Note 5 - Stock Options

9 Months Ended

Nov. 04, 2012

Disclosure of Compensation Related Costs, Share-based Payments [Text Block]

NOTE 5 - STOCK OPTIONS

On April 2, 1999, the Board of Directors of the Company approved a Stock Option Plan for Executives and Managers.  Under the plan 145,500 shares were reserved for the grant of options.  The Stock Option Plan for Executives and Managers provides for grants to eligible participants of nonqualified stock options only.  The exercise price for any option awarded under the Plan is required to be not less than 100% of the fair market value of the shares on the date that the option is granted.  Options are granted by the Stock Option Committee of the Company.  Options for 145,150 shares were granted to executives and managers of the Company on April 2, 1999 at an exercise price of $4.125, all of which have either expired or been exercised.  Options for 350 common shares were granted on November 6, 2008 at the closing price on that day of $1.50 per share all of which are currently outstanding.  The options vested in six months and expire ten years after date of issue.

At the Company’s annual meeting on June 25, 1999 the shareholders approved the Key Employees Stock Option Plan.  This plan allows the granting of options covering 291,000 shares of stock and has essentially the same provisions as the Stock Option Plan for Executives and Managers which was discussed above.  Options for 129,850 shares were granted to executives and managers of the Company on January 7, 2000 at an exercise price of $3.00.  Options for 11,500 shares were granted to executives on April 27, 2001 at an exercise price of $.85, all of which have either expired or been exercised.  Options for 149,650 common shares were granted on November 6, 2008 at the closing price on that day of $1.50 per share of which 146,650 are currently outstanding.  The options vested in six months and expire ten years after date of issue.

As of November 4, 2012, a total of 147,000 options were outstanding, fully vested and exercisable at a weighted average exercise price of $1.50 per share.  No options are available for grant and no options were granted during the current year period.  The Company recorded no compensation expense during the current year period.

The following table summarizes information about stock options outstanding at November 4, 2012:

Exercise Prices	Outstanding 11-4-12		Average Life		Number Exercisable
1.50		147,000		6.0		147,000