8. LONG-TERM INCENTIVE PLAN AWARDS

3 Months Ended

Sep. 30, 2018

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

LONG-TERM INCENTIVE PLAN AWARDS

NOTE 8 – LONG-TERM INCENTIVE PLAN AWARDS

We adopted the 2009 Stock Incentive Plan (“2009 Plan”) on June 11, 2009, which provided for the grant of incentive stock options and non-qualified stock options to our employees and directors. Options granted under the 2009 Plan generally have a term of ten years and generally vest and become exercisable at the rate of 33% after one year and 33% on the second and third anniversaries of the option grant dates. Historically, some stock option grants have included shorter vesting periods ranging from one to two years.

The estimated forfeiture rate considers historical turnover rates stratified into employee pools in comparison with an overall employee turnover rate, as well as expectations about the future. We periodically revise the estimated forfeiture rate in subsequent periods if actual forfeitures differ from those estimates. There was no compensation expense recorded under this method for the three months ended September 30, 2018.

A summary of the status of our stock options is presented below: 

Options	Shares		Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life (In Years)		Aggregate Intrinsic Value
Outstanding as of June 30, 2018		299,000	$	1.04		2.75	$	241,220
Granted		–		–		–		–
Exercised		–		–		–		–
Cancelled		–		–		–		–
Forfeited or Expired		–		–		–		–
Outstanding as of September 30, 2018		299,000	$	1.04		2.49	$	301,020
Exercisable as of September 30, 2018		299,000	$	1.04		2.49	$	301,020

The aggregate intrinsic value in the preceding table represents the total pretax intrinsic value, based upon the Company’s closing stock price of $2.05 as of September 30, 2018, which would have been received by the option holders had all option holders exercised their options as of that date. The weighted-average grant-date fair value of stock options outstanding as of September 30, 2018, in the amount of 299,000 shares, was $0.92 per share.

As of September 30, 2018, there was no unrecognized compensation cost related to non-vested stock options granted.