Under the terms of the Company's 2017 Omnibus Stock Incentive Plan, officers and key employees may be granted both nonqualified and incentive stock options and directors and organizers, who are not also an officer or employee, may only be granted nonqualified stock options. The Plan provides for options to purchase up to 30 percent of the outstanding common stock at a price not less than 100 percent of the fair market value of the stock on the date of the grant. Stock options expire no later than ten years from the date of the grant and generally vest over three years.

At December 31, 2019, 1,254,045 shares were available under the 2017 Omnibus Stock Incentive Plan for future grants.

The Company recognized stock-based compensation expense of $689,000, $684,000, and $779,000 in 2019, 2018, and 2017 and recognized income tax benefits on that expense of $161,000, $202,000, and $246,000, respectively.

The Company did not grant restricted stock awards in 2019. The Company granted restricted stock awards for 43,425 shares at a closing price of $29.38 in 2018. There were no restricted stock grants in prior years. These restricted stock units are scheduled to vest over a three year period from the August 15, 2018 grant date. During the year ended 2019, 14,475 restricted stock units vested. As of December 31, 2019, there were 28,950 remaining unvested restricted stock units. As of December 31, 2019 there was $691,000 of total unamortized restricted stock compensation and weighted average grant price was $29.38. The intrinsic value of vested restricted was $262,000 as of December 31, 2019.

The fair value of each option grant was estimated on the date of grant using the Black-Scholes option pricing model with the following weighted-average assumptions presented below for 2019 and 2016. There were no stock options granted in 2018 and 2017.

	2019			2016
Expected volatility		35.0	%		35.0	%
Expected term	6.0 years			6.0 years
Expected dividends		1.90	%	None
Risk free rate		2.66	%		1.93	%
Grant date fair value	$	6.32		$	6.76

Since the Company had a limited amount of historical stock activity, the expected volatility was based on the historical volatility of similar banks that had a longer trading history. The expected term represents the estimated average period of time that the options remain outstanding. The expected term of options granted is based on historical data and represents the period of time that options granted are expected to be outstanding. The risk free rate of return reflects the grant date interest rate offered for zero coupon U.S. Treasury bonds over the expected term of the options.

A summary of the status of the Company's stock option plan as of December 31, 2019 and changes during the year then ended is presented below:

						Weighted-
				Weighted-		Average
				Average		Remaining	Aggregate
				Exercise		Contractual	Intrinsic
(dollars in thousands, except for share amounts)	Shares			Price		Term	Value
Outstanding at beginning of year		1,215,097		$	12.83
Granted		76,500			18.38
Exercised		(200,629	)		13.43
Outstanding at end of year		1,090,968		$	13.11	4.07 years	$	8,790
Options exercisable		1,014,468		$	12.72	3.69 years	$	8,577

As of December 31, 2019 there was approximately $332,000 of total unrecognized compensation cost related to outstanding stock options that will be recognized over a weighted-average period of 2 years. The intrinsic value of options exercised was $1.2 million, $13.6 million, and $2.8 million in 2019, 2018, and 2017, respectively.

The total fair value of the shares vested was $460,000, $734,000, and $930,000 in 2019, 2018, and 2017, respectively. The number of unvested stock options were 76,500, 62,008 and 163,996 with a weighted average grant date fair value of $6.32, $6.48 and $6.53 as of December 31, 2019, 2018 and 2017.

Cash received from the exercise of 200,629 share options was $2.8 million for the period ended December 31, 2019.