XML 47 R34.htm IDEA: XBRL DOCUMENT v3.19.1
Share-Based Payment Arrangements (Tables)
12 Months Ended
Dec. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Details of Stock Option Plan
Name of Plan
 
Shares
Authorized
 
Shares Available
for Grant
 
Shares
Outstanding
 
FalconStor Software, Inc. 2018 Incentive Stock Plan
 
147,199,698
 
147,199,698
 
 
Schedule of Equity Awards Outstanding
The following table summarizes the Company’s equity plans that have expired but that still have equity awards outstanding as of December 31, 2018:
Name of Plan
 
Shares Available for Grant
 
Shares Outstanding
FalconStor Software, Inc., 2016 Incentive Stock Plan
 
 
505,000
FalconStor Software, Inc., 2006 Incentive Stock Plan
 
 
944,200
FalconStor Software, Inc., 2000 Stock Option Plan
 
 
4,500
Schedule of Stock Option Activity
A summary of the Company’s stock option activity for 2018 is as follows: 

 
Number of
Options
 
Weighted
Average
Price
 
Weighted
Average
Remaining
Contractual
Life (Years)
 
Aggregate
Intrinsic
Value
Options Outstanding at December 31, 2017
 
2,026,200

 
$
2.14

 
5.32
 
$

Granted
 

 
$

 
 
 
 
Exercised
 

 
$

 
 
 
 
Forfeited
 
(451,000
)
 
$
2.55

 
 
 
 
Expired
 
(221,500
)
 
$
5.82

 
 
 
 
Options Outstanding at December 31, 2018
 
1,353,700

 
$
1.40

 
5.60
 
$

Options Exercisable at December 31, 2018
 
1,031,500

 
$
1.63

 
4.90
 
$

Options Expected to Vest after December 31, 2018
 
322,200

 
$
0.67

 
7.47
 
$

Schedule of Share Based Compensation Recognized
The following table summarizes the share-based compensation expense for all awards issued under the Company’s stock equity plans in the following line items in the consolidated statements of operations:
 
 
Years ended December 31,
 
 
2018
 
2017
Cost of revenue - Support and Service
 
26,203

 
64,427

Research and development costs
 
77,116

 
233,955

Selling and marketing
 
19,615

 
48,286

General and administrative
 
(58,262
)
 
76,285

 
 
$
64,672

 
$
422,953

Stock Based Compensation Expense - Restricted Stock
A summary of the total stock-based compensation expense related to restricted stock awards and restricted stock units, which is included in the Company’s total share-based compensation expense for each respective year, is as follows: 
 
 
Years ended December 31,
 
 
2018
 
2017
Directors, officers and employees
 
$
(49,289
)
 
$
167,369

Schedule of Restricted Stock Units Activity
A summary of the Company’s restricted stock activity for 2018 is as follows: 
 
 
Number of Restricted Stock Awards
Non-Vested at December 31, 2017
 
548,968

Granted
 

Vested
 
(32,300
)
Forfeited
 
(416,668
)
Non-Vested at December 31, 2018
 
100,000

Schedule of Share-based Compensation, Nonemployee
A summary of the total stock-based compensation expense related to share-based awards granted to non-employee consultants, which is included in the Company’s total share-based compensation expense for each respective period, is as follows: 
 
 
Years ended December 31,
 
 
2018
 
2017
Non-qualified stock options
 
$

 
$
41,159

Restricted stock awards
 

 

 
 
$

 
$
41,159

Schedule of assumptions used to value share-based compensation
In addition to the exercise and grant date prices of the awards, certain weighted average assumptions were used to estimate the fair value of share-based payment grants in the respective periods are listed in the table below: 
 
 
Years ended December 31,
 
 
2018
 
2017
Expected dividend yield
 
N/A
 
0%
Expected volatility
 
N/A
 
57 % - 59%
Risk-free interest rate
 
N/A
 
1.94% - 2.02%
Expected term (years)
 
N/A
 
5.5
Discount for post-vesting restrictions
 
N/A
 
N/A