Stock-based compensation

3 Months Ended

Mar. 31, 2012

Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract]

Disclosure of Compensation Related Costs, Share-based Payments [Text Block]

8.           Stock-based compensation

Cancellation of certain share option plans of the Company

Following Medicsight’s general meeting on March 26, 2012 (see Note 1), a shareholder resolution approving the Reverse Split of 1-for-325,000 of the Company’s existing ordinary shares of £ 0.05 par value into one new ordinary share was duly passed. As a result of the reverse split, option holders under certain existing share option plans are no longer entitled to options under those plans as option holders’ share entitlement is now less than one as a result of the Reverse Split.  Following the share reversal, the Company cancelled with immediate effect all redundant option plans with the exception of Plan J. All previously unrecognized stock based compensation expense was accelerated.

Medicsight has the following Stock Option Plan:

Plan J — on May 14, 2009, we approved and subsequently granted options for 24 shares under stock option plan “J”.  Options under this plan vest in equal one-sixths for each six months that employees have been employed for 6, 12, 18, 24, 30 and 36 months from the grant date.  At March 31, 2012, there were 6 options outstanding, of which 5 were exercisable.

No grants were issued in the three months ended March 31, 2012.

The following table summarizes stock option activity for the three months ended March 31, 2012, under all option plans:

	Outstanding					Exercisable
	Number of Shares		Weighted-Average Exercise Price			Number of Shares		Weighted-Average Exercise Price
Outstanding at December 31, 2011		11	£	35,750 ($58,500)			10	£	78,000 ($68,250	)
Granted		—		—
Exercised		—		—
Forfeited/ Cancelled		5	£	19,500 ($30,917	)
Outstanding at March 31, 2012		6	£	29,250 ($46,376	)		5	£	29,250 ($46,376	)

The following is a summary of the status of stock options outstanding at March 31, 2012:

	Outstanding options								Exercisable options
	Number		Remaining contractual life (years)		Average exercise price				Number		Average exercise price
Medicsight Plan J		6		7.2	£	29,250	$	46,376		5	£	29,250	$	46,376

On November 30, 2010, David Sumner, Chairman of Medicsight Limited, resigned from his position within the group. Immediately after his resignation, a two year consultancy agreement was signed whereby Mr. Sumner would continue to assist the group in its commercial needs. As part of this agreement, Mr. Sumner was to continue to vest in his existing Medicsight Plan J options throughout the consultancy period. A modification of the 6 existing options has been accounted for, and is not considered to be material to the overall financial statements. The Company is no longer receiving services under this consulting agreement. As such, all expenses and related stock-based compensation were accelerated at December 31, 2011.

The Company has recorded the following amounts related to its share-based compensation expense in the accompanying Condensed Consolidated Statements of Operations:

	Three months ended  March   31,
	2012		2011
Selling, general and administrative	$	25	$	3
Research and development		7		14
Total	$	32	$	17

Of the stock-based expense for the three months ended March 31, 2012, $15 was allocated to non-controlling interest.

The aggregate intrinsic value for options outstanding and exercisable at March 31, 2012 and 2011, was $nil.

A summary of non-vested options at March 31, 2012, and the change during the three months ended March 31, 2012, is presented below:

	Options		Weighted Average Grant Date Fair Value
Nonvested options at January 1, 2012		1	£	45,500	$	71,500
Granted		—		—		—
Vested		—	£	—	$	—
Forfeited/Cancelled		—	£	—	$	—
Nonvested options at March 31, 2012		1	£	45,500	$	71,500

Unrecognized compensation cost

As of March 31, 2012, there was no unrecognized compensation cost related to non-vested share-based compensation arrangements.