NOTE 13 – 2017 STOCK INCENTIVE PLAN

On December 6, 2017, the Board of Directors adopted the 2017 Stock Incentive Plan (the “2017 Plan”) with 913,612 shares of Common Stock available under the Plan for issuance. This Plan was approved by Stockholders at its meeting held on July 24, 2018.

On July 12, 2021, the Board of Directors adopted the 2021 Stock Incentive Plan (the “2021 Plan”). The 2021 Plan is identical to the 2017 in all material respects, except that the number of shares available for issuance thereunder is 1,000,000. This Plan was approved by Stockholders at its meeting held on September 14, 2021.

During the nine months ended July 31, 2022, the Company granted to various eligible individuals Restricted Stock Awards of 64,687 shares of common stock pursuant to the terms of the Plan. During the nine months ended July 31, 2021, 36,501 options or Restricted Stock Grants were forfeited. During the nine months ended July 31, 2022, 177,333 options vested and remained unexercised. In addition, 3,333 options were exercised on a cashless basis resulting in the issuance of 1,107 shares. As of July 31, 2022, there were 1,396,772 shares available for future issue under both 2017 and 2021 Plans. The total stock compensation expense during the nine months ended July 31, 2022, was $975,847.

During the nine months ended July 31, 2021, the Company granted to various eligible individuals Restricted Stock Awards to purchase an aggregate of 127,500 shares of common stock pursuant to the terms of the Plan. During the nine months ended July 31, 2021, 8,000 options were forfeited. As of July 31, 2021, 80,314 shares of common stock were issued pursuant to the cashless exercise of 169,332 options. In March 2021,  13,333 options vested but remained unexercised as of July 31, 2021. As of July 31, 2021, there were 288,773 shares of common stock available for future issue under the Plan. The total stock compensation expense during the nine months ended July 31, 2021, was $761,233.