The Company’s share-based compensation awards are issued under the 2015 Equity Incentive Plan (“2015 Plan”) and two predecessor plans, the 2005 Equity Incentive Plan and the 2007 Equity Incentive Plan (the “2007 Plan”). Any awards that expire or are forfeited under the 2007 Plan become available for issuance under the 2015 Plan. Shares of common stock reserved and authorized for issuance at June 30, 2017 under all plans were 8,033,135 shares, subject to adjustment for future stock splits, stock dividends, and similar changes in capitalization.

Refer to Notes 1 and 11 of the Company’s Annual Report for a detailed description of the Company’s share-based compensation awards, including information related to grant date fair value, vesting terms, performance and other conditions.

Share-Based Compensation Expense

Pre-tax share-based compensation expense reported in the Company’s condensed consolidated statements of operations was as follows:



	Three Months Ended June 30,				Six Months Ended June 30,
	2017		2016		2017		2016
	(in thousands)
Cost of sales	$	111	$	123	$	200	$	251
Selling general and administrative expenses	1,225		2,949		3,745		5,647
Total share-based compensation expense	$	1,336	$	3,072	$	3,945	$	5,898

Stock Option Activity

Stock option activity during the six months ended June 30, 2017 was:



	Number of Options
Outstanding December 31, 2016	518,252
Granted	200,000
Exercised	—
Forfeited or expired	(113,450	)
Outstanding June 30, 2017	604,802

As of June 30, 2017, the Company had $0.6 million of total unrecognized share-based compensation expense related to unvested options, which is expected to be amortized over the remaining weighted average period of 2.73 years. The weighted average exercise price of vested options was $16.47 per share.

The grant date fair value of options granted during the three months ended June 30, 2017 was estimated using a Black-Scholes option pricing model and the following assumptions:



	Three Months Ended June 30,
	2017
Risk free rate	1.76	%
Dividend yield	—	%
Volatility	40.7	%
Expected term (years)	4

Restricted Stock Awards and Restricted Stock Units Activity

The Company grants time-based and performance-based Restricted Stock Units (“RSUs”), and time-based Restricted Stock Awards (“RSAs”). RSA and RSU activity during the six months ended June 30, 2017 was:



	Restricted Stock Awards				Restricted Stock Units
	Shares		Weighted Average Grant Date Fair Value		Shares		Weighted Average Grant Date Fair Value
Unvested at December 31, 2016	11,430		$	10.28	3,855,368		$	10.31
Granted	35,114		6.84		2,399,876		6.80
Vested	(11,430	)	10.28		(652,076	)	10.69
Forfeited	—		—		(1,663,792	)	9.64
Unvested at June 30, 2017	35,114		$	6.84	3,939,376		$	8.39

RSAs vested during the six months ended June 30, 2017 consisted entirely of time-based awards. As of June 30, 2017, unrecognized share-based compensation expense for RSAs was $0.2 million, which is expected to amortize over a remaining weighted average period of 0.93 years.

RSUs vested during the six months ended June 30, 2017 consisted of 583,759 time-based awards and 68,317 performance-based awards. As of June 30, 2017, unrecognized share-based compensation expense for time-based and performance-based awards was $13.7 million and $5.2 million, respectively, and is expected to amortize over a remaining weighted average period of 2.19 years.