Company: CPSS
Filing Date: 2025-03-12
Form Type: 10-K
Source: 0001683168-25-001548
Chunk: 1669

Company: CONSUMER PORTFOLIO SERVICES, INC.
Filing Date: 2025-03-12
Form: 10-K
Item: Item 9B
Chunk 1669
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 granted under the 2006 Plan and a previous plan approved in 1997 have been granted at an
exercise price equal to (or greater than) the stock’s fair value at the date of the grant, with terms generally of 7-10 years and
vesting generally over 4-5 years.

There were no stock options
granted during the years ended December 31, 2024 and 2023. The per share weighted-average fair value of stock options granted during the
year ended December 31 2022 was $5.42.
That fair value was estimated using a binomial option pricing model using the weighted average assumptions noted in the following table.
We use historical data to estimate the expected term of each option. The volatility estimate is based on the historical and implied volatility
of our stock over the period that equals the expected life of the option. Volatility assumptions ranged from 75%
to 80%
for 2022. The risk-free interest rate is based on the yield on a U.S. Treasury bond with a maturity comparable to the expected life of
the option. The dividend yield is estimated to be zero based on our intention not to issue dividends for the foreseeable future.

    Schedule of assumptions for stock options 

    Year Ended
                                                                               December
                                            31, 

    2022 
  
    Expected life (years) 
     4.00 
  
    Risk-free interest rate 
     2.38% 
  
    Volatility 
     76% 
  
    Expected dividend yield 
     – 

     F-25 

CONSUMER PORTFOLIO SERVICES, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the years ended December
31, 2024, 2023 and 2022, we recorded stock-based compensation costs in the amount of $3.0 million, $3.5 million and $4.4 million, respectively.
As of December 31, 2024, the unrecognized stock-based compensation costs to be recognized over future periods was equal to $3.0 million.
This amount will be recognized as expense over a weighted-average period of 1.1 years.

At December 31, 2024 and
2023, options outstanding had intrinsic values of $33.3
million and $36.1
million, respectively. At December 31, 2024 and 2023, options exercisable had intrinsic