7. SHAREHOLDERS' EQUITY

12 Months Ended

Aug. 31, 2019

Equity [Abstract]

SHAREHOLDERS' EQUITY

NOTE 7 - SHAREHOLDERS' EQUITY

Dividend

The Company’s Board of Directors declared cash dividends during fiscal year 2019, 2018 and 2017. The details of dividend paid are in the following tables:

FY2017

Record Date	Distribution Date	Number of Shares Outstanding on Record Date		Dividend per Share		Total Amount
11/10/2016	11/17/2016		17,226,478	$	0.05	$	861,324
1/30/2017	2/06/2017		17,233,758		0.05		861,688
5/08/2017	5/15/2017		17,240,626		0.05		862,031
7/28/2017	8/04/2017		17,268,920	$	0.05		863,446
Total						$	3,448,489

FY2018

Record Date	Distribution Date	Number of Shares Outstanding on Record Date		Dividend per Share		Total Amount
11/13/2017	11/20/2017		17,284,792	$	0.06	$	1,037,088
1/26/2018	2/2/2018		17,317,752		0.06		1,039,065
4/25/2018	5/2/2018		17,354,005		0.06		1,041,240
7/26/2018	8/2/2018		17,405,775	$	0.06		1,044,347
Total						$	4,161,740

FY2019

Record Date	Distribution Date	Number of Shares Outstanding on Record Date		Dividend per Share		Total Amount
11/01/2018	11/08/2018		17,417,875	$	0.06	$	1,045,073
1/25/2019	2/1/2019		17,481,450		0.06		1,048,887
4/24/2019	5/1/2019		17,515,228		0.06		1,050,914
7/25/2019	8/1/2019		17,536,454	$	0.06		1,052,181
Total						$	4,197,055

Although dividend distributions are currently expected to continue on a quarterly basis, the Company’s Board of Directors reserves the right to discontinue the dividend distribution any time.

Stock Option Plan

On February 23, 2007, the Board of Directors adopted, and the shareholders approved, the 2007 Stock Option Plan under which a total of 1,000,000 shares of common stock had been reserved for issuance. On February 25, 2014 the shareholders approved an additional 1,000,000 shares increasing the total number of shares that may be granted under the Option Plan to 2,000,000. This plan terminated in February 2017 by its term.

On December 23, 2016 the Board of Directors adopted, and on February 23, 2017 the shareholders approved, the 2017 Equity Incentive Plan under which a total of 1,000,000 shares of common stock has been reserved for issuance. This plan will terminate in December 2026.

As of August 31, 2019, employees and directors hold stock options to purchase 1,163,259 shares of common stock at exercise prices ranging from $6.75 to $34.23 per share.

The following table summarizes information about stock options:

Transactions in FY17	Number of Options			Weighted-Average Exercise Price Per Share		Weighted-Average Remaining Contractual Life
Outstanding, August 31, 2016		947,500		$	7.50		7.73
Granted		434,916			10.18
Exercised		(49,642	)		3.56
Cancelled/Forfeited		(83,648	)		8.68
Outstanding, August 31, 2017		1,249,126		$	8.51		7.74
Exercisable, August 31, 2017		401,485		$	6.45		5.59
Vested and Expected to Vest, August 31, 2017		1,144,405		$	8.41		7.63

Transactions in FY18	Number of Options			Weighted-Average Exercise Price Per Share		Weighted-Average Remaining Contractual Life
Outstanding, August 31, 2017		1,249,126		$	8.51		7.74
Granted		52,000			22.36
Exercised		(130,006	)		5.97
Canceled/Forfeited		(30,144	)		9.10
Expired		(6,000	)		5.06
Outstanding, August 31, 2018		1,134,976		$	9.44		7.31
Vested and Exercisable, August 31, 2018		483,696		$	7.79		6.48
Vested and Expected to Vest, August 31, 2018		1,069,807		$	9.35		7.26

Transactions in FY19	Number of Options			Weighted-Average Exercise Price Per Share		Weighted-Average Remaining Contractual Life
Outstanding, August 31, 2018		1,134,976		$	9.44		7.31
Granted		263,500			22.78
Exercised		(166,703	)		7.15
Canceled/Forfeited		(68,514	)		12.17
Expired
Outstanding, August 31, 2019		1,163,259		$	12.63		7.13
Vested and Exercisable, August 31, 2019		515,394		$	8.57		6.09
Vested and Expected to Vest, August 31, 2019		1,101,800		$	12.39		7.07

Intrinsic Value of options outstanding and options exercisable

	Intrinsic Value of Options Outstanding		Intrinsic Value of Options Exercisable		Intrinsic Value of Options Exercised
FY17	$	7,479,068	$	3,232,356	$	479,713
FY18	$	13,064,884	$	6,315,086	$	1,495,313
FY19	$	27,312,742	$	14,194,724	$	3,224,454

The weighted-average remaining contractual life of options outstanding issued under the 2007 and 2017 Plan was 7.13 years at August 31, 2019. The exercise prices for the options outstanding at August 31, 2019 ranged from $6.75 to $34.23 per share, and the information relating to these options is as follows:

Exercise Price				Awards Outstanding						Awards Exercisable
Low		High		Quantity		Weighted Average Remaining Contractual Life		Weighted Average Exercise Price		Quantity		Weighted Average Remaining Contractual Life		Weighted Average Exercise Price
$	6.75	$	8.00		230,133		5.0 years	$	6.85		228,133		5.0 years	$	6.85
$	8.01	$	16.00		636,976		7.0 years	$	9.96		287,261		7.0 years	$	9.93
$	16.01	$	24.00		248,150		8.8 years	$	20.66		–		–		–
$	24.01	$	34.23		48,000		9.9 years	$	34.23		–		–		–
					1,163,259		7.1 years	$	12.63		515,394		6.1 years	$	8.57