Stock-Based Employee Compensation

9 Months Ended

Sep. 30, 2013

Disclosure Of Compensation Related Costs Sharebased Payments [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, all of which have been issued as of September 30, 2013. In May 2012, our stockholders approved our 2012 Equity Incentive Plan, for which we have 750,000 shares of common stock reserved, of which 613,183 shares are unissued as of September 30, 2013.

For the three months ended September 30, 2013 and 2012, the total share-based compensation cost recognized was $57,000 and $49,000, respectively. For the nine months ended September 30, 2013 and 2012, the total share-based compensation cost recognized was $175,000 and $142,000, respectively. The unrecognized compensation cost was $536,000 and $365,000 at September 30, 2013 and December 31, 2012, respectively.

Non-employee director stock grants

The following details the stock granted to our non-employee directors under the 2008 and 2012 Plans during the nine months ended September 30, 2013 and 2012. These shares were issued as part of our annual director compensation arrangements related to the prior years’ service, and were fully vested on the date of issuance.

Date of Grant	Number of Shares		Fair Value per Share		Fair Value of Grant
February 2012		31,820	$	6.60	$	210
July 2012		16,328	$	8.36		136
Total 2012		48,148			$	346
January 2013		29,205	$	7.55	$	221
July 2013		16,587	$	8.44		140
Total 2013		45,792			$	361

Restricted Stock Unit Grants (RSUs)

The following provides details of our vested and unvested RSUs as of September 30, 2013:

							As of September 30, 2013
Date of Grant	Number of RSUs		Fair Value per Share		Fair Value of Grant		Vested		Non- Vested
February 2010		33,518	$	3.15	$	106		16,759		16,759
February 2011		33,044	$	4.11		136		8,261		24,783
February 2012		40,393	$	6.60		266		—		40,393
January 2013		45,316	$	7.55		342		—		45,316
		152,271			$	850		25,020		127,251

In January 2013, the Compensation and Benefits Committee of our Board of Directors granted 45,316 RSUs to our executive officers. The RSUs were valued on the date of grant and the fair value of these awards was $7.55 per share. The issuance consists of three separate tranches. The first tranche is for 28,643 RSUs which vest over five years at 25% annually beginning on the second anniversary of the grant date. The second tranche is for 15,548 RSUs which cliff vest after three years only if management achieves specific performance measures. The third tranche is for 1,125 RSUs which vest over five years at 25% annually, beginning on the second anniversary of the grant date, and represent payment related to 2012 incentive bonus compensation.

During the three months ended September 30, 2013, and September 30, 2012, amortized compensation expense related to RSUs was $50,000 and $29,000, respectively. During the nine months ended September 30, 2013, and September 30, 2012, amortized compensation expense related to RSUs was $149,000 and $81,000, respectively.

Stock Options

Information relating to our outstanding stock options at September 30, 2013, is as follows:

Outstanding							Exercisable
Exercise Price		Shares		Weighted- Average Life (Years)	Intrinsic Value		Weighted- Average Exercise Price		Shares		Intrinsic Value
$	2.30		258,723	5.42	$	1,444	$	2.30		194,042	$	1,083
$	5.77		31,923	3.42		67	$	5.77		31,923		67
$	5.85		142,382	4.33		289	$	5.85		142,382		289
			433,028	4.91	$	1,800	$	3.97		368,347	$	1,439

During the three and nine months ended September 30, 2013, there were no options granted, exercised, forfeited, or expired.