XML 44 R18.htm IDEA: XBRL DOCUMENT v3.19.1
Stock Options, Warrants and 401(k) Savings Plan
12 Months Ended
Dec. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Stock Options, Warrants and 401(k) Savings Plan

12.

Stock Options, Warrants and 401(k) Savings Plan


Our Company follows FASB ASC 718, Share Based Payment, which requires that the cost resulting from all share-based payment transactions be recognized in the Company’s financial statements. FASB ASC 718 requires all share-based payments to employees, including grants of employee stock options, to be recognized in the statement of operations based on their fair values.


At December 31, 2018, our Company did not have an active stock option plan. Our Company uses the Black-Scholes option pricing model to calculate the grant-date fair value of an award. There was no compensation expense recognized during the years ended December 31, 2018 and December 31, 2017 and there was no unrecognized portion of expense at December 31, 2018.


At December 31, 2018, our Company had 691,365 warrants to purchase common stock of our Company outstanding at an exercise price of $0.02 and expiring at various dates through July 2021. The warrants are held by ten investors who acquired convertible debentures from our Company in 2013 and 2014.


A summary of outstanding warrants follows:


 

 

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

Exercise

 

 

Average

 

 

 

Number of

 

 

Price Range

 

 

Exercise

 

 

 

Shares

 

 

Per Share

 

 

Price

 

Outstanding at December 31, 2016

 

721,365

 

 

$0.01 to $0.07

 

 

$0.021

 

Warrants exercised

 

  17,700

 

 

0.01 to 0.03

 

 

  0.021

 

Warrants expired

 

  12,300

 

 

0.06 and 0.07

 

 

  0.063

 

Outstanding at December 31, 2017 and December 31, 2018

 

691,365

 

 

$0.02

 

 

$0.02

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average remaining contractual life (years)

 

1.83

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

 

Exercise

 

 

 

Average

 

 

 

 

 

 

 

Price Range

 

 

 

Exercise

 

 

 

Shares

 

 

 

Per Share

 

 

 

Price

 

Exercisable warrants at year end:

 

 

 

 

 

 

 

 

 

 

 

 

2018

 

691,365

 

 

$0.02

 

 

$0.02

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average remaining contractual life (years)

 

1.83

 

 

 

 

 

 

 

 

 


At December 31, 2018, our Company has reserved 7,884,106 shares of common stock for possible future issuance upon exercise of 691,365 warrants and for the conversion of approximately $128,300 of convertible debentures and accrued interest into 7,192,741 shares of common stock.


Our Company sponsors a 401(k) savings plan, covering substantially all employees, providing for employee and employer contributions. Employer contributions are made at the discretion of our Company. There were no contributions charged to expense during 2018 or 2017.