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STOCK OPTIONS | 12 Months Ended
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Dec. 31, 2015
STOCK OPTIONS |
STOCK OPTIONS | 16.STOCK OPTIONS Stock options The Company has approved stock option plans for the granting of stock options to employees, Directors, and consultants. Options for the purchase of 2,899,108 shares of Common Stock have been issued under the 2008 Stock Option Plan, which, pursuant to a 2014 amendment, authorizes a total of 6,000,000 shares of Common Stock upon the exercise of stock options. Options for the purchase of 2,182,569 shares under the 2008 Stock Option Plan were outstanding as of December 31, 2015. Options for the purchase of 1,000,000 shares of Common Stock remain outstanding under an option granted to Mr. Thomas J. Shaw. The Compensation and Benefits Committee administers all plans and determines and/or recommends to the Board exercise prices at which options are granted. All executive compensation, including the granting of stock options, is determined by the Compensation and Benefits Committee. Shares issued upon exercise of options come from the Company’s authorized but unissued Common Stock. The options vested over periods up to three years from the date of grant and generally expire ten years after the date of grant. Unvested options issued under the 2008 Stock Option Plan expire immediately after termination of employment. Employee options A summary of Director, officer, and employee options granted and outstanding under the Plans is presented below:
|  | Years Ended December 31, |
|  | 2015 |  | 2014 |  | 2013 |
|  | Shares |  | Weighted Average Exercise Price |  | Shares |  | Weighted Average Exercise Price |  | Shares |  | Weighted Average Exercise Price |
Outstanding at beginning of period |  | 2,386,736 |  | $ | 0.95 |  | 2,820,631 |  | $ | 0.95 |  | 3,367,081 |  | $ | 0.95 |
Granted |  | — |  | $ | — |  | — |  | $ | — |  | 50,000 |  | $ | 1.46 |
Exercised |  | (259,977 | ) | $ | (1.05 | ) | (418,195 | ) | $ | (0.95 | ) | (584,450 | ) | $ | (0.92 | )
Forfeited |  | (1,690 | ) | $ | (1.30 | ) | (15,700 | ) | $ | (1.37 | ) | (12,000 | ) | $ | (2.38 | )
Outstanding at end of period |  | 2,125,069 |  | $ | 0.94 |  | 2,386,736 |  | $ | 0.95 |  | 2,820,631 |  | $ | 0.95 |
Exercisable at end of period |  | 2,125,069 |  | $ | 0.94 |  | 2,386,736 |  | $ | 0.95 |  | 2,820,631 |  | $ | 0.95 |
No employee options were issued in 2015 or 2014. The fair value of the 2013 grant is $1.06 per share of underlying Common Stock and is estimated on the date of the grant using the Black Scholes pricing model with the following assumptions: expected volatility of 67.53%, risk free interest rate of 3.35%, and an expected life of 8.61 years. This option was issued under the 2008 Stock Option Plan. The following table summarizes information about Director, officer, and employee options outstanding under the aforementioned plans at December 31, 2015:
Exercise Prices |  | Shares Outstanding |  | Weighted Average Remaining Contractual Life |  | Shares Exercisable |
$ | 1.30 |  | 495,366 |  | 2.88 |  | 495,366 |
$ | 1.46 |  | 50,000 |  | 7.37 |  | 50,000 |
$ | 0.81 |  | 1,579,703 |  | 3.54 |  | 1,579,703 |
Non-employee options A summary of options outstanding during the years ended December 31 and held by non-employees is as follows:
|  | Years Ended December 31, |
|  | 2015 |  | 2014 |  | 2013 |
|  | Shares |  | Weighted Average Exercise Price |  | Shares |  | Weighted Average Exercise Price |  | Shares |  | Weighted Average Exercise Price |
Outstanding at beginning of period |  | 70,000 |  | $ | 0.81 |  | 70,000 |  | $ | 0.81 |  | 70,000 |  | $ | 0.81 |
Granted |  | — |  | — |  | — |  | — |  | — |  | — |
Exercised |  | (12,500 | ) | (0.81 | ) | — |  | — |  | — |  | — |
Forfeited |  | — |  | $ | — |  | — |  | — |  | — |  | $ | — |
Outstanding at end of period |  | 57,500 |  | $ | 0.81 |  | 70,000 |  | $ | 0.81 |  | 70,000 |  | $ | 0.81 |
Exercisable at end of period |  | 57,500 |  | $ | 0.81 |  | 70,000 |  | $ | 0.81 |  | 70,000 |  | $ | 0.81 |
No non-employee options were issued in 2015, 2014, or 2013. The following table summarizes information about non-employee options outstanding under the aforementioned plans at December 31, 2015:
Exercise Price |  | Shares Outstanding |  | Weighted Average Remaining Contractual Life |  | Shares Exercisable |
$ | 0.81 |  | 57,500 |  | 3.54 |  | 57,500 |
The Company recorded no stock-based compensation expense in 2015 or 2014. The Company recorded $52,775 of stock-based compensation expense in 2013. The total intrinsic value of options exercised was $856,269; $1,157,615; and $1,210,135 in 2015, 2014, and 2013, respectively. The aggregate intrinsic value of options outstanding and exercisable with exercise prices lower than market price at December 31, 2015 was approximately $4,722,854. There is no compensation cost related to non-vested stock options to be recognized in the future. Options Pricing Models — Assumptions The expected life and forfeiture rate assumptions are based on the vesting period for each option grant and expected exercise behavior. The assumptions for expected volatility and dividend yield are based on recent historical experience. Risk-free interest rates are set using grant-date U.S. Treasury yield curves for the same periods as the expected term.

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- Definition The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 40 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6418621&loc=d3e17540-113929 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 50 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=51659978&loc=d3e25284-112666 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5047-113901 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 4 -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5444-113901 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Staff Accounting Bulletin (SAB) -Number Topic 14 + Details
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