Share-Based Compensation Share-Based Compensation (Policies)

9 Months Ended

Sep. 30, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Share-based Compensation, Option and Incentive Plans Policy

Share-Based Compensation

Share-Based Compensation Plans

Upon the Company's emergence from bankruptcy on April 22, 2016, the Company's previous share-based compensation plans were canceled and the SilverBow Resources, Inc. 2016 Equity Incentive Plan (as amended from time to time, the “2016 Plan”), which provides for the grant of equity-based awards, was approved in accordance with the joint plan of reorganization. Under the previous share-based compensation plan, in April 2016, the outstanding restricted stock awards and restricted stock unit awards for most employees became fully vested on an accelerated basis while awards issued to certain officers of the Company and the Board of Directors were canceled. In addition to the 2016 Plan, the SilverBow Resources, Inc. Inducement Plan (as amended from time to time, the “Inducement Plan”), which also provides for the grant of equity-based awards, was adopted by the Board on December 15, 2016. Awards have been granted under the 2016 Plan and the Inducement Plan.

For awards granted after emergence from bankruptcy, the Company does not estimate the forfeiture rate during the initial calculation of compensation cost but rather has elected to account for forfeitures in compensation cost when they occur.

The Company computes a deferred tax benefit for restricted stock awards, unit awards and stock options expected to generate future tax deductions by applying its effective tax rate to the expense recorded. For restricted stock units, the Company's actual tax deduction is based on the value of the units at the time of vesting.