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| Capital Transactions | Capital Transactions Dividends
The declaration of future dividends is subject to the discretion of our Board of Directors and will depend upon various factors, including our earnings, financial condition, restrictions imposed by any indebtedness that may be outstanding, cash requirements, future prospects and other factors deemed relevant by our Board of Directors.
Share Repurchase Program
On March 10, 2021, we announced a $15.0 million common share repurchase program. On March 8, 2022 we announced an amendment to the share repurchase program allowing the repurchase of an additional $30.0 million in common shares. The repurchases may be made from time to time as market conditions warrant and are subject to regulatory considerations. For the three months ended March 31, 2023, we repurchased 90,000 shares of our common stock for $0.8 million. For the three months ended March 31, 2022, we repurchased 451,000 shares of our common stock for $8.0 million. At March 31, 2023, the remaining balance available for repurchases under the program was $23.2 million.
Share-Based Compensation
During the year ended December 31, 2012, our shareholders adopted and approved the Nature’s Sunshine Products, Inc. 2012 Stock Incentive Plan. The 2012 Incentive Plan provides for the grant of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock, restricted stock units, dividend equivalent rights, performance awards, stock awards and other stock-based awards. The Compensation Committee of the Board of Directors has authority and discretion to determine the type of award, as well as the amount, terms and conditions of each award under the 2012 Incentive Plan, subject to the limitations of the 2012 Incentive Plan. A total of 1,500,000 shares of our common stock were originally authorized for the granting of awards under the 2012 Incentive Plan. In 2015, our shareholders approved an amendment to the 2012 Incentive Plan, to increase the number of shares of common stock reserved for issuance by 1,500,000 shares. On May 5, 2021, our shareholders approved the Amended and Restated 2012 Stock Incentive Plan, which among other amendments, increased the number of shares of common stock reserved for issuance by 2,000,000 shares. The number of shares available for awards, as well as the terms of outstanding awards, are subject to adjustment as provided in the Amended and Restated 2012 Incentive Plan for stock splits, stock dividends, recapitalizations and other similar events.
Stock Options
Our outstanding stock options include time-based stock options, which vest over differing periods of time ranging from the date of issuance to up to 48 months from the option grant date, and performance-based stock options, which have already vested upon achieving operating income margins of six, eight and ten percent as reported in four of five consecutive quarters over the term of the options.
Stock option activity for the three-month period ended March 31, 2023, is as follows (amounts in thousands, except per share information):
There was no share-based compensation expense from stock options for the three- month periods ended March 31, 2023 and 2022. As of March 31, 2023 and December 31, 2022, there was no unrecognized share-based compensation expense related to the grants described above.
At March 31, 2023, the aggregate intrinsic value of outstanding and exercisable stock options to purchase 127,000 shares of common stock was $0. At December 31, 2022, the aggregate intrinsic value of outstanding and exercisable options to purchase 143,000 shares of common stock was $0.
For the three-month period ended March 31, 2023, no shares of common stock were issued upon the exercise of stock options. For the three months ended March 31, 2022, we issued 29,000 shares of common stock upon the exercise of stock options at an average exercise price of $9.17 per share. The aggregate intrinsic value of options exercised during the three-month periods ended March 31, 2023 and 2022, was $0 and $0.3 million, respectively. For the three-month periods ended March 31, 2023 and 2022, the Company recognized $0 and $0.1 million of tax benefits from the exercise of stock options, respectively.
As of March 31, 2023 and December 31, 2022, we did not have any unvested stock options outstanding.
Restricted Stock Units
Our outstanding restricted stock units (“RSUs”), include time-based RSUs, which vest over differing periods of time ranging from 12 months to up to 36 months from the RSU grant date, as well as performance-based RSUs, which vest upon achieving targets relating to adjusted EBITDA growth, and/or stock price levels. RSUs granted to members of the Board of Directors contain a restriction period in which the shares are not issued until two years after vesting. At March 31, 2023 and December 31, 2022, there were 106,000 and 94,000 vested RSUs, respectively, granted to the Board of Directors with an accompanying restriction period.
Restricted stock unit activity for the three-month period ended March 31, 2023, is as follows (amounts in thousands, except per share information):
During the three-month period ended March 31, 2023, no RSUs were granted under the 2012 Incentive Plan.
Share-based compensation expense related to time-based RSUs for the three-month periods ended March 31, 2023 and 2022, was approximately $0.8 million and $0.5 million, respectively. As of March 31, 2023 and December 31, 2022, the unrecognized share-based compensation expense related to the grants described above, excluding incentive awards discussed below, was $2.2 million and $3.0 million, respectively. The remaining compensation expense is expected to be recognized over the weighted average period of approximately 1.5 years.
Share-based compensation expense related to performance-based RSUs for the three-month periods ended March 31, 2023 and 2022, was $0.3 million and $0.3 million, respectively. Should we attain all of the metrics related to performance-based RSU grants, we would recognize up to $4.5 million of potential share-based compensation expense. We currently expect to recognize an additional $2.2 million of that potential share based compensation expense. The number of shares issued upon vesting of RSUs granted pursuant to our share-based compensation plans is net of the minimum statutory withholding requirements that we pay on behalf of our employees, which was 15,000 and 60,000 shares for the three-month periods ended March 31, 2023 and 2022, respectively. Although shares withheld are not issued, they are treated as common share repurchases for accounting purposes, as they reduce the number of shares that would have been issued upon vesting. These shares do not count against the authorized capacity under the repurchase program described above.
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