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STOCK BASED COMPENSATION
 6 Months Ended
Dec. 31, 2013
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
STOCK BASED COMPENSATION
STOCK BASED COMPENSATION
Stock-Based Compensation Plans
The Company’s 2010 Equity Incentive Plan and 2005 Equity Incentive Plan are described in its Annual Report. As of December 31, 2013, the Company had 5,620,284 authorized shares available for future issuance under all of its stock incentive plans.
Stock-based Compensation
The following table shows total stock-based compensation expense included in the Condensed Consolidated Statements of Operations for the three and six months ended December 31, 2013 and 2012 (in thousands):
 
Three Months Ended December 31,
 
Six Months Ended December 31,
 
2013

2012
 
2013
 
2012
Cost of sales
$
148

 
$
104

 
$
292

 
$
185

Research and development
553

 
401

 
1,049

 
667

Sales, general and administrative
721

 
388

 
1,248

 
697

 
$
1,422


$
893

 
$
2,589

 
$
1,549


Stock Options
The following is a summary of option activity for the Company’s stock incentive plans for the six months ended December 31, 2013:
 
Common Stock Options Outstanding
 
Number
of Shares
 
Weighted
Average
Exercise
Price
 
Weighted
Average
Remaining
Contractual
Life (Years)
 
Aggregate
Intrinsic
Value
 
 
 
 
 
 
 
(In thousands)
Balance, June 30, 2013
3,614,262

 
$
3.07

 
 
 
 
Exercised
(455,980
)
 
2.20

 
 
 
 
Forfeitures and cancellations
(107,318
)
 
10.55

 
 
 
 
Balance, December 31, 2013
3,050,964

 
$
2.93

 
5.65
 
$
131,270

Vested and expected to vest as of December 31, 2013
3,016,040

 
$
2.85

 
5.61
 
$
130,033

Vested and exercisable as of December 31, 2013
2,421,183

 
$
1.30

 
4.97
 
$
108,131


During the three months ended December 31, 2013 and 2012, the aggregate intrinsic value of options exercised under the Company’s stock incentive plans was $3.8 million and $185,000, respectively, as determined as of the date of option exercise. During the six months ended December 31, 2013 and 2012, the aggregate intrinsic value of options exercised under the Company’s stock incentive plans was $13.7 million and $363,000, respectively, as determined as of the date of option exercise.

As of December 31, 2013, the Company had unrecognized compensation costs of $2.6 million related to stock options which the Company expects to recognize over a weighted-average period of 2.6 years. Future option grants will increase the amount of compensation expense to be recorded in these periods.
The Company estimates the fair value of employee stock options using the Black-Scholes option pricing model. The fair value of employee stock options is being amortized on a straight-line basis over the requisite service period of the awards. The Company did not grant any employee stock options during the three and six months ended December 31, 2013. For the three and six months ended December 31, 2012, the fair value of employee stock options was estimated using the following weighted average assumptions:
 
Three And Six Months Ended December 31, 2012
Expected term
6.1 years

Expected volatility
52
%
Risk-free interest rate
0.8
%
Expected dividend yield
—

Weighted average grant date fair value
$
5.37



Restricted Stock Units (“RSUs”)
The following table summarizes the activity of the RSUs made by the Company:
 
Number of Shares
 
Weighted Average Grant Date Fair Value
Non-vested RSUs, June 30, 2013
744,906

 
$
14.74

RSUs granted
77,033

 
32.48

RSUs vested
(100,431
)
 
16.09

RSUs canceled
(188,905
)
 
14.98

Non-vested RSUs, December 31, 2013
532,603

 
$
16.96


The intrinsic value of RSUs vested in the three months ended December 31, 2013 and 2012 was $1.5 million and $142,000, respectively. The intrinsic value of RSUs vested in the six months ended December 31, 2013 and 2012 was $2.9 million and $233,000, respectively.
As of December 31, 2013, there was unrecognized compensation costs related to RSUs of $7.0 million which the Company expects to recognize over a weighted average period of 3.2 years.