Compensation costs are recognized over the requisite service period using the accelerated method and included in selling expenses and general and administrative expenses, based upon the department to which the associated employee or non-employee resides.

Stock Incentive Plan

, restricted stock awards, and stock appreciation rights (“SARs”) were made available to certain employees, directors and others approved by the Company’s Board of Directors (the “Board) or Compensation Committee. Stock options are granted at, or above, fair market value and generally expire in to years from the grant date. Restricted stock awards are granted at the fair market value on the date of grant and generally become exercisable over a period of up to years. SARs are granted at the fair market value on the date of grant and generally become exercisable over a period of up to year. Awards typically vest and are issued only if the participants remain employed by the Company through the vesting date. Stock options, restricted stock awards and SARs are issued from shares under of the Company’s plans described below. Grants be made in the form of stock options, restricted stock units or unrestricted common stock.

2007,

2007

(the “Plan”) providing for the issuance of a maximum of million shares of common stock in connection with the grant of stock-based or stock-denominated awards. On the Company’s stockholders approved the reservation of an additional million shares to be issued under the Plan. The Plan is longer in effect other than for stock options that were previously granted and remain outstanding. Options representing approximately million remain outstanding under this plan. Restricted stock awards currently outstanding under the Plan will remain outstanding in accordance with the terms of that plan. On the Company’s Board adopted the Amended and Restated Stock Incentive Plan (the Plan”). The Plan was approved by the Company’s shareholders at the Annual Meeting and became effective as of the date it was adopted by the Board of Directors. The Plan provides for the issuance of a maximum of million shares of common stock in connection with the grant of stock-based or stock-denominated awards. As of a total of less than million common shares remained available for future grant under the Plan. The Plan replaced our Stock Incentive Plan (the “Plan”) and provided for the issuance of a maximum of million shares of common stock in connection with the grant of stock-based or stock-denominated awards.

he Company granted stock options under the Plan during the years ended and respectively.

Shares Forgone to Satisfy Minimum Statutory Withholdings

 

December 31,

201

and shares of common stock were issued to employees and directors as their restricted stock awards vested or stock options were exercised. Under the terms of the Company’s stock plans, at the election of each employee, the Company can authorize a net settlement of distributable shares to employees after satisfaction of an individual employees' tax withholding obligations. For the years ended and respectively, the Company received less than million shares from employees for tax withholding obligations.

Stock Appreciation Rights (“SARs”)

December 31, 2017,

SARs were outstanding and could be settled in cash or units of the Company’s common stock as follows:

1

100,000

will vest and become exercisable during the period beginning on and ending on the Expiration Date, if the shares have a closing public market price on the New York Stock Exchange of or more for any period of () consecutive trading days during the period beginning on and ending on and

2

100,000

will vest and become exercisable during the period beginning on and ending on the Expiration Date, if the Compensation Committee certifies that the Company achieved percent () or more of target on both elements of the Company’s corporate objectives under the Employee Incentive Compensation Plan.

December 31, 2017,

$0.1

expense was recorded for outstanding SARs.

 

Restricted Shares

During the years ended and respectively, the Company did grant any restricted shares. Restricted shares entitle the holder to receive, upon meeting certain vesting criteria, a specified number of shares of the Company’s common stock. Stock-based compensation cost of restricted shares is measured by the market value of the Company’s common stock on the date of grant. Compensation cost associated with certain restricted share grants also takes into account market conditions in its measurement.

, excluding the Company’s employee stock purchase plan, for the years ended

December 31,

201

there was less than million of pre-tax total unrecognized compensation cost related to non-vested restricted shares, which will be adjusted for future forfeitures, if any. The Company expects to recognize such cost over the period ending in

 

Employee Stock Purchase Plan

the Company received approval from stockholders to adopt an employee stock purchase plan ("ESPP") effective collectively the “Original ESPP”). Under the Original ESPP, shares of common stock are authorized for purchase by eligible employees at a discount through payroll deductions during the month offering periods. Shares were purchased in whole numbers and generally would be the last day of the offering period. On the Company received approval from shareholders for an additional shares. employee purchase more than worth of fair market value shares in any calendar year. As allowed under the ESPP, a participant elect to withdraw from the plan, effective for the purchase period in progress at the time of the election with all accumulated payroll deductions returned to the participant at the time of withdrawal. As of there were shares remaining available for future issuance. The following table summarizes the activity relating to the Company’s ESPP program for the years ended

 

Stock Options

The expected volatility assumption is based on historical volatility of the Company’s common stock over the most recent period commensurate with the expected life of the stock option granted. The Company uses historical volatility because management believes such volatility is representative of prospective trends. The risk-free interest rate assumption is based upon observed interest rates appropriate for the expected life of the stock option awarded. The Company determines expected lives as the average of the vesting period and the contractual period. Dividend yields have been a factor in determining fair value of stock options granted as the Company has never issued cash dividends and does anticipate issuing cash dividends in the future.

December 31,

201

the Company granted million stock options, of which million were issued to Board members, at exercise prices which were a preceding -day average price on the date of grant and a vesting period of months. During the year ended the Company granted million stock options, of which were issued to Board members. The following table details the various stock option and inducement stock option activity for the years ended

December 31,

201

December 31:

 

Stock-based compensation expense

December 31 (

):

 

Common Share Repurchase Program

March

our Board of Directors approved a stock repurchase program authorizing the Company to repurchase up to million shares of the Company’s outstanding stock. The repurchase program will be subject to market conditions, the periodic capital needs of the Company’s operating activities, and the continued satisfaction of all covenants under the Company’s existing credit agreement. Repurchases under the program take place in the open market or in privately negotiated transactions, and be made under a Rule - plan. The repurchase program does obligate the Company to repurchase shares and be suspended, terminated, or modified at any time. During the years ended and the Company did repurchase any shares in the open market.