Note 15 - Employee and Non-Employee Stock Options

12 Months Ended

Mar. 31, 2016

Notes to Financial Statements

Disclosure of Compensation Related Costs, Share-based Payments [Text Block]

15. EMPLOYEE AND NON-EMPLOYEE STOCK OPTIONS

Pursuant to equity compensation plans last approved by Air T, Inc. stockholders in

2005,

the Company has granted options to purchase up to a total of

256,000

shares of common stock to key employees, officers and non-employee directors with exercise prices

at

100%

of the fair market value on the date of grant. As of

March 31, 2016,

no

further awards

may

be granted under the plans, and options to acquire a total of 

40,000

shares remained outstanding. The employee options generally vested

one

-

third

per year beginning with the

first

anniversary from the date of grant. The non-employee director options generally vested

one

year from the date of grant.

Compensation expense related to Air T, Inc. stock options was

$0

and

$9,000

for the years ended

March 31, 2016

and

2015,

respectively. As of

March 31, 2016,

there was

no

unrecognized compensation expense, related to the stock options. There were

no

stock options granted during the years ended

March 31, 2016

and

March 31, 2015.

In addition, Delphax maintains a number of stock option plans. These plans were in place at the time of the Company

’s acquisition of interests in Delphax. Subsequent to the acquisition, Delphax granted

1.2

million non-qualified options to purchase shares of its common stock to certain of its employees at an exercise price of

$0.33

per share. For the period from the acquisition date through

March 31, 2016

Delphax recognized approximately

$30,000

of stock-based compensation expense for its stock-based compensation arrangements. As of

March 31, 2016,

Delphax had a total of

$373,000

in unrecognized compensation cost associated with its stock option plans.

Option activity, which only reflects the activity of Air T, Inc., is summarized as follows:

				Weighted		Weighted
				Average		Average		Aggregate
				Exercise Price		Remaining		Intrinsic
	Shares			Per Share		Life(Years)		Value
Outstanding at March 31, 2014		101,500		$	8.73		3.39	$	342,000
Granted		-
Exercised		(17,500	)		8.61
Forfeited		(6,000	)		8.29
Repurchased		(32,000	)		8.96
Outstanding at March 31, 2015		46,000		$	8.68		2.87	$	732,000
Granted		-
Exercised		-			-
Forfeited		(6,000	)		8.29
Repurchased		-			-
Outstanding at March 31, 2016		40,000			8.74		2.09	$	617,000
Exercisable at March 31, 2016		40,000		$	8.74		2.09	$	617,000

During the year ended

March 31, 2015,

options to purchase

10,000

shares vested and as of

March 31, 2014

2,500

options vested. For the fiscal year ended

March 31, 2016,

no

options were purchased.