STOCK OPTIONS (Tables)

12 Months Ended

Dec. 31, 2012

STOCK OPTIONS [Abstract]

Summary of stock options and stock awards

The status of our stock options and stock awards are summarized as follows:

	Number			Weighted Average
	Of Options			Exercise Price
Outstanding at December 31, 2010		1,948,260		$	3.79
Granted		25,000		$	2.81
Exercised		(69,000	)	$	0.57
Cancelled		(371,414	)	$	3.52
Outstanding at December 31, 2011		1,532,846		$	3.99
Granted		379,500		$	2.90
Exercised		(28,000	)	$	0.70
Cancelled		(4,885	)	$	7.33
Outstanding at December 31, 2012		1,879,461		$	3.81
Exercisable at December 31, 2012		1,232,894		$	3.73

Summary of information about our options outstanding

				Weighted Average
Exercise Prices		Number Outstanding		Remaining Contractual Life	Options Exercisable
$	0.70		7,000	1 year		7,000
$	0.75		21,500	1 year		21,500
$	1.30		25,000	1 year		25,000
$	2.13		125,000	2 years		125,000
$	2.25		322,500	3 years		322,500
$	2.41		40,000	2 years		40,000
$	2.93		35,000	3years		35,000
$	2.95		2,500	2 years		2,500
$	3.25		331,700	1 years		331,700
$	6.93		20,000	4 years		20,000
$	7.10		12,125	6 years		10,696
$	7.18		50,000	7 years		50,000
$	7.33		131,190	7 years		77,809
$	7.68		7,500	6 years		5,357
$	8.66		97,857	6 years		70,714
$	6.60		500	7 years		500
$	8.32		68,214	7 years		29,643
$	7.85		7,500	7 years		3,214
$	6.00		30,000	8 years		-
$	7.45		14,286	8 years		14,286
$	3.08		10,000	8 years		2,858
$	2.46		65,589	8 years		19,759
$	1.89		50,000	8 years		14,286
$	2.80		10,000	9 years		1,429
$	2.81		15,000	9 years		2,143
$	2.79		46,000	10 years		-
$	2.54		233,500	10 years		-
$	3.79		100,000	10 years		-
			1,879,461			1,232,894

Number and weighted average grant-date fair values of options non-vested

The number and weighted average grant-date fair values of options non-vested at the beginning and end of 2012, as well as options granted, vested and forfeited during the year was as follows:

	Number Of Options			Weighted Average Grant Date Fair Value
Non-vested at January 1, 2012		337,734		$	2.12
Granted in 2012		379,500		$	1.03
Vested in 2012		(65,782	)	$	2.50
Forfeited in 2012		(4,885	)	$	2.82
Non-vested at December 31, 2012		646,567		$	1.43

Allocation of stock based compensation expense

Allocation of stock based compensation expense for the fiscal years ended December 31, 2012, 2011 and 2010 was as follows (in thousands):

	2012		2011		2010
Cost of sales	$	16	$	16	$	16
Research and development		37		11		33
Salaries and related costs		108		105		114
Total	$	161	$	132	$	163