Company: INTG
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001493152-25-006758
Chunk: 23

Company: INTERGROUP CORP
Filing Date: 2025-02-14
Form: 10-Q
Item: Part I, Item 1
Chunk 23
---
 and is extended to December 26,
2029. As a result of extending Mr. Winfield’s options, the Company recorded stock option compensation cost of $1,175,000 in December
2023. The fair value of the modification was estimated using the Black Scholes pricing model, which takes into account immediately before
and after the modification date the exercise price $18.65 per share and expected life of the stock option of 0.01 and 6 years, the market
price of the underlying stock on modification date and its expected volatility 72% and 50%, expected dividends 0% on the stock and the
risk free interest rate 0.9% and 4.65% for the expected term of the stock option.

Option-pricing
models require the input of various subjective assumptions, including the option’s expected life, estimated forfeiture rates and
the price volatility of the underlying stock. The expected stock price volatility is based on analysis of the Company’s stock price
history. The Company has selected to use the simplified method for estimating the expected term. The risk-free interest rate is based
on the U.S. Treasury interest rates whose term is consistent with the expected life of the stock options. No dividend yield is included
as the Company has not issued any dividends and does not anticipate issuing any dividends in the future.

    -15-

During
the six months ended December 31, 2024 and 2023 the Company recorded $65,000 and $1,175,000, respectively, related to stock option compensation
cost.

The
following table summarizes the stock options activity from July 1, 2023 to December 31, 2024:

 SCHEDULE OF STOCK OPTION ACTIVITY

    Number
                                            of
                                                                               Shares  
    Weighted
                                            Average
                                                                               Exercise
                                            Price  
    Weighted
                                            Average
                                                                               Remaining
                                            Life  
    Aggregate
                                                                               Intrinsic
                                            Value 

    Oustanding at 
     July
                                            1, 2023  
     251,195  
    $15.95  
     1.60
                                            years  
    $4,957,000 
  
    Granted 
        
     18,000  
     28.90  
      9.54
                                            years   
     - 
  
    Exercised 
        
     -  
     -