STOCK OPTIONS (Tables)

9 Months Ended

Mar. 31, 2013

Fair value weighted average assumptions

The fair value for the options granted were estimated using the Black-Scholes option pricing model with the following weighted average assumptions, assuming no expected dividends:

	Nine Months Ended March 31,			Year Ended June 30,
	2013			2012
Expected volatility		92.53	%		81.17	%
Risk-free interest rate		0.26	%		0.25	%
Expected life (years)		2.50			2.50

Option activities

A summary of option activities under the 2007 Employee Plan during the nine month period ended March 31, 2013 is presented as follows:

	Options		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (Years)		Aggregate Intrinsic Value
Outstanding at July 1, 2012		313,000	$	3.85		2.31	$	-
Granted		-		-		-		-
Exercised		-		-		-		-
Forfeited or expired		(44,000)		(8.69)		-		-
Outstanding at March 31, 2013		269,000	$	3.05		1.81	$	-
Exercisable at March 31, 2013		248,250	$	2.95		1.70	$	-

Companys non-vested employee stock options

A summary of the status of the Company’s non-vested employee stock options during the nine months ended March 31, 2013 is presented below:

				Weighted Average Grant-Date
	Options			Fair Value
Non-vested at July 1, 2012		43,250		$	3.29
Granted		-			-
Vested		(21,375	)		3.16
Forfeited		(1,125	)		3.16
Non-vested at March 31, 2013		20,750		$	3.29

2007 Directors plan option activities

A summary of option activities under the 2007 Directors Plan during the nine months ended March 31, 2013 is presented as follows:

	Options			Weighted Average Exercise Price			Weighted Average Remaining Contractual Term (Years)		Aggregate Intrinsic Value
Outstanding at July 1, 2012		385,000		$	4.52			2.45	$	-
Granted		15,000			2.07			4.96		-
Exercised		-			-			-		-
Forfeited or expired		(60,000	)		(4.81	)		-		-
Outstanding at March 31, 2013		340,000		$	3.53			2.21	$	-
Exercisable at March 31, 2013		340,000		$	3.53			2.21	$