XML 64 R22.htm IDEA: XBRL DOCUMENT v2.4.0.8
Note 13 - Equity Plans
 12 Months Ended
Dec. 31, 2013
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]

13.    Equity Plans:


Stock Options


The following table summarizes stock-based award activity during the year ended December 31, 2013:


   

Number of

Options

   

Weighted Average

Exercise Price

   

Weighted Average

Remaining

Contractual Term (years)

   

Aggregate Intrinsic

Value

(in thousands)

 

Outstanding at December 31, 2012

    40,339     $ 21.79                  

Granted

    -       -                  

Exercised

    (11,667 )     7.33                  

Canceled

    (1,500 )     32.63                  

Outstanding at December 31, 2013

    27,172     $ 27.40       2.6     $ 117  

Exercisable at December 31, 2013

    27,172     $ 27.40       2.6     $ 117  

There were 11,667 stock options exercised during 2013 and 4,168 stock options exercised during 2012. No stock options were exercised during 2011. The total intrinsic value of stock options exercised during the years ended December 31, 2013 and 2012 was $218 thousand and $56 thousand, respectively. Net cash proceeds from the exercise of stock options, exclusive of income tax benefits, were $86 thousand and $34 thousand for the years ended December 31, 2013 and 2012, respectively. Income tax benefits of $83 thousand and $21 thousand were realized from stock option exercises during the years ended December 31, 2013 and 2012, respectively.


Restricted Stock Units


Pursuant to the Olympic Steel 2007 Omnibus Incentive Plan (Plan), the Company may grant stock options, stock appreciation rights, restricted shares, restricted share units, performance shares, and other stock- and cash-based awards to employees and Directors of, and consultants to, the Company and its affiliates. Under the Plan, 500,000 shares of common stock are available for equity grants.


On each of January 2, 2013, January 3, 2012 and March 1, 2011, the Compensation Committee of the Company’s Board of Directors approved the grant of 1,800 restricted stock units (RSUs) to each non-employee Director. Subject to the terms of the Plan and the RSU agreement, the RSUs vest after one year of service (from the date of grant). The RSUs are not converted into shares of common stock until the Director either resigns or is terminated from the Board of Directors.


The fair value of each RSU was estimated to be the closing price of the Company’s common stock on the date of the grant, which was $23.41, $25.55 and $26.91 for the grants on January 2, 2013, January 3, 2012 and March 1, 2011, respectively.


In 2011, the Compensation Committee for the Company’s Board of Directors approved changes to the Senior Management Compensation Program to include an equity component in order to encourage more ownership of common stock by the senior management. Beginning in 2011, the Senior Management Compensation Program imposed stock ownership requirements upon the participants. Each participant is required to own at least 750 shares of common stock for each year that the participant participates in the Senior Management Compensation Program. Any participant that fails to meet the stock ownership requirements will be ineligible to receive any equity awards under the Company’s equity compensation plans, including the Plan, until the participant satisfies the ownership requirements. To assist participants in meeting the stock ownership requirements, on an annual basis, if a participant purchases 500 shares of common stock on the open market, the Company will award that participant 250 shares of common stock. During 2013 and 2012, the Company matched 8,500 and 7,250 shares, respectively. Additionally, any participant who continues to comply with the stock ownership requirements as of the five-year, 10-year, 15-year, 20-year and 25-year anniversaries of the participant’s participation in the Senior Management Compensation Program will receive a restricted stock unit award with a dollar value of $25 thousand, $50 thousand, $75 thousand, $100 thousand and $100 thousand, respectively. Restricted stock unit awards will convert into the right to receive shares of common stock upon a participant’s retirement, or earlier upon the executive’s death or disability or upon a change in control of the Company.


In recognition of their performance and dedicated years of service, on December 31, 2011, the Compensation Committee of the Board of Directors granted 81,475 RSUs to Messrs. Siegal, Wolfort and Marabito. The RSUs have a vesting period of five years and will be fully vested on December 31, 2016. Except in limited circumstances, the RSUs will not convert into shares of common stock until the retirements of Messrs. Siegal, Wolfort and Marabito, respectively. These RSU’s are not a part of the 2011 Senior Management Compensation Program discussed above. The fair value of each RSU was estimated to be the closing price of the common stock on the date of the grant, which was $23.32 on December 31, 2011.


Stock-based compensation expense recognized on RSUs is summarized in the following table:


   

For the years ended December 31,

 
   

2013

   

2012

   

2011

 

RSU expense before taxes

  $ 936     $ 1,238     $ 726  

RSU expense after taxes

  $ 554     $ 278     $ 484  

Impact per basic share

  $ 0.05     $ 0.03     $ 0.04  

Impact per diluted share

  $ 0.05     $ 0.03     $ 0.04  

All pre-tax charges related to RSUs were included in the caption “Administrative and general” on the accompanying Consolidated Statements of Comprehensive Income.


The following table summarizes the activity related to RSUs for the twelve months ended December 31, 2013:


   

Number of Shares

   

Weighted Average Exercise Price

   

Aggregate Intrinsic Value (in thousands)

 

Outstanding at December 31, 2012

    192,819       $ 26.22          

Granted

    38,214         21.50          

Converted into shares

    -         -          

Forfeited

    (75   )     23.32          

Outstanding at December 31, 2013

    230,958       $ 25.44     $ 977  

Vested at December 31, 2013

    178,679       $ 25.92     $ 735  

Of the RSUs granted in 2013 and 2012, 28,341 and 31,243, respectively, were used to fund supplemental executive retirement plan contributions. There was no intrinsic value for the RSUs that were converted into shares in 2012. There were no RSUs converted into shares during 2013 or 2011.


All pre-tax charges related to RSUs were included in the caption “Administrative and general” on the accompanying Consolidated Statements of Comprehensive Income.