Stock-Based Employee Compensation

6 Months Ended

Jun. 30, 2012

Stock-Based Employee Compensation [Abstract]

Stock-Based Employee Compensation

G. Stock-Based Employee Compensation

Under our 2008 Equity Incentive Plan, we reserved 1,000,000 shares of common stock for issuance, of which 61,251 shares are unissued as of June 30, 2012. In May 2012, our stockholders approved our 2012 Equity Incentive Plan, for which we have 750,000 shares of common stock reserved and unissued as of June 30, 2012. The total potential future grants under the combined 2008 and 2012 plans are 811,251 shares.

In February 2012, the Compensation and Benefits Committee of our Board of Directors granted 40,393 restricted stock units to our executive officers under our 2008 Equity Incentive Plan. The restricted stock units were valued on the date of grant and the fair value of these awards was $6.60 per share. The issuance consists of two separate tranches where 25,165 shares of the restricted stock units vest over five years at 25% annually beginning on the second anniversary of the grant date and 15,228 shares of the restricted stock cliff vest after three years only if management achieves specific performance measures.

In February 2012, we granted our non-employee directors a total of 31,820 shares of stock with immediate vesting at a fair value of $6.60 per share, for a total grant date fair value of $210,000, in accordance with our director compensation policy.

The following table summarizes stock and restricted stock unit grant and vesting activity during the six months ended June 30, 2012:

	Stock Awards			Restricted Stock Units
	Number of Shares
Non-vested at December 31, 2011		—			66,562
Granted		31,820			40,393
Vested		(31,820	)		(8,380	)
Non-vested at June 30, 2012		—			98,575

During the three months and six months ended June 30, 2012, compensation expense related to the restricted stock units was $29,000 and $52,000, respectively. During the three and six months ended June 30, 2011, compensation expense related to the restricted stock units was $12,000 and $22,000, respectively.

The following summarizes stock option activity for the six months ended June 30, 2012:

	Shares			Price Per Share	Weighted- Average Exercise Price
Outstanding at December 31, 2011		818,028		$1.585 to $6.700	$	4.19
Granted		0		$0.000	$	0.00
Expired		(235,000	)	$6.700	$	6.70
Forfeited		0		$0.000	$	0.00
Outstanding at June 30, 2012		583,028		$1.585 to $5.850	$	3.17

Information relating to our outstanding stock options at June 30, 2012, is as follows:

Outstanding								Exercisable
Exercise Price		Shares		Weighted- Average Life (Years)		Intrinsic Value		Weighted- Average Exercise Price		Shares		Intrinsic Value
	$1.585		150,000		0.41	$	977	$	1.585		150,000	$	977
	2.300		258,723		6.67		1,501		2.300		129,362		750
	5.770		31,923		4.67		74		5.770		31,923		74
	5.850		142,382		5.58		320		5.850		106,787		240
			583,028		4.68	$	2,872		3.220		418,072	$	2,041

We recognized total share-based compensation cost of $49,000 and $33,000 during the three months ended June 30, 2012 and 2011, respectively. For the six months ended June 30, 2012 and 2011, the total share-based compensation cost recognized was $94,000 and $68,000, respectively.