STOCK-BASED COMPENSATION

3 Months Ended

May 31, 2016

STOCK-BASED COMPENSATION [Abstract]

STOCK-BASED COMPENSATION

NOTE 10 – STOCK-BASED COMPENSATION

Stock-based compensation expense is included in the following captions of the unaudited consolidated statements of comprehensive income (loss) (in thousands):

	Three Months Ended
	May 31,
	2016		2015
Cost of revenues	$	49	$	65
Research and development		181		164
Selling		295		200
General and administrative		1,459		791
	$	1,984	$	1,220

Changes in the Company's outstanding stock options during the three months ended May 31, 2016 were as follows (options in thousands):

			Weighted
	Number of		Average
	Options		Exercise Price
Outstanding at February 29, 2016	860		$	6.96
Granted	-			-
Exercised	(64	)		11.23
Forfeited or expired	(2	)		13.66
Outstanding at May 31, 2016	794		$	6.60
Exercisable at May 31, 2016	622		$	3.95

Changes in the Company's outstanding restricted stock shares, performance stock units (“PSUs”) and restricted stock units (“RSUs”) during the three months ended May 31, 2016 were as follows (shares, PSUs and RSUs in thousands):

	Number of
	Restricted		Weighted
	Shares,		Average Grant
	PSUs and		Date Fair
	RSUs		Value
Outstanding at February 29, 2016	953		$	16.66
Granted	22			16.76
Vested	(27	)		15.96
Forfeited	(17	)		16.15
Outstanding at May 31, 2016	931		$	16.69

During the three months ended May 31, 2016, the Company retained 9,420 shares of the vested RSUs to satisfy the minimum required statutory amount of employee withholding taxes.

As of May 31, 2016, there was $11.5 million of total unrecognized stock-based compensation cost related to outstanding nonvested equity awards that is expected to be recognized as expense over a weighted-average remaining vesting period of 2.6 years.