Annual report pursuant to Section 13 and 15(d)

STOCKHOLDERS' EQUITY (Tables)

v2.4.0.8
STOCKHOLDERS' EQUITY (Tables)
12 Months Ended
Dec. 31, 2013
Stockholders Equity Tables  
Fair value of options on the date of grant

The fair value of options on the date of grant is estimated using the Black-Scholes option-pricing model utilizing the following weighted average assumptions:

 

    Year Ended  
    December 31,  
    2013     2012  
             
Risk-free interest rates     0.78% - 1.24%       0.71% - 1.75%  
Expected option life in years   5 years     5 years – 10 years  
Expected stock price volatility     43.54% - 44.31%       43.54% - 45.86%  
Expected dividend yield     0.00%       0.00%  
Summary of stock option activity

The following table summarizes stock option activity for the years ended December 31:

 

    2013     2012  
          Weighted           Weighted  
          Average           Average  
    Options     Exercise     Options     Exercise  
    Outstanding     Price     Outstanding     Price  
                         
Options outstanding at beginning of year     5,582,500     $ 0.78       7,208,070     $ 0.69  
Granted     400,000     $ 1.71       925,000     $ 1.24  
Cancelled/expired/exercised     (1,700,000 )   $ 0.67       (2,550,570 )   $ 0.66  
                                 
Options outstanding at end of year     4,282,500     $ 0.91       5,582,500     $ 0.78  
                                 
Options exercisable at end of year     3,790,834     $ 0.84       4,826,250     $ 0.71  
Stock options outstanding and exercisable

The following table presents information relating to all stock options outstanding and exercisable at December 31, 2013:

 

                  Weighted              
            Weighted     Average           Weighted  
Range of           Average     Remaining           Average  
Exercise     Options     Exercise     Life in     Options     Exercise  
Price     Outstanding     Price     Years     Exercisable     Price  
                                 
$0.25 - $1.88       4,282,500     $ 0.91       3.30       3,790,834     $ 0.84  
Outstanding warrants to purchase common stock

As of December 31, 2013, the following are the outstanding warrants to purchase shares of the Company's common stock:

 

Number of     Exercise    
Warrants     Price   Expiration Date
           
  1,125,000     $ 2.10   May 21, 2018
  1,125,000     $ 1.40   May 21, 2018
  125,000     $ 2.10   July 26, 2018
  125,000     $ 1.40   July 26, 2018
  2,500,000