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Stock Options
6 Months Ended
Jun. 30, 2012
Stock Options [Abstract]  
STOCK OPTIONS

NOTE F — STOCK OPTIONS

On January 9, 2012, Dr. Maher Albitar, our Chief Medical Officer was granted a stock option to purchase 250,000 shares of the Company’s common stock at an exercise price per share of $1.43, which was the closing price per share on the last trading day prior to his start date. The stock option has a five year term and becomes 25% vested on each of the first four anniversaries of his start date. The stock option also fully vests upon a change of control of the Company. This stock option will be treated as a non-employee consultant option agreement and as such we revalued the stock option at June 30, 2012. The stock option was valued at $173,411 and we recorded $18,864 and $39,378 of stock compensation expense related to the stock options in the three and six months ended June 30, 2012.

On February 14, 2012, Mr. VanOort, our Chief Executive Officer was granted a supplemental non-qualified stock option to purchase 800,000 shares of common stock at an exercise price of $1.71 per share which has a five year term so long as Mr. VanOort remains an employee of the Company (the “Supplemental Options”). The Supplemental Options are scheduled to vest according to the passage of time with 200,000 shares vesting each year on the anniversary of the grant date for the first four years after the grant. The Supplemental Options are valued at $505,000 based on a trinomial lattice model and we recorded $30,113 and $89,684 of stock compensation expense related to the Supplemental Options in the three and six months ended June 30, 2012.

In the event of a change of control of the Company in which the consideration payable to common stockholders of the Company has a deemed value of at least $4.00 per share, any unvested portion of the Supplemental Options will immediately vest in full.

As of June 30, 2012, stock options to purchase 5,942,003 shares of our common stock were outstanding. The exercise prices of these options range from $0.25 to $1.71 per share.