Note 5 - Stockholders' Equity

6 Months Ended

Dec. 31, 2015

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

Stockholders’ Equity

Stock Based Compensation

The Company recorded stock-based compensation of ($39) and $304 for the three and six months ended December 31, 2015, and $392 and $676 for the three and six months ended December 31, 2014. The Company recorded an overall credit to stock-based compensation for the three months ended December 31, 2015 primarily due to revising estimated completion dates on restricted stock units performance milestones, terminations and revaluing consultant awards.

The following is a summary of option activity for the Company’s stock option plans:

	Number of Shares			Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life		Aggregate Intrinsic Value

Outstanding at June 30, 2015		2,952,062		$	1.28

Granted		745,500		$	0.63
Forfeited		(657,062	)	$	1.43
Expired		(103,750	)	$	2.05

Outstanding at December 31, 2015		2,936,750		$	1.05		5.5		--

Vested and Expected to Vest at December 31, 2015		2,510,927		$	1.06		5.4		--

Exercisable at December 31, 2015		1,364,690		$	1.19		4.7		--

The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying awards and the quoted price of the Company’s common stock. There were no options exercised during the six months ended December 31, 2015 and 2014.

The fair value of the Company’s stock options granted for the six months ended December 31, 2015 was estimated using the following weighted-average assumptions:

Expected life (years)	5
Risk-free interest rate	1.5	%
Expected volatility	77	%
Dividend yield	0	%

At December 31, 2015, the total compensation cost related to options granted but not yet recognized was $303 which will be amortized over a weighted-average period of approximately two years.

Common Stock Restricted

Units

The following is a summary of restricted stock activity during the six months ended December 31, 2015:

				Weighted Average
	Number of Shares			Grant Date Fair Value
Balance at June 30, 2015		1,451,784		$	1.12
Granted		--
Vested		(30,000	)	$	0.88
Forfeited		(224,712	)	$	2.05
Outstanding at December 31, 2015		1,197,072		$	0.95

In connection with the vesting of the restricted stock awards, the election was made by some of the employees to satisfy the applicable federal income tax withholding obligation by a net share settlement, pursuant to which the Company withheld 9,915 shares and used the deemed proceeds from those shares to pay the income tax withholding. The net share settlement is deemed to be a repurchase by the Company of its common stock.

Warrants

A summary of warrant activity for the six months ended December 31, 2015 follows:

	Number of Shares			Weighted-Average Exercise Price Per Share
Beginning balance		5,052,400		$	2.21
Warrants granted		34,191,176		$	0.68
Warrants canceled		--			--
Warrants exercised		(503,696	)	$	0.68
Outstanding at December 31, 2015		38,739,880		$	0.88
Exercisable at December 31, 2015		17,085,468		$	1.13

At December 31, 2015, the total intrinsic value of warrants outstanding and exercisable was $0 as calculated as the difference between the exercise price of the underlying warrants and the quoted price of the Company’s common stock. However, the Series B warrants may be exercised on a cashless basis at 90% of the five-day weighted-average price at the time of exercise if it is lower than the conversion price subject to a floor of $0.10 per share with a 250% uplift in the number of shares to be issued.