PREFERRED AND COMMON STOCK

Preferred stock The Company has 1,000,000 authorized shares of preferred stock of which 250,000 shares have been designated as Series A Serial Preferred Stock. No shares have been issued.

Common stock The Company currently has 120,000,000 authorized shares of common stock.

Stock option plans The 2009 Stock Incentive Plan (the “Plan”), was approved by the Board of Directors in June 2009 and approved by the shareholders in September 2009. The Plan replaced the 2000 Option Plan and the Non-employee Director Stock Plan (together, the “Prior Plans”). There are 3,894,908 shares available for grant at April 30, 2015 under the Plan. Awards made under the Plan may take the form of stock options, restricted stock or restricted stock units. Each share issued pursuant to a stock option will reduce the shares available for grant by one, and each share issued pursuant to an award of restricted stock or restricted stock units will reduce the shares available for grant by two. Restricted stock is transferred to the employee or non-employee immediately upon grant, whereas restricted stock units have a vesting period that must expire before the stock is transferred. We account for stock-based compensation by estimating the fair value of stock options granted under the Plan using market price of a share of our common stock on the date of grant. We recognize this fair value as an operating expense in our consolidated statements of income over the requisite service period using the straight-line method. Additional information regarding the Plan is provided in the Company’s 2009 Proxy Statement. At April 30, 2015, stock options for 401,800 shares (which expire between 2015 and 2021) were outstanding. All stock option shares issued are previously unissued authorized shares.

On June 10, 2011, restricted stock units with respect to a total of 9,198 shares were granted to certain employees under the annual incentive compensation program. The fair value of the Company’s shares on the date of grant was $40.49. These awards vested on May 1, 2014 and compensation expense was recognized ratably over the vesting period. This award was granted at no cost to the employee.

On June 23, 2011, stock options totaling 441,000 shares were granted to certain officers and key employees. Also on the same date, restricted stock units totaling 15,000 shares were granted to the CEO. The fair value of the Company’s shares on the date of grant was $44.39. These awards vested on June 23, 2014 and compensation expense was recognized ratably over the vesting period. These awards were granted at no cost to the employees.

On September 16, 2011, restricted stock units with respect to a total of 14,000 shares were granted to the non-employee members of the Board. The fair value of the Company’s shares on the date of grant was $47.59. This award was also granted at no cost to the non-employee members of the Board. This award vested on May 1, 2012 and compensation expense was recognized ratably over the vesting period.

On June 8, 2012, restricted stock units with respect to a total of 32,998 shares were granted to certain employees under the annual incentive compensation program. The fair value of the Company’s shares on the date of grant was $59.48. These awards vested on May 1, 2015 and compensation expense was recognized ratably over the vesting period. This award was granted at no cost to the grantee.

On September 14, 2012, restricted stock units with respect to a total of 14,000 shares were granted to the non-employee members of the Board. The fair value of the Company’s shares on the date of grant was $58.93. This award was granted at no cost to the non-employee members of the Board. This award vested on May 1, 2013 and compensation expense was recognized ratably over the vesting period.

On June 7, 2013 and June 19, 2013 restricted stock units with respect to a total of 77,650 shares were granted to certain officers and key employees. The fair value of the Company’s shares was $62.26 on June 7, 2013 (76,150 shares) and $60.47 on June 19, 2013 (1,500 shares). These awards were granted at no cost to the grantee. These awards will vest on June 7, 2016 and compensation expense is currently being recognized ratably over the vesting period.

On September 13, 2013, restricted stock units totaling 14,000 shares were granted to the non-employee members of the Board. The fair value of the Company’s shares on the date of grant was $71.02. This award was granted at no cost to the non-employee members of the Board. This award vested on May 1, 2014 and compensation expense was recognized ratably over the vesting period.

On June 6, 2014, restricted stock units with respect to a total of 91,000 shares were granted to certain officers and key employees. The fair value of these awards was $6,584. These awards will vest on June 6, 2017. Also on that same date, restricted stock totaling 30,538 shares were granted to certain officers and key employees. The award was due to the financial performance of the Company based upon the 2014 annual incentive performance goals. The award vested immediately upon grant and the fair value was $2,209 at the time of the grant. Both awards were granted at no cost to the employees.

On September 19, 2014, restricted stock totaling 13,955 shares were granted to the non-employee members of the Board. This award was granted at no cost to the non-employee members of the Board. The award vested immediately upon grant and the fair value was $990 at the time of the grant.

Information concerning the issuance of stock options under the Plan and Prior Plans is presented in the following table:



	Number of option shares		Weighted average option exercise price
Outstanding at April 30, 2012	1,053,509		$	32.59
Granted	—		—
Exercised	(198,200	)	23.82
Forfeited	(500	)	14.08
Outstanding at April 30, 2013	854,809		$	34.64
Granted	—		—
Exercised	(140,785	)	23.93
Forfeited	(2,000	)	44.39
Outstanding at April 30, 2014	712,024		$	36.73
Granted	—		—
Exercised	(310,224	)	36.96
Forfeited	—		—
Outstanding at April 30, 2015	401,800		$	36.55

At April 30, 2015, all outstanding options had an aggregate intrinsic value of $18,334 and a weighted average remaining contractual life of 5.13 years. All options are vested as of April 30, 2015. The aggregate intrinsic value for the total of all options exercised during the year ended April 30, 2015 was $13,382, and there were 441,000 shares that vested during the year ended April 30, 2015.

At April 30, 2015, the range of exercise prices for outstanding options was $20.68 – $44.39 and the weighted average remaining contractual life of outstanding options was 5.13 years. The number of shares and weighted average remaining contractual life of the options by range of applicable exercise prices at April 30, 2015 were as follows:



Range of exercise prices	Number of shares	Weighted average exercise price	Weighted average remaining contractual life (years)
20.68-24.11	7,000	22.62	1.2
25.26-26.92	159,600	25.61	3.8
44.39	235,200	44.39	6.2
	401,800

Information concerning the issuance of restricted stock units under the Plan is presented in the following table:




Unvested at April 30, 2012	38,198
Granted	46,998
Vested	(14,000	)
Forfeited	—
Unvested at April 30, 2013	71,196
Granted	91,650
Vested	(14,150	)
Forfeited	(150	)
Unvested at April 30, 2014	148,546
Granted	91,000
Vested	(38,198	)
Forfeited	(7,418	)
Unvested at April 30, 2015	193,930

Total compensation costs recorded for the years ended April 30, 2015, 2014 and 2013 were $7,307, $5,600, and $4,270, respectively, for the stock options, restricted stock, and restricted stock unit awards. As of April 30, 2015, there was $5,714 of total unrecognized compensation costs related to the Plan and Prior Plans for costs related to restricted stock units which are expected to be recognized ratably through fiscal 2018.