Note 6 - Equity-based Compensation
 3 Months Ended
Mar. 31, 2018
Notes to Financial Statements  
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]
NOTE
6
– EQUITY-BASED COMPENSATION
 
The Company has fully vested stock options outstanding under the
2001
Stock Option Plan and unvested stock options and restricted stock awards under the
2017
Equity Incentive Plan.
 
A summary of stock option activity during the
three
months ended
March 31, 2018
and
2017
is presented below:
 
 
   
For the Three Months Ended March 31, 2018
  
   
 
 
 
  
 
 
 
  
Average
  
   
 
 
 
  
Weighted-
    
Remaining
  
   
 
 
 
  
Average
    
Contractual
  
   
Shares
    
Exercise Price
    
Term (years)
  
                         
Outstanding, December 31, 2017
  
 
207,108
   
$
14.18
   
 
6.2
 
Granted
  
 
5,000
   
 
15.48
   
 
 
  
Exercised
  
 
-
   
 
-
    
 
 
  
Forfeited or expired
  
 
(1,002
)
  
 
14.90
   
 
 
  
                         
Outstanding, March 31, 2018
  
 
211,106
   
$
14.28
   
 
5.9
 
                         
Exercisable, March 31, 2018
  
 
28,456
   
$
9.65
   
 
1.3
 
 
 
   
For the Three Months Ended March 31, 2017
  
                   
Average
  
     
 
    
Weighted-
    
Remaining
  
     
 
    
Average
    
Contractual
  
   
Shares
    
Exercise Price
    
Term (years)
  
                         
Outstanding, December 31, 2016
    
34,190
     $
9.65
      
2.3
  
Granted
    
-
    
 
-
    
 
 
  
Exercised
    
-
    
 
-
    
 
 
  
Forfeited or expired
    
-
    
 
-
      
 
  
                         
Outstanding, March 31, 2017
    
34,190
     $
9.65
      
2.3
  
                         
Exercisable, March 31, 2017
    
34,190
     $
9.65
      
2.3
  
 
The grant date fair value of stock options awarded in the quarter ended
March 31, 2018
was
$4.04
using the Black-Scholes-Merton options pricing model with the following inputs and assumptions:
 
Grant date stock price
  
$15.48
      
Dividend yield  
0.00%
      
Expected volatility  
19.55%
      
Risk-free interest rate  
2.75%
      
Expected life in years  
6
      
 
As of
March 31, 2018,
there was
$549,000
 of total unrecognized cost related to unvested stock options granted under the
2017
Equity Incentive Plan that is expected to be recognized over a
5
-year period.
 
The Company had
75,179
restricted stock awards outstanding at
March 31, 2018
including
429
granted in the
three
months ended
March 31, 2018. There were 7
4,750
 restricted stock awards outstanding at
December 31, 2017.
 
Stock-based expense for the
three
months ended
March 31, 2018
was
$86,000
of which
$60,000
was charged to stock-based compensation expense and
$26,000
was charged to stock-based other noninterest expense. There was
no
stock-based expense for the
three
months ended
March 31, 2017.