Note 7 - Stock Plans

9 Months Ended

Sep. 30, 2018

Notes to Financial Statements

Shareholders' Equity and Share-based Payments [Text Block]

7. Stock Plans

During the

nine

months ended

September 30, 2018,

34,755

RSUs were granted by the Company. Prior to that time, the Company had previously granted RSUs underlying

366,356

shares of Class A common stock. The RSUs (or a portion thereof) vest with respect to each recipient over a

one

to

three

year period from the date of grant, provided the recipient remains in the employment or service of the Company as of the vesting date and, in selected instances, certain performance criteria are attained. Additionally, the RSUs (or a portion thereof) could vest earlier in the event of a change in control of the Company, or upon involuntary termination without cause. Of the

366,356

RSUs granted prior to the

nine

months ended

September 30, 2018,

RSUs underlying

267,413

shares of Class A common stock had vested or were cancelled as of

December 31, 2017.

The RSU grants were made primarily to executive-level personnel at the Company and, as a result,

no

compensation costs have been capitalized.

The following table summarizes RSU activity as of

September 30, 2018:

	RSUs			Weighted Average Grant Date Fair Value
Outstanding at December 31, 2017		98,943		$	4.51
Granted		34,755		$	13.30
Vested		(67,386	)	$	4.56
Forfeited or cancelled		—		$	—
Outstanding at September 30, 2018		66,312		$	9.06

Stock-based compensation expense related to RSUs was

$207

thousand and

$237

thousand for the

nine

months ended

September 30, 2018,

and

2017,

respectively. Accounting standards require that the Company estimate forfeitures for RSUs and reduce compensation expense accordingly. The Company has reduced its expense by the assumed forfeiture rate and will evaluate actual experience against the assumed forfeiture rate going forward. The forfeiture rate has been developed using historical performance metrics which could impact the size of the final issuance of Class A common stock. The Company has

no

history before

2014

with RSU forfeiture.

As of

September 30, 2018,

the unrecognized total compensation cost related to unvested RSUs was

$684

thousand. That cost is expected to be recognized by the end of

2022.