Note 16 - Subsequent Event

12 Months Ended

Jun. 30, 2012

Subsequent Events [Text Block]

Note 16 - Subsequent Event

Restructuring Charges

In the first quarter of fiscal 2013, the Company evaluated departments within the library segment and primarily eliminated positions in manufacturing, general and administrative and engineering.  Severance costs of approximately $128,000 were incurred and paid in the first quarter of fiscal 2013.  Production capacity, revenue and facility size were assessed, with the facility size reduced to fit the production capacity and personnel office space needed.  Total square footage was reduced by 33.3% from 56,938 square feet to approximately 38,000 square feet.  This resulted in a one-time facility restructuring charge of approximately $724,000 applied to remaining contractual lease payments from October 2012 through December 2015 on the vacated portion of the facility.

Our restructuring actions are strategic management decisions to consolidate operations supporting our business, and until we achieve consistent and sustainable levels of profitability, we may incur restructuring charges in the future from additional cost reduction efforts.

	June 30,
	2012
	(in thousands)
Restructuring – Cost of Sales:
Facilities	$	513
Severance and benefits		54
Total	$	567
Restructuring – Operating Expenses:
Facilities		211
Severance and benefits		74
Total	$	285
Total Restructuring expenses	$	852

Facilities – Boulder, Colorado

Commencing October 1, 2012, we will be leasing approximately 2,097 square feet of office space in Boulder, Colorado, that houses our Advanced Development Group. Our lease on this facility expires in October 2014.  Rent on this facility is $1,835 per month, with a step-up of 5.2% annually.