(4) The expected dividend yield is the projected annual yield based on the grant date stock price.

Schedule of Information About Options Exercised

Upon exercise, the Company issues shares from its authorized but unissued common stock to satisfy the options. The following table presents information about options exercised during the three and six months ended June 30, 2021 and 2020:

	For the three months ended June 30,				For the six months ended June 30,
	2021		2020		2021		2020
Number of options exercised		24,131		49,111		36,598		54,611
Total intrinsic value of options exercised	$	347,759	$	388,981	$	517,782	$	475,222
Cash received from options exercised	$	187,513	$	361,253	$	267,626	$	395,518
Tax deduction realized from options	$	61,462	$	113,952	$	112,613	$	139,216

Schedule of Stock Options, by Exercise Price Range

The following table summarizes information about stock options outstanding and exercisable at June 30, 2021:

	Options outstanding					Options exercisable
			Weighted average	Weighted			Weighted
		Options	remaining contractual	average		Options	average
Range of exercise prices		outstanding	life (in years)	exercise price		exercisable	exercise price
$0.00 - $6.00		19,869	1.6	$	5.47	19,869	$	5.47
$6.01 - $12.00		135,800	3.9		8.85	135,800		8.86
$12.01 - $18.00		132,533	7.6		16.37	69,201		15.72
$18.01 - $24.00		435,000	8.0		20.62	222,178		20.56
Total		723,202	7.0	$	17.22	447,048	$	15.58

Allocation of Share-based Compensation Costs

Compensation expense related to stock options and the related income tax benefit for the three and six months ended June 30, 2021 and 2020 are detailed in the following table:

	For the three months ended June 30,				For the six months ended June 30,
	2021		2020		2021		2020
Compensation expense	$	222,545	$	180,785	$	430,147	$	373,274
Income tax benefit	$	64,316	$	52,247	$	124,313	$	107,876

Summary of Nonvested Restricted Stock Activity

		Average grant
	Shares	date fair value
Nonvested restricted stock at December 31, 2020	87,972	$	19.26
Granted	40,000		19.99
Cancelled	(1,500)		15.09
Vested	(26,633)		18.76
Nonvested restricted stock at June 30, 2021	99,839	$	19.75

Restricted Stock Grants

Restricted stock awards granted during the three and six months ended June 30, 2021 and 2020 were as follows:

	For the three months ended June 30,				For the six months ended June 30,
	2021		2020		2021		2020
Number of shares granted		10,000		—		40,000		15,000
Average grant date fair value	$	21.60	$	—	$	19.99	$	16.63

Summary of Components of Net Periodic Pension Cost of Defined Benefit Plan Recognized

	For the three months ended June 30,				For the six months ended June 30,
(In thousands)	2021		2020		2021		2020
Service cost (1)	$	(35)	$	32	$	(69)	$	63
Interest cost		35		37		69		74
Amortization of prior service cost (2)		311		21		332		42
Net periodic benefit cost	$	311	$	90	$	332	$	179

(1) Reduction in service cost totaling $137 thousand to be recognized over one year due to the recalculation of the President and CEO’s salary projection.

(2) Prior service cost fully amortized as of June 30, 2021

Summary Of Changes In Benefit Obligations Of Defined Benefit Plan

The following table summarizes the changes in benefit obligations of the defined benefit plan during the six months ended June 30, 2021 and 2020:

	For the six months ended June 30,
(In thousands)	2021		2020
Benefit obligation, beginning of year	$	3,845	$	3,571
Service cost (1)		(69)		63
Interest cost		69		74
Benefit obligation, end of period	$	3,845	$	3,708

(1) Reduction in service cost totaling $137 thousand to be recognized over one year due to the recalculation of the President and CEO’s salary projection.

Restricted Stock

Share-based Compensation Arrangement by Share-based Payment Award

Allocation of Share-based Compensation Costs

Compensation expense related to restricted stock for the three and six months ended June 30, 2021 and 2020 is detailed in the following table:

	For the three months ended June 30,				For the six months ended June 30,
	2021		2020		2021		2020
Compensation expense	$	187,401	$	161,173	$	353,750	$	334,078
Income tax benefit	$	54,159	$	46,580	$	102,234	$	96,549