Annual report pursuant to Section 13 and 15(d)

STOCK OPTION PLAN AND STOCK-BASED COMPENSATION (Tables)

v3.19.1
STOCK OPTION PLAN AND STOCK-BASED COMPENSATION (Tables)
12 Months Ended
Dec. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Schedule of assumptions for fair value of stock options

The fair value of stock options granted and revaluation of non-employee consultant options for year ended December 31, 2018 was calculated with the following assumptions:

 

    2018  
Risk-free interest rate   2.22 - 2.3%  
Expected dividend yield   0%  
Volatility factor   217.6% - 219.04%  
Expected life of option   1.71 - 5 years  
Schedule of activity under stock plans

The following table summarizes the Company’s stock option activity during the years ended December 31, 2018 and 2017:

 

    Shares     Exercise
Price per
Share
    Weighted
Average
Exercise Price
per Share
    Aggregate
Intrinsic
Value
 
Outstanding as of December 31, 2016     12,289,000     $ 0.10 – 1.21     $ 0.39     $  
Granted                          
Exercised                          
Options forfeited/cancelled     (2,695,000 )      0.10 – 0.50       0.47          
Outstanding as of December 31, 2017     9,594,000     $ 0.10 – 1.21     $ 0.36     $  
Granted     4,000,000       0.06 – 0.20       0.12          
Exercised                          
Options forfeited/cancelled     4,000,000       0.06 – 0.20       0.12          
Outstanding as of December 31, 2018     9,594,000     $ 0.10 – 1.21     $ 0.29     $  
Schedule of information about stock options vested or expected to vest

The following table summarizes information about stock options that are vested or expected to vest at December 31, 2018:

 

            Vested or Expected to Vest                       Exercisable Options  
Exercise
Price
    Number of
Options
    Weighted
Average
Exercise Price
Per Share
    Weighted
Average
Remaining
Contractual
Life (Years)
    Aggregate
Intrinsic
Value
    Number of
Options
    Weighted
Average
Exercise
Price
Per Share
    Weighted
Average
Remaining
Contractual
Life (Years)
    Aggregate
Intrinsic
Value
 
$ 0.10       1,600,000       0.10       5.75     $       1,600,000     $ 0.10       5.75     $    
  0.18       934,000       0.18       4.50             934,000       0.18       4.50        
  0.20       2,150,000       0.20       3.37             2,150,000       0.20       3.37        
  0.37       58,000       0.37       3.67             58,000       0.37       3.67        
  0.40       2,000,000       0.40       2.67                   0.40       2.67        
  0.42       63,000       0.42       2.00             63,000       0.42       2.00        
  0.50       310,000       0.50       0.83             310,000       0.50       0.83        
  0.60       2,000,000       0.60       2.67                   0.60       2.67        
  0.69       100,000       0.69       5.25             100,000       0.69       5.25        
  1.21       379,000       1.21       5.03             379,000       1.21       5.03        
$ 0.10-1.21       9,594,000     $ 0.29       3.70     $       5,594,000     $ 0.27       4.47     $  
Schedule of non-vested stock options

The following table sets forth the status of the Company’s non-vested stock options as of December 31, 2018 and 2017:

 

      Number of
Options
    Weighted-
Average
Grant-Date
Fair Value
 
Non-vested as of December 31, 2016       4,000,000     $ 0.50  
Granted              
Forfeited              
Vested              
Non-vested as of December 31, 2017       4,000,000     $ 0.50  
Granted       4,000,000       0.12  
Forfeited              
Vested       (4,000,000 )     0.12  
Non-vested as of December 31, 2018       4,000,000     $ 0.50