STOCK-BASED COMPENSATION

9 Months Ended

Sep. 30, 2015

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION

4. STOCK-BASED COMPENSATION

The Company reserved 3,000,000 shares of common stock under the 2014 Stock Incentive Plan with a term of ten years expiring in April 2024. All future equity compensation awards by the Company will be issued under the 2014 plan. This plan provides for the issuance of various forms of stock incentives, including among others, incentive and non-qualified stock options and restricted shares. As of September 30, 2015, there were approximately 2,620,250 shares available for grant.

Stock-based compensation for the three and nine months ended September 30, 2015 and 2014 were as follows:

(in thousands)	Three months ended  September 30,				Nine months ended  September 30,
	2015		2014		2015		2014
Pre – tax cost	$	497	$	468	$	1,481	$	1,372
After tax cost	$	321	$	303	$	955	$	885

Restricted Stock

The following is a summary of the changes in non-vested restricted shares for the three and nine months ended September 30, 2015:

	Shares			Weighted  Average  Grant-Date  Fair Value
Non-vested shares at December 31, 2014		1,251,400		$	6.47
Granted		319,750			7.08
Vested		(313,800	)		5.77
Forfeited		(2,750	)		6.82
Non-vested shares at September 30, 2015		1,254,600		$	6.80

The total fair value of shares vested was approximately $2,254,000 during the nine months ended September 30, 2015 and $2,356,000 during the nine months ended September 30, 2014. Tax benefits for compensation tax deductions in excess of compensation expense totaling approximately $221,000 for the nine months ended September 30, 2015 and $311,000 for the nine months ended September 30, 2014 were credited to capital in excess of par value and classified as financing cash flows.

Other Information

As of September 30, 2015, total unrecognized compensation cost related to non-vested restricted shares was approximately $7,421,000. This cost is expected to be recognized over a weighted-average period of 3.6 years.