Equity Incentive Plan |
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Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Disclosure of Compensation Related Costs, Share-based Payments [Text Block] |
Note 9 — Equity Incentive Plan
On May 17, 2013, the Company adopted the 2013 Equity Incentive Plan (the “Plan”) and reserved shares of common stock for issuance under the Plan. The Plan is administered by the Compensation Committee of the Company’s Board of Directors. At March 31, 2016, 654,927 shares of common stock were available for issuance under the Plan.
During the three months ended March 31, 2016, the Company granted 37,938 stock options to Board members and 22,000 stock options to employees. The estimated fair value of stock options granted under the Plan in the three months ended March 31, 2016, calculated using the Black-Scholes option valuation model, was $207,482, of which $39,235 was recognized during the three months ended March 31, 2016.
During the three months ended March 31, 2016, the Company also granted employees 119,000 performance stock units (“PSUs”), which are subject to the satisfaction of certain market-based and continued service conditions. The market-based vesting criteria are separated into four tranches and require that the Company achieve certain stock price targets ranging from $10 per share to $16 per share during the four-year period following the grant date. With certain limited exceptions, continued employment with the Company on the fourth anniversary of the grant date is required in order for the PSUs to vest. The grant-date fair value of the PSUs was $429,293, or $3.61 per unit, using a Monte Carlo Simulation with a four-year life, 55% volatility and a risk free interest rate of 1.5%. The fair value of the PSUs granted under the Plan in the three months ended March 31, 2016 is being recognized over the vesting period and $26,831 was recognized during the three months ended March 31, 2016.
During the three months ended March 31, 2016, 4,607 options to purchase shares of the Company’s common stock were exercised resulting in net proceeds of $23,035.
A summary of the Company’s stock option activity and related information is as follows:
At March 31, 2016, potentially dilutive shares outstanding amounted to 3,014,810. Also, at March 31, 2016, there was $3,771,755 of unrecognized compensation cost related to non-vested equity awards granted under the Plan. That cost is expected to be recognized over a weighted average period of 2.8 years. |
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