Note 7 – Equity Incentive Plans:

Total compensation cost for share-based payments recognized for the three months ended March 31, 2018 and 2017 is $1,092,260 and $930,157, respectively.

2006 Stock Plan—The options in this plan are time-based (vest over five years). Certain option awards provide for accelerated vesting if there is a change in control (as defined in the 2006 Plan). At March 31, 2018, there were zero shares available for grant as the 2006 Plan is frozen. The total number of unexercised options for the 2006 Plan is 20,619.

2010 Stock Plan—The outstanding options are time-based (vest between two and four years). At March 31, 2018, there were zero shares available for grant as the 2006 Plan is frozen no further grants may be issued under the 2010 Plan. The total number of unexercised options for the 2010 Plan is 696,901.

2014 Omnibus Incentive Plan—In November 2014, the Company approved the 2014 Omnibus Incentive Plan (the “2014 Plan”). Under the 2014 Plan 3,979,200 shares of common stock may be issued or used for reference purposes as awards granted. These awards may be in the form of stock options, stock appreciation rights, restricted stock, as well as other stock-based and cash-based awards. At March 31, 2018, the awards granted were either time-based, performance-based (vest when performance targets are met, as defined in the stock option grant agreement), or restricted stock units (employee RSUs vest over three years and non-employee director RSUs vest over one year).The total number of unexercised options and RSU’s for the 2014 Plan is 1,849,387.

At March 31, 2018, there were 1,949,637 shares of common stock available to be issued or used for reference purposes under the 2014 Plan.

NASDAQ Marketplace Rules Inducement Award—During fiscal year 2016, share-based awards were granted to the Company’s Chief Executive Officer as an inducement under the NASDAQ Marketplace Rules, and therefore outside of any Plan. Under the terms of the agreement, the grant is governed as if issued under the 2014 Omnibus Plan. As of March 31, 2018, the awards granted were time-based (cliff vest over four years) and performance-based (vest when performance targets are met, as defined in the stock option grant agreement).

Service Period Stock Options

The following table includes activity related to outstanding service period stock options during the three months ended March 31, 2018.

Service Period Stock Options	Shares			Weighted Average Exercise Price
Outstanding at December 31, 2017		2,030,266		$	9.47
Granted		95,364			16.45
Exercised		(6,696	)		8.04
Outstanding at March 31, 2018		2,118,934		$	9.79

Performance-Vested Stock Options

The following table includes activity related to outstanding performance-vested stock options during the three months ended March 31, 2018.

Performance Based Options	Shares		Weighted Average Exercise Price
Outstanding at December 31, 2017		1,154,393	$	10.50
Granted		21,455		16.45
Outstanding at March 31, 2018		1,175,848	$	10.61

As of March 31, 2018, 499,079 performance-vested stock options at a weighted average exercise price of $10.14 have performance metrics that are probable of achievement. These shares are included in share-based compensation costs for the three months ended March 31, 2018.

Restricted Stock Units

The following table includes activity related to outstanding restricted stock units during the three months ended March 31, 2018.

Restricted Stock Units	Shares		Weighted-Average Grant-Date Fair Value Per Unit
Outstanding at December 31, 2017		165,240	$	10.99
Granted		106,887		16.45
Outstanding at March 31, 2018		272,127	$	13.13