Share-Based Compensation

12 Months Ended

Dec. 31, 2017

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

A summary of stock option activity for 2017 is presented below:



	2017
	Number of Shares		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term	Aggregate Intrinsic Value
	(in whole shares)					(in millions)
Outstanding — beginning of year	38,000		$	19.30
Granted	—		—
Exercised	(38,000	)	19.30
Canceled or expired	—		—
Outstanding — end of year	—		$	—	0.0	$	—
Options exercisable	—		$	—	0.0	$	—

During the years ended December 31, 2017, 2016 and 2015, net cash proceeds from the exercise of stock options were $0.7 million, $0.5 million and $1.2 million, respectively.

A summary of restricted share and performance share activity for the year ended December 31, 2017 is as follows:



	2017
	Time-Based				Performance-Based
	Number of Shares		Weighted Average Grant Date Fair Value		Number of Shares		Weighted Average Grant Date Fair Value
	(in whole shares)				(in whole shares)
Outstanding — beginning of year	216,916		$	36.94	165,000		$	34.78
Granted^(a)	105,670		38.48		165,000		38.10
Vested	(87,727	)	44.78		(55,000	)	34.78
Performance- to time-based^(b)	110,000		34.78		(110,000	)	34.78
Canceled or expired	(2,000	)	37.87		—		—
Outstanding — end of year	342,859		$	34.71	165,000		$	38.10

(a) Included in the granted amount are 4,390 restricted share units.

(b) During the second quarter of 2017, 55,000 of the performance-based restricted shares granted in 2016 fully vested based on achievement of the performance criteria. In accordance with the grant agreements, the remaining 110,000 shares became time-based, vesting over the remaining two years of the requisite service period.

The Company recognized compensation expense of $8.6 million, $10.6 million and $7.3 million for the years ended December 31, 2017, 2016 and 2015, respectively, relating to time-based shares and performance-based shares.

The total fair value of restricted shares and share units that vested during the years ended December 31, 2017, 2016 and 2015 was $7.0 million, $5.1 million and $9.0 million, respectively.

As of December 31, 2017, the Company had unrecognized compensation expense of $9.3 million related restricted shares. The unrecognized compensation expense is expected to be recognized over a total weighted average period of 1.7 years.

The number of shares available for future grants for all plans at December 31, 2017 is 98,586.