NOTE 16 – STOCKHOLDERS’ EQUITY

During the three months ended June 30, 2021 and 2020, no outstanding nonqualified stock options were exercised.

On May 18, 2021, the Company awarded restricted stock grants totaling 1,031,500 shares of its common stock to 56 employees and consultants of the Company, including two executive officers of the Company. Of the 1,031,500 shares awarded pursuant to the restricted stock grant awards, 200,942 shares are subject to one-year vesting schedule, 211,658 shares are subject to two-year vesting schedule, 206,300 shares per year are subject to three, four and five-year vesting schedule.

On December 30, 2020, the Company awarded restricted stock grants in the amount of 15,000 shares of its common stock to three employees. Of the 15,000 shares awarded pursuant to the restricted stock grant awards, 4,500 shares are subject to one-year vesting conditions, 4,500 shares are subject to two-year vesting conditions and 6,000 shares are subject to three-year vesting conditions.

The Company recorded stock-based compensation expense for restricted stock grants and stock options in the amount of $2,162 during the three months ended June 30, 2021. During the three months ended June 30, 2020, the Company recorded stock-based compensation expense for restricted stock grants and stock options in the amount of $525.