At , the Company had incentive stock plan under which new equity incentive awards be granted: 

 

 

The Company has prior incentive plans under which previously granted awards remain outstanding, but under which new awards be granted. At , the Company had reserved a total of shares for grants and issuances under these incentive stock plans, which includes a reserve for issuances pursuant to unvested or unexercised prior awards, and shares for new grants or issuances pursuant to the Plan.

 

While the Plan provides for the grant of deferred shares, non-qualified stock options, incentive stock options, restricted shares, restricted stock units, and performance-based restricted stock units intended to qualify under section of the Internal Revenue Code, to date the Company has issued only restricted shares and restricted stock units under the Plan and currently intends to continue this practice. The Plan authorizes awards to officers, employees, consultants, and directors. The Plan expires on

 

 

The Company recognized the following stock based compensation expense:

 

 

 

Options vest ratably over years and are exercisable for up to years from the date of grant. To cover the exercise of vested options, the Company issues new shares from its authorized but unissued share pool. The Company calculates all stock compensation expense based on the grant date fair value of the option and recognizes expense on a straight-line basis over the -year vesting period of the option.

 

The Company received $ million and $ million in , respectively, for stock options exercised. 

 

 

The fair value of stock options vested was less thanin and  in  respectively. Based on historical experience the Company expects of these options to vest.

 

As of , there was less than million of unrecognized compensation cost related to unvested stock options granted under the plans. That cost is expected to be recognized over the weighted-average period of years.

 

 

 

a settlement of a stock-based award previously granted to a retiring member of the Company's Board of Directors, the Company changed its method of accounting for deferred stock compensation arrangements granted to the Company's directors from liability accounting treatment to equity accounting treatment and, as such, reclassified million from a liability to additional paid in capital.

 

 

The Company has granted restricted stock to executive officers and employees. The restricted stock vest ratably over to years. The Company calculates restricted stock compensation expense based on the grant date fair value and recognizes expense on a straight-line basis over the vesting period. The following table summarizes restricted stock activity for the years ended and , respectively:

 

 

The fair value of restricted stock vested was $ million and $ million in , respectively. As of , there was  million of unrecognized compensation cost related to unvested restricted stock granted under the plans. That cost is expected to be recognized over the weighted-average period of years.