Quarterly report pursuant to Section 13 or 15(d)

Share-Based Compensation

v2.4.0.6
Share-Based Compensation
 3 Months Ended
Mar. 31, 2013
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]  
Share-Based Compensation

NOTE 8 — SHARE-BASED COMPENSATION

Share-Based Compensation Expense

For the three months ended March 31, 2013 and 2012, share-based compensation expense was $98,000 and $51,000, respectively, and the related tax benefits on non-qualified stock options were $12,000 and $4,000, respectively.

Unrecognized Share-Based Compensation Expense

As of March 31, 2013, unrecognized share-based compensation expense was as follows:

 

            Average Expected  
     Unrecognized      Recognition  
     Expense      Period  
     (In Thousands)  

Stock Option Awards

    $ 849         2.7 years   

Restricted Stock Awards

      44         1.0 years   
  

 

 

     

Total Unrecognized Share-Based Compensation Expense

    $ 893         2.6 years   
  

 

 

     

 

The table below provides stock option information for the three months ended March 31, 2013:

 

                         Aggregate  
           Weighted-      Weighted      Intrinsic  
           Average      Average      Value of  
           Exercise      Remaining      In-the-  
     Number of     Price Per      Contractual      Money  
     Shares     Share      Life      Options  
     (Dollars in Thousands, Except Per Share Data)  

Options Outstanding at Beginning of Period

      342,950      $ 37.44         8.0 years       $ 359 (1) 

Options Exercised

      (1,679 )    $ 12.54         9.7 years      

Options Forfeited

      (5,251 )    $ 12.54         9.7 years      

Options Expired

      (700 )    $ 120.96         1.7 years      
  

 

 

          

Options Outstanding at End of Period

      335,320      $ 37.78         7.7 years       $ 721 (2) 
  

 

 

          

Options Exercisable at End of Period

      163,632      $ 64.38         5.9 years       $ 364 (2) 

 

(1) Intrinsic value represents the excess of the closing stock price on the last trading day of the period, which was $13.59 as of December 31, 2012, over the exercise price, multiplied by the number of options.
(2) Intrinsic value represents the excess of the closing stock price on the last trading day of the period, which was $16.00 as of March 28, 2013, over the exercise price, multiplied by the number of options.

There were 1,679 stock options exercised during the three months ended March 31, 2013 compared to none during the three months ended March 31, 2012.

Restricted Stock Awards

Restricted stock awards under the 2007 Plan generally become fully vested after three to five years of continued employment from the date of grant. Hanmi Financial becomes entitled to an income tax deduction in an amount equal to the taxable income reported by the holders of the restricted stock awards when the restrictions are released and the shares are issued. Restricted stock awards are forfeited if officers and employees terminate prior to the lapsing of restrictions. Forfeitures of restricted stock awards are treated as cancelled shares.

The table below provides information for restricted stock awards for the three months ended March 31, 2013:

 

           Weighted-  
           Average  
           Grant Date  
     Number of     Fair Value  
     Shares     Per Share  

Restricted Stock at Beginning of Period

      10,500      $ 10.83   

Restricted Stock Vested

      (2,500 )    $ 10.40   
  

 

 

    

Restricted Stock at End of Period

      8,000      $ 10.97