In 2006, the Company adopted the 2006 Stock Incentive Plan (the "Plan"). Upon adoption, all previously existing plans were merged into the Plan and ceased to separately exist. The Plan was amended and restated effective June 2016 resulting in an increase in the maximum number of shares of common stock that may be issued under the Plan by 2,900,000, from 7,850,000 to 10,750,000. The Plan was further amended and restated effective September 6, 2018 resulting in an increase in the maximum number of shares of common stock that may be issued under the Plan by 1,035,000, from 10,750,000 to 11,785,000. The Company’s policy is to issue shares resulting from the exercise of stock options, issuance of performance stock units and conversion of restricted stock units as new shares.

The Company recorded share-based stock compensation expense of $6.3 million, $5.3 million and $6.8 million for the years ended December 31, 2019, 2018 and 2017, respectively. The related income tax benefit recognized for the years ended December 31, 2019, 2018 and 2017 was $1.6 million, $1.4 million and $1.7 million, respectively.

Eligible employees receive non-qualified stock options as a portion of their total compensation. The options vest over various time periods depending upon the grant, but generally vest ratably over a four year service period. Vested options may be exercised and converted to one share of the Company’s common stock in exchange for the exercise price which is generally equal to the closing share price on the grant date. The Company’s stock options have a maximum term of 10 years from the date of grant. The stock-based compensation expense related to stock options for the years ended December 31, 2019, 2018 and 2017 was $1.1 million, $2.5 million, and $2.9 million, respectively.



	Outstanding Options		Weighted- Average Exercise Price		Aggregate Intrinsic Value		Weighted-Average Remaining Contractual Life (years)
Outstanding at December 31, 2018	4,111		$	8.53	$	37
Granted	—		—		—
Exercised	(27	)	2.36		68
Forfeited/Expired	(1,923	)	8.55		5
Outstanding at December 31, 2019	2,161		$	8.59	$	2	5.87
Vested and exercisable at December 31, 2019	1,385		$	8.56	$	2	4.56

The total intrinsic value of stock options exercised during the years ended December 31, 2019, 2018 and 2017 was $0.1 million, $1.0 million and $1.3 million, respectively. The weighted-average grant-date fair value of stock options granted during the years ended December 31, 2018 and 2017 was $3.37 and $4.42, respectively. No options were granted in 2019.

The aggregate intrinsic value of options outstanding and exercisable represents the total pre-tax intrinsic value (the difference between the Company’s closing stock price on the last trading day of each fiscal year and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options in 2019, 2018 and 2017, respectively. These amounts change based on the fair market value of the Company’s stock which was $5.51, $3.74 and $10.03 on the last business day of the years ended December 31, 2019, 2018 and 2017, respectively.



	2019⁽¹⁾	2018	2017
Dividend yield	—	—	—
Risk-free interest rate	—	2.76%-3.15%	1.98%-2.34%
Expected life	—	6.4 years	6.5 years
Volatility	—	35.0%-36.2%	36.0%-38.0%

No dividend yield is used as the Company does not currently, nor historically, pay dividends. The risk-free interest rate is based on actual U.S. Treasury zero-coupon rates for bonds commensurate with the expected term. Expected term is estimated based on historical experience related to similar awards, giving consideration to the contractual terms of the stock-based awards, vesting schedules and expectations of future employee behavior. The Company believes that its historical experience provides the best estimate of future expected life. The expected volatility assumption is based on the historical volatility of the Company’s common stock over a period commensurate with the expected term.

There was $2.2 million of unrecognized compensation costs related to the stock options granted under the Plan as of December 31, 2019. This cost is expected to be recognized over a weighted average period of 2.3 years.

During the year ended December 31, 2019, the Company granted SARs to the Company's executive officers and certain other employees. Each SAR represents the right to receive in cash the excess of the fair market value over the grant price on the exercise date. The SARs vest over various time periods depending upon the grant, but generally vest ratably over 4 years. The Company’s SARs have a maximum term of 10 years from the date of grant. The stock-based compensation expense related to the SARs for the year ended December 31, 2019 was $0.8 million.



	Outstanding SARs	Weighted- Average Exercise Price		Aggregate Intrinsic Value		Weighted-Average Remaining Contractual Life (years)
Outstanding at December 31, 2018	—	$	—	$	—
Granted	1,449	3.64		2,716
Exercised	—	—		—
Forfeited/Expired	—	—		—
Outstanding at December 31, 2019	1,449	$	3.64	$	2,716	9.4
Vested and exercisable at December 31, 2019	—	$	—	$	—

The weighted-average grant-date fair value of SARs granted during the year ended December 31, 2019 was $2.60. No SARs were granted in 2018 or 2017. No SARs vested or were exercised during the years ended December 31, 2019, 2018 or 2017.

