Incentive and

non-qualified

options to purchase shares of common stock have been granted to directors, officers and employees of Neogen under the terms of the Company’s stock option plans. These options were granted at an exercise price of not less than the fair market value of the stock on the date of grant. Remaining shares available for grant under stock option plans were 6,355,000, 7,002,000

and 7,994,000 at May 31, 2021, 2020 and 2019, respectively. Options vest ratably over three and five-year periods and the contractual terms are generally five or ten years.


(options in thousands)	Options			Weighted-Average Exercise Price		Weighted-Average Grant Date Fair Value
Outstanding at May 31, 2018 (1,016 exercisable)		4,998		$	21.32	$	5.72
Granted		1,054			31.46		7.46
Exercised		(1,026	)		15.64		4.46
Forfeited		(256	)		23.54		6.21

Outstanding at May 31, 2019 (1,234 exercisable)		4,770			24.69		6.35
Granted		1,124			31.96		7.78
Exercised		(1,438	)		20.12		5.53
Forfeited		(132	)		28.72		7.10

Outstanding at May 31, 2020 (972 exercisable)		4,324			27.98		6.98
Granted		403			34.23		7.71
Exercised		(1,389	)		24.38		6.31
Forfeited		(381	)		28.99		7.20

Outstanding at May 31, 2021 (643 exercisable)		2,957			30.38		7.36

The following is a summary of stock options outstanding at May 31, 2021:


	Options Outstanding						Options Exercisable
			Average
(options in thousands)			Contractual Life		Weighted-Average				Weighted-Average
Range of Exercise Price	Number		(in years)		Exercise Price		Number		Exercise Price
$10.75 - $20.00		54		3.1	$	15.65		51	$	15.45
$20.01 - $30.00		376		1.8		22.55		150		23.07
$30.01 - $31.50		1,150		2.1		30.87		299		30.76
$31.51 - $32.00		898		3.4		31.95		101		31.95
$32.01 - $35.28		479		4.1		34.07		42		33.53

		2,957		2.8		30.38		643		28.10

The weighted average exercise price of shares subject to options that were exercisable at May 31, 2020 and 2019 was

$24.47 and $20.34, respectively.

Compensation expense related to share-based awards was $6,437,000, $6,468,000 and $5,543,000 in fiscal years 2021, 2020 and 2019, respectively. Remaining compensation cost to be expensed in future periods for

non-vested

options was $15,131,000 at May 31, 2021, with a weighted average expense recognition period of 3.1 years.


	Year Ended
(in thousands)	May 31, 2021		May 31, 2020		May 31, 2019
Aggregate intrinsic value of options outstanding	$	46,667	$	32,988	$	22,798
Aggregate intrinsic value of options exercisable	$	11,617	$	10,814	$	10,222
Aggregate intrinsic value of options exerised	$	22,349	$	19,597	$	21,382

The Company granted 118,250 restricted stock units (RSUs) to directors, officers and employees under the terms of the 2018 Omnibus Incentive Plan in October 2020, which vest ratably over three and five year periods. RSUs have a weighted average value of $34.21 per share and will be expensed straight-line over the remaining weighted-average period of 4.24 years. On May 31, 2021 there was $3,064,000 in unamortized compensation cost related to

non-vested

RSUs.

The Company offers eligible employees the option to purchase common stock at a 5% discount to the lower of the market value of the stock at the beginning or end of each participation period under the terms of the 2011 Employee Stock Purchase Plan; the discount is recorded in general and administrative expense. Total individual purchases in any year are limited to 10% of compensation. Shares purchased by employees through this program were 38,406

in fiscal 2021

, 43,156

in fiscal 2020

and

36,660

in fiscal 2019. As of May 31, 2021, common stock totaling

649,228 of the 1,425,000

authorized shares remained reserved for issuance under the plan.