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

share-based compensation

plans were 5,386,000, 6,355,000 and 7,002,000 at May 31, 2022, 2021 and 2020, respectively. Options vest ratably over

three

and five-year periods and the contractual terms are generally

five

or ten years.


				Weighted-Average		Weighted-Average
(options in thousands)	Options			Exercise Price		Grant Date Fair Value
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
Granted		615			36.42		8.49
Exercised		(281	)		22.79		6.29
Forfeited		(47	)		33.93		8.02

Outstanding at May 31, 2022 (1,191 exercisable)		3,244			32.13		7.66

The following is a summary of stock options outstanding at May 31, 2022:


	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		49		2.3	$	15.43		49	$	15.43
$20.01 - $28.99		344		3.8		26.80		83		23.08
$29.00 - $30.99		493		0.9		30.16		332		30.13
$31.00- $31.99		1,509		2.0		31.70		581		31.64
$32.00- $42.45		849		3.7		37.16		146		33.88

		3,244		2.5		32.13		1,191		30.24

The weighted average exercise price of shares subject to options that were exercisable at May 31, 2021 and 2020 was $28.10 and $24.47, respectively.

Compensation expense related to share-based awards was $

7,154,000

, $

6,437,000

and $

6,468,000

in fiscal years

2022

2021

and

2020

, respectively. Remaining compensation cost to be expensed in future periods for non-vested options was $

10,927,000

at May

2022

, with a weighted average expense recognition period of

2.9

years.


	Year ended May 31
(in thousands)	2022		2021		2020
Aggregate intrinsic value of options outstanding	$	850	$	46,667	$	32,988
Aggregate intrinsic value of options exercisable	$	817	$	11,617	$	10,814
Aggregate intrinsic value of options exerised	$	5,507	$	22,349	$	19,597

The Company grants restricted stock units (RSUs) to directors, officers and employees under the terms of the 2018 Omnibus Incentive Plan, which vest ratably over three and five year periods.

The

RSUs

are

expensed straight-line over the remaining weighted-average period of

4.0

years. On May 31,
2022

there was $6,866,000 in unamortized compensation cost related to non-vested RSUs.


(RSU Grants in thousands)	RSUs			Weighted Average Grant Date Fair Value
Outstanding at May 31, 2020		—		$	—
Granted		122			34.21
Released		—			—
Forfeited		(1	)		34.21

Outstanding at May 31, 2021		121			34.21
Granted		169			37.28
Released		(25	)		34.24
Forfeited		(8	)		36.80

Outstanding at May 31, 2022		257			36.14

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 43,456 in fiscal 2022, 38,406 in fiscal 2021 and 43,156 in fiscal 2020. As of May 31, 2022, common stock totaling 605,774 of the 1,425,000 authorized shares remained reserved for issuance under the plan.