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Stock-Based Compensation
 12 Months Ended
Dec. 31, 2020
Share-based Payment Arrangement [Abstract]  
Stock-Based Compensation Stock-Based Compensation
 
Stock Options

The Company has recorded $0.7 million and $0.9 million related to its stock option based compensation expense in cost of sales, product development and research expenses, and selling, general and administrative expenses on the accompanying Consolidated Statements of Operations for the years ended December 31, 2020 and 2019, respectively.

The 1999 Director Stock Option Plan, as amended (the “Director Plan”), provides for the grant of stock options to non-employee directors of the Company at an exercise price equal to the fair market value per share on the date of the grant. As of May 25, 2016, this plan is no longer active for grants. There were 40,500 and 48,500 stock options outstanding as of December 31, 2020 and 2019, respectively.

On June 26, 2009, the Board of Directors adopted, and the Company’s stockholders subsequently approved by written consent, the IGI Laboratories, Inc. 2009 Equity Incentive Plan (the “2009 Plan”). The 2009 Plan became effective on July 29, 2009 and was no longer active for grants subsequent to May 25, 2016. The 2009 Plan allowed the Company to grant options and restricted stock, as well as the Board of Directors to authorize a broad range of other equity-based awards, including stock appreciation rights, restricted stock units ("RSUs") and performance awards to consultants, service providers, employees and board members. On April 12, 2010, the Board of Directors adopted, and the Company’s stockholders subsequently approved, an amendment and restatement of the 2009 Plan to increase the number of shares of Common Stock available for grant under such plan by adding 2,000,000 shares of Common Stock. The 2009 Plan, as amended on May 29, 2010, authorizes up to 5,000,000 shares of the Company’s common stock for issuance pursuant to the terms of the 2009 Plan. The maximum number of shares that may be subject to awards made to any individual in any single calendar year under the 2009 Plan is 1,000,000 shares. There were 30,984 stock options outstanding and 186,831 shares of stock outstanding as of December 31, 2020. There were no RSUs outstanding at December 31, 2020. There were 186,831 shares of stock outstanding and 184,761 stock options outstanding as of December 31, 2019. There were no RSU's outstanding at December 31, 2019. As of December 31, 2020, 298,681 options available were transferred from the 2009 Plan to the 2016 Plan.
 
On May 25, 2016, the Board of Directors approved the Company's 2016 Equity Incentive Plan (the "2016 Plan"). On May 21, 2018, the Board of Directors adopted, and the Company's stockholders subsequently approved, an amendment and restatement of the 2016 Plan that increased the number of shares of Common Stock available for grant under such plan to 4,000,000 by adding 2,000,000 shares of Common Stock (the "Amended 2016 Plan"). The 4,000,000 shares of Common Stock available for issuance pursuant to the Amended 2016 Plan was reduced to 400,000 shares when the one-for-ten Reverse Stock Split effectuated on May 28, 2020. On July 15, 2020, the Board of Directors adopted and the Company's stockholders approved an amendment of its existing 2016 Equity Incentive Plan (the "July 2020 Amendment"). The July 2020 Amendment increased the number of shares available to be granted under the 2016 Plan from 400,000 shares to 4,400,000 shares, plus any shares of its
common stock that are represented by awards granted under its 1999 Director Plan and 2009 Equity Incentive Plan that are forfeited, expire or are cancelled without delivery of shares of common stock or which result in the forfeiture of shares of common stock back to the Company on or after May 25, 2016. Generally, shares of common stock reserved for awards under the 2016 Plan that lapse or are canceled will be added back to the share reserve available for future awards. However, shares of common stock tendered in payment for an award or shares of common stock withheld for taxes will not be available again for grant. The 2016 Plan provides that no participant may receive awards for more than 1,000,000 shares of common stock in any fiscal year.

As of December 31, 2020, there were 181 RSUs outstanding, 18,561 shares of common stock outstanding and 249,486 stock options under the 2016 Plan. As of December 31, 2019, there were 6,268 RSUs outstanding, 13,655 shares of common stock outstanding and 283,559 stock options outstanding under the 2016 Plan. As of December 31, 2020, there were a total of 4,430,447 options available under the 2016 Plan after the July 2020 Amendment and there were 233,416 options available under the Plan as of December 31, 2019.

In the interest of maintaining consistency with the Company's 2016 Equity Incentive Plan, on March 13, 2017, the Company entered into (i) an amendment to the option agreements governing each option grant currently outstanding under the Company's 2009 Equity Incentive Plan, and (ii) an amendment to the RSU agreements governing each RSU grant then outstanding under the 2009 Plan. The amendments provide for the automatic vesting upon a change of control of the Company of each option grant and RSU grant, as applicable, outstanding under the 2009 Plan. The amendments had a de minimis value to the holders as of December 31, 2020, and therefore no additional stock compensation expense was recognized related to the amendments.
 
The fair value of each option award is estimated on the date of grant utilizing the Black-Scholes option-pricing formula and the assumptions noted in the following table. Expected volatilities and risk-free interest rates are based upon the expected life of the grant.
 
