Annual report pursuant to Section 13 and 15(d)

Share-based Compensation (Tables)

v3.6.0.2
Share-based Compensation (Tables)
 12 Months Ended
Dec. 31, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Summary of Restricted Share Activity, Excluding Company's Employee Stock Purchase Plan

The following table summarizes restricted share activity, excluding the Company’s employee stock purchase plan, for the years ended December 31:

 

     Number of
shares		     Weighted
average
grant
date fair
value		      Aggregate
fair value		  

Unvested at December 31, 2014

      256,003     $ 1.78     

Granted

      61,663       2.60     

Vested

      (83,029 )      1.53      $ 244,319  

Vested shares forgone to satisfy minimum statutory withholding

      (24,031 )      2.96      $ 71,445  

Forfeitures

      (39,774 )      1.79     
  

 

 

    

 

 

     

Unvested at December 31, 2015

      170,832       2.09     

Granted

      —         —       

Vested

      (64,182 )      1.74      $ 236,161  

Vested shares forgone to satisfy minimum statutory withholding

      (16,484 )      2.81      $ 49,592  

Forfeitures

      (32,833 )      2.18     
  

 

 

    

 

 

     

Unvested at December 31, 2016

      57,333     $ 2.21     
  

 

 

    

 

 

     
Summary of Activity Relating to Company's ESPP Program

The following table summarizes the activity relating to the Company’s ESPP program for the years ended December 31:

 

     2016      2015  

Compensation expense

    $ 113,531      $ 40,233  

Shares of stock sold to employees

      88,109        98,070  

Weighted average fair value per ESPP award

    $ 2.73      $ 2.73  
Summary of Stock Option and Inducement Stock Option Activity

The following table details the various stock option and inducement stock option activity for the years ended December 31:

 

2007 Plan (Options)

    Number of
Authorized
Shares		     Weighted-
Average
Exercise
Price		      Weighted-
Average
Remaining
Contractual
Term (in Years)		      Aggregate
Intrinsic
Value		  

Outstanding at December 31, 2014

      595,000     $ 2.19        1.51      $ 571,717  

Granted

      —         —          —       

Exercised

      (52,030 )      1.64           140,368  

Exercised shares forgone to satisfy minimum statutory withholding

      (7,688 )      1.76        

Cashless exercise

      (41,950 )      1.70        

Forfeited

      (5,000 )      1.93        
  

 

 

    

 

 

     

 

 

     

 

 

  

Outstanding at December 31, 2015

      488,332     $ 2.31        0.41      $ 348,415  
  

 

 

    

 

 

     

 

 

     

 

 

  

Granted

      —         —          —       

Exercised

      —         —             —    

Exercised shares forgone to satisfy minimum statutory withholding

      —         —          

Cashless exercise

      —         —          

Forfeited

      —         —          
  

 

 

    

 

 

     

 

 

     

 

 

  

Outstanding at December 31, 2016

      488,332     $ 2.31        0.25      $ 118,899  
  

 

 

    

 

 

     

 

 

     

 

 

  

Exercisable at December 31, 2016

      483,332     $ 2.29        
  

 

 

    

 

 

        

Aggregate Intrinsic Value = Excess of market value over the option exercise price of all in-the-money stock options.

 

2014 Plan (Options)

    Number
of Authorized
Shares		     Weighted-
Average Exercise
Price		      Weighted-
Average
Remaining
Contractual
Term (in
Years)		      Aggregate
Intrinsic
Value		  

Outstanding at December 31, 2014

      530,000     $ 2.69        5.00      $ 243,800  

Granted

      470,000     $ 2.90        3.25      $ —    

Exercised

      —            

Exercised shares forgone to satisfy minimum statutory withholding

      —            

Forfeited

      (30,000 )      2.69        
  

 

 

    

 

 

     

 

 

     

 

 

  

Outstanding at December 31, 2015

      970,000     $ 2.79        3.58      $ 222,200  
  

 

 

    

 

 

     

 

 

     

 

 

  

Exercisable at December 31, 2015

      410,903     $ 2.85        
  

 

 

    

 

 

        

Granted

      600,000       2.76        4.60     

Exercised

      (1,866 )      2.69        

Exercised shares forgone to satisfy minimum statutory withholding

      (798 )      2.69        

Cashless exercise

      (12,614 )      2.69        

Forfeited

      (304,723 )      2.70        
  

 

 

    

 

 

     

 

 

     

 

 

  

Outstanding at December 31, 2016

      1,249,999     $ 2.80        4.26      $ —    
  

 

 

    

 

 

     

 

 

     

 

 

  

Exercisable at December 31, 2016

      616,597     $ 2.87        
  

 

 

    

 

 

        

Aggregate Intrinsic Value = Excess of market value over the option exercise price of all in-the-money stock options.

