Stock Based Compensation

9 Months Ended

Sep. 30, 2020

Share-based Payment Arrangement [Abstract]

Stock Based Compensation

Stock Based Compensation

The following table presents stock option information for the periods indicated.

	Number of Shares	Weighted Average Exercise Price		Weighted Average Remaining Contractual Life in Years
Outstanding at December 31, 2019	245,153	$	24.36	6.5
Granted	15,000	18.60
Exercised	(20,106)	22.69
Forfeited	(19,776)	26.64
Outstanding at September 30, 2020	220,271	$	23.92	6.1
Exercisable at September 30, 2020	139,548	$	23.67	5.6
	Number of Shares	Weighted Average Exercise Price		Weighted Average Remaining Service Period in Years
Nonvested at September 30, 2020	80,723	$	24.36	6.9
Summary of Significant Assumptions for Newly Issued Stock Options
Expected Term in Years				6.5
Expected Volatility				25.8		%
Expected Dividends				$	0.96
Risk Free Rate of Return				0.28		%

The following table presents restricted stock award information for the periods indicated

	Number of Shares	Weighted Average Grant Date Fair Value Price		Weighted Average Remaining Service Period in Years
Nonvested at December 31, 2019	48,030	$	28.83	8.1
Granted	5,000	18.60
Vested	(600)	25.08
Forfeited	(3,300)	29.23
Nonvested at September 30, 2020	49,130	$	27.81	7.6

The Company recognizes expense over a five-year vesting period for the restricted stock awards and stock options. Stock-based compensation expense related to restricted stock awards and stock options was $114,000 and $78,000 for the three months ended September 30, 2020 and 2019, respectively and $370,000 and $232,000 for the nine months ended September 30, 2020 and 2019, respectively.

As of September 30, 2020 and December 31, 2019, total unrecognized compensation expense was $195,000 and $363,000, respectively, related to stock options, and $1.1 million and $1.4 million, respectively, related to restricted stock awards.

Intrinsic value represents the amount by which the fair value of the underlying stock at September 30, 2020 and December 31, 2019 exceeds the exercise price of the stock options. The intrinsic value of stock options was $7,200 and $1.4 million at September 30, 2020 and December 31, 2019, respectively.

At September 30, 2020 and December 31, 2019, respectively, there were 18,135 and 13,359 shares available under the Plan to be issued in connection with the exercise of stock options, and 58,424 and 60,124 shares that may be issued as restricted stock awards or units. Restricted stock awards or units may be issued above this amount provided that the number of shares reserved for stock options is reduced by three shares for each restricted stock award or unit share granted.