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Stock-Based Compensation
6 Months Ended
Jun. 30, 2013
Stock-Based Compensation [Abstract]  
Stock-Based Compensation

 

Note 2.  Stock-Based Compensation 

 

The Company records compensation expense for employee stock options based on the estimated fair value of the options on the date of grant using the Black-Scholes-Merton (“BSM”) model. The Company uses historical data among other factors to estimate the expected price volatility, the expected option life and the expected forfeiture rate. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for the estimated life of the option. At June 30, 2013, the Company had two stock-based employee compensation plans. 

 

At the Annual Meeting on April 24, 2013, shareholders approved the adoption of the 2013 Equity Incentive Plan.

 

During the six-month periods ended June 30, 2013 and 2012, there were no stock options granted or exercised.