Stock-Based Compensation Plan (Tables)

9 Months Ended

Sep. 30, 2012

The following table summarizes the activity in the Company's stock option plan for the nine months ended September 30, 2012 and 2011:

	Nine months Ended September 30,
	2012					2011
	Number of Shares			Weighted Average Exercise Price		Number of Shares		Weighted Average Exercise Price
Options outstanding at January 1		1,192,680		$	12.89		972,680	$	10.32
Options granted - employees		111,000		$	17.77		180,000	$	24.82
Options forfeited- employees		(8,000	)	$	17.77		-		-
Options granted - directors		40,000		$	17.77		40,000	$	21.62

Options outstanding at September 30		1,335,680		$	13.41		1,192,680	$	12.89
Options exercisable		991,430		$	12.11		775,805	$	11.52
Weighted average remaining term	6.0 years					7.3 years

Fair Value Assumptions

The fair value of the stock options granted to the Company's employees and independent directors was estimated using the Black-Scholes-Merton pricing model using the following weighted average assumption:

	Nine Months Ended September 30,
	2012			2011
Stock price	$	17.77		$	24.24
Exercise price	$	17.77		$	24.24
Expected term:
Employees	6.25 years			6.25 years
Directors	5.5 years			5.5 years
Expected volatility:
Employees		49.5	%		50.2	%
Directors		50.2	%		50.8	%
Dividend yield		0	%		0	%
Risk free rate		0.75	%		1.89	%