Note 15 - Stock Based Compensation

3 Months Ended

Dec. 31, 2016

Notes to Financial Statements

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

Note

15—Stock

Based Compensation

The Company accounts for stock-based employee compensation under ASC

718,

Compensation — Stock Compensation (“ASC

718”).

ASC

718

requires that compensation expense associated with stock options and other stock based awards be recognized in the consolidated statement of operations, rather than a disclosure in the notes to the Company’s consolidated financial statements.

On

December

 

16,

2015,

the Compensation Committee granted

67,100

stock options to non-officer employees of the Company, of which

9,100

options vested immediately and the remaining

58,000

stock options vest in

three

equal annual installments and accounted for as

one

graded vesting award. The exercise price of these options was at the market price on that date. The weighted average assumptions used in the option pricing model were as follows:

Risk-free interest rate	0.24	%
Expected term (years)	6.25
Expected volatility	23.4	%
Dividend yield	0.00	%

On

December

 

16,

 

2015,

the Compensation Committee granted

5,000

restricted shares to a non-officer employee of the Company. These shares vested fully. On

December

 

31,

2015,

the Company issued an aggregate of

123,304

shares to the

two

former CBC principals (see Note

5

– Acquisition of CBC). These shares are subject to a

one

year lock up period in which the holders cannot sell the shares. In addition, the shares are subject to certain sales restrictions following the initial lock-up period which expired on

December

31,

2016

(see Note

5

– Acquisition of CBC).