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STOCK BASED COMPENSATION
 6 Months Ended
Jun. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]
NOTE 14: STOCK BASED COMPENSATION  
 
Stock Options and Incentive Plan
 
On September 28, 2010, the Board of Directors approved the adoption of the 2010 Stock Option and Incentive Plan, or the 2010 Plan, to provide for the grant of equity-based awards to employees, officers, non-employee directors and other key persons providing services to the Company. Awards of incentive options may be granted under the 2010 Plan until September 2020. No other awards may be granted under the 2010 Plan after the date that is 10 years from the date of stockholder approval. An aggregate of 1,000,000 shares were initially reserved for issuance in connection with awards granted under the 2010 Plan and on May 18, 2016, an additional 2,000,000 shares were reserved for issuance under the 2010 Plan.
 
The following table presents the automatic additions to the 2010 Plan since inception pursuant to the “evergreen” terms of the 2010 Plan:
 
January 1,
 
Number of
shares
 
2012
 
 
450,275
 
2013
 
 
516,774
 
2014
 
 
742,973
 
2015
 
 
983,362
 
2016
 
 
3,306,290
 
Total additional shares
 
 
5,999,674
 
 
The Company granted 2,778,671 additional options to purchase shares of common stock to employees and directors during the three and six months ended June 30, 2016. No options were exercised during the three and six months ended June 30, 2016.  There are 2,113,315 shares available for grant under the 2010 Plan as of June 30, 2016.
 
Compensation costs associated with the Company’s stock options are recognized, based on the grant-date fair values of these options, over the requisite service period, or vesting period. Accordingly, the Company recognized stock based compensation expense of $200,187 and $205,112 for the three months ended June 30, 2016 and 2015, respectively and $392,644 and $353,981 for the six months ended June 30, 2016 and 2015, respectively.
 
Options issued and outstanding as of June 30, 2016 and their activities during the six months then ended are as follows:
 
 
 
Number of
Underlying
Shares
 
Weighted-
Average
Exercise Price
Per Share
 
Weighted-
Average
Contractual
Life Remaining
in Years
 
Aggregate
Intrinsic Value
 
Outstanding as of January 1, 2016
 
 
3,613,944
 
$
2.40
 
 
 
 
$
-
 
Granted
 
 
2,778,671
 
 
0.26
 
 
 
 
 
-
 
Forfeited
 
 
(481,256)
 
 
1.66
 
 
 
 
 
-
 
Outstanding as of June 30, 2016
 
 
5,911,359
 
 
1.45
 
 
8.78
 
$
47,237
 
Exercisable as of June 30, 2016
 
 
1,885,703
 
 
3.07
 
 
7.37
 
$
-
 
Vested and expected to vest (1)
 
 
3,007,207
 
$
2.55
 
 
7.77
 
$
-
 
 
(1) vested shares and unvested shares after a forfeiture rate is applied
 
At June 30, 2016, there were 4,025,656 unvested options outstanding and the related unrecognized total compensation cost associated with these options was approximately $4.0 million. This expense is expected to be recognized over a weighted-average period of 2.32 years.