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Share-Based Compensation
 6 Months Ended
Jun. 30, 2013
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Share-Based Compensation
Share-Based Compensation
 
For the six month periods ended June 30, 2013 and 2012, share-based compensation cost recognized was $50,000 and $64,000, respectively. For the three month periods ended June 30, 2013 and 2012, share-based compensation cost recognized was $25,000 and $14,000 , respectively. The recognized tax benefits for stock option compensation expense were $9,000 and $11,000, respectively, for the six month periods ended June 30, 2013 and 2012. For the quarter ended June 30, 2013 and 2012,the recognized tax benefits for stock option compensation expense were $5,000 and $2,000, respectively. 
The Company bases the fair value of the options granted on the date of grant using a Black-Scholes Merton option pricing model that uses assumptions based on expected option life and the level of estimated forfeitures, expected stock volatility, risk free interest rate, and dividend yield.  The expected term and level of estimated forfeitures of the Company’s options are based on the Company’s own historical experience.  Stock volatility is based on the historical volatility of the Company’s stock.  The risk-free rate is based on the U. S. Treasury yield curve for the periods within the contractual life of the options in effect at the time of grant.  The compensation cost for options granted is based on the weighted average grant date fair value per share.
     No options to purchase shares of the Company’s common stock were issued in the first six months of 2013 and 2012 from either of the Company’s stock based compensation plans. 
A summary of the combined activity of the Company’s Stock Based Compensation Plans for the six month period ended June 30, 2013 follows:
 
 
 
Shares
 
Weighted
Average
Exercise Price
 
Weighted
Average
Remaining
Contractual
Term (Years)
 
Aggregate
Intrinsic Value (In thousands)
Options outstanding at January 1, 2013
 
499,289

 
$
8.78

 
 
 
 

Options exercised
 
(90,854
)
 
$
8.51

 
 
 
 

Options forfeited
 
(21,380
)
 
$
8.83

 
 
 
 

Options outstanding at June 30, 2013
 
387,055

 
$
8.84

 
5.19
 
$
879

Options vested or expected to vest at June 30, 2013
 
379,784

 
$
8.87

 
5.13
 
$
333

Options exercisable at June 30, 2013
 
251,555

 
$
9.70

 
3.42
 
$
493


 
The total intrinsic value of 90,854 options exercised in the six months ended June 30, 2013 was $73,000.
     Cash received from options exercised for the six months ended June 30, 2013 and 2012 was $773,000 and $241,000, respectively.  The actual tax benefit realized for the tax deductions from options exercised totaled $16,000 and $20,000 for the six months ended June 30, 2013 and 2012, respectively.
     As of June 30, 2013, there was $318,000 of total unrecognized compensation cost related to non-vested share-based compensation arrangements granted under both plans.  The cost is expected to be recognized over a weighted average period of 3.56 years.