Note 11 - Stock options and awards:

On June 3, 2011, the Company’s shareholders approved the Ocean Bio-Chem, Inc. Omnibus Equity Compensation Plan (the “Plan”). The Plan is designed (i) to meet the Nasdaq listing requirements, (ii) to enable compensation attributable to grants under the Plan to qualify for an exemption from the deduction limit under section 162(m) of the Internal Revenue Code of 1986, as amended, and the regulations promulgated thereunder (the “Code”) and (iii) to enable incentive stock options to meet the requirements of the Code.

As a result of the adoption of the Plan, no further stock option grants will be made under the Company’s 2002 Non-Qualified Stock Option Plan, 2002 Incentive Stock Option Plan, 2007 Incentive Stock Option Plan, 2008 Non-Qualified Stock Option Plan and 2008 Incentive Stock Option Plan.

The Plan authorizes 750,000 shares of the Company’s common stock for issuance, subject to antidilution adjustments upon the occurrence of certain events affecting the common stock. The Company issued stock awards under the Plan to officers, key employees and a consultant totaling 128,000 and 121,000 shares of common stock in the aggregate during the years ended December 31, 2014 and 2013, respectively. At December 31, 2014, 130,000 shares remained available for future issuance under the Plan. Compensation expense related to the stock awards was approximately $356,000 and $306,000 for the years ended December 31, 2014 and 2013, respectively.

During 2014, stock options to purchase an aggregate of 145,000 shares were exercised. Following the withholding of an aggregate of 14,633 shares in connection with the net exercise feature of the stock options, the Company delivered an aggregate of 130,367 shares to the option holders who exercised their options.

The following tables provide information at December 31, 2014 and 2013 regarding outstanding options under the Company’s stock option plans as well as a grant made outside of the Company’s stock option plans. As used in the table below, “2002 NQ” refers to the Company’s 2002 Non-Qualified Stock Option Plan and “2008 NQ” refers to the Company’s 2008 Non-Qualified Stock Option Plan.

December 31, 2014
Plan	Date Granted		Options Outstanding		Exercisable Options		Exercise Price		Expiration Date		Weighted Average Remaining Life
2002 NQ		4/3/06		40,000		40,000	$	1.08		4/2/16		1.3
2002 NQ		12/17/07		40,000		40,000		1.32		12/16/17		3.0
2008 NQ		1/11/09		40,000		40,000		0.69		1/10/19		4.1
2008 NQ		4/26/10		20,000		20,000		2.07		4/25/20		5.4
				140,000		140,000	$	1 .18				3.2

December 31, 2013
Plan	Date Granted		Options Outstanding		Exercisable Options		Exercise Price		Expiration Date		Weighted Average Remaining Life
Non Plan		3/25/09		115,000		115,000	$	0.55		3/24/14		.2
2002 NQ		5/25/04		30,000		30,000		1.46		5/24/14		.4
2002 NQ		4/3/06		40,000		40,000		1.08		4/2/16		2.3
2002 NQ		12/17/07		40,000		40,000		1.32		12/16/17		4.0
2008 NQ		1/11/09		40,000		40,000		0.69		1/10/19		5.1
2008 NQ		4/26/10		20,000		20,000		2.07		4/25/20		6.4
				285,000		285,000	$	0 .95				2.2

The following table shows the number of options outstanding under each stock option plan at December 31, 2014:

Plan			Options Outstanding
2002 NQ			80,000
2008 NQ			60,000
Totals			140,000

The following table provides information relating to stock option transactions during the years ended December 31, 2014 and 2013:

	2014					2013
				Weighted					Weighted
				Average					Average
				Exercise					Exercise
	Shares			Price		Shares			Price
Options outstanding beginning of the year		170,000		$	1.23		366,400		$	1.11
Options exercised		(30,000	)		1.46		(193,400	)		1.01
Options forfeited or expired		---			0.97		(3,000	)		0.97
Options outstanding end of the year		140,000			1.23		170,000			1.23
Non plan options		---			0.55		115,000			0.55
Totals		140,000		$	1.18		285,000		$	0.95

Stock options may be awarded as part of compensation to executives, employees, directors and others, pursuant to the terms of the Company’s Omnibus Equity Compensation Plan, but no options were awarded under the plan in 2014 or 2013. Grants of stock options or other equity awards are made at the discretion of the Equity Grant Committee of the Board of Directors. Options previously were granted under the Company’s other stock option plans, and only non-qualified options were outstanding on December 31, 2014. Non-qualified options were previously granted to outside directors, have a 10-year term and are immediately exercisable. The last tranche of non-qualified options previously granted terminate on April 25, 2020. Compensation cost recognized during the year ended December 31, 2014 and 2013 attributable to stock options was $0 and $12,000, respectively.

At December 31, 2014 and 2013, there was no unrecognized compensation cost related to share based compensation arrangements.