Note 7 - Stock-based Compensation and Other Plans

6 Months Ended

Jun. 30, 2016

Notes to Financial Statements

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

7.      Stock-Based Compensation and Other Plans

SGRP has granted restricted stock and stock option awards to its eligible directors, officers and employees and certain employees of its affiliates respecting shares of Common Stock issued by SGRP ("SGRP Shares") pursuant to SGRP's 2008 Stock Compensation Plan (as amended, the "2008 Plan"), which was approved by SGRP's stockholders in May of 2008 and 2009. The 2008 Plan provides for the granting of restricted SGRP shares, stock options to purchase SGRP shares (either incentive or nonqualified), and restricted stock units, stock appreciation rights and other awards based on SGRP shares ("Awards") to SGRP Directors and the Company's specified executives, employees and consultants (which are employees of certain of its affiliates), although to date SGRP has not issued any permissible form of Award other than stock option, restricted share awards, and performance stock units. As of June 30, 2016, approximately 1.1 million SGRP shares were available for Award grants under the amended 2008 Plan. In the second quarter, there were 10,000 options awarded to a director and 100,000 options awarded to the new President of the International Division.

The company recognized $70,000 and $89,000 in stock-based compensation expense relating to stock option awards during the three month periods ended June 30, 2016 and 2015, respectively. The tax benefit available from stock based compensation expense related to stock option during the three months ended June 30, 2016 and 2015 was approximately $27,000 and $34,000 respectively. The Company recognized $151,000 and $187,000 in stock-based compensation expense relating to stock option Awards during the six month periods ended June 30, 2016 and 2015, respectively. The tax benefit, available to the Company, from stock based compensation expense related to stock options during the six months ended June 30, 2016 and 2015 was approximately $57,000 and $71,000, respectively. However, since the Company has NOL's available for the next several years, these tax benefits have not been realized as of this report. As of June 30, 2016, total unrecognized stock-based compensation expense related to stock options was $445,000.

During the three months ended June 30, 2016 and 2015, the Company recognized approximately $18,000 and $11,000, respectively of stock based compensation expense related to restricted stock. The tax benefit available to the Company from stock based compensation expense related to restricted stock during the three months ended June 30, 2016 and 2015 was approximately $7,000 and $4,000, respectively. During the six months ended June 30, 2016 and 2015, the Company recognized approximately $32,000 and $21,000, respectively, of stock-based compensation expense related to restricted stock. The tax benefit, available to the Company, from stock based compensation expense related to restricted stock during the six months ended June 30, 2016 and 2015 was approximately $12,000 and $8,000, respectively. However, since the Company has NOL's available for the next several years, these tax benefits have not been realized as of this report. As of June 30, 2016, total unrecognized stock-based compensation expense related to unvested restricted stock Awards was $214,000.