Note 11 - Stock Options and Incentive Plans

12 Months Ended

Apr. 30, 2023

Notes to Financial Statements

Share-Based Payment Arrangement [Text Block]

11. STOCK OPTIONS AND INCENTIVE PLANS:

In November 2016, the shareholders approved and adopted the Butler National Corporation 2016 Equity Incentive Plan. The maximum number of shares of common stock that may be issued under the Plan is 12.5 million.

On April 12, 2019, the Company granted 2.5 million restricted shares to employees. These shares have voting rights at date of grant and become fully vested and nonforfeitable on April 11, 2024. The restricted shares were valued at $0.38 per share, for a total of $950. On March 17, 2020, the Company granted 5.0 million restricted shares to employees. These shares have voting rights at date of grant and become fully vested and nonforfeitable on March 16, 2025. The restricted shares were valued at $0.41 per share, for a total of $2.0 million. The deferred compensation related to these grants will be expensed on the financial statements over the five-year vesting period.  In July 2022, the Company granted a board member 400,000 shares under the plan.  These shares were fully vested and nonforfeitable on the date of the grant.  These shares were valued at $0.88 per share, for a total of $352.  The compensation related to this grant was expensed in the current period.  No other equity awards have been made under the plan. During the year ended April 30, 2023, 875,000 shares were forfeited. During the year ended April 30, 2022, 50,000 shares were forfeited. At April 30, 2023, total compensation cost related to nonvested awards not recognized is $842, and the weighted average period over which it is expected to be recognized is 1.5 years.

For the year ended  April 30, 2023 and 2022, the Company expensed $357 and $585, respectively.

	Number of Shares			Weighted Average Grant Date Fair Value
Total shares issued		7,900,000		$	0.42
Forfeited, in prior periods		(50,000	)	$	0.40
Forfeited during the year ended April 30, 2022		(50,000	)	$	0.40
Forfeited during the year ended April 30, 2023		(875,000	)	$	0.40
Total		6,925,000		$	0.43