2021 Annual Report

The following table presents a summary of the status of the Company’s outstanding stock options for the years ended December 31, 2021 and 2020:

December 31, 2021

December 31, 2020

Weighted Average

Weighted Average

Shares Exercise Price

Shares Exercise Price

Outstanding at Beginning of Year . . . . . . 1,914,250 $ Granted . . . . . . . . . . . . . . . . . . . . . . . . . . . Exercised . . . . . . . . . . . . . . . . . . . . . . . . . . (164,405) Forfeitures . . . . . . . . . . . . . . . . . . . . . . . . . (1,600) Outstanding at End of Year . . . . . . . . . . . 1,768,745 $ 20,500

7.29 1,961,650 $

7.08 10.61 4.26 7.47 7.29

16.88

60,000

4.40 (74,400) 7.47 (33,000) 7.67 1,914,250 $

Options Exercisable at End of Year. . . . . 1,332,845 $

6.83 1,205,350 $

5.96

For the years ended December 31, 2021, 2020 and 2019, the Company recognized compensation expense for stock options of $922,000, $881,000 and $721,000, respectively. The following table presents information pertaining to options outstanding at December 31, 2021:

Options Outstanding

Options Exercisable

Weighted Average Number of Weighted Average Remaining Contractual Number of Weighted Average

Range of Exercise Prices Options Exercise Price

Life in Years

Options Exercise Price

$

2.13 - 3.99. . . 408,750 $ 7.00 - 7.99. . . 928,717 8.00 - 8.99. . . 20,000

3.02 7.47 8.76

2.1 5.8 8.3 8.4 7.4 7.6 6.4 9.3 9.4 5.4

408,750 $ 733,317

3.02 7.47 8.76

1,250 2,500 39,000 133,028 15,000

10.00 - 10.99 . 11.00 - 11.99 . 13.00 - 13.99 . 16.00 - 16.99 . 17.00 - 17.99 .

10,000 85,000 25,000 10,000 10,500

10.08 11.27 12.89 13.22 16.23 17.49 7.67

10.08 11.31 12.91 13.22 16.23 17.49 6.83

12.00 - 12.99 . 270,778

— —

Totals . . . . . . . . . 1,768,745 $

1,332,845 $

As of December 31, 2021, there was $1.2 million of total unrecognized compensation cost related to nonvested stock options granted under the 2012 Plan, 2017 Plan and 2019 EIP that is expected to be recognized over a weighted- average period of 1.7 years. The following table presents an analysis of nonvested options to purchase shares of the Company’s stock issued and outstanding for the year ended December 31, 2021:

Weighted Number of Average Grant Shares Date Fair Value

Nonvested Options at December 31, 2020 . . . . . . . . . . . . . . . . . . . . . 708,900 $ Granted . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20,500 Vested . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (291,900) Forfeited. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (1,600) Nonvested Options at December 31, 2021 . . . . . . . . . . . . . . . . . . . . . 435,900 $

3.24 5.66 3.10 7.47 3.43

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