Annual report pursuant to Section 13 and 15(d)

Stock Plans

Stock Plans

12 Months Ended

Dec. 31, 2021

9. Stock Plans

In August 2015, our stockholders approved the 2015 Omnibus Equity Incentive Plan (the “2015 Plan”). The 2015 Plan, as subsequently amended, authorized a total of 1,000,000 shares of our common stock for issuance to employees, directors, officers, consultants and advisors. As of December 31, 2021, options to purchase 320,936 shares of our common stock were available for grant and 679,064 shares of our common stock outstanding under the 2015 Plan.

In February 2014, our Board adopted the 2014 Incentive Plan (the “2014 Plan”), pursuant to which 2,526 shares of our common stock were authorized for issuance to employees, directors, officers, consultants and advisors. The 2014 Plan was terminated upon the approval of the 2015 Plan. As of December 31, 2021, options to purchase 1,272 shares of our common stock were outstanding under the 2014 Plan.

In July 2002, we adopted the 2002 Stock Incentive Plan (the “2002 Plan”). The 2002 Plan, as amended in 2005, authorized a total of approximately 7,234 shares of our common stock for issuance to employees, officers, directors, consultants, and advisers. The exercise prices of options granted under the 2002 Plan were 100% of the fair market value of our common stock on the date of grant. The 2002 Plan expired by its terms in July 2012. As of December 31, 2021, options to purchase an aggregate of 1,324 shares of our common stock were outstanding under the 2002 Plan.

The following table summarizes option activity for the year ended December 31, 2021:


		Weighted		Weighted
		Average		Average	Aggregate
		Exercise		Remaining	Intrinsic
	Shares	Price per		Contractual	Value
	(in thousands)	Share		Term (years)	(in thousands)
Outstanding at January 1, 2021	28	$	242.70	6.35	$	—
Granted	670		4.02
Cancelled/expired	(16)		56.83
Outstanding at December 31, 2021	682	$	12.53	8.98	$	—
Exercisable at December 31, 2021	456	$	16.74	8.92	$	—

We use the Black-Scholes-Merton option-pricing model with the following assumptions to estimate the stock-based compensation expense:


	Years Ended December 31,
	2021		2020
Weighted-average risk-free interest rate	0.5	%	0.4	%
Expected dividend payments	—		—
Expected holding period (years)(1)	5.45		5.79
Weighted-average volatility factor(2)	1.14		1.04
Estimated forfeiture rates for options granted	30	%	27	%

(1)	Expected holding period is based on historical experience of similar awards, giving consideration to the contractual terms of the stock-based awards, vesting schedules and the expectations of future employee behavior.

(2)	Weighted average volatility is based on the historical volatility of our common stock.

(3)	Estimated forfeiture rates are based on historical data.

Based upon the above methodology, the weighted-average fair value of options and awards granted during the years ended December 31, 2021 and 2020 was $3.29 and $6.30, respectively.

The following table summarizes the stock-based compensation expense (in thousands):


	Years Ended December 31,
	2021		2020
Research and development	$	749	$	—
General and administrative		756		7
Total stock-based compensation expenses	$	1,505	$	7

As of December 31, 2021, there was approximately $0.5 million of total unrecognized compensation expense related to non-vested stock options. This expense is expected to be recognized over a weighted-average period of 1.1 years.