STOCK COMPENSATION

6 Months Ended

Jun. 30, 2021

STOCK COMPENSATION

Note - 4 STOCK COMPENSATION

4. STOCK COMPENSATION

The fair value of restricted stock awards is estimated to be the market price of the Company's common stock at the close of the date of grant. Restricted stock activity during the six months ended June 30, 2021 is as follows:

	Performance- Based		Service-Based		Number of Shares		Weighted Average Grant Date Fair Value per Share
Non-vested, December 31, 2020		—		36,336		36,336	$	8.98
Granted		42,466		4,718		47,184		11.72
Vested		—		—		—		—
Forfeited		—		—		—		—
Non-vested, end of period		42,466		41,054		83,520	$	10.53

The actual number of shares of common stock of the Company, if any, to be earned by the award recipients is determined over a three year performance measurement period based on measures that include Earnings Before Interest Taxes Depreciation and Amortization (“EBITDA”) margin, revenue growth, and free cash flow for the grant in April 2021. The performance targets have been set for each of the Minimum, Target, and Maximum levels. The actual performance amount achieved is determined by the Compensation Committee and may be adjusted for items determined to be unusual in nature or infrequent in occurrence, at the discretion of the Compensation Committee. The stock compensation cost is recognized over the requisite performance/service period using the straight-line method and can be periodically adjusted for the probable number of shares to be awarded.

Stock compensation (in thousands) for the three and six month periods ended June 30, 2021 was approximately $131 and $172, respectively, based upon the value at the date of grant. Stock compensation for the three and six month periods ended June 30, 2020 was less than $1, based upon the value at the date of grant. There was $705 of unrecognized compensation cost related to the non-vested restricted stock as of June 30, 2021.