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Note 11. Stock Options	3 Months Ended
Mar. 31, 2016
Notes
Note 11. Stock Options	Note 11. Stock Options The Company records share-based compensation expense for stock options based on the estimated fair value of the options on the date of grant using the Black-Scholes valuation model. The Company uses historical data among other factors to estimate the expected price volatility, the expected option term and the expected forfeiture rate. The risk-free rate is based on the U.S. Treasury yield curve in effect at the date of grant for the expected term of the option. The Company has a stock option plan approved in May 2004, amended in June 2008 and again in August 2009 (the “2004 Plan”), for directors and key employees under which 2,500,000 shares of common stock could have been issued. No other shares can be issued from the 2004 Plan, and approximately 1,588,000 options are outstanding as of March 31, 2016. All stock options granted were fully vested and expensed and therefore there no compensation expense was recorded related to the 2004 Plan for the three months ended March 31, 2016 and 2015. The Company has a stock option plan approved in July 2010 (the “2010 Plan”), for directors and key employees under which 5,000,000 shares of common stock may be issued. Non-director stock option agreements, unless otherwise stated in the agreement, are 20% vested on the date of grant, with the balance vesting 20% per year over the next four years. The Company grants stock options to its directors as compensation for services performed. All director options granted are for a period of ten years from the date of issuance, are pursuant to the 2010 Plan, and vest six (6) months from the issuance date. The Company granted 20,000 new stock options to directors with an exercise price of $0.86 per share during the three months ended March 31, 2016. Approximately 1,063,000 options are outstanding as of March 31, 2016. Total compensation expense was $15,800 and $45,900 for the three months ended March 31, 2016 and 2015, respectively, for stock options issued under the 2010 Plan.

Note 11. Stock Options

3 Months Ended

Mar. 31, 2016

Note 11. Stock Options

The Company records share-based compensation expense for stock options based on the estimated fair value of the options on the date of grant using the Black-Scholes valuation model. The Company uses historical data among other factors to estimate the expected price volatility, the expected option term and the expected forfeiture rate. The risk-free rate is based on the U.S. Treasury yield curve in effect at the date of grant for the expected term of the option.

The Company has a stock option plan approved in May 2004, amended in June 2008 and again in August 2009 (the “2004 Plan”), for directors and key employees under which 2,500,000 shares of common stock could have been issued. No other shares can be issued from the 2004 Plan, and approximately 1,588,000 options are outstanding as of March 31, 2016. All stock options granted were fully vested and expensed and therefore there no compensation expense was recorded related to the 2004 Plan for the three months ended March 31, 2016 and 2015.

The Company has a stock option plan approved in July 2010 (the “2010 Plan”), for directors and key employees under which 5,000,000 shares of common stock may be issued. Non-director stock option agreements, unless otherwise stated in the agreement, are 20% vested on the date of grant, with the balance vesting 20% per year over the next four years.

The Company grants stock options to its directors as compensation for services performed. All director options granted are for a period of ten years from the date of issuance, are pursuant to the 2010 Plan, and vest six (6) months from the issuance date.

The Company granted 20,000 new stock options to directors with an exercise price of $0.86 per share during the three months ended March 31, 2016. Approximately 1,063,000 options are outstanding as of March 31, 2016. Total compensation expense was $15,800 and $45,900 for the three months ended March 31, 2016 and 2015, respectively, for stock options issued under the 2010 Plan.

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

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