(8) Stockholders' Equity

6 Months Ended

Jun. 30, 2013

Notes

(8) Stockholders' Equity

(8) Stockholders’ Equity

Common Stock

During the six months ended June 30, 2013, we issued approximately 1,740,000 shares of our common stock for settlement of bankruptcy claims and approximately 855,000 shares of restricted common stock to certain key employees.

Incentive Plan

On December 20, 2012, our Board of Directors (the “Board”) approved the Par Petroleum Corporation 2012 Long Term Incentive Plan (the “Incentive Plan”). Under the Incentive Plan, the Board, or a committee of the Board, may issue up to 16 million shares of our common stock, or incentive stock options, nonstatutory stock options or restricted stock to our employee or directors, or other individuals providing services to us. In general, the terms of any award issue will be determined by the committee upon grant.

On December 31, 2012, a total of 2,191,834 shares of our restricted common stock were granted to members of the Board of Directors and certain key employees. During the six months ended June 30, 2013, an additional 854,493 shares of our restricted stock were granted to certain key employees. Restricted stock granted to members of the Board vests in full after one year from the date of grant, while most restricted stock granted to employees vests on a pro-rata basis over five years.

For the six months ended June 30, 2013, the following activity occurred under our Incentive Plan:

	Shares	Weighted-Average Grant Date Fair Value
Stock Awards:
Non vested balance, beginning of period	2,191,834	$1.09
Granted	854,493	1.63
Vested	—	—
Forfeited	—	—
Non vested balance, end of period	3,046,327	$1.24

For the three and six months ended June 30, 2013, we recognized compensation costs of approximately $140,000 and $281,000, respectively, related to the restricted stock awards. As of June 30, 2013, there are approximately $3.5 million of total unrecognized compensation costs related to restricted stock awards, which are expected to be recognized on a straight-line basis over a weighted average period of 4.5 years. The grant date fair value was estimated using the previous 20 days average trading price of our common stock.