Annual report pursuant to Section 13 and 15(d)

Stock Option Plans (Tables)

v2.4.0.8
Stock Option Plans (Tables)
12 Months Ended
Dec. 31, 2013
Stock Option Plans [Abstract]  
Stock option plans
The exercise price per share subject to an option is determined by the administrator, but in the case of an ISO must not be less than the fair market value of a share of our common stock on the date of grant and in the case of a non-statutory stock option must not be less than 100% of the fair market value of a share of our common stock on the date of grant.
 
 
 
2007 Plan
 
2009 Plan
 
Total
 
Outstanding as of December 31, 2013
 
79,009
 
135,509
 
214,518
 
Available for future issuance under plan
 
 
342,420
 
342,420
 
Totals authorized by plan
 
79,009
 
477,929
 
556,938
 
Summary of Stock Option Activity
The following table summarizes stock option activity for the years ended December 31, 2013 and 2012:
 
 
 
 
 
Weighted
 
 
 
 
 
 
Number of
 
Average
 
 
Exercise Price
 
 
 
Shares
 
Exercise Price
 
 
Range
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Outstanding at December 31, 2011
 
267,856
 
$
8.87
 
$
0.46
$
17.50
 
Granted
 
 
$
 
$
 
 
 
 
Exercised
 
 
$
 
$
 
 
 
 
Expired or Forfeited
 
(75,127)
 
$
0.65
 
$
0.46
$
2.17
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Outstanding at December 31, 2012
 
192,729
 
$
10.68
 
$
1.71
$
17.50
 
Granted
 
45,000
 
$
2.00
 
$
 
 
 
2.00
 
Exercised
 
 
$
 
$
 
 
 
 
Expired or Forfeited
 
(23,211)
 
$
2.71
 
$
1.94
$
17.50
 
Outstanding at December 31, 2013
 
214,518
 
$
9.72
 
$
1.71
$
17.50
 
Summary of stock option information
The following tables summarize stock option information at December 31, 2013:
 
Total Options Outstanding
 
 
 
 
 
 
 
Weighted
 
Weighted
 
 
 
 
 
 
 
average
 
average
 
Range of exercise price
 
 
Shares
 
 
remaining life (yrs)
 
exercise price
 
 
 
 
 
 
 
 
 
 
 
 
$1.71 to $2.00
 
 
57,723
 
 
7.6
 
$
1.94
 
$7.50 to $11.25
 
 
102,637
 
 
6.6
 
$
10.67
 
$15.00 to $17.50
 
 
54,158
 
 
3.6
 
$
16.23
 
 
 
 
214,518
 
 
6.1
 
$
9.72
 
 
Exercisable Options Outstanding
 
 
 
 
 
 
 
Weighted
average
remaining life
 
Weighted
average
 
Range of exercise price
 
 
Shares
 
 
(yrs)
 
exercise price
 
 
 
 
 
 
 
 
 
 
 
 
$1.71 to $2.00
 
 
57,723
 
 
7.6
 
$
1.93
 
$7.50 to $11.25
 
 
88,506
 
 
5.6
 
$
10.78
 
$15.00 to 17.50
 
 
54,158
 
 
3.6
 
$
16.22
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
200,387
 
 
5.6
 
$
9.71
 
 
Unvested Options Outstanding
 
 
 
 
 
Weighted
average
remaining life
 
Weighted
average
 
Range of exercise price
 
Shares
 
(yrs)
 
exercise price
 
 
 
 
 
 
 
 
 
 
$1.71 to $2.00
 
 
 
$
 
$7.50 to $11.25
 
14,131
 
6.6
 
$
9.91
 
$15.00 to $17.50
 
 
 
$
 
 
 
 
 
 
 
 
 
 
 
 
14,131
 
6.6
 
$
9.91
 
Outstanding Stock Option on Result of Operation
The table below summarizes the impact of outstanding stock options on the results of operations for the years ended December 31, 2013 and 2012:
 
December 31,
 
2013
 
2012
 
 
 
 
 
 
 
 
 
Stock-Based Compensation Expense:
 
 
 
 
 
 
 
Stock Options
 
$
159,272
 
$
172,233
 
Income Tax Benefit
 
 
 
 
 
 
 
 
 
 
 
 
 
Net Decrease in Net Income
 
$
159,272
 
$
172,233
 
 
 
 
 
 
 
 
 
Decrease in Earnings Per Share:
 
 
 
 
 
 
 
Basic
 
$
0.027
 
$
0.049
 
Diluted
 
$
0.027
 
$
0.048
 
Summary of assumptions used to compute the fair value of stock options granted
The following summary table shows the assumptions used to compute the fair value of stock options granted during 2013 and 2012 and their estimated value:
 
December 31,
 
2013
 
 
2012
 
Assumptions for Black-Scholes:
 
 
 
 
 
 
 
 
Expected term in years
 
 
10.0
 
 
 
 
Volatility
 
 
128.80
%
 
 
 
Risk-free interest rate
 
 
2.81
%
 
 
 
Expected annual dividends
 
 
None
 
 
 
None
 
 
 
 
 
 
 
 
 
 
Value of options granted:
 
 
 
 
 
 
 
 
Number of options granted
 
 
45,000
 
 
 
 
Weighted average fair value/share
 
$
2.00
 
 
$
N/A
 
Fair value of options granted
 
$
81,884
 
 
$
N/A