ProPhase Labs, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

STOCKHOLDERS' EQUITY AND STOCK COMPENSATION (Tables)

STOCKHOLDERS' EQUITY AND STOCK COMPENSATION (Tables)

12 Months Ended

Dec. 31, 2014

Schedule of Share-based Compensation, Activity [Table Text Block]

Presented below is a summary of the terms of the grant of options:

	Year Ended December 31,
	2014		2013		2012
Number of options granted		147,500		420,500		15,000
Vesting period		none		2 - 3 years		3 years
Maximum term of option from date of grant		7 years		6 - 7 years		7 years
Exercise price per share	$	1.39	$	1.48 - $1.65	$	1.36
Weighted average fair value per share of options granted during the year	$	0.59	$	0.56	$	0.85

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]

Presented below is a summary of assumptions used in determining the fair value of the stock options at the date of grant:

	Year Ended December 31,
	2014			2013			2012
Expected option life		3.5 years			3.75 - 4.5 years			4.5 years
Weighted average risk free rate		0.10	%		0.36	%		0.75	%
Dividend yield		0	%		0	%		0	%
Expected volatility		52.43	%		47.33% - 82.09	%		83.06	%

Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]

A summary of the status of our stock options granted pursuant the 1997 Plan and the 2010 Plan as of December 31, 2014, 2013 and 2012 and changes during the years then ended is presented below (in thousands, except per share data):

	Year Ended December 31,
	2014			2013			2012
		Weighted Average			Weighted Average			Weighted Average
	Shares	Exercise Price		Shares	Exercise Price		Shares	Exercise Price
Options outstanding - beginning of year	1,638	$	1.60	1,307	$	1.72	1,333	$	1.88
Granted	148		1.39	420		1.64	15		1.36
Exercised	-		-	(25)		1.08	-		-
Cancelled	(46)		9.50	(64)		4.53	(41)		8.11
Options outstanding - end of year	1,740	$	1.40	1,638	$	1.60	1,307	$	1.72

Options granted and subject to future vesting	263	$	-	884	$	1.32	719	$	1.01

Exercisable, at end of year	1,477			1,085			588
Available for grant	20			262			-

Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block]

The following table summarizes information about stock options outstanding and stock options exercisable at December 31, 2013 (in thousands, except remaining life and per share data):

	Options Outstanding and Exercisable
			Weighted Average	Weighted Average
Range of	Number		Remaining	Exercise Price Per
Exercise Prices	Outstanding		Contractual Life	Share
$0.87 - $1.17		1,081	3.1	$	1.01
$1.36 - $1.65		369	5.4	$	1.53
$13.80		27	1.0	$	13.80
Total		1,477		$	1.37