XML 58 R21.htm IDEA: XBRL DOCUMENT v2.4.0.8
Stock Options and Restricted Stock Awards
 3 Months Ended
Jun. 30, 2014
Stock Options and Restricted Stock Awards [Abstract]  
Stock Options and Restricted Stock Awards
13. Stock Options and Restricted Stock Unit Awards

Stock Options

The Company granted options to purchase 82,537 and 6,000 shares of common stock during the three months ended June 30, 2014 and 2013, respectively. The cost associated with stock options is estimated using the Black-Scholes option-pricing model. The Black-Scholes option pricing model requires the input of subjective assumptions including the expected volatility of the underlying stock and the expected holding period of the option. These subjective assumptions are based on both historical and other information. Changes in the values assumed and used in the model can materially affect the estimate of fair value.

The table below summarizes the Black-Scholes option pricing model assumptions used to derive the weighted average fair value of the stock options granted during the periods noted.
 
 
Three Months Ended
 
 
June 30,
 
 
2014
  
2013
 
Weighted average risk free interest rate
  
1.75
%
  
1.39
%
Weighted average expected holding period (years)
  
5.01
   
7.01
 
Weighted average expected volatility
  
46.02
%
  
44.21
%
Weighted average expected dividend yield
  
-
   
-
 
Weighted average fair value of options granted
 
$
9.65
  
$
2.96
 

A summary of stock option transactions for the three months ended June 30, 2014 follows:
 
 
Number of
  
Weighted Average
 
 
Shares
  
Exercise Price
 
Outstanding at March 31, 2014
  
1,426,968
  
$
9.21
 
Granted
  
82,537
  
$
22.99
 
Exercised
  
-
  
$
-
 
Cancelled
  
(7,250
)
 
$
10.81
 
Outstanding at June 30, 2014
  
1,502,255
  
$
9.96
 
 
At June 30, 2014, options to purchase 933,016 shares of common stock were exercisable at the weighted average exercise price of $9.04.

A summary of changes in the status of non-vested stock options during the three months ended June 30, 2014 is presented below:
 
 
Number of
Shares
  
Weighted Average
Grant Date Fair
Value
 
Non-vested at March 31, 2014
  
490,702
  
$
4.39
 
Granted
  
82,537
  
$
9.65
 
Vested
  
(4,000
)
 
$
3.00
 
Cancelled
  
-
  
$
-
 
Non-vested at June 30, 2014
  
569,239
  
$
5.16
 
 
At June 30, 2014, there was $2,301,000 of total unrecognized compensation expense from stock-based compensation granted under the plans, which is related to non-vested shares. The compensation expense is expected to be recognized over a weighted average vesting period of approximately 1.9 years.

Restricted Stock Units (“RSU’s”)

During the three months ended June 30, 2014, the Company granted 95,645 RSU’s with an estimated grant date fair value of $2,316,000, which is based on the closing market price on the date of grant. The Company did not grant any RSU’s during the three months ended June 30, 2013. These awards generally vest in three equal installments beginning each anniversary from the grant date, subject to continued employment. The fair value related to the RSU’s will be recognized as compensation expense over the vesting period.
 
 
Number of
Shares
  
Weighted Average
Grant Date Fair
Value
 
Non-vested RSU's at March 31, 2014
  
138,000
  
$
9.32
 
RSU's granted
  
95,645
  
$
24.21
 
RSU's vested
  
(4,400
)
 
$
22.93
 
RSU's cancelled
  
-
  
$
-
 
Non-vested RSU's at June 30, 2014
  
229,245
  
$
15.27
 
 
As of June 30, 2014, there was $3,171,000 of unrecognized compensation expense related to RSU’s, which will be recognized over the remaining vesting period of approximately 2.5 years.