v2.4.0.6
STOCK OPTIONS AND WARRANTS (Tables)
9 Months Ended
Sep. 30, 2012
Stock Options And Warrants Tables  
Stock optionand warrant activity

The following table summarizes all stock option and warrant activity for the nine months ended September 30, 2012:

 

    Shares    

Weighted average

exercise Price

Per Share

 
Outstanding, December 31, 2011     19,648,462     $ 0.34  
Granted     15,247,333       0.33  
Exercised     -       -  
Forfeited     (7,053,846 )     0.33  
Expired     -       -  
                 
Outstanding, September 30, 2012     27,841,949     $ 0.33  
                 
Exercisable at September 30, 2012     25,111,949     $ 0.34  

 

Outstanding and exercisable options and warrants

The following table discloses information regarding outstanding and exercisable options and warrants at September 30, 2012:

 

    Outstanding     Exercisable

Range of

Exercise Prices

 

Number of 

Option Shares

   

Weighted-

Average

Exercise Price

   

Remaining

Weighted-

Average

Contractual

Term (Years)

   

Number of 

Option Shares

   

Weighted-average

Exercise Price

$0.20 – $0.25     4,730,000     $ 0.23       4.3       2,000,000     $ 0.20
$0.26 – $0.30     8,473,333       0.30       2.1       8,473,333       0.30
$0.31 – $0.35     2,024,616       0.33       4.2       2,024,616       0.33
$0.36 – $0.40     10,814,000       0.38       3.7       10,814,000       0.38
$0.41 – $0.50     1,800,000       0.50       0.6       1,800,000       0.50
      27,81,949     $ 0.33       3.1       25,111,949     $ 0.36

 

Black-Scholes option pricing model

In determining the compensation cost of the stock options granted, the fair value of each option grant has been estimated on the date of grant using the Black-Scholes option pricing model. The assumptions used in these calculations are summarized as follows:

  September 30,
2012
 
Expected term of options granted   5 years    
Expected volatility range   211 – 229   %
Range of risk-free interest rates   0.81 – 1.80   %
Expected dividend yield   0   %