XML 68 R40.htm IDEA: XBRL DOCUMENT v3.8.0.1
STOCK BASED COMPENSATION (Tables)
 12 Months Ended
Dec. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Schedule of Cumulatively Granted Stock Options and Restricted Stock Awards, Net of Forfeitures
The following table presents the amount of cumulatively granted stock options and restricted stock awards, net of forfeitures, through December 31, 2017:
 
 
 
Authorized Awards
 
Cumulative Granted, Net of
Forfeitures
 
Total
 
Authorized
but
Unissued
 
Stock
Option  Awards
 
Restricted
Stock  Awards
 
 
 
2005 Plan
 
1,650,000

 
537,941

 
695,546

 
1,233,487

 
416,513

 
2010 Plan
 
314,600

 
42,000

 
93,245

 
135,245

 
179,355
Schedule of Pre-tax Compensation Expense and Related Tax Benefits
The following table presents the pre-tax expense associated with stock option and restricted stock awards and the related tax benefits recognized for the years presented:
 
Years Ended December 31
 
2017
 
2016
 
2015
 
(Dollars in thousands)
Stock based compensation expense
 
 
 
 
 
Restricted stock awards(1)
$
2,730

 
$
2,590

 
$
2,296

Directors’ fee expense
 
 
 
 
 
Stock options
76

 
72

 
—

Restricted stock awards
527

 
303

 
194

Total stock based award expense
$
3,333

 
$
2,965

 
$
2,490

Related tax benefits recognized in earnings
$
1,362

 
$
1,211

 
$
1,122

(1)
Inclusive of compensation expense associated with time-vested and performance-based restricted stock awards.
Schedule of Stock Options Granted
The Company made the following awards of nonqualified options to purchase shares of common stock in 2017 and 2016. There were no such awards made in 2015.
 
Years Ended December 31
 
2017
 
2016
Date of grant
11/7/2017

 
7/14/2016

2/20/2016

Plan
2010

 
2010

2010

Options granted
5,000

 
5,000

5,000

Vesting period (beginning on the grant date)
14 months

 
18 months

22 months

Expiration date
11/7/2027

 
7/14/2026

2/20/2026

Expected volatility
20.80
%
 
32.28
%
32.44
%
Expected life (years)
5.5

 
5.5

5.5

Expected dividend yield
1.87
%
 
2.37
%
2.28
%
Risk free interest rate
2.02
%
 
1.14
%
1.29
%
Fair value per option
$
12.43

 
$
11.46

$
10.59

 
Schedule of Relevant Information Relating to Stock Options
The following table presents relevant information relating to the Company’s stock options for the periods indicated:
 
Years Ended December 31
 
2017
 
2016
 
2015
 
(Dollars in thousands, except per share data)
Fair value of stock options vested based on grant date fair value
$
72

 
$
37

 
$
14

Intrinsic value of stock options exercised
$
1,082

 
$
494

 
$
3,362

Cash received from stock option exercises
$
918

 
$
680

 
$
6,105

Tax benefit realized on stock option exercises/repurchase
$
442

 
$
204

 
$
1,362

Weighted average grant date fair value of options granted (per share)
$
12.43

 
$
11.03

 
$
—
Schedule of Stock Options
A summary of stock option activity of the Company’s Stock Option Grants for the year ended December 31, 2017 is presented in the table below:
 
Outstanding
 
Nonvested
 
 
 
Stock Option
Awards
 
 
Weighted
Average
Exercise
Price
 
Weighted
Average
Remaining
Contractual
Term (years)
 
Aggregate
Intrinsic
Value (1)
 
Stock
Option
Awards
 
 
Weighted
Average
Grant Date
Fair Value
 
 
 
(Dollars in thousands, except per share data)
 
 
Balance at January 1, 2017
109,650

  
 
$
29.93

 
 
 
 
 
6,666

 
 
$
11.03

 
 
Granted
5,000

  
 
70.28

 
 
 
 
 
5,000

 
 
12.43

 
 
Exercised
(30,150
)
 
 
30.43

 
 
 
 
 
—

 
 
—

 
 
Vested
n/a

 
 
n/a

 
 
 
 
 
(6,667
)
 
 
10.85

 
 
Forfeited
—

 
 
—

 
 
 
 
 
—

 
 
—

 
 
Expired
(500
)
 
 
28.88

 
 
 
 
 
—

 
 
—

 
 
Balance at December 31, 2017
84,000

(2)
 
$
32.16

 
3.04 years
 
$
3,258

 
4,999

 
 
$
12.11

 
 
Options outstanding and expected to vest at December 31, 2017
84,000

(3)
 
$
32.16

 
3.04 years
 
$
3,258

 
 
 
 
 
 
 
Options exercisable at December 31, 2017
79,001

(4)
 
$
30.21

 
2.64 years
 
$
3,218

 
 
 
 
 
 
 
Unrecognized compensation cost
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$
22

Weighted average remaining recognition period (years)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1.00

 
(1)
The aggregate intrinsic value in the preceding tables represents the total pre-tax intrinsic value, based on the average of the high price and low price at which the Company’s common stock traded on December 31, 2017 of $70.95, which would have been received by the option holders had they all exercised their options as of that date.
(2)
Inclusive of 38,000 stock options outstanding to Directors.
(3) Inclusive of 38,000 vested stock options and expected to vest to Directors.
(4) Inclusive of 33,001 vested stock options outstanding to Directors.
Schedule of Restricted Stock Granted
The Company grants both time-vested restricted stock awards as well as performance-based restricted stock awards. During the years ended December 31, 2017, 2016, and 2015 the Company has made the following restricted stock award grants:
 
