Share-based Compensation

12 Months Ended

Dec. 31, 2012

Share-Based Compensation [Abstract]

Share-based Compensation

11. Share-based Compensation

The Company has issued restricted stock to employees and nonemployee directors generally with terms ranging up to five years. The fair value is equal to the market price of the Company’s common stock on the date of grant. Expense for restricted stock is amortized ratably over the vesting period. The following table summarizes the restricted stock activity:

	Shares			Weighed-Average Grant Date Fair Value
Unvested at December 31, 2011		455,256		$	7.08
Granted		15,770			17.46
Vested		(313,359	)		7.07
Forfeited		(8,000	)		6.55
Unvested at December 31, 2012		149,667		$	8.21

The total share-based compensation expense charged against income during the years ended December 31, 2012, 2011, and 2010 were $2,850,000, $2,524,000, and $2,678,000, respectively. Included in share-based compensation expense for 2012 is $633,000 for 24,000 shares of performance awards to be issued to certain key employees based on achieving 2012 financial plan.  The Company intends to issue additional performance awards in 2013 to certain key employees if certain 2013 financial plans are met.  During 2013, the Company issued 137,000 restricted stock awards to certain key employees to vest over 3 - 5 years commencing January 1, 2013. The total income tax benefit recognized in the consolidated statement of income for these restricted stock awards was approximately $969,000, $986,000 and $1,044,000 for the years ending December 31, 2012, 2011, and 2010, respectively. The tax benefit recognized in additional paid-in capital upon vesting of restricted stock awards was approximately $1,265,000, $614,000 and $1,770,000 for the years ending December 31, 2012, 2011, 2010, respectively. There was approximately $1.2 million of total unrecognized compensation cost related to restricted stock awards as of December 31, 2012. The cost is expected to be recognized over a weighted-average period of approximately 1.2 years.

In September 2012, the 2012 Share Incentive Plan was approved at the 2012 Annual Meeting of Shareholders. The plan has a ten year term, expiring in 2022, and allows for an additional 1,000,000 shares of Company stock to be issued to participants. The awards may be issued in the form of stock options, stock appreciation rights, and restricted shares. No shares have been granted for this incentive plan as of December 31, 2012.