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STOCK-BASED COMPENSATION
9 Months Ended
Sep. 30, 2020
Share-based Payment Arrangement [Abstract]  
STOCK-BASED COMPENSATION STOCK-BASED COMPENSATIONStock Incentive Plans
We have one long-term equity incentive plan which we refer to as the 2006 Equity Incentive Plan, which we first amended and restated as of April 20, 2015 and again on March 9, 2017 (the "Restated Plan”). The Restated Plan was approved by our stockholders at our annual stockholders meeting on June 8, 2017. We have reserved for issuance under the Restated Plan 14,000,000 shares of common stock. We can issue options (incentive and non-qualified), stock awards, stock appreciation rights, stock units and cash awards under the Restated Plan.
Options
Certain options granted under the Restated Plan to employees are intended to qualify as incentive stock options under existing tax regulations. Stock options generally vest over 3 to 5 years and expire 5 to 10 years from the date of grant.
As of September 30, 2020, we had outstanding options to acquire 527,899 shares of our common stock, of which options to acquire 298,863 shares were exercisable. The following summarizes all of our option transactions for the nine months ended September 30, 2020:
Outstanding Options
Under the 2006 Plan
SharesWeighted Average
Exercise price
Per Common Share
Weighted Average
Remaining
Contractual Life
(in years)
Aggregate
Intrinsic
Value
Balance, December 31, 2019478,951 $8.21 
Granted48,948 20.43 
Balance, September 30, 2020527,899 9.34 6.59$3,419,956 
Exercisable at September 30, 2020298,863 7.48 5.852,353,438 
Aggregate intrinsic value in the table above represents the total pretax intrinsic value (the difference between our closing stock price on September 30, 2020 and the exercise price, multiplied by the number of in-the-money options as applicable) that would have been received by the holder had all holders exercised their options on September 30, 2020. No options were exercised during the nine months ended September 30, 2020. As of September 30, 2020, total unrecognized stock-based compensation expense related to non-vested employee awards was $0.7 million which is expected to be recognized over a weighted average period of approximately 1.68 years.
DeepHealth Options
During the second quarter of fiscal 2020, in connection with the completion of the DeepHealth acquisition, we granted 412,434 options at a grant date fair value of $16.93 per share unit to DeepHealth employees in replacement of their stock options that were outstanding as of the closing date. As of September 30, 2020, total unrecognized stock based compensation expense related to non-vested DeepHealth options was approximately $4.3 million which is expected to be recognized over a weighted average period of approximately 2.53 years.
Outstanding Options
Under the Deep Health Plan
SharesWeighted Average
Exercise price
Per Common Share
Weighted Average
Remaining
Contractual Life
(in years)
Aggregate
Intrinsic
Value
Balance, December 31, 2019— 
Granted, June 1, 2020412,434 $— 
Exercised(6,963)— 
Balance, September 30, 2020405,471 — 8.65$6,223,980 
Exercisable at September 30, 202024,211 — 8.65371,639 
Restricted Stock Awards
The Restated Plan permits the award of restricted stock awards (“RSA’s”). As of September 30, 2020, we have issued a total of 6,551,872 RSA’s of which 331,659 were unvested at September 30, 2020. The following summarizes all unvested RSA’s activities during the nine months ended September 30, 2020:
 RSA'sWeighted-Average
Remaining
Contractual
Term (Years)
Weighted-Average
Fair Value
RSA's unvested at December 31, 2019387,934 $11.61 
Changes during the period
Granted457,596 $19.66 
Vested(513,871)$15.47 
RSA's unvested at September 30, 2020331,659 1.11$16.67 
We determine the fair value of all RSA’s based on the closing price of our common stock on the award date.
Other stock bonus awards
The Restated Plan also permits the award of stock bonuses not subject to any future service period. These awards are valued and expensed based on the closing price of our common stock on the date of award. During the nine months ended September 30, 2020 awards totaling 26,078 shares were granted.
Plan summary
In summary, of the 14,000,000 shares of common stock reserved for issuance under the Restated Plan, at September 30, 2020, we had issued 15,384,316 total shares between options, RSA’s and other stock awards. With options canceled and RSA’s forfeited amounting to 3,281,040 and 61,703 shares, respectively, there remain 1,958,427 shares available under the Restated Plan for future issuance.
The DeepHealth options were issued outside of the Restated Plan and are a direct result of our acquisition and not included in the share count of the Restated Plan.