Stockholders' Equity (Tables)

A summary of the Company’s stock options for the year ended December 31, 2014 is as follows:

	Number of	Weighted Average Exercise		Weighted Average Remaining Contractual Life	Aggregate Intrinsic
	Options	Price		(in Years)	Value
Outstanding at January 1, 2014	343,125	$	4.55	3.60	$	-
Granted	145,000		6.67	-		-
Canceled	-		-	-		-
Exercised	(19,000)		3.58	-		-
Expired/Forfeited	(65,125)		4.55	-		-
Outstanding and expected to vest at December 31, 2014	404,000	$	6.67	2.89	$	1,472,000
Exercisable at December 31, 2014	309,000	$	4.70	2.36	$	1,334,000

A summary of the Company’s warrants for the year ended December 31, 2014 is as follows:

				Weighted
				Average
		Weighted		Remaining
		Average		Contractual	Aggregate
	Number of	Exercise		Life	Intrinsic
	Warrants	Price		(in Years)	Value
Outstanding at January 1, 2014	1,469,543		3.05	-	$	-
Granted	750,000		4.05	-		-
Canceled	-		-	-		-
Exercised	-		-	-		-
Expired/Forfeited	-		-	-		-
Outstanding at December 31, 2014	2,219,543	$	6.07	4.23	$	6,497,413
Exercisable at December 31, 2014	2,219,543	$	6.07	4.23	$	6,497,413

The following table provides information with respect to purchases by the Company of restricted stock during the Current Year and Prior Year.

Date	Total Number of Shares Purchased (a)		Actual Price Paid per Share		Number of Shares Purchased as Part of Publically Announced Plan		Fair value of Re-Purchased Shares
November 15, 2013		153,896	$	3.86		-	$	594,000
December 1, 2013		7,272		3.86		-		28,000
Total 2013		161,168	$	3.86		-	$	622,000

March 28, 2014		15,750	$	4.00		-	$	63,000
September 30, 2014		26,250		7.83		-		205,000
December 1, 2014		88,725		8.00		-		710,000
Total 2014		130,725	$	7.49		-	$	978,000

(a)

All of the shares of restricted stock in the preceding table were originally granted to employees and directors as restricted stock pursuant to the Plan. The shares reflected above as repurchased shares were relinquished by employees and directors in exchange for the Company’s agreement to pay federal and state and local withholding obligations on behalf of such employees and directors upon the vesting of restricted stock.

A summary of the changes in the Company’s unvested warrants for the year ended December 31, 2014 is as follows:

	Number of Warrants		Weighted Average Grant Date Fair Value
Unvested balance at January 1, 2014		12,500	$	0.10
Granted		750,000		0.82
Vested		(762,500)		(0.80)
Forfeited or Canceled		-		-
Unvested balance at December 31, 2014		-	$	-

A summary of the Company’s restricted stock for the year ended December 31, 2014 is as follows:

	Number of Restricted Shares	Weighted Average Grant Date Fair value
Outstanding at January 1, 2014	2,026,554	$	3.59
Granted	1,472,475		5.43
Canceled	-		-
Vested	(286,494)		3.33
Expired/Forfeited	(4,125)		4.30
Outstanding and expected to vest at December 31, 2014	3,208,410	$	4.46

The warrants had a fair value of $611,000 using the Black-Scholes option pricing model with the following assumptions:

Expected Volatility	29	%
Expected Dividend Yield	0	%
Expected Life (Term)	2.5 years
Risk-Free Interest Rate	0.70	%

The following table summarizes the Company’s stock option activity for non-vested options for the year ended December 31, 2014:

		Weighted
		Average
	Number of	Grant Date
	Options	Fair Value
Balance at January 1, 2014	38,625	$	0.99
Granted	145,000		1.05
Vested	(24,500)		(0.99)
Forfeited or Canceled	(64,125)		(0.47)
Balance at December 31, 2014	95,000	$	1.43

The fair value for the warrants was estimated to be $.12 for each warrant to purchase one share of Common Stock using the Black-Scholes option pricing model with the following assumptions:

Expected Volatility	22.5	%
Expected Dividend Yield	0	%
Expected Life Term	2.5
Risk-Free Interest Rate	0.39	%

The fair value for the options was estimated at the date of grant using the Black-Scholes option pricing model with the following assumptions:

	Year Ended December 31,
	2014			2013
Expected Volatility		24-29	%		21-22	%
Expected Dividend Yield		0	%		0	%
Expected Life (Term)		2.5 years			1-3 years
Risk-Free Interest Rate		0.58 - 0.70	%		0.21 - 0.39	%