XML 27 R14.htm IDEA: XBRL DOCUMENT v3.5.0.2
Note 8 - Share-based Compensation
 9 Months Ended
Sep. 30, 2016
Notes to Financial Statements  
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]
8.     Share-based Compensation      
 
The Company has one active stock incentive plan for employees and directors: the 2007 Stock Incentive Plan, which provides for awards of stock options to purchase shares of common stock, stock appreciation rights, restricted and unrestricted shares of common stock, restricted stock units (RSUs) and performance share awards (PSAs). In addition, the Company has one inactive stock option plan, the 1995 Stock Option Plan for Nonemployee Directors, under which previously granted options remain outstanding.
 
The Company recognizes compensation cost as service is rendered based on the fair value of the awards. The following table summarizes share-based compensation expense recorded (in thousands):
 
 
 
 
Three Months Ended September 30,
 
 
Nine Months Ended September 30,
 
 
 
2016
 
 
2015
 
 
2016
 
 
2015
 
                                 
Cost of sales
   $ 79     $ 116     $ 118     $ 296  
Selling, general and administrative expenses
     440       91       1,214       1,044  
Total
   $ 519     $ 207     $ 1,332     $ 1,340  
 
As of September 30, 2016, unrecognized compensation expense related to the unvested portion of the Company’s RSUs and PSAs was $1.5 million, which is expected to be recognized over a weighted average period of 1.1 years.
 
 
Stock Option Awards
 
A summary of the status of the Company’s stock options as of September 30, 2016 and changes during the nine months then ended is presented below:
 
 
 
 
Options
Outstanding
 
 
Weighted
Average
Exercise Price
per Share
 
 
Weighted
Average
Remaining
Contractual
Life
 
 
Aggregate
Intrinsic Value
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(In thousands)
 
Balance, January 1, 2016
    28,000     $ 25.21                  
Options granted
    -       -                  
Options exercised
    -       -                  
Options cancelled
    (2,000 )     28.31                  
Balance, September 30, 2016
    26,000       24.97       3.28     $ -  
Exercisable, September 30, 2016
    26,000       24.97       3.28     $ -  
 
Restricted Stock Units and Performance
Stock
Awards
 
A summary of the status of the Company’s RSUs and PSAs as of September 30, 2016 and changes during the nine months then ended is presented below:
 
 
 
 
 
Number of RSUs and PSAs
 
 
Weighted Average Grant Date Fair Value
 
Balance, January 1, 2016
     127,852     $ 38.87  
RSUs and PSAs granted
     169,583       9.50  
RSUs and PSAs vested
     (12,212 )     31.50  
RSUs and PSAs canceled
     (63,126 )     36.93  
Balance, September 30, 2016
     222,097       17.40  
 
RSUs and PSAs are measured at the estimated fair value on the date of grant. RSUs are service-based awards and vest according to vesting schedules, which range from immediate to ratably over a three-year period. PSAs are service-based awards that vest over a three-year period and have a market-based payout condition. Vesting of the market-based PSAs is dependent upon the performance of the market price of the Company’s stock relative to a peer group of companies. The unvested balance of RSUs and PSAs at September 30, 2016 includes approximately 47,000 PSAs at a target level of performance; the actual number of common shares that will ultimately be issued will be determined by multiplying this number of PSAs by a payout percentage ranging from 0% to 200%.
 
Stock Awards
 
For the nine months ended September 30, 2016 and 2015, stock awards of 27,640 and 10,464 shares, respectively, were granted to non-employee directors, which vested immediately upon issuance. The Company recorded compensation expense based on the weighted average fair market value per share of the awards on the grant date of $9.95 and $21.02 in 2016 and 2015, respectively.