Quarterly report pursuant to Section 13 or 15(d)

Stock-Based Compensation

v3.8.0.1
Stock-Based Compensation
3 Months Ended
Mar. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Stock-Based Compensation

9. Stock-Based Compensation

 

A summary of the Company’s outstanding stock option activity for the three months ended March 31, 2017 is as follows:

 

                Weighted-Average        
                Remaining        
          Weighted-Average     Contractual Life     Intrinsic  
    Options     Exercise Price     (Years)     Value  
As of December 31, 2016     137,347     $ 30.59       8.2       $  
Granted     -       -                  
Exercised     -       -                  
Forfeited     -       -                  
Expired     (169 )     386.55                  
As of March 31, 2017     137,178       30.16       8.0       -  
Exercisable as of March 31, 2017     116,131       40.06       7.7       -  
Expected to vest as of March 31, 2017     137,178       30.16       7.9       -  

 

The Company estimates the fair value of each stock option on the grant date using the Black-Scholes-Merton valuation model, which requires several estimates including an estimate of the fair value of the underlying common stock on grant date. The expected volatility was based on an average of the historical volatility of a peer group of similar companies. The expected term was calculated utilizing the simplified method. The risk-free interest rate was based on the U.S. Treasury yield curve in effect at the time of grant for the expected term of the option. The following weighted average assumptions were used in the calculation to estimate the fair value of options granted to employees during the three months ended March 31, 2016 (no options were granted for the three months ended March 31, 2017):

  

    Three Months Ended  
    March 31, 2016  
Weighted-average risk-free interest rate     1.86 %
Weighted-average expected life (in years)     6.30  
Expected dividend yield     0.00 %
Weighted-average expected volatility     65.00 %

 

Summary of Stock-Based Compensation Expense

 

Total stock-based compensation expense included in the condensed consolidated statements of operations is allocated as follows (in thousands):

 

    Three Months Ended March 31,  
    2017     2016  
Cost of revenue   $ 5     $ 4  
Research and development     26       29  
General and administrative     23       38  
Selling and marketing     6       15  
Capitalized into inventory     -       2  
    $ 60     $ 88  

 

Unrecognized stock-based compensation as of March 31, 2017 is as follows (in thousands):

 

          Weighted  
          Average  
    Unrecognized     Remaining Period  
    Stock-Based     of Recognition  
    Compensation     (in years)  
Stock options   $ 198       0.95