Tucows 2013 Annual Report Download - page 94

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Options outstanding
Options exercisable
Exercise price
Number
outstanding
Weighted
average
exercise
price
per share
Weighted
average
remaining
contractual
life (years)
Aggregate
intrinsic
value
Number
exercisable
Weighted
average
exercise
price
per share
Aggregate
intrinsic
value
$
1.52
-
$
2.40
335,029
$
2.32
0.9
$
3,911,669
335,029
$
2.32
$
3,911,669
$
2.48
-
$
2.80
379,135
$
2.75
3.0
4,264,512
302,472
$
2.74
3,405,886
$
2.92
-
$
3.76
339,041
$
3.21
2.0
3,658,099
288,867
$
3.26
3,102,171
$
4.20
-
$
10.16
354,434
$
6.86
5.5
2,530,230
119,107
$
6.13
937,590
1,407,639
$
3.80
$
14,364,510
1,045,475
$
3.14
$
11,357,316
F-21
Total unrecognized compensation cost relating to unvested stock options at December 31, 2013, prior to the
consideration of expected forfeitures, is approximately $0.9 million and is expected to be recognized over a weighted average
period of 2.9 years.
The total intrinsic value of options exercised during the years ended December 31, 2013, 2012 and 2011 was
$1.1 million, $296,000 and $25,000, respectively. Cash received from the exercise of stock options during the years ended
December 31, 2013, 2012 and 2011 was $1.5 million, $0.4 million and $31,346 respectively.
The Company recorded stock-based compensation amounting to $0.4 million, $0.4 million and $0.3 million for the
years ended December 31, 2013, 2012 and 2010 respectively.
10. Income taxes:
The provision for income taxes differs from the amount computed by applying the statutory federal income tax rate
of 34% to income before provision for income taxes as a result of the following:
Year ended
December 31,
2013
Year ended
December 31,
2012
Year ended
December 31,
2011
Income for the year before provision for income taxes
$
5,799,803
$
6,428,298
$
3,450,610
Computed expected tax expense
$
1,971,933
$
2,185,621
$
1,173,207
Increase (reduction) in income tax expense resulting from:
State income taxes
14,500
16,071
8,627
Permanent differences, including foreign exchange
13,700
21,728
13,700
Investment tax credits recovered
(115,455
)
(106,941
)
(41,833
)
Other, including alternative minimum tax and adjustments to opening
deferred tax assets
(265,339
)
(112,323
)
(218,252
)
Change in beginning of the year balance of the valuation allowance
allocated to income tax expense
—
—
(3,655,070
)
Provision for (recovery of) income taxes
$
1,619,339
$
2,004,156
$
(2,719,621
)
The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities
as of December 31, 2013 and 2012 are presented below:
December 31,
2013
December 31,
2012
Deferred tax assets:
Deferred revenue
$
5,300,868
$
5,429,220
Losses
290,714
—
Foreign tax credit
1,914,090
—
Amortization
69,169
541,242
Accruals, including foreign exchange and other
(1,123,278
)
—
Total gross deferred tax assets
6,451,563
5,970,462
Less valuation allowance
—
—
Net deferred tax assets
$
6,451,563
$
5,970,462