Employee Benefit Plans

Defined Contribution Plan

The Company maintains a defined contribution plan under Sections 401(a) and 401(k) of the Internal Revenue Code, the AnchorBank, fsb Retirement Plan, in which substantially all employees are eligible to participate. Employees become eligible on the first of the month following 60 days of employment. Participating employees may contribute up to 100% of their base compensation on a pre-tax basis up to annual Internal Revenue Service limits. In January 2013, the Company reinstated the matching contribution which had been suspended since October 2009. The Company previously matched the first 2% contributed with a dollar-for-dollar match and the next 2% of employee contributions at a rate of $.50 for each dollar. These amounts were increased beginning in January 2014 to the first 2% contributed with a dollar-for-dollar match, the next 2% matched at a rate of $0.50 for each dollar and the next 4% matched at $0.25 for each dollar. Employees are allowed to self-direct their investments on a daily basis. The Company may also contribute additional amounts at its discretion. The Company contributed $1.1 million and $992,000 for the years ended December 31, 2015 and 2014, respectively, and $579,000 for the nine months ended December 31, 2013.

Omnibus Incentive Plan

On August 12, 2014, the Board of Directors (“Board”) of the Company approved a new incentive plan, the Anchor Bancorp Wisconsin Inc. 2014 Omnibus Incentive Plan (the “Omnibus Plan”) which was subsequently approved by stockholders. The Omnibus Plan provides for the issuance of awards of incentive or nonqualified stock options, stock appreciation rights, performance and restricted stock awards or units, dividend equivalent units and other stock based awards as determined by the Board or the Plan Administrator. The purpose of the Omnibus Plan is to promote the interest of the Company and its stockholders by attracting, retaining and motivating executives and other selected employees, directors, consultants and advisors by enabling such individuals to participate in the long-term growth and financial success of the Company.

The maximum number of shares of common stock (each, a “share”) that may be issued to participants pursuant to awards under the 2014 Omnibus Plan will be equal to 600,000. Such shares may be either authorized and unissued shares or shares reacquired at any time and now or hereafter held as treasury stock. At December 31, 2015, 349,411 shares were available to grant pursuant to the 2014 Plan.

Restricted stock grants vest over various periods of time typically from one to three years and are included in outstanding shares at the time of grant. The fair value of restricted stock grants determined at the grant date is amortized to compensation and benefits expense over the vesting period. The restricted stock grant plan expense for the years ended December 31, 2015 and 2014 was $2.2 million and $1.0 million, respectively. Dividends, if declared, will accrue for the benefit of the individuals who are granted restricted stock and will be paid out as the stock vests. Unvested shares will be voted by the employees in the same manner as the vested shares.

The restricted stock activity is summarized as follows:



	December 31, 2015				December 31, 2014
	Shares		Weighted Average Grant Date Fair Value		Shares		Weighted Average Grant Date Fair Value
Nonvested balance as of beginning of period	179,300		$	21.20	—		$	—
Granted	67,047		34.77		200,200		21.17
Vested	(75,283	)	21.15		(12,500	)	20.95
Forfeited	(8,258	)	29.51		(8,400	)	20.95
Nonvested balance as of end of period	162,806		$	26.39	179,300		$	21.20
Available to grant	349,411				408,200

There was approximately $3.0 million and $3.1 million of unrecognized compensation expense related to nonvested restricted stock awards granted under the Omnibus Plan as of December 31, 2015 and 2014, respectively. The remaining weighted average term of nonvested awards is 0.9 years.