Quarterly report pursuant to Section 13 or 15(d)

Stock Based Compensation Plans

v3.7.0.1
Stock Based Compensation Plans
6 Months Ended
Jun. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Stock Based Compensation Plans
Note 10 — Stock Based Compensation Plans
 
A summary of stock option activity for the six months ended June 30, 2017 is as follows:
 
 
 
 Number of
Options
 
 
Weighted
Average
Exercise
Price
 
 
 
 
 
Outstanding at December 31, 2016
 
 
1,084,298
 
 
$
4.76
 
Granted
 
 
362,000
 
 
 
5.87
 
Exercised
 
 
(35,375
)
 
 
2.40
 
Expired or Forfeited
 
 
(25,432
)
 
 
8.16
 
 
 
 
 
 
 
 
 
 
Outstanding at June 30, 2017
 
 
1,385,491
 
 
$
4.97
 
 
The weighted average remaining contractual term for all options as of June 30, 2017 and December 31, 2016 was 7.8 years and 7.6 years respectively.
 
As of June 30, 2017, there were 675,464 options that were fully vested and exercisable at a weighted average exercise price of $4.57 per share. The weighted average remaining contractual term on the vested options is 6.5 years.
  
As of June 30, 2017, there were 710,027 unvested options exercisable at a weighted average exercise price of $5.34 per share. The weighted average remaining contractual term on the unvested options is 8.9 years.
 
No cash was received from option exercises for the six months ended June 30, 2017.
  
The weighted average fair value of option grants was calculated using the Black-Scholes-Merton option pricing method. At June 30, 2017, the Company had approximately $2,942,000 of unrecognized stock compensation expense, which will be recognized over a weighted average period of approximately 3.1 years.
 
During the six months ended June 30, 2017, the Company issued 100,000 shares of non-vested stock to an executive officer which vest over four years. The fair market value on the date of grant of the non-vested stock issued during the six months ended June 30, 2017 was $5.90, resulting in an aggregate fair value of $590,000. As of June 30, 2017, there was $565,000 of unrecognized compensation cost related to unvested stock awards. This amount is expected to be recognized over a weighted-average period of 3.8 years.
 
For the three months ended June 30, 2017 and 2016, the Company recorded total stock compensation expense of approximately $277,000 and $175,000, respectively. For the six months ended June 30, 2017 and 2016, the Company recorded total stock compensation expense of approximately $487,000 and $349,000, respectively.