Share-Based Compensation |
9 Months Ended | |||
|---|---|---|---|---|
Sep. 30, 2011 | ||||
| Share-Based Compensation [Abstract] | ||||
| SHARE-BASED COMPENSATION |
On June 1, 2011, the Company’s compensation committee approved the issuance of 660,000
shares of restricted stock, then valued at the closing price of the Company’s stock ($3.88),
with no discount. The majority of the shares (600,000) will vest in two years, and will be
fully vested on June 1, 2013. The remaining shares will vest over three years, 20,001 on
June 1, 2012, 20,001 on June 1, 2013, and 19,998 on June 1, 2014. Vesting is contingent
upon certain conditions, including continuous service of the individual recipients. The
unvested grants are viewed as a series of individual awards and the related share-based
compensation expense was initially recorded as deferred compensation expense, reported as a
reduction of stockholder’s equity, and will subsequently be amortized into compensation
expense on a straight-line basis as services are provided over the vesting period.
The Company recognized stock compensation expense of $310,401 and $0 for the three months
ended September 30, 2011 and September 30, 2010, respectively, and $413,871 and $16,683 for
the nine months ended September 30, 2011 and September 30, 2010, respectively. Share based
compensation expense related to the amortization of the restricted stock issued is included
in selling, general and administrative expense. At September 30, 2011, the Company had
deferred share-based compensation of $2,146,929 and $0 at September 30, 2010.
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