Options Granted During the Six Months Ended June 30, 2016



Number of options

38

Option vesting period

1 Year

Grant price

$4.39

Dividend yield

0.00%

Expected volatility (a)

44.60%

Risk-free interest rate

1.23%

Expected life (years) (b)

5.31

Weighted average fair value

$1.81



(a)

Expected volatility is based upon the Company’s historical volatility.

(b)

Because the Company does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term for these grants, the Company utilized the simplified method in developing an estimate of the expected term of these options.