2. STOCK-BASED COMPENSATION (Tables)

3 Months Ended

Sep. 30, 2013

Equity [Abstract]

Stock option activity

The following table summarizes the Company’s stock option activity during the first three months of fiscal 2014:

						Weighted
				Weighted		Average
				Average		Remaining		Aggregate			Aggregate
				Exercise Price		Contractual		Fair			Instrinsic
	Shares			Per Share		Term (1)		Value (3)			Value (2)
Outstanding July 1, 2013		1,084,100		$	0.67		4.18	$	296,100		$	-
Granted		-			-		-		-			-
Exercised		-			-		-		-			-
Forfeited or expired		(7,500	)	$	1.50		-		(4,000	)		-
Outstanding September 30, 2013		1,076,600		$	0.66		3.96	$	292,100		$	-
Exercisable September 30, 2013		1,076,600		$	0.66		3.96	$	292,100		$	-

Warrant activity

The following table summarizes the Company’s warrant activity during the first three months of fiscal 2014:

				Weighted
	Number of			Average
	Shares			Exercise Price
Warrants Outstanding, June 30, 2013		95,100		$	2.64
Granted		-			-
Exercised		-			-
Canceled/Expired		(95,100	)		2.64
Warrants Outstanding, September 30, 2013		-		$	-