 

Inducement Options

    Number of
Authorized
Shares		      Weighted-
Average Exercise
Price		      Weighted-
Average
Remaining
Contractual
Term (in Years)		      Aggregate
Intrinsic
Value		  

Outstanding at December 31, 2014

      800,000      $ 2.25        3.89      $ 720,000  

Granted

      —          —          —          —    

Exercised

      —          —          —          —    

Forfeited

      —          —          —          —    
  

 

 

     

 

 

     

 

 

     

 

 

  

Outstanding at December 31, 2015

      800,000      $ 2.25        2.90      $ 616,000  
  

 

 

     

 

 

     

 

 

     

 

 

  

Granted

      —          —          —          —    

Exercised

      —          —          —          —    

Forfeited

      —          —          —          —    
  

 

 

     

 

 

     

 

 

     

 

 

  

Outstanding at December 31, 2016

      800,000      $ 2.25        2.26      $ 240,000  
  

 

 

     

 

 

     

 

 

     

 

 

  

Exercisable at December 31, 2016

      756,250      $ 2.25        
  

 

 

     

 

 

        

Aggregate Intrinsic Value = Excess of market value over the option exercise price of all in-the-money stock options.
Schedule of Stock Options Outstanding

The following table summarizes information about stock options outstanding at December 31, 2016:

 

2007 Plan (Options):

    Options Outstanding      Options Exercisable  

Range of Exercise Prices

    Number of
Shares
Outstanding		      Weighted-
Average
Remaining
Contractual
Life		      Weighted-
Average
Exercise
Price		      Number of
Shares
Exercisable		      Weighted-
Average
Exercise
Price		  

$1.50 - $1.75

      110,000        —        $ 1.51        110,000      $ 1.51  

$1.76 - $2.00

      91,666        —          1.93        91,666        1.70  

$2.01 - $3.00

      286,666        0.25        2.71        281,666        2.71  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Outstanding at December 31, 2016

      488,332        0.25      $ 2.31        483,332      $ 2.29  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

 

2014 Plan (Options):

    Options Outstanding      Options Exercisable  

Range of Exercise Prices

    Number of
Shares
Outstanding		      Weighted-
Average
Remaining
Contractual
Life		      Weighted-
Average
Exercise
Price		      Number of
Shares
Exercisable		      Weighted-
Average
Exercise
Price		  

$2.01 - $3.00

      1,249,999        4.26      $ 2.80        616,597      $ 2.87  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Outstanding at December 31, 2016

      1,249,999        4.26      $ 2.80        616,597      $ 2.87  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

 

Inducement Options:

    Options Outstanding      Options Exercisable  

Range of Exercise Prices

    Number of
Shares
Outstanding		      Weighted-
Average
Remaining
Contractual
Life		      Weighted-
Average
Exercise
Price		      Number of
Shares
Exercisable		      Weighted-
Average
Exercise
Price		  

$1.50 - $1.75

      400,000        2.26      $ 1.75        381,250      $ 1.75  

$2.26 - $2.75

      400,000        2.26        2.75        375,000        2.75  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Outstanding at December 31, 2016

      800,000        2.26      $ 2.25        756,250      $ 2.25  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  
Schedule of Share-based Compensation Expense Based on Fair Value of Options

The following is the average fair value per share estimated on the date of grant and the assumptions used for options granted during the years ended December 31:

 

Stock Options:

    2016      2015  

Expected volatility

      35%        50% to 54%  

Risk free interest rate

      0.69%        0.25% to 0.66%  

Expected lives at date of grant (in years)

      5.01        4.43  

Weighted average fair value of options granted

    $ 2.76        $    2.90  
Stock Based Compensation

The following table presents the total stock-based compensation expense, which is included in selling, general and administrative expenses for the years ended December 31 (in thousands):

 

     2016      2015  

Restricted share expense

    $ 151      $ 107  

Stock option expense

      311        889  
  

 

 

     

 

 

  

Total stock-based compensation expense

    $ 462      $ 996