NOTE 10 - SHARE-BASED COMPENSATION

3 Months Ended

Mar. 31, 2015

Share-based Compensation [Abstract]

NOTE 10 - SHARE-BASED COMPENSATION

NOTE 10 – SHARE-BASED COMPENSATION

For share-based awards granted, we have recognized compensation expense based on the estimated grant date fair value method.  For these awards we have recognized compensation expense using a straight-line amortization method reduced for estimated forfeitures.  

The impact on our results of operations of recording share-based compensation, net of forfeitures, for the three months ended March 31, 2015 and 2014, respectively, was as follows:

	Three Months Ended
	Mar. 31, 2015	Mar. 31, 2014
(in thousands)
Cost of goods sold	$2	($4)
Research and development	19	14
Selling, general and administrative	69	75
Total share-based compensation	$90	$85
Impact on net earnings per share:
Basic and diluted	($0.01)	($0.01)

There were no equity awards issued during the three months ended March 31, 2015 and 2014.

Non-employee directors Restricted Stock Units (“RSU’s”) vest over one year, employee RSU’s vest over four years with the expense being recognized over the vesting period.

The fair value of share-based awards for employee stock options is estimated using the Black-Scholes valuation model.  The following weighted average assumptions were used to calculate the fair value of stock options granted during the three months ended March 31, 2015 and 2014:

The remaining unamortized expected future equity compensation expense and remaining amortization period associated with unvested option grants, restricted stock awards and restricted stock unit awards at March 31, 2015 are:

	Mar. 31, 2015
Unamortized future equity compensation expense	$807,275
Remaining weighted average amortization period in years	2.44