STOCK-BASED COMPENSATION

6 Months Ended

Jun. 30, 2016

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

10. STOCK-BASED COMPENSATION

The following table summarizes the Company’s stock awards granted for each of the periods indicated:

	For the Three Months Ended June 30,								For the Six Months Ended June 30,
	2016				2015				2016					2015
	Grants		Weighted Average Grant Date Fair Value		Grants		Weighted Average Grant Date Fair Value		Grants			Weighted Average Grant Date Fair Value		Grants		Weighted Average Grant Date Fair Value
Stock options		7,600	$	15.61		367,167	$	15.69		1,213,376	⁽¹⁾	$	11.94		1,974,711	$	11.34
Restricted stock awards		—	$	—		110,783	$	13.54		25,775	⁽²⁾	$	13.71		116,783	$	13.56

(1)

Included in 2016 stock option grants are 287,500 options with performance conditions that are not probable of being achieved as of June 30, 2016. When and if deemed probable that certain performance milestones will be achieved within the required time frame, the Company will recognize up to $3.4 million of stock-based compensation related to these grants. The remaining stock options granted during the periods presented in the table have only service-based criteria and vest over four years.

(2)	Included in 2016 restricted stock awards (“RSA”) are 18,755 shares granted to certain employees in lieu of a portion of their 2015 annual bonus payments. These RSA grants have six-month vesting schedules. The remaining RSAs will be fully vested by June 2017.

Stock-based Compensation Expense

For the three months ended June 30, 2016 and 2015, total stock-based compensation expense was $6.8 million and $5.9 million, respectively. For the six months ended June 30, 2016 and 2015, total stock-based compensation was $13.5 million and $20.1 million, respectively. Included in the amount for the six months ended June 30, 2015 is $8.6 million of stock-based compensation expense incurred in connection with the resignation of the Company’s former Chief Executive Officer (“CEO”). The following table summarizes stock-based compensation expense by function included within the unaudited condensed consolidated statements of operations and comprehensive loss:

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2016		2015		2016		2015
	(in thousands)
Research and development	$	2,404	$	2,562	$	4,853	$	5,008
General and administrative		4,426		3,368		8,667		15,078
Total stock-based compensation expense	$	6,830	$	5,930	$	13,520	$	20,086

The following table summarizes stock-based compensation expense by grant type included within the unaudited condensed consolidated statements of operations and comprehensive loss:

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2016		2015		2016		2015
	(in thousands)
Stock options	$	5,772	$	5,099	$	11,470	$	18,650
Restricted stock awards		273		132		457		174
Stock appreciation rights		115		115		230		262
Employee stock purchase plan		670		584		1,363		1,000
Total stock-based compensation expense	$	6,830	$	5,930	$	13,520	$	20,086

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

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