Note 9 Share-Based Compensation

Share-based compensation expense totaled $3.6 million and $13.8 million during the three months ended June 30, 2023 and 2022, respectively, and $13.8 million and $31.2 million during the six months ended June 30, 2023, and 2022, respectively. Prior to the closing of the Tailwind Two Merger, all of the Company's outstanding restricted stock units (“RSUs”) included a performance condition that required a liquidity event to occur in order to vest. Accordingly, the Company previously did not recognize share-based compensation expense associated with the RSUs as their performance condition was not probable of being met until such an event occurred. Upon closing of the Tailwind Two Merger in March 2022, the Company recorded a cumulative catch-up of approximately $17.2 million to begin recognition of share-based compensation expense associated with these RSUs as the performance condition was met, of which $2.1 million was recorded to cost of sales and $15.1 million was recorded to selling, general, and administrative expenses in the condensed consolidated statements of operations and comprehensive loss based on the classification of each employee's compensation expense.

During the six months ended June 30, 2023, the Company granted approximately 2.5 million RSUs with a weighted average grant date fair value of $1.77 per unit based on the public market price of the Company’s common stock as of the date of grant. These RSUs will primarily vest over a four-year period.

During July 2023, the Company granted approximately 6.1 million RSUs that will vest over a four-year period.