STOCK-BASED COMPENSATION PLANS

9 Months Ended

Sep. 30, 2022

STOCK-BASED COMPENSATION PLANS

STOCK-BASED COMPENSATION PLANS

9. STOCK-BASED COMPENSATION PLANS

The Corporation has a Stock Incentive Plan for a selected group of officers and an Independent Directors Stock Incentive Plan. The 2022 restricted stock awards under the Stock Incentive Plan vest ratably over three years, and the 2022 restricted stock issued under the Independent Directors Stock Incentive Plan vests over one year. Following is a summary of restricted stock awards granted in the nine-month period ended September 30, 2022, all of which were granted in the first quarter:

(Dollars in Thousands)		Aggregate
		Grant
		Date
	Number of	Fair
	Shares	Value
1st quarter 2022 awards:
Time-based awards to independent directors	9,588	$	240
Time-based awards to employees	51,638		1,293
Performance-based awards to employees	17,017		426
Total	78,243	$	1,959

Compensation cost related to restricted stock is recognized based on the fair value of the stock at the grant date over the vesting period, adjusted for estimated and actual forfeitures. Total annual stock-based compensation for the year ending December 31, 2022 is estimated to total between $1,228,000 and $1,574,000, depending on whether applicable performance-based awards vest based on annual 2022 earnings performance criteria as defined in the grant documents. Total stock-based compensation expense attributable to restricted stock awards amounted to $388,000 in the third quarter 2022 and $345,000 in the third quarter 2021. Total stock-based compensation expense attributable to restricted stock awards amounted to $1,169,000 in the nine-month period ended September 30, 2022 and $970,000 in the nine-month period ended September 30, 2021.