Company: JSDA
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-011093
Chunk: 10

Company: JONES SODA CO.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 10
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 We
recognize compensation expense for only the portion of stock options or restricted stock expected to vest. Therefore, we apply estimated
forfeiture rates that are derived from historical employee termination behavior. If the actual number of forfeitures differs from those
estimated by management, additional adjustments to stock-based compensation expense may be required in future periods.

As
of March 31, 2025, we had unrecognized compensation expense related to stock options of $1.0 million to be recognized over a weighted-average
period of 5 years.

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

 Schedule of Stock-based Compensation Expense

    March
    31, 2025  
    March
    31, 2024 

    Three
    months ended 

    March
    31, 2025  
    March
    31, 2024 
  
    Stock options 
    $91  
    $150 
  
    Restricted stock 
     -  
     8 

    $91  
    $158 
  
    Consolidated Statements
    of Operations account: 

    Selling and marketing 
    $12  
    $20 
  
    General and administrative 
     79  
     138 
  
    Stock-based compensation
    expense 
    $91  
    $158 

    14

We
employ the following key weighted-average assumptions in determining the fair value of stock options, using the Black-Scholes option
pricing model and the simplified method to estimate the expected term of “plain vanilla” options:

 Schedule of Weighted-average Assumptions in Fair Value of Stock Options

    March
    31, 2025  
    March
    31, 2024 
  
    Expected dividend yield 
     -  
     - 
  
    Expected stock price volatility 
     75.0% 
     89.3%
  
    Risk-free interest rate 
     4.47% 
     4.20%
  
    Expected term (in years) 
     10.0  
     5.90 
  
    Weighted-average grant date fair-value 
    $0.22  
    $0.18 

As
of March 31, 2025, the aggregate intrinsic value of outstanding stock options was approximately $74,500, while the intrinsic value of
exercisable options was approximately $22