STOCK-BASED COMPENSATION

3 Months Ended

Apr. 30, 2013

STOCK-BASED COMPENSATION [Abstract]

STOCK-BASED COMPENSATION

10.  STOCK-BASED COMPENSATION

The Company's equity awards consist of stock options, SARs and RSUs. For a description of the Company's stock-based compensation plans, see Note 12 "Stock-Based Compensation" in Notes to Consolidated Financial Statements included in the Annual Report on Form 10-K for the year ended January 31, 2013.

Stock-Based Compensation

The following table sets forth reported stock-based compensation expense for the three months ended April 30, 2013 and 2012:

		Three Months Ended  April 30,
		(in thousands)
Cost of maintenance, subscription and other revenue	$	38	$	48
Cost of professional services		98		111
Sales and marketing		167		188
Research and development		139		153
General and administrative		502		539
Total stock-based compensation expense	$	944	$	1,039

The following table summarizes the activity for outstanding stock options and SARs for the three months ended April 30, 2013:

	Stock Options/ SARs (in thousands)			Weighted Average Exercise Price per Share		Weighted Average Remaining Contractual Term (years)		Aggregate Intrinsic Value (in thousands)
Outstanding at January 31, 2013.........................................................................................................................................		2,920		$	11.11
Exercised...........................................................................................................................................................................		(41	)		8.63
Expired...............................................................................................................................................................................		(15	)		14.59
Forfeited............................................................................................................................................................................		(9	)		10.18
Outstanding at April 30, 2013.............................................................................................................................................		2,855		$	11.13		4.5	$	4,550
Vested and expected to vest at April 30, 2013 (1)............................................................................................................		2,817		$	11.13		4.5	$	4,505
Vested and exercisable at April 30, 2013.........................................................................................................................		1,479		$	11.29		3.0	$	2,671

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(1) The expected-to-vest SARs are the result of applying the pre-vesting forfeiture rate assumptions to total outstanding SARs.

The aggregate intrinsic value in the table above represents the total pretax intrinsic value (the aggregate difference between the closing stock price of the Company's common stock based on the last trading day as of April 30, 2013, and the exercise price for in-the-money stock options and SARs) that would have been received by the holders if all stock options and SARs had been exercised on April 30, 2013. The total intrinsic value of stock options and SARs exercised in the three months ended April 30, 2013 was $164,000.

The number of SARs exercised includes shares withheld on behalf of employees to satisfy minimum statutory tax withholding requirements. During the quarter ended April 30, 2013, the Company withheld 4,000 shares for payment of these taxes at a value of $54,000.

At April 30, 2013, there was approximately $4.7 million of total unrecognized compensation cost related to unvested SARs. This cost is expected to be recognized over a weighted-average period of approximately 2.4 years.

RSU Information

The estimated fair value of RSUs was calculated based on the closing price of the Company's common stock on the date of grant, reduced by the present value of dividends foregone during the vesting period.

The following table summarizes the activity for RSUs for the three months ended April 30, 2013:

	RSUs			Weighted Average Grant Date Fair Value
	(in thousands)
Restricted stock at January 31, 2013............................................................................................................................................................................................................................		385		$	10.49
Vested (1).............................................................................................................................................................................................................................................................................................................................................................		(14	)		7.48
Forfeited.......................................................................................................................................................................................................................................................................		(4	)		11.11
Restricted stock at April 30, 2013................................................................................................................................................................................................................................		367		$	10.60

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(1) The number of RSUs vested includes shares withheld on behalf of employees to satisfy statutory tax withholding requirements.

The Company withholds, at the employee's election, a portion of the vested shares as consideration for the Company's payment of applicable employee income taxes. During the three months ended April 30, 2013, the Company withheld 6,000 shares for payment of these taxes at a value of $79,000.

Total unrecognized compensation cost related to RSUs was approximately $2.7 million as of April 30, 2013. This cost is expected to be recognized over a weighted-average period of approximately 2.5 years.