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Note 12 - Share-Based Compensation
 12 Months Ended
Dec. 31, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]

Note 12.

Share-Based Compensation


The Company maintains the Patriot National Bancorp, Inc. 2012 Stock Plan to provide an incentive to directors and employees of the Company by the grant of options, restricted stock awards or phantom stock units. The Plan provides for the issuance of up to 300,000 shares of the Company’s common stock subject to certain Plan limitations. As of December 31, 2014 185,212 shares of stock remain available for issuance under the Plan. The vesting of restricted stock awards and options may be accelerated in accordance with terms of the plan. The Compensation Committee shall make terms and conditions applicable to the vesting of restricted stock awards and stock options. Restricted stock grants are available to directors and employees and vest in quarterly or annual installments over a three, four or five year period from the date of grant. The Compensation Committee accelerated the vesting of the initial grant of restricted stock in 2012, whereby the first year of the tranche vested immediately. The Company is expensing the grant date fair value of all share-based compensation over the requisite vesting periods on a prorated straight-line basis.


For the years ended December 31, 2014, 2013 and 2012, the Company recorded $275,000, $131,000 and $306,000 of total stock-based compensation, respectively. During 2014, the Company issued 68,814 shares of restricted stock to employees, 4,744 shares of restricted stock issued to directors and no options were granted or exercised. In 2013, the Company awarded 32,964 shares of restricted stock to employees, there were no shares of restricted stock issued to directors and no options were granted or exercised. In 2012, there were no options exercised and 15,216 shares of restricted stock were issued to directors in payment of directors’ fees in the net amount of $120,000. At the 2014 Annual Meeting of Shareholders of Patriot National Bancorp, Inc. ("Patriot"), which was held on December 23, 2014, an amendment to the Patriot National Bancorp, Inc. Certificate of Incorporation to reflect a reverse stock split of the outstanding shares of Patriot's common stock at a ratio of one-for-ten was approved. This reverse stock split was effective March 4, 2015.



The following is a summary of the status of the Company’s restricted shares as of December 31, 2014, and changes therein during the period then ended.  


   

Number of Shares Awarded (1)

      Weighted Average Grant Date Fair Value (1)   
                 

Non-vested at December 31, 2012

    4,456       17.30  

2013 Granted

    32,964       12.40  

Vested

    (9,238 )     14.10  

Non-vested at December 31, 2013

    28,182     $ 12.60  

2014 Granted

    73,558       13.21  

Vested

    (22,532 )     11.76  

Non-vested at December 31, 2014

    79,208     $ 12.79  

(1) On March 4, 2015, the Company affected a 1-for- 10 reverse stock split. All common stock and per share data included in these financial statements have been restated to give effect to the reverse stock split.


Expected future stock award expense related to the non-vested restricted awards as of December 31, 2014, is $1.05 million over an average period of 2.80 years.