STOCK BASED COMPENSATION PLANS

9 Months Ended

Mar. 31, 2016

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

STOCK BASED COMPENSATION PLANS

13. STOCK BASED COMPENSATION PLANS

STOCK OPTIONS

The fair value of each option granted is estimated on the date of the grant using the Black-Scholes option pricing model with the following weighted-average assumptions used for options granted during:

	Nine months ended
	March 31,
	2016			2015
Expected volatility		59-66%			79	%
Expected life		4 - 4.5 years			7 years
Expected dividends		0.00	%		0.00	%
Risk-free interest rate		1.34-1.49%			2.04	%

Stock based compensation related to stock options for the nine months ended March 31, 2016 and 2015 was $274 thousand and $257 thousand, respectively. Unrecognized compensation related to stock option grants as of March 31, 2016 was $229 thousand.

Changes in outstanding stock options for the three months ended March 31, 2016 and 2015 consisted of the following:

	For the three months ended March 31,
	2016							2015
	Options			Weighted Average Exercise Price		Weighted Average Grant Date Fair Value		Options		Weighted Average Exercise Price		Weighted Average Grant Date Fair Value
Options outstanding, beginning of period		658,474		$	2.14	$	1.41		448,888	$	1.87	$	1.33
Granted		75,000		$	2.94	$	1.43		85,000	$	1.70	$	1.19
Forfeited		(90,000	)	$	3.38	$	1.81		-	$	-	$	-
Expired		-		$	-	$	-		-	$	-	$	-
Exercised		(33,333	)	$	1.80	$	1.27		-	$	-	$	-
Options outstanding, end of period		610,141		$	2.07	$	1.36		533,888	$	1.84	$	1.31

Changes in outstanding stock options for the nine months ended March 31, 2016 and 2015 consisted of the following:

	For the nine months ended March 31,
	2016							2015
	Options			Weighted Average Exercise Price		Weighted Average Grant Date Fair Value		Options		Weighted Average Exercise Price		Weighted Average Grant Date Fair Value
Options outstanding, beginning of period		538,888		$	1.86	$	1.33		120,000	$	2.05	$	1.49
Granted		194,586		$	3.21	$	1.64		413,888	$	1.78	$	1.25
Forfeited		(90,000	)	$	3.38	$	1.81		-	$	-	$	-
Expired		-		$	-	$	-		-	$	-	$	-
Exercised		(33,333	)	$	1.80	$	1.27		-	$	-	$	-
Options outstanding, end of period		610,141		$	2.07	$	1.36		533,888	$	1.84	$	1.31

Changes in unvested stock options for the three months ended March 31, 2016 and 2015 consisted of the following:

	For the three months ended March 31,
	2016					2015
	Options			Weighted  Average Grant Date Fair Value		Options		Weighted  Average Grant  Date Fair Value
Unvested options, beginning of period		396,251		$	1.49		448,888	$	1.33
Granted		75,000		$	1.43		-	$	-
Vested		(28,335	)	$	1.27		-	$	-
Forfeited		(90,000	)	$	1.81		-	$	-
Unvested options, end of period		352,916		$	1.41		448,888	$	1.33

Changes in unvested stock options for the nine months ended March 31, 2016 and 2015 consisted of the following:

	For the nine months ended March 31,
	2016					2015
	Options			Weighted  Average Grant  Date Fair Value		Options		Weighted Average Grant  Date Fair Value
Unvested options, beginning of period		505,553		$	1.32		120,000	$	1.49
Granted		194,586		$	1.64		328,888	$	1.27
Vested		(257,223	)	$	1.26		-	$	-
Forfeited		(90,000	)	$	1.81		-	$	-
Unvested options, end of period		352,916		$	1.41		448,888	$	1.33

Exercise prices of stock options outstanding as of March 31, 2016 and June 30, 2015 consisted of the following:

	March 31, 2016				June 30, 2015
	(unaudited)
Range of Exercise Prices	Options Outstanding		Options Exercisable		Options Outstanding		Options Exercisable
$1.62 to $1.68		75,000		25,002		75,000		-
$1.80		295,555		195,555		328,888		-
$2.05		100,000		33,335		100,000		33,335
$2.09		10,000		3,333		10,000		-
$2.75		25,000		-		25,000		-
$2.94		75,000		-
$3.38		29,586		-		-		-
		610,141		257,225		538,888		33,335

	March 31, 2016				June 30, 2015
	(unaudited)
($ in thousands, except per share price  and number of options)	Options  Outstanding		Options  Exercisable		Options  Outstanding		Options  Exercisable
Number of stock options		610,141		257,225		538,888		33,335
Weighted average exercise price	$	2.07	$	1.82	$	1.86	$	2.05
Aggregate intrinsic value	$	1,389	$	653	$	451	$	22
Weighted average contractual life		5.66		4.79		6.21		5.97
Share price	$	4.36	$	4.36	$	2.70	$	2.70

STOCK GRANTS

The Company’s nonvested common shares as of March 31, 2016, and changes during the period then ended consisted of the following:

				Weighted-Average
				Grant-Date
	Shares			Fair Value
Nonvested at June 30, 2015		18,604		$	1.88
Granted		131,558			3.04
Vested		(21,664	)		2.70
Nonvested at September 30, 2015		128,498			2.97
Granted		-			-
Vested		(7,396	)		3.38
Nonvested at December 31, 2015		121,102		$	2.94
Granted		-			-
Vested		-			-
Nonvested at March 31, 2016		121,102		$	2.94