EMPLOYEE STOCK OPTION PLANS (Tables)

9 Months Ended

Dec. 31, 2012

EMPLOYEE STOCK OPTION PLANS [Abstract]

Summary of assumptions used in the valuation of option grants

The following table summarizes the 2009 Plan and the 1999 Plan price per option at grant date using the Black-Scholes pricing model:

			Black-Scholes Pricing Model Assumptions
Date of Issuance	Weighted Average Fair Value		Expected Dividend Yield			Risk- Free Interest Rate			Expected Volatility			Expected Life  (in years)
2009 Plan
July 18, 2011	$	33.07		0.83	%		1.45	%		40.0	%		5
July 19, 2010	$	28.58		0.91	%		1.73	%		37.5	%		5
March 22, 2010	$	32.56		0.84	%		2.43	%		37.8	%		5
October 19, 2009	$	25.36		1.04	%		2.36	%		37.6	%		5
1999 Plan
July 30, 2008	$	29.93		0.62	%		3.36	%		20.2	%		5
July 21, 2008	$	27.35		0.67	%		3.41	%		20.2	%		5
July 16, 2007	$	41.78		0.39	%		4.95	%		19.9	%		5
July 17, 2006	$	33.05		0.61	%		5.04	%		21.2	%		7
May 15, 2006	$	31.28		0.64	%		5.08	%		21.1	%		7

Summary of option activity

	Number of Shares			Weighted Average Exercise Price
2009 Plan
Balance at March 31, 2011		73,750		$	84.24
Granted		10,000			96.92
Exercised		–			–
Canceled / Forfeited		–			–
Balance at March 31, 2012		83,750		$	85.75
Granted		–			–
Exercised		(20,100	)		79.91
Canceled / Forfeited		(14,000	)		98.64
Balance at December 31, 2012		49,650		$	88.11
1999 Plan
Balance at March 31, 2011		96,500		$	114.78
Granted		–			–
Exercised		(1,500	)		65.70
Canceled / Forfeited		–			–
Balance at March 31, 2012		95,000		$	113.63
Granted		–			–
Exercised		(17,105	)		95.55
Canceled / Forfeited		(14,395	)		111.14
Balance at December 31, 2012		63,500		$	130.80
Combined Balance at December 31, 2012		113,150		$	112.06

December 31, 2012	Weighted Average Aggregate Intrinsic Remaining Contractual Term	Value
Outstanding	1.5 years	$	3,534,415
Exercisable	1.0 years	$	2,263,512

Restricted stock available for issuance

Pursuant to the Capital Southwest Corporation 2010 Restricted Stock Award Plan, our Board of Directors has reserved for issuance 47,000 shares of restricted stock to certain key employees. A restricted stock award is an award of shares of our common stock (which have full voting and dividend rights but are restricted with regard to sale or transfer), the restrictions on which lapse ratably over a specified period of time (generally five years). Restricted stock awards are independent of stock option grants and are subject to forfeit if employment terminates prior to these restrictions lapsing. These shares vest over a five-year period from the grant date and are expensed over the five-year service period starting on the grant date. On January 16, 2012, the Board of Directors granted 9,650 shares of restricted stock to key employees of the Company. During the nine months ended December 31, 2012, 3,000 shares of restricted stock were forfeited. The following table summarizes the restricted stock available for issuance as of December 31, 2012:

Restricted stock available for issuance as of March 31, 2012	37,350
Less restricted stock forfeited during the year	(3,000	)
Restricted stock available for issuance as of December 31, 2012	40,350

Restricted stock awards activity

The following table represents a summary of the activity for our restricted stock awards for the fiscal year ended December 31, 2012:

Restricted Stock Awards	Number of Shares			Weighted Average Fair Value Per Share		Weighted Average Remaining Vesting Term (in Years)
Unvested at March 31, 2012		9,650		$	83.60		4.8
Granted		−			−		−
Vested		−			−		−
Forfeited or expired		(3,000	)	$	83.60		−
Unvested at December 31, 2012		6,650		$	83.60		4.1

Phantom stock awards activity

The following table represents a summary of the activity for our phantom stock plan for the fiscal year ended December 31, 2012:

Phantom Stock Awards	Number of Shares			Exercise Price Per Share		Weighted Average Remaining Vesting Term (in Years)
Unvested at March 31, 2012		26,000		$	146.95		4.8
Granted		−			−		−
Vested		−			−		−
Forfeited or expired		(7,500	)	$	146.95		−
Unvested at December 31, 2012		18,500		$	146.95		4.1