XML 25 R14.htm IDEA: XBRL DOCUMENT v3.10.0.1
Share-Based Compensation
6 Months Ended
Jun. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Share-Based Compensation
SHARE-BASED COMPENSATION

The Company measures and accounts for share-based awards in accordance with ASC 718, Compensation - Stock Compensation. The Company expenses share-based payment awards made to employees and directors, including stock options and restricted stock awards. Share-based compensation expense associated with stock options and restricted stock awards with vesting contingent upon the achievement of service conditions is recognized on a straight-line basis, net of estimated forfeitures, over the requisite service period over which the awards are expected to vest. The Company estimates the value of stock options with vesting contingent upon the achievement of service conditions as of the date the award was granted using the Black-Scholes option pricing model, which requires the use of certain input variables, such as expected volatility, risk-free interest rate and expected award life.

Share-Based Award Activity
During the six months ended June 30, 2018, the Company granted restricted stock awards (“RSAs”) under its 2014 Omnibus Equity Incentive Plan to named executive officers (“NEOs”) and non-employee members of the BOD. The RSAs granted to the NEOs were 100% vested and non-forfeitable on the grant date. The BOD elected to defer up to 100% of their annual retainer fee, chairman fees and meeting fees in the form of common stock. The RSAs granted to the BOD will become fully vested on the earlier of (i) the first anniversary of the date of grant or (ii) the date of the Company's 2019 annual meeting of stockholders. The fair value of the RSAs granted to the NEOs and BOD is recorded as share-based compensation expense on the grant date or over the vesting period, as applicable. The Company withheld 39,228 shares of common stock from NEOs, at a total cost of $0.4 million, to satisfy statutory minimum tax requirements related to the RSAs.

A summary of shared-based awards activity during the six months ended June 30, 2018 is as follows:
 
Number of Shares (in thousands)
 
Weighted Average Grant Date Fair Value per Share
Nonvested, December 31, 2017
38

 
$
10.25

Granted
140

 
$
10.45

Vested
(144
)
 
$
10.03

Forfeited

 
$

Nonvested, June 30, 2018
34

 
$
12.00



A summary of stock option activity during the six months ended June 30, 2018 is as follows:
 
Number of Shares (in thousands)
 
Weighted Average Exercise Price per Share
 
Weighted Average Remaining Contractual Term (in years)
 
Aggregate Intrinsic Value (in thousands)
Options outstanding, December 31, 2017
500

 
$
7.49

 
 
 
 
Granted

 

 
 
 
 
Exercised

 

 
 
 
 
Forfeited

 

 
 
 
 
Options outstanding, June 30, 2018
500

 
$
7.49

 
6.32
 
$
1,155

Options exercisable, June 30, 2018
300

 
$
7.49

 
6.32
 
$
693



A summary of unvested stock options during the six months ended June 30, 2018 is as follows:
 
Number of Shares (in thousands)
 
Weighted Average Grant Date Fair Value per Share
Unvested, December 31, 2017
200

 
$
2.88

Granted

 
$

Vested

 
$

Forfeited

 
$

Unvested, June 30, 2018
200

 
$
2.88



Valuation of Share-Based Awards
We utilize the Black-Scholes option pricing model for estimating the grant date fair value of stock options. There were no stock options granted during the six months ended June 30, 2018 and June 30, 2017.

Share-Based Compensation Expense
Share-based compensation expense was $0.2 million and $1.4 million for the three and six months ended June 30, 2018, respectively, and $0.2 million and $2.1 million for the three and six months ended June 30, 2017, respectively. As of June 30, 2018, the estimated total remaining unamortized share-based compensation expense related to unvested restricted stock awards, net of forfeitures, was $0.4 million, which is expected to be recognized over a weighted-average period of 0.9 years. As of June 30, 2018, the estimated total remaining unamortized share-based compensation expense related to stock options, net of forfeitures, was $0.4 million which is expected to be recognized over a weighted-average period of 1.3 years.