Ideal Power Inc. Annual report pursuant to Section 13 and 15(d)

Equity Incentive Plan (Tables)

12 Months Ended

Dec. 31, 2018

A summary of the Company’s RSU activity is as follows:

A summary of the Company’s stock option activity and related information is as follows:

	2018							2017
	Stock Options			Weighted Average Exercise Price		Weighted Average Remaining Life (in years)		Stock Options			Weighted Average Exercise Price		Weighted Average Remaining Life (in years)
Outstanding at January 1		1,232,236		$	6.44		6.8		1,385,204		$	6.89		7.5
Granted		422,039		$	1.31				167,725		$	2.99
Exercised		—							(26,743	)	$	0.42
Forfeited		(183,828	)	$	5.54				(293,950	)	$	7.14
Outstanding at December 31		1,470,447		$	5.08		6.8		1,232,236		$	6.44		6.8
Exercisable at December 31		1,401,522		$	5.11		6.8		910,436		$	6.52		6.6

The following table sets forth additional information about stock options outstanding at December 31, 2018:

Range of Exercise Prices	Options Outstanding		Weighted Average Remaining Life (in years)		Weighted Average Exercise Price		Options Exercisable
$1.22 – $2.50		451,139		9.2	$	1.37		429,314
$2.51 – $5.00		190,942		6.4	$	3.72		168,942
$5.01 – $7.50		385,828		5.3	$	6.91		371,753
$7.51 – $8.27		442,538		5.9	$	7.86		431,513
		1,470,447						1,401,522

The assumptions used in the Black-Scholes model for these warrants are as follows:

Average risk-free interest rate	1.59	%
Expected dividend yield	—	%
Expected life	3 years
Expected volatility	65	%

The assumptions used in the Black-Scholes model are as follows:

	For the year ended December 31,
	2018			2017
Average risk-free interest rate		2.76	%		2.16	%
Expected dividend yield		—	%		—	%
Expected life		3.25 to 5.63 years			5.31 to 6.25 years
Expected volatility		70	%		65	%