Quarterly report pursuant to Section 13 or 15(d)

Stock-based compensation

Stock-based compensation
9 Months Ended
Sep. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Stock-based compensation
Stock-based compensation:
In October 2013, the board of directors approved the 2013 Employee, Director and Consultant Equity Incentive Plan (the “2013 Plan”) pursuant to which the Company may issue options, warrants, restricted stock or other stock-based awards to directors, officers, key employees and other key individuals performing services for the Company. The 2013 Plan has reserved 4,773,992 shares of common stock for issuance. All awards will be approved by the board of directors or a committee of the board of directors to be established for such purpose.
The Company’s outstanding stock options have maximum contractual terms of up to ten years, principally vest on a quarterly basis ratably over five years and were granted at exercise prices equal to the market price of the Company’s common stock on the date of grant. The Company’s outstanding stock options are exercisable into shares of the Company’s common stock. The Company measures the cost of employee services received in exchange for an award of equity instruments, including grants of employee stock options and restricted stock awards, based on the fair value of the award at the date of grant in accordance with the modified prospective method. The Company uses the Black-Scholes model for purposes of determining the fair value of stock options granted and recognizes compensation costs ratably over the requisite service period, net of estimated forfeitures. For restricted stock awards, the grant-date fair value is the quoted market price of the stock.

As of September 30, 2015, all 1,702,578 options outstanding were excluded from the calculation of dilutive earnings per share as their effect would have been anti-dilutive as the exercise price of these grants are above the average market price.
For the three months ended September 30, 2015 and 2014, the Company recognized $162,850 and $159,385, respectively, and for the nine months ended September 30, 2015 and 2014, the Company recognized $506,853 and $326,753 of non-cash stock-based compensation expense related to options, respectively, in general and administrative expense in the consolidated statements of operations.
As of September 30, 2015, there was approximately $3,733,014 of total unrecognized compensation cost related to unvested share-based compensation grants, which is expected to be amortized over a weighted-average period of 4.6 years.
A summary of the status of stock option awards and changes during the nine months ended September 30, 2015 are presented below:

Life (Years)
Outstanding at December 31, 2014



Cancelled, expired, or forfeited



Outstanding at Exercisable at September 30, 2015



Exercisable at September 30, 2015



The weighted-average grant-date fair value of option awards vested and non-vested during the nine months ended September 30, 2015 was $1.86.

On May 18, 2015, the Company granted four board members an unrestricted immediate vesting grant of 8,080 shares each. The closing stock price was $4.95. The Company recorded compensation expense related to these awards of $0 and $160,000 for the three and nine months ended September 30, 2015.