Share-Based Compensation

3 Months Ended

Mar. 31, 2017

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

Share-Based Compensation

(7) Share-Based Compensation

We follow FASB ASC Topic 718, Share-Based Payments, in which compensation expense is recognized only for share-based payments expected to vest. We recognized compensation expense related to stock options of $48 and $47 for each of the three month periods ended March 31, 2017 and 2016, respectively.

As of March 31, 2017, there was approximately $412 of total unrecognized compensation cost related to nonvested share-based compensation arrangements granted under our stock option plans. That cost is expected to be recognized over a remaining weighted-average period of 2.2 years.

Stock Options and Stock Grants

During the three months ended March 31, 2017, 4,334 shares of common stock were issued pursuant to stock option exercises for proceeds of $2. No stock options were exercised during the three months ended March 31, 2016. For the three months ended March 31, 2017, 507,600 stock options were granted compared to 419,390 stock options granted during the same period in 2016. During the three months ended March 31, 2017, 5,068 stock options were forfeited compared to 10,001 stock options forfeited during the same period in 2016. We had 3,431,000 stock options outstanding at a weighted average exercise price of $0.79 on March 31, 2017, compared to 2,933,000 stock options outstanding at a weighted average exercise price of $0.81 on December 31, 2016.

The following table illustrates the various assumptions used to calculate the Black-Scholes option pricing model for stock options granted during the three month periods ended:

	March 31, 2017	March 31, 2016
Weighted-average risk-free interest rates:	2.1%	1.4%
Dividend yield:	—	—
Weighted-average expected life of the option:	7 years	7 years
Weighted-average expected stock price volatility:	94%	95%
Weighted-average fair value of the options granted:	$0.55	$0.34

As of March 31, 2017, we did not have any unvested restricted stock or performance shares outstanding.