No dividend yield is used as the Company does not currently, nor historically, pay dividends. The risk-free interest rate is based on actual U.S. Treasury zero-coupon rates for bonds commensurate with the expected term. Given the limited historic exercise behavior, the Company considered the historical exercise behavior of a peer group of stock option awards, given the similarity between the two types of awards. The expected volatility assumption is based on the historical volatility of the Company’s common stock over a period commensurate with the expected term.

There was $4.0 million of unrecognized compensation costs related to the SARs granted under the Plan as of December 31, 2019. This cost is expected to be recognized over a weighted average period of 3.1 years.

Eligible employees receive restricted common shares as a portion of their total compensation. The restricted common shares vest over various time periods depending upon the grant, but generally vest from one to four years. The stock-based compensation expense related to restricted common shares for the years ended December 31, 2019, 2018 and 2017 was $0.8 million, $2.5 million and $3.5 million, respectively.



	Outstanding Restricted Common Shares		Weighted-Average Grant-Date Fair Value
Nonvested Restricted Common shares at December 31, 2018	447		$	9.13
Granted	—		—
Vested and transferred to unrestricted common stock	(158	)	8.67
Forfeited	(122	)	9.07
Nonvested Restricted Common shares at December 31, 2019	167		$	9.61

The weighted-average grant-date fair value of restricted common shares granted during the years ended December 31, 2018 and 2017 was $9.37 and $11.00, respectively. The total fair value of restricted common shares vested during the years ended December 31, 2019, 2018 and 2017 was $0.6 million, $3.0 million and $4.4 million, respectively.

There were $1.0 million of total unrecognized compensation costs related to the restricted common shares as of December 31, 2019. This cost is expected to be recognized over a weighted average period of 1.7 years.

Eligible employees receive restricted share units as a portion of their total compensation. The restricted share units vest over various time periods depending upon the grant, but generally vest from one to four years and convert to common stock at the conclusion of the vesting period. The stock-based compensation expense related to restricted share units for the years ended December 31, 2019 and 2018 was $3.1 million and $0.7 million, respectively.



	Outstanding Restricted Share Units		Weighted-Average Grant-Date Fair Value
Nonvested Restricted Share Units at December 31, 2018	552		$	7.74
Granted	1,893		3.62
Vested and transferred to unrestricted share units	(204	)	7.76
Forfeited	(109	)	5.64
Nonvested Restricted Share Units at December 31, 2019	2,132		$	4.16

The weighted-average grant-date fair value of restricted share units granted during the year ended December 31, 2018 was $7.74. No restricted share units were granted in 2017. The total fair value of restricted share units vested during the years ended December 31, 2019 and 2018 was $0.8 million and $0.1 million, respectively. No restricted share units vested during 2017.

There was $6.7 million of total unrecognized compensation costs related to restricted share units as of December 31, 2019. This cost is expected to be recognized over a weighted average period of 2.6 years.

During the years ended December 31, 2019, 2018 and 2017, the Company granted performance share units ("PSUs") to the Company's executive officers and certain other employees. The performance-based restricted stock unit awards are subject to vesting based on performance-based and service-based conditions. At the end of the three-year service period, based on the cumulative adjusted earnings per share and the return on invested capital achieved by the Company, the PSUs will vest in a percentage of the target number of shares between 0% and 200%, depending on the extent the performance condition is achieved. Each of the units granted represent the right to receive one share of the Company’s common stock at a specified future date. The stock-based compensation expense (benefit) related to PSUs for the years ended December 31, 2019, 2018 and 2017 was $0.5 million, $(0.4) million and $0.4 million, respectively.



	Outstanding Performance Share Units		Weighted- Average Grant- Date Fair Value
Nonvested Performance Share Units at December 31, 2018	293		$	8.72
Granted	594		3.39
Vested	—		—
Forfeited	(86	)	10.41
Nonvested Performance Share Units at December 31, 2019	801		$	4.58

The weighted-average grant-date fair value of performance share units granted during the years ended December 31, 2018 and 2017 was $7.36 and $11.10, respectively. No performance share units vested during the years ended December 31, 2019, 2018 and 2017.

There was $1.5 million of total unrecognized compensation costs related to performance-based restricted stock units as of December 31, 2019. This cost is expected to be recognized over a weighted average period of 2.2 years.