Quarterly report pursuant to Section 13 or 15(d)

Note 3 - Stock-based Compensation

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Note 3 - Stock-based Compensation
 3 Months Ended
Mar. 31, 2015
Notes to Financial Statements  
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]
3.
STOCK-BASED COMPENSATION
 
Stock-based compensation expense totaled approximately $25,000 and $15,000 for the three months ended March 31, 2014 and 2015,
respectively. No tax benefits were attributed to the stock-based compensation because a valuation allowance was maintained for substantially all net deferred tax assets.
 
On January 20, 2015, the Company’s Board of Directors granted 60,960 shares of restricted common stock to certain employees and its outside directors for the purpose of further aligning their interest with those of its stockholders and, as to the employee shares, settling fiscal 2014 performance incentives. The shares vest on a quarterly basis over the next three years and are subject to forfeiture in the event of their termination of service to the Company under specified circumstances.
On February 11, 2015, the Board of Directors granted an additional 6,116 shares of restricted common stock subject to the same conditions.
 
The following table summarizes the Company’s restricted stock activity:
 
   
Shares
    
Wtd. Avg. Price at Date of Issuance
  
                 
Nonvested at December 31, 2014
     -     $ -  
Granted
     67,076       12.15  
Vested
     (5,591 )     12.15  
Nonvested at March 31, 2015
     61,485       12.15  
 
As of March 31, 2015, total unrecognized stock-based compensation expense related to non-vested restricted stock was $141,000, which is expected to be recognized over a weighted-average period of 2.7 years.
 
On August 13, 2012, the Board of Directors authorized the Company, acting as trustee for certain of its non-officer, overseas employees, to execute a Rule 10b5-1 plan to purchase 100,000 shares of its common stock in accordance with guidelines specified under Rule 10b5-1 of the Exchange Act and the Company's policies regarding stock transactions.  Pursuant to this authority, the Company, as Trustee, entered into a 10b5-1 plan and began purchasing in December 2012. The latest 10b5-1 plan terminated in November 2014, and the Company, as Trustee, has not entered into a new 10b5-1 plan. The employees will receive the stock as incentive compensation in quarterly increments over three years beginning March 15, 2013, provided that they are employees of the Company on the date of the distribution. Any common stock that is forfeited by an employee whose employment terminates will be delivered to the Company and held as treasury stock.
 
   
Shares
    
Wtd. Avg. Grant-Date Fair Value
  
                 
Nonvested at December 31, 2014
     23,984     $ 1.37  
Vested
     (6,002 )     1.37  
Nonvested at March 31, 2015
     17,982       1.37  
 
As of March 31, 2015, total unrecognized stock-based compensation expense related to these stock awards $21,000, which is expected to be recognized over a weighted-average period of 0.7 years.