Stock-Based Compensation and Stockholders' Rights

12 Months Ended

Jan. 31, 2016

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

Stock Based Compensation and Stockholders' Rights

Stock-Based Compensation and Stockholders’ Rights

Stock Incentive Plans

The Company's two stock plans are the 2011 Employee Stock Incentive Plan (the “2011 Plan”) and the 2007 Employee Incentive Stock Plan (the “2007 Plan”). Under the 2011 Plan, the Company may grant an aggregate of 1,000,000 shares to its employees and non-employee directors in the form of stock options or awards. Restricted stock or stock units awarded under the 2011 Plan are expensed ratably over the vesting period of the awards. The Company determines the fair value of its restricted stock unit awards and related compensation expense as the difference between the market value of the awards on the date of grant less the exercise price of the awards granted. The Company granted 75,174 awards during fiscal 2016. As of January 31, 2016, there were approximately 803,520 shares available for future issuance under the 2011 Plan.

Under the 2007 Plan, the Company may grant an aggregate of 1,000,000 shares to its employees and non-employee directors in the form of stock options or awards. Restricted stock or stock units awarded under the 2007 Plan are expensed ratably over the vesting period of the awards. The Company determines the fair value of its restricted stock unit awards and related compensation expense as the difference between the market value of the awards on the date of grant less the exercise price of the awards granted. The Company granted no awards during fiscal 2016. As of January 31, 2016, there were approximately 13,075 shares available for future issuance under the 2007 Plan.

Accounting for the Plans

Restricted Stock Unit Awards

The following table presents a summary of restricted stock and stock unit awards:

			Expense for 12 months ended						Unrecognized Compensation Cost at
Date of Grants	Units Granted	Terms of Vesting	1/31/2016		1/31/2015		1/31/2014		1/31/2016
2011 Stock Incentive Plan
06/22/2015	48,000	4 years	$	22,000	$	—	$	—	$	110,000
06/22/2015	27,174	1 year	50,000		—		—		25,000
06/24/2014	28,626	1 year	25,000		49,000		—		—
06/24/2014	490,000	5 years	246,000		171,000		—		801,000
12/03/2013	10,000	1 year			13,000		6,000		—
12/03/2013	18,000	5 years	—		—		1,000		—
06/25/2013	71,430	1 year			50,000		100,000		—
06/19/2012	31,250	1 year	—		—		17,000		—
06/19/2012	520,000	5 years	150,000		157,000		160,000		196,000
2007 Stock Incentive Plan
06/19/2012	78,125	1 year	—		—		41,000		—
03/21/2012	40,000	Immediate	—		—		—		—
06/21/2011	68,960	1 year	—		—		—		—
06/16/2009	382,500	5 years			62,000		198,000		—
06/19/2007	262,500	5 years	—		—		—		—
Totals for the period			$	493,000	$	502,000	$	523,000	$	1,132,000

A summary of the Company’s restricted stock unit awards activity, and related information for the following years ended January 31, is as follows:

	2016				2015				2014
	Restricted stock units		Weighted- average fair value of restricted stock units		Restricted stock units		Weighted- average fair value of restricted stock units		Restricted stock units		Weighted- average fair value of restricted stock units
Outstanding at beginning of year	812,626		$	2.24	544,430		$	1.87	743,375		$	1.89
Granted	75,174		2.76		518,626		2.61		99,430		2.07
Vested	(212,626	)	2.79		(232,430	)	2.38		(260,375	)	2.01
Forfeited	(18,000	)	2.74		(18,000	)	2.61		(38,000	)	2.00
Outstanding at end of year	657,174		2.34		812,626		2.24		544,430		1.87
Weighted-average fair value of restricted stock units granted during the year			$	2.76			$	2.61			$	2.07

The aggregate fair value of restricted stock unit awards vested during fiscal years 2016, 2015 and 2014 was $593,000, $553,000 and $523,000, respectively.