COMMITMENTS AND CONTINGENCIES

12 Months Ended

Jun. 30, 2013

COMMITMENTS AND CONTINGENCIES [Abstract]

COMMITMENTS AND CONTINGENCIES

NOTE 8 - COMMITMENTS AND CONTINGENCIES

Operating Leases:  The Company leases 170,489 square feet of space in Houston, Texas and Atlanta, Georgia.  The Company recognizes escalating rental payments that are quantifiable at the inception of the lease on a straight-line basis over the lease term. The leases expire from April 2014 to April 2015 with options to renew the Company’s leases for warehouses for 5 years and for office space 10 years.

Rent expense for the fiscal years ended June 30,2013, 2012 and 2011 was $1.2 million, $1.4 million and $1.5 million, respectively. Future minimum lease payments under non-cancelable operating leases as of June 30, 2013 are as follows (in thousands):

	Twelve Months Ending June 30,
	2014	2015	Total
Operating lease obligations	$1,393	748	$2,141

Other:The Company is also involved in legal proceedings and litigation in the ordinary course of business.  In the opinion of management, the outcome of such matters will not have a material adverse effect on the Company’s consolidated financial position or consolidated results of operations.