Shares Granted
 
Plan
 
Fair Value (1)
 
Vesting Period
Time-vested
 
 
 
 
 
 
 
2017
 
 
 
 
 
 
 
2/13/2017
1,200

1,200

2005
 
$
62.53

 
Ratably over 5 years from grant date
2/16/2017
34,150

34,150

2005
 
$
63.10

 
Ratably over 5 years from grant date
3/31/2017
500

500

2005
 
$
65.63

 
Ratably over 5 years from grant date
4/3/2017
1,500

1,500

2005
 
$
64.14

 
Once on November 30, 2017 (2)
5/15/2017
1,000

1,000

2005
 
$
64.03

 
Ratably over 5 years from grant date
5/23/2017
7,000

7,000

2010
 
$
61.95

 
At the end of 5 years from grant date (3)
6/15/2017
950

950

2005
 
$
66.18

 
Ratably over 5 years from grant date
 
 
 
 
 
 
 
 
2016
 
 
 
 
 
 
 
2/11/2016
51,475

 
2005
 
$
41.96

 
Ratably over 5 years from grant date
3/1/2016
600

 
2005
 
$
44.37

 
Ratably over 5 years from grant date
5/24/2016
8,700

 
2010
 
$
48.34

 
At the end of 5 years from grant date (3)
9/19/2016
800

 
2005
 
$
52.92

 
Ratably over 5 years from grant date
11/7/2016
500

 
2005
 
$
54.28

 
Ratably over 5 years from grant date
11/14/2016
725

 
2010
 
$
63.43

 
Once on May 24, 2021 (4)
2015
 
 
 
 
 
 
 
2/11/2015
31,500

 
2005
 
$
39.42

 
Ratably over 5 years from grant date
2/12/2015
25,910

 
2005
 
$
40.03

 
Ratably over 5 years from grant date
3/19/2015
3,800

 
2005
 
$
43.56

 
Ratably over 5 years from grant date
4/27/2015
625

 
2005
 
$
41.61

 
At the end of 3 years from grant date
4/27/2015
1,875

 
2005
 
$
41.61

 
At the end of 5 years from grant date
5/27/2015
8,800

 
2010
 
$
45.02

 
At the end of 5 years from grant date (3)
7/14/2015
800

 
2010
 
$
47.82

 
Once on May 27, 2020 (5)
10/13/2015
1,000

 
2005
 
$
46.09

 
Ratably over 5 years from grant date
10/20/2015
2,000

 
2005
 
$
46.47

 
Ratably over 5 years from grant date
 
 
 
 
 
 
 
 
Performance-based
 
 
 
 
 
 
 
2/16/2017
14,400

 
2005
 
$
63.10

 
The earlier of: the date on which it is determined if the performance goal has been achieved; or, March 31, 2020.
2/11/2016
20,450

 
2005
 
$
41.96

 
The earlier of: the date on which it is determined if the performance goal has been achieved; or, March 31, 2019.
2/12/2015
21,780

 
2005
 
$
40.03

 
The earlier of: the date on which it is determined if the performance goal has been achieved; or, March 31, 2018.
 
(1)
The fair value of the restricted stock awards are based upon the average of the high and low prices at which the Company’s common stock traded on the date of grant. The holders of time-vested restricted stock awards participate fully in the rewards of stock ownership of the Company, including voting and dividend rights. The holders of performance-based restricted stock awards do not participate in the rewards of stock ownership of the Company until vested. The holders of all restricted stock awards are not required to pay any consideration to the Company for the awards.
(2)
This restricted stock grant fully vested upon an employee's termination, on November 30, 2017.
(3)
These restricted stock grants will vest at the end of a five year period, or earlier if the director ceases to be a director for any reason other than cause, such as, for example, by retirement.
(4)
These restricted stock grants will vest on May 24, 2021, or earlier if the director ceases to be a director for any reason other than cause, such as, for example, by retirement.
(5)
These restricted stock grants will vest on May 27, 2020, or earlier if the director ceases to be a director for any reason other than cause, such as, for example, by retirement.
Schedule of Share-based Compensation, Fair Value of Restricted Stock Awards Vesting [Table Text Block]
The following table presents the fair value of restricted stock awards vesting during the periods presented:
 
Years Ended December 31
 
2017
 
2016
 
2015
 
(Dollars in thousands)
Fair value of restricted stock awards upon vesting
$
5,717

 
$
3,019

 
$
2,610

 [1]
Schedule of Restricted Stock Awards
A summary of the status of the Company’s Restricted Stock Award Grants for the year ended December 31, 2017 is presented in the table below:
 
Outstanding Restricted Stock
Awards
 
 
Weighted Average
Grant Price ($)
 
 
 
(Dollars in thousands, except per share data)
 
 
Balance at January 1, 2017
264,315

  
 
$
38.88

 
 
Granted
60,700

  
 
63.07

 
 
Vested/released
(89,436
)
 
 
36.79

 
 
Forfeited
(9,614
)
  
 
39.49

 
 
Balance at December 31, 2017
225,965

(1)
 
$
46.18

 
 
Unrecognized compensation cost (inclusive of directors’ fees)
 
 
 
 
 
$
6,355

Weighted average remaining recognition period (years)
 
 
 
 
 
3.00

 
(1)
Inclusive of 38,445 restricted stock awards outstanding to Directors.
[1] These restricted stock grants will vest on May 27, 2020, or earlier if the director ceases to be a director for any reason other than cause, such as, for example, by retirement.