XML 28 R13.htm IDEA: XBRL DOCUMENT v3.23.3
Stock-Based and Other Long-Term Incentive Compensation
 9 Months Ended
Sep. 30, 2023
Share-Based Payment Arrangement [Abstract]  
Stock-Based and Other Long-Term Incentive Compensation Stock-Based and Other Long-Term Incentive Compensation
Stock Options

A summary of all option activity as of December 31, 2022, and changes during the nine months ended September 30, 2023 is presented below:

Number
 of
Stock Options
Weighted Average
Exercise
 Price
Weighted
Average
Remaining
Contractual Life (years)
Aggregate
Intrinsic
Value
(in thousands)
Outstanding, December 31, 2022201,584 $19.32 3.90$41 
Granted1,000 $10.12 9.76$— 
Cancelled / Forfeited(12,500)$15.60 — 4 
Expired
(38,000)$16.28 — — 
Outstanding, September 30, 2023152,084 $20.33 3.81— 
Exercisable, September 30, 2023119,750 $22.89 2.58$— 


The following table summarizes information about our stock options outstanding at September 30, 2023:

 
Range of Exercise Prices
Options Outstanding
Options Exercisable
Shares
Weighted
Average
Remaining
Contractual
Life (years)
Weighted
Average
Exercise
Price
Shares
Weighted
Average
Exercise
Price
$0.01-18.00
73,000 6.22$12.97 40,666 $14.65 
$22.01-26.00
28,667 1.54$22.90 28,667 $22.90 
$26.01-30.00
19,750 3.38$28.15 19,750 $28.15 
$30.01-34.00
30,667 0.47$30.41 30,667 $30.41 
152,084 3.81$20.33 119,750 $22.89 

The summary of the status of our unvested stock options as of December 31, 2022 and changes during the nine months ended September 30, 2023 is presented below:
Unvested Stock Options:SharesWeighted Average Grant Date Fair Value Per Share
Unvested at December 31, 2022
39,000 $5.44 
Granted1,000 $5.30 
Vested, outstanding shares(3,332)$6.26 
Cancelled/Forfeited(4,334)$5.15 
Unvested at September 30, 2023
32,334 $5.38 
As of September 30, 2023, there was $108,000 of unrecognized compensation cost related to unvested options. For the nine months ended September 30, 2023, there was $74,000 of compensation expense for stock options. For the nine months ended September 30, 2022, there was 361,000 of compensation expense for stock options.

Restricted Shares/Units

On April 26, 2022, 4,212 shares of restricted common stock were awarded to each of our three independent Board members. The restricted stock issued to these directors vests in one year from the date of grant. On August 15, 2022, the Compensation Committee awarded 32,040 shares of restricted common stock to two executive officers that vest ratably over three years, beginning on April 25, 2023 of these 32,040 shares, 11,024 shares were forfeited in connection with the executive officer's resignation. In addition, on August 15, 2022, the Compensation Committee awarded 60,839 shares of restricted stock to Stephen C. Taylor, our Interim Chief Executive Officer, that vested in full on June 30, 2023. On April 25, 2023, the Compensation Committee awarded 27,840 shares of restricted stock to our Chief Technical Officer that vest ratably over three years, beginning on April 25, 2024. Pursuant to the Retirement Agreement dated May 17, 2022, between the Company and Mr. Taylor, our Interim Chief Executive Officer, on April 25, 2023, the Compensation Committee awarded 58,790 fully vested shares of common stock to Mr. Taylor. On May 9, 2023, the Compensation Committee awarded each of our four independent Board members 9,470 restricted stock units. These restricted stock units vest one year from the date of grant. On June 30, 2023 Stephen C. Taylor was granted restricted stock units for 10,101 shares of common stock that will vest one year from the date of grant.

Total compensation expense related to these and previously granted restricted stock awards was $1.7 million and $1.0 million for the nine months ended September 30, 2023, and 2022, respectively.

A summary of all restricted stock/units outstanding as of December 31, 2022 and activity during the nine months ended September 30, 2023 is presented below:

 Number
 of
Shares		Weighted Average
Grant Date Fair Value		Weighted
Average
Remaining
Contractual Life (years)
Aggregate
Intrinsic
Value
(in thousands)
Outstanding, December 31, 2022250,847 $8.40 1.42$2,681 
Granted
153,656 $10.41 $1,599 
Vested
(267,232)$9.22 $2,683 
Canceled/Forfeited
(14,357)$10.04 $158 
Outstanding, September 30, 2023122,914 $10.29 4.84$1,482 


Other Long-Term Incentive Compensation
On April 26, 2022, subject to vesting we granted a $50,000 cash award to each of our three independent Board members. These awards vested on April 26, 2023 and have been paid. The Company accounts for these other long-term incentive awards as liabilities under accrued liabilities on our condensed consolidated balance sheet. In general the vesting of long term awards is subject to acceleration upon certain events, such as (i) death or disability of the recipient, (ii) certain circumstances in connection with a change of control of the Company, (iii) for executive officers, termination without cause (as defined in the agreement), and (iv) for executive officers, resignation for good reason (as defined in the agreement). Total compensation expense related to these and other long-term incentive awards was approximately $426,000 and $672,000 for the nine months ended September 30, 2023 and 2022, respectively. As of September 30, 2023, all compensation expense related to these other long-term incentive awards had been recognized.