Stockholders' Equity

3 Months Ended

Feb. 29, 2016

Stockholders' Equity

Stockholders' Equity

7.Stockholders’ Equity

Per Share Results

Basic and diluted per share results were based on the following:

	For the Three Months Ended
	Feb. 29, 2016		Feb. 28, 2015
Net loss	$	(335)	$	(708)
Weighted average shares outstanding for computation of basic per share results		5,153,000		5,150,000
Incremental shares from assumed exercise of Griffin stock options (a)		—		—
Adjusted weighted average shares for computation of diluted per share results		5,153,000		5,150,000

(a) Incremental shares from the assumed exercise of Griffin stock options are not included in periods where the inclusion of such shares would be anti-dilutive. The incremental shares from the assumed exercise of stock options for the three month periods ended February 29, 2016 and February 28, 2015 would have been 1,000 and 18,000, respectively.

Griffin Stock Option Plan

Stock options are granted by Griffin under the Griffin Industrial Realty, Inc. 2009 Stock Option Plan (the “2009 Stock Option Plan”). Options granted under the 2009 Stock Option Plan may be either incentive stock options or non-qualified stock options issued at fair market value on the date approved by Griffin’s Compensation Committee. Vesting of all of Griffin's previously issued stock options is solely based upon service requirements and does not contain market or performance conditions. Stock options issued will expire ten years from the grant date. In accordance with the 2009 Stock Option Plan, stock options issued to non-employee directors upon their initial election to the board of directors are fully exercisable immediately upon the date of the option grant. Stock options issued to non-employee directors upon their re-election to the board of directors vest on the second anniversary from the date of grant. Stock options issued to employees vest in equal installments on the third, fourth and fifth anniversaries from the date of grant. None of the stock options outstanding at February 29, 2016 may be exercised as stock appreciation rights.

Number of option holders at February 29, 2016 15

Compensation expense and related tax benefits for stock options were as follows:

	For the Three Months Ended
	Feb. 29, 2016		Feb. 28, 2015
Net compensation expense	$	71	$	93
Net related tax benefit	$	12	$	18

As of February 29, 2016, the unrecognized compensation expense related to nonvested stock options that will be recognized during future periods is as follows:

Balance of Fiscal 2016	$	42
Fiscal 2017	$	19

There were no options granted, exercised or forfeited in the 2016 and 2015 first quarters. As of February 29, 2016, there were 225,727 options outstanding with a weighted average exercise price of $30.47. As of February 28, 2015, there were 222,001 options outstanding with a weighted average exercise price of $30.35.  

A summary of options under the 2009 Griffin Stock Option Plan is as follows:

				Weighted Avg.
				Remaining
Range of Exercise Prices for	Outstanding at	Weighted Avg.		Contractual Life	Total Intrinsic
Vested and Nonvested Options	February 29, 2016	Exercise Price		(in years)	Value
$23.00 - $28.00	14,934	$	25.43	5.9	$	—
$28.00 - $32.00	127,718	$	29.07	5.2		—
$32.00 - $39.00	83,075	$	33.52	2.6		—
	225,727	$	30.47	4.3	$	—

Accumulated Other Comprehensive Loss

Accumulated other comprehensive loss, net of tax, is comprised of the following:

	For the Three Months Ended Feb. 29, 2016
			Unrealized gain
	Unrealized loss on		on investment in
	cash flow hedges		Centaur Media		Total
Balance November 30, 2015	$	(1,744)	$	659	$	(1,085)
Other comprehensive loss before reclassifications		(1,141)		(256)		(1,397)
Amounts reclassified		213		—		213
Net activity for other comprehensive loss		(928)		(256)		(1,184)
Balance February 29, 2016	$	(2,672)	$	403	$	(2,269)

	For the Three Months Ended Feb. 28, 2015
			Unrealized gain
	Unrealized loss on		on investment in
	cash flow hedges		Centaur Media		Total
Balance November 30, 2014	$	(1,464)	$	629	$	(835)
Other comprehensive (loss) income before reclassifications		(326)		15		(311)
Amounts reclassified		177		—		177
Net activity for other comprehensive loss		(149)		15		(134)
Balance February 28, 2015	$	(1,613)	$	644	$	(969)

The components of other comprehensive loss are as follows:

	For the Three Months Ended
	February 29, 2016						February 28, 2015
			Tax						Tax
			(Expense)		Net-of				(Expense)		Net-of
	Pre-Tax		Benefit		Tax		Pre-Tax		Benefit		Tax
Reclassifications included in net loss:
Loss on cash flow hedges (interest expense)	$	338	$	(125)	$	213	$	281	$	(104)	$	177
Total reclassifications included in net loss		338		(125)		213		281		(104)		177
Mark to market adjustment on Centaur Media for a decrease in the foreign currency exchange rate		(128)		45		(83)		(26)		9		(17)
Mark to market adjustment on Centaur Media for a (decrease) increase in fair value		(265)		92		(173)		50		(18)		32
Decrease in fair value adjustments on Griffin’s cash flow hedges		(1,812)		671		(1,141)		(518)		192		(326)
Total other changes in other comprehensive loss		(2,205)		808		(1,397)		(494)		183		(311)
Other comprehensive loss	$	(1,867)	$	683	$	(1,184)	$	(213)	$	79	$	(134)

Cash Dividend

Griffin did not declare a cash dividend in the 2016 or 2015 first quarters. During the 2016 first quarter, Griffin paid $1,546 for the cash dividend declared in the 2015 fourth quarter. During the 2015 first quarter, Griffin paid $1,030 for the cash dividend declared in the 2014 fourth quarter.