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Share-Based Compensation
9 Months Ended
Sep. 30, 2019
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]  
Share-Based Compensation

NOTE 18 – SHARE-BASED COMPENSATION

At September 30, 2019, Old National had 3.7 million shares remaining available for issuance under the Company’s Amended and Restated 2008 Incentive Compensation Plan.  The granting of awards to key employees is typically in the form of restricted stock awards or units.

Restricted Stock Awards

Old National granted 211 thousand time-based restricted stock awards to certain key officers during the nine months ended September 30, 2019, with shares vesting generally over a thirty-six month period.  Compensation expense is recognized on a straight-line basis over the vesting period.  Shares are subject to certain restrictions and risk of forfeiture by the participants.  At September 30, 2019, unrecognized compensation expense was estimated to be $5.1 million for unvested restricted stock awards.  The cost is expected to be recognized over a weighted-average period of 2.0 years.

Old National recorded share-based compensation expense, net of tax, related to restricted stock awards of $0.7 million during the three months ended September 30, 2019 and $1.9 million during the nine months ended September 30, 2019, compared to $0.6 million during the three months ended September 30, 2018 and $1.7 million during the nine months ended September 30, 2018.

Restricted Stock Units

Old National granted 375 thousand shares of performance based restricted stock units to certain key officers during the nine months ended September 30, 2019, with shares vesting at the end of a thirty-six month period based on the achievement of certain targets.  For certain awards, the level of performance could increase or decrease the number of shares earned.  Compensation expense is recognized on a straight-line basis over the vesting period.  Shares are subject to certain restrictions and risk of forfeiture by the participants.  At September 30, 2019, unrecognized compensation expense was estimated to be $5.4 million.  The cost is expected to be recognized over a weighted-average period of 1.8 years.

Old National recorded share-based compensation expense, net of tax, related to restricted stock units of $1.0 million during the three months ended September 30, 2019 and $2.6 million during the nine months ended September 30, 2019, compared to $0.9 million during the three months ended September 30, 2018 and $2.5 million during the nine months ended September 30, 2018.

Stock Options

Old National has not granted stock options since 2009.  However, Old National did acquire stock options through prior year acquisitions.  Old National did not record any share-based compensation expense related to these stock options during the nine months ended September 30, 2019 or 2018.

Stock Appreciation Rights

Old National has never granted stock appreciation rights.  However, Old National did acquire stock appreciation rights through a prior year acquisition.  Old National did not record any incremental expense associated with the conversion of these stock appreciation rights during the nine months ended September 30, 2019 or 2018.  At September 30, 2019, 57 thousand stock appreciation rights remained outstanding.