Note 4 - Deferred Compensation Plan

3 Months Ended

Mar. 31, 2019

Notes to Financial Statements

Compensation Related Costs, General [Text Block]

4. DEFERRED COMPENSATION PLAN

In accordance with the

2006

Dental Care Plus Management Equity Incentive Plan and the Dental Care Plus, Inc. and DCP Holding Company Deferred Compensation Plan (the “Plans”), Company directors and certain key employees elected to defer portions of their director fees and employee compensation, as applicable. In

2019,

key employees were granted cash retention awards. The retention awards

may

be subject to deferral elections upon vesting.

The Company recorded deferred compensation expense of approximately

$336,000

and

$56,000

related to cash retention awards and share-based awards that were deferred at vesting and the change in the value of deferred employee compensation for the

three

months ended

March 31, 2019

and

2018,

respectively. The Company recorded deferred compensation expense of approximately

$7,000

and

$16,300

related to deferred director fees and deferred employee compensation for the

three

months ended

March 31, 2019

and

2018,

respectively.

At

March 31, 2019

and

December 31, 2018,

the deferred compensation liability was approximately

$5,592,000

and

$5,249,000,

respectively. The share-based awards included in the deferred compensation liability were approximately

$4,150,000

and

$3,967,000

at

March 31, 2019

and

December 31, 2018,

respectively.  The fair value used for the share-based award liabilities tracks the Company’s redeemable common share value and was

$1,396

and

$1,333

per share at

March 31, 2019

and

December 31, 2018,

respectively, which was the book value per share at

February 28, 2019

and

November 30, 2018,

respectively.  This liability is expected to increase if the Merger is consummated (see Note

1

).