Stock-Based Compensation

6 Months Ended

Jun. 30, 2013

Stock-Based Compensation

Stock-Based Compensation

Note 15—Stock-Based Compensation

On May 3, 2013, the Board of Directors granted 100,000 Restricted Stock Units (“Units”) under the 2013 Equity Incentive Plan (the “2013 Plan”).  The Units vest over a service period of four equal installments in 2014 through 2017, subject to earlier acceleration, termination, cancellation or forfeiture as provided in the underlying award agreement.  Each Unit represents the right to receive one share of the Company’s common stock when vested.

The fair value of the Units was based on the closing market price of our common stock on the day prior to the date of the grant, or $21.98 per Unit.  Stock compensation expense for the Units is being amortized using the straight-line method over the service vesting period.  For the three and six months ended June 30, 2013 the Company recognized $91 in compensation expense.  The Company had approximately $2.1 million of unrecognized compensation expense related to the Units at June 30, 2013, which will be recognized over a period of 3.8 years.

Vested Units accrue “Dividend Equivalents” (as defined in the 2013 Plan) which will be accrued as additional Units.  At June 30, 2013, there were no accrued Dividend Equivalent Units.