The Company’s 2015 Equity Incentive Plan (the “Plan”) which was adopted by the Company and approved by its shareholders in April 2015, amended and restated the Company’s 2014 Stock Option Plan. The maximum number of shares of common stock that may be issued pursuant to stock-based awards under the Plan equals 1,000,000 shares, all of which may be subject to incentive stock option treatment. Option awards are generally granted with an exercise price equal to the market price of the Company’s common stock at the date of grant. Currently outstanding option awards have vesting periods ranging from 5 to 10 years and have 10-year contractual terms.

The fair value of each option award is estimated on the date of grant using a closed form option valuation (Black-Scholes) model that uses the assumptions noted in the table below. Expected volatilities are based on historical volatilities of the Company’s common stock and similar peer group averages. The Company uses historical data to estimate option exercise and post-vesting termination behavior. The expected term of options granted is based on historical data and represents the period of time that options granted are expected to be outstanding, which takes in to account that the options are not transferable. The risk-free interest rate for the expected term of the option is based on U.S. Treasury yield curve in effect at the time of the grant.

A summary of activity in the Plan during the three months ended March 31, 2019 and 2018 follows:

Three Months Ended March 31, 2019	Number of Shares			Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life in Years		Aggregate Intrinsic Value
Outstanding at beginning of year		537,872		$	26.49		6.96	$	2,088
Granted		19,000			29.80		9.90		—
Exercised		(19,172	)		25.08		6.14		79
Forfeited		(16,400	)		28.90		8.49		27
Balance, March 31, 2019		521,300		$	26.59		6.79	$	1,745

Exercisable at end of period		194,140		$	24.52		5.41	$	938

Three Months Ended March 31, 2018	Number of Shares		Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life in Years		Aggregate Intrinsic Value
Outstanding at beginning of year		469,044	$	25.11		7.32	$	2,623
Granted		15,000		31.84		9.88		26
Exercised		—		—		—		—
Forfeited		—		—		—		—
Balance, March 31, 2018		484,044	$	25.32		7.16	$	3,872

Exercisable at end of period		140,644	$	23.61		5.71	$	1,364

A summary of nonvested activity in the Plan during the three months ended March 31, 2019 and 2018 follows:

Three Months Ended March 31, 2019	Number of Shares			Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life in Years		Aggregate Intrinsic Value
Outstanding at beginning of year		331,560		$	27.74		7.77	$	975
Granted		19,000			29.80		9.90		—
Vested		(7,000	)		27.13		7.81		22
Forfeited		(16,400	)		28.90		8.49		27
Balance, March 31, 2019		327,160		$	27.81		7.61	$	807

Three Months Ended March 31, 2018	Number of Shares			Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life in Years		Aggregate Intrinsic Value
Outstanding at beginning of year		334,400		$	25.72		7.91	$	1,673
Granted		15,000			31.84		9.88		26
Vested		(6,000	)		23.90		8.15		56
Forfeited		—			—		—		—
Balance, March 31, 2018		343,400		$	26.02		7.75	$	2,508

	March 31, 2019		March 31, 2018
Intrinsic value of options exercised	$	79	$	—
Cash received from options exercised		481		—
Weighted average fair value of options granted		20.64		5.44

As of March 31, 2019, there was $2,579 of total unrecognized compensation expense related to unvested stock options granted under the Plan. The expense is expected to be recognized over a weighted-average period of 3.80 years.

The Company granted options under the Plan during the first three months of 2019 and 2018. Expense of $137 and $117 was recorded during the three months ended March 31, 2019 and 2018, respectively.

A summary of activity in the Plan during the three months ended March 31, 2019 and 2018 follows:

Three Months Ended March 31, 2019	Number of Shares		Weighted-Average Grant Date Fair Value
Outstanding at beginning of year		2,398	$	31.57
Granted		30,500		30.25
Exercised		—		—
Forfeited		—		—
Balance, March 31, 2019		32,898	$	29.43

Exercisable at end of period		959	$	31.57

Three Months Ended March 31, 2018	Number of Shares		Weighted-Average Grant Date Fair Value
Outstanding at beginning of year		2,398	$	31.57
Granted		—		—
Exercised		—		—
Forfeited		—		—
Balance, March 31, 2019		2,398	$	31.57

Exercisable at end of period		—	$	31.57

A summary of nonvested activity in the Plan during the three months ended March 31, 2019 and 2018 follows:

Three Months Ended March 31, 2019	Number of Shares		Weighted-Average Grant Date Fair Value
Outstanding at beginning of year		1,439	$	31.57
Granted		30,500		30.25
Vested		—		—
Forfeited		—		—
Balance, March 31, 2019		31,939	$	30.31

Three Months Ended March 31, 2018	Number of Shares		Weighted-Average Grant Date Fair Value
Outstanding at beginning of year		2,398	$	31.57
Granted		—		—
Vested		—		—
Forfeited		—		—
Balance, March 31, 2018		2,398	$	31.57

Restricted stock granted to employees typically vests over five years, but vesting periods may vary. Compensation expense for these grants will be recognized over the vesting period of the awards based on the fair value of the stock at the issue date.