Quarterly report pursuant to Section 13 or 15(d)

Note 5 - Stock-based Compensation

Note 5 - Stock-based Compensation

6 Months Ended

Jun. 30, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Text Block]

5.	Stock-Based Compensation

For the

three

-month periods ended

June

30,

2017

and

2016,

our total stock-based compensation expense, which includes reversals of expense for certain forfeited or cancelled awards, was approximately

$109,000

and $(

79,000

), respectively. For the

six

-month periods ended

June

30,

2017

and

2016,

our total stock-based compensation expense, which includes reversals of expense for certain forfeited or cancelled awards, was approximately

$256,000

and

$261,000,

respectively. We have

not

recorded any income tax benefit related to stock-based compensation in any of the

three

-month or

six

-month periods ended

June 30, 2017

and

2016.

A summary of the status of our stock options as of

June 30, 2017,

and changes during the

six

-month period then ended, is presented below:

	Six Months Ended June 30, 2017
	Number of Options			Weighted Average Exercise Price		Weighted Average Remaining Contractual Life (years)		Aggregate Intrinsic Value
Outstanding at beginning of period		3,380,615		$	2.00
Granted		1,390,000			0.75
Exercised		—			—
Canceled and Forfeited		(528,198	)		1.59
Expired		—			—
Outstanding at end of period		4,242,417		$	1.64		6.9	$	7,400
Exercisable at end of period		2,748,183		$	2.08		5.4	$	7,400

A summary of the status of our unvested restricted stock as of

June 30, 2017,

and changes during the

six

-month period then ended, is presented below:

	Six Months Ended June 30, 2017
	Number of Shares			Weighted Average Grant-Date Fair Value
Unvested at beginning of period		207,000		$	1.17
Granted		200,000			0.51
Vested		(207,000	)		1.17
Forfeited		—			—
Unvested at end of period		200,000		$	0.51

As of

June 30, 2017,

there was approximately

$221,000

of total unrecognized compensation expense related to unvested stock-based awards, which we expect to recognize over the remaining weighted average vesting term of

1.2

years.