We account for stock-based compensation under the fair value recognition provisions of ASC Topic 718 - Compensation - Stock Compensation. We recognize stock-based compensation cost over the award’s requisite service period on a straight-line basis for time-based restricted stock grants and performance-based restricted stock grants. We record forfeitures as they occur for all stock-based compensation.


	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Employee stock-based compensation expense
Pre-tax	$	141	$	62	$	531	$	225
Post-tax (1)	111		49		419		178
Director stock-based compensation expense
Pre-tax	41		80		103		177
Post-tax (1)	32		63		81		140

We had approximately $4,162,000 of unrecognized stock compensation expense at June 30, 2022 related to non-vested stock-based compensation granted, which we expect to recognize over a weighted-average period of approximately 2.4 years. We had approximately $88,000 of unrecognized director stock-based compensation expense at June 30, 2022 related to non-vested director stock-based compensation granted, which we expect to recognize over a weighted-average period of approximately 0.8 years.

Stock-based compensation cost for restricted stock awards, restricted stock units and performance stock units is measured based on the closing fair market value of our common stock on the date of grant, which vest in equal installments over the requisite service period of typically three years. Restricted stock awards granted to non-employee directors vest over a one-year period. Each restricted stock unit and performance stock unit represents our obligation to deliver to the holder one share of common stock upon vesting.

Performance stock units vest based on the Company's return on average equity compared to a defined group of peer companies. On the grant date, we issue the target number of performance stock units. They are subject to forfeitures if performance goals are not met. The actual number of performance stock units earned can vary from zero to 150 percent of the target for the 2022, 2021, and 2020 awards.

We granted 793,041 and 208,812 shares of restricted common stock during the three month periods ended June 30, 2022 and 2021, respectively, which had a weighted-average grant date fair value of $1.74 and $6.07 per share, respectively. We granted 907,907 and 288,026 shares of restricted common stock during the six month periods ended June 30, 2022 and 2021, respectively, which had a weighted-average grant date fair value of $1.97 and $6.04 per share, respectively.


	Number of Restricted Shares	Weighted Average Grant Date Fair Value
Outstanding as of December 31, 2021	336,596	$	6.99
Granted	907,907	1.97
Less: Forfeited	57,786	7.56
Less: Vested	108,722	7.08
Outstanding as of June 30, 2022	1,077,995	$	2.72

Stock option fair value was estimated on the grant date using the Black-Scholes-Merton formula. Stock options vest in equal installments over the requisite service period of typically three years. The following weighted-average assumptions were used to value the stock options granted:


	2022		2021
Expected annual dividend yield	—	%	3.90	%
Expected volatility	49.66	%	45.79	%
Risk-free interest rate	2.92	%	1.08	%
Expected term	6 years		6 years

Expected annual dividend yield for our options granted prior to the third quarter of 2021 is based on a quarterly dividend of $0.06 per share and the stock price on the grant date. The expected annual dividend yield for our options granted during and after the third quarter of 2021 is based on no dividends being paid in future quarters. The expected volatility is a historical volatility calculated based on the daily closing prices over a period equal to the expected term. The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the grant date. Expected term takes into account the three-year graded vesting term and the 10-year contractual term of the option.

We granted 635,643 and 154,707 stock options during the three months ended June 30, 2022 and 2021, respectively, which had a weighted average grant date fair value of $0.86 and $1.84, per share, respectively. We granted 635,643 and 154,707 stock options during the six months ended June 30, 2022 and 2021, respectively, which had a weighted average grant date fair value of $0.86 and $1.84, per share, respectively.


	Number of Stock Options	Weighted Average Exercise Prices		Weighted Average Remaining Contractual Term (years)	Aggregate Intrinsic Value
Outstanding as of December 31, 2021	1,147,215	$	4.80	9.49	$	792,000
Granted	635,643	1.70		—	—
Less: Forfeited	—	—		—	—
Less: Expired	—	—		—	—
Less: Exercised	—	—		—	—
Outstanding as of June 30, 2022	1,782,858	$	3.69	9.32	$	—

Vested as of June 30, 2022(1)	193,724	$	11.90	7.61	$	—
Exercisable as of June 30, 2022	141,090	$	11.90	7.61	$	—

(1) The vested shares are calculated based on all vested shares at June 30, 2022, inclusive of those that have since expired. The weighted average exercise prices and weighted-average remaining contractual term is calculated based on only vested shares that are outstanding and exercisable at June 30, 2022.