Assumptions20202019
Expected dividends0 %0 %
Risk free rate0.18-1.6%1.38 - 2.47%
Expected volatility78.56% - 159.61%64.33 - 76.81%
Expected term (in years)3.2 – 3.3 years3.2 – 3.3 years
 
Expected volatility was calculated using the historical volatility of the Company's stock over the expected life of the options. The expected life of the options was estimated based on the Company's historical data. The risk free interest rate is based on U.S. Treasury yields for securities with terms approximating the terms of the grants. Forfeitures are recognized in the period they occur. The assumptions used in the Black-Scholes options valuation model are highly subjective, and can materially affect the resulting valuation.

Stock option transactions in each of the past two years under the aforementioned plans in total were: 
 SharesExercise
Price Per Share		Weighted
Average
Exercise
Price
January 1, 2019 shares issuable under options435,228 $7.90 - $106.70$46.06 
Granted246,872 $5.50 - $18.0014.10 
Exercised— — — 
Expired(76,158)$10.20 - $106.7054.34 
Forfeited(89,122)$6.60 - $86.7023.87 
December 31, 2019 shares issuable under options516,820 $5.50 - $106.70$33.40 
Granted373,612 $0.69 - $4.403.66 
Exercised— — — 
Expired(248,455)$5.50 - $106.7032.75 
Forfeited(134,682)$2.50 - $88.108.91 
December 31, 2020 shares issuable under options507,295 $0.69 - $106.70$18.31 
  
The following table summarizes information concerning outstanding and exercisable options as of December 31, 2020:

 Options OutstandingOptions Exercisable
Range of
Exercise Price		Number of
Options		Weighted
Average
Remaining
Life (Years)		Weighted
Average
Exercise
Price		Number of
Options		Weighted
Average
Exercise
Price
$0.00 - $7.80299,822 8.39$3.62 10,077 $6.52 
$7.81 - $15.0052,272 6.3410.29 48,967 10.37 
$15.01 - $55.0085,076 6.9625.26 61,866 27.41 
$55.01 - $106.7070,125 5.0678.69 70,125 78.69 
Total507,295 7.48$18.31 191,035 $40.77 
 
During 2020, the Company issued two inducement grants to executive management team members totaling 186,325 options. These inducement grants had a Fair Market Value of $0.4 million and are presented within the table above.

The following table summarizes information concerning outstanding and exercisable options as of December 31, 2019:
 
 Options OutstandingOptions Exercisable
Range of
Exercise Price		Number of
Options		Weighted
Average
Remaining
Life (Years)		Weighted
Average
Exercise
Price		Number of
Options		Weighted
Average
Exercise
Price
$0.00 - $7.8019,516 9.58$6.54 — $— 
$7.81 - $15.00178,186 4.5210.22 126,500 10.29 
$15.01 - $55.00188,451 8.2522.74 48,208 31.68 
$55.01 - $106.70130,667 5.7584.38 125,026 84.93 
Total516,820 6.44$33.40 299,734 $44.86 


The aggregate intrinsic value of options outstanding was $0.0 million at December 31, 2020 and $0.0 million at December 31, 2019. The aggregate intrinsic value of the options exercisable was $0.0 million at December 31, 2020 and $0.0 million at
December 31, 2019. The total intrinsic value of the options exercised during 2020 and 2019 was $0.0 million and $0.0 million, respectively.
  
A summary of non-vested options at December 31, 2020 and changes during the year ended December 31, 2020 is presented below: 
OptionsWeighted
Average
Grant Date
Fair Value
Non-vested options at January 1, 2020217,086 $7.72 
Granted373,612 2.04 
Vested(139,756)7.83 
Forfeited(134,682)4.15 
Non-vested options at December 31, 2020316,260 $2.48 
 
As of December 31, 2020, there was $0.5 million of total unrecognized compensation cost related to non-vested share-based compensation arrangements under the Plan. The costs will be recognized through November 2022.
 
Restricted Stock and RSUs
 
The Company periodically grants restricted stock and RSU awards to certain officers and other employees that typically vest one to three years from their grant date. The Company recognized $0.1 million and $0.2 million respectively, of compensation expense during the years ended December 31, 2020 and 2019, related to restricted stock and RSU awards. Stock compensation expense is recognized over the vesting period of the restricted stock and RSUs. At December 31, 2020, the Company had approximately $47.9 thousand of total unrecognized compensation cost related to non-vested restricted stock and RSUs, all of which will be recognized through June 2023.
There have been no restricted stock issuances in the years ended December 31, 2020 and 2019.

A summary of non-vested RSUs and changes during each of the past two years is as follows:
Number of
RSUs		Weighted Average
Issuance Price
Non-vested balance at January 1, 201917,561 $47.83
Changes during the period:
Shares granted— —
Shares vested(7,623)53.92
Shares forfeited(3,670)47.37
Non-vested balance at December 31, 20196,268 $40.69
Changes during the period:
Shares granted23,505 2.34
Shares vested(4,906)43.59
Shares forfeited(1,181)29.54
Non-vested balance at December 31, 202023,686 $2.59