Stock-Based Compensation

9 Months Ended

Jan. 31, 2012

NOTE E--STOCK-BASED COMPENSATION

The Company has various stock compensation plans. During the quarter ended January 31, 2012, the Company did not grant any stock compensation awards to employees or non-employee directors. During the nine months ended January 31, 2012, the Board of Directors of the Company approved grants of non-statutory stock options and performance-based restricted stock units to key employees and grants of service-based restricted stock units to key employees and non-employee directors. The Company granted non-statutory stock options to key employees for 130,000 shares of the Company's common stock with a weighted average exercise price of $18.16 per share. The options vest evenly over a three-year period and have a ten-year contractual term. The employee performance-based restricted stock units totaled 134,250 units and the employee and non-employee director service-based restricted stock units totaled 64,750 units. The performance-based restricted stock units entitle the recipients to receive one share of the Company's common stock per unit granted if applicable performance conditions are met and the recipient remains employed with the Company until the units vest. The service-based units entitle the recipients to receive one share of the Company's common stock per unit granted if they remain employed with the Company until the units vest. The Company's restricted stock units granted to employees cliff-vest three years from the grant date.

For the three-month and nine-month periods ended January 31, 2012 and 2011, stock-based compensation expense was allocated as follows:

	Three Months Ended				Nine Months Ended
	January 31,				January 31,
(in thousands)	2012		2011		2012		2011
Cost of sales and distribution	$	117	$	186	$	415	$	516
Selling and marketing expenses		162		180		551		580
General and administrative expenses		494		683		1,640		1,753
Stock-based compensation expense	$	773	$	1,049	$	2,606	$	2,849