Common Stock and Stock Options

12 Months Ended

Jun. 30, 2012

Common Stock and Stock Options [Abstract]

Common stock and stock options

6. Common Stock and Stock Options

The Company’s 2006 Equity Incentive Plan as amended (the 2006 Plan) was adopted by the Board of Directors on September 21, 2006, and approved by the stockholders on November 14, 2006, as the successor to the 1997 Stock Incentive Plan (the 1997 Plan). Outstanding options under the 1997 Plan have been incorporated into the 2006 Plan and no further option grants will be made under the 1997 Plan. The incorporated options will continue to be governed by their existing terms, unless the Plan Administrator elects to extend one or more features of the 2006 Plan to those options.

Incentive stock options may be granted to employees of the Company entitling them to purchase shares of common stock for a maximum of ten years (five years in the case of options granted to a person possessing more than 10% of the combined voting power of the company as of the date of grant). The exercise price for incentive stock options may not be less than fair market value of the common stock on the date of the grant (110% of fair market value in the case of options granted to a person possessing more than 10% of the combined voting power of the Company). Nonqualified stock options may be granted to employees, officers, directors, independent contractors and consultants of the Company. The exercise price for nonqualified stock options may not be less than 85% of the fair market value of the common stock on the date of the grant (110% of fair market value in the case of options granted to a person possessing more than 10% of the combined voting power of the Company). The vesting period for stock options is generally a four-year period. Options are generally exercisable by the holder only for the vested portion of each grant. The Company may also award Restricted Stock, Restricted Stock Units and Stock Appreciation Rights subject to provisions in the 2006 Plan.

Restricted Stock Awards	Shares			Weighted Average Grant Date Fair Value		Weighted  Average Remaining Vesting Period (in years)
Outstanding and unvested as June 30, 2009		1,059,500			3.85		2.03
Granted		223,000			5.06		3.22
Vested		(182,500	)		4.22		—
Forfeited		(60,000	)		3.80		—
Outstanding and unvested as June 30, 2010		1,040,000			4.04		2.36
Granted		200,000			5.58		2.48
Vested		(128,000	)		4.04		—
Forfeited		(65,000	)		4.99		—
Outstanding and unvested as June 30, 2011		1,047,000		$	4.42		1.29
Granted		539,000			5.96		2.71
Vested		(701,000	)		3.84		—
Forfeited		(66,000	)		5.36		—
Outstanding and unvested as June 30, 2012		819,000		$	5.73		2.56

A summary of changes in common stock options during the year ended June 30, 2010, 2011 and 2012 is as follows:

	Shares			Weighted Average Exercise Price
Options outstanding, June 30, 2009		2,450,791		$	4.54
Granted		248,500			5.11
Exercised		(146,900	)		2.52
Surrendered		(182,875	)		6.43
Options outstanding, June 30, 2010		2,369,516		$	4.58
Granted		259,000			5.54
Exercised		(227,935	)		3.03
Surrendered		(96,875	)		4.90
Options outstanding, June 30, 2011		2,303,706		$	4.83
Granted		215,000			6.26
Exercised		(365,705	)		3.95
Surrendered		(134,525	)		5.17
Options outstanding, June 30, 2012		2,018,476		$	5.11

The following is additional information relating to options outstanding at June 30, 2012:

	Options Outstanding						Options Exercisable
Range of Exercise Price	Number of Options		Weighted-Average Remaining Contractual Life Of Options		Weighted Average Exercise Price		Number of Options		Weighted Average Exercise Price
$ 3.60 to $ 4.00		669,875		3.65	$	3.86		646,750	$	3.86
$ 4.03 to $ 6.00		831,100		4.56	$	5.07		641,413	$	5.00
$ 6.01 to $ 8.15		517,501		4.72	$	6.81		313,125	$	7.19
$ 3.60 to $8.15		2,018,476		4.30	$	5.11		1,601,288	$	4.97

The aggregate intrinsic value (the amount by which market price exceeds the option exercise price) for options as of June 30, 2012 is as follows:

	Year Ended June 30,  2012 Aggregate Intrinsic Value (in 000s)
Options outstanding at end of year	$	4,034
Options exercisable at end of year	$	3,280
Options exercised during year	$	885

At June 30, 2012, 3,226,374 shares of common stock were reserved for future grants and exercise of stock options and restricted stock awards. The share reserve includes 2.8 million shares subject to outstanding awards which, if forfeited, cancelled or otherwise terminated are returned to the share reserve and made available for subsequent issuance.

During fiscal years 2010, 2011 and 2012, the Company repurchased approximately 1.2 million, 1.6 million and 0.3 million shares, respectively, of common stock at a cost of approximately $6.1 million, $8.6 million and $2.0 million, respectively. In July 2010, we announced the authorization of a $10.0 million stock repurchase plan which became effective on July 27, 2010, of which approximately $1.4 million remains available as of June 30, 2012. Depending on market conditions and other factors, such purchases may be commenced or suspended at any time without prior notice.