STOCK OPTIONS

Stock Options.

The following table summarizes stock option activity during the six months ended June 30, 2015:



	Number of Options		Weighted-Average Exercise Price
Outstanding at January 1, 2015	685,984		$	6.56
Granted	608,910		1.50
Forfeited	(18,397	)	4.08
Expired	(49,198	)	9.99
Outstanding at June 30, 2015	1,227,299		$	3.95
Exercisable at June 30, 2015	350,213		$	7.41

During the six months ended June 30, 2015, we granted options to purchase 608,910 shares of our common stock at a weighted-average exercise price of $1.50 per share under our 2006 Equity Incentive Plan, as amended (the “Plan”). Options to purchase an aggregate of 214,296 shares of our common stock were granted during the six months ended June 30, 2014.

As of June 30, 2015, there were 350,213 options exercisable and 1,140,292 options were vested or expected to vest with an aggregate intrinsic value of approximately $0.1 million.

Stock Appreciation Rights (“SARs”)

The following table summarizes SARs activity under the Plan during the six months ended June 30, 2015:



	Number of SARs	Weighted-Average Exercise Price
Outstanding at January 1, 2015	98,333	$	4.14
Outstanding at June 30, 2015	98,333	$	4.14
Exercisable at June 30, 2015	48,958	$	4.32

All outstanding SARs were issued solely to our executive officers.

As of June 30, 2015, 48,958 shares subject to outstanding SARs were exercisable and 98,333 shares were vested or expected to vest. The weighted-average exercise price of these SARs was $4.14 per share and the aggregate intrinsic value was zero.