Note 7 - Stock-Based Compensation

9 Months Ended

Sep. 30, 2014

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

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

(7)   STOCK-BASED COMPENSATION

As of September 30, 2014, we had non-vested restricted stock awards granted under stock-based employee compensation plans that are described more fully in Note 14 to the consolidated financial statements in our 2013 Form 10-K.

In addition, at our annual meeting on June 25, 2014, our stockholders approved the inTEST Corporation 2014 Stock Plan (the "2014 Stock Plan"). The 2014 Stock Plan permits the granting of stock options, restricted stock, stock appreciation rights or restricted stock units for up to 500,000 shares of our common stock to directors, officers, other key employees and consultants.

As of September 30, 2014, total compensation expense to be recognized in future periods was $356. The weighted average period over which this expense is expected to be recognized is 3.0 years.

Restricted Stock Awards

We record compensation expense for restricted stock awards (non-vested shares) based on the quoted market price of our stock at the grant date and amortize the expense over the vesting period. Restricted stock awards generally vest over four years. The following table shows the allocation of the compensation expense we recorded during the three and nine months ended September 30, 2014 and 2013, respectively, related to non-vested shares:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2014		2013		2014		2013
Cost of revenues	$	2	$	2	$	8	$	5
Selling expense		1		3		5		7
Engineering and product development expense		3		7		14		21
General and administrative expense		24		16		77		53
	$	30	$	28	$	104	$	86

There was no compensation expense capitalized in the nine months ended September 30, 2014 or 2013.

The following table summarizes the activity related to non-vested shares for the nine months ended September 30, 2014:

	Number of Shares			Weighted Average Grant Date Fair Value
Non-vested shares outstanding, January 1, 2014		180,000		$	2.69
Granted		10,000			4.14
Vested		(63,125	)		1.78
Forfeited		(5,000	)		3.97
Non-vested shares outstanding, September 30, 2014		121,875			3.01

Stock Options

The following table summarizes the stock option activity for the nine months ended September 30, 2014:

	Number of Shares			Weighted Average Exercise Price
Options outstanding, January 1, 2014 (10,000 exercisable)		10,000		$	5.66
Granted		-			-
Exercised		-			-
Forfeited/Expired		(10,000	)		5.66
Options outstanding, September 30, 2014		-			-