Note 5 - Stockholders' Equity

3 Months Ended

Sep. 30, 2015

Disclosure of Compensation Related Costs, Share-based Payments [Text Block]

Stockholders’ Equity

Stock Based Compensation

The Company recorded stock-based compensation of $343 and $284 for the three months ended September 30, 2015 and 2014, respectively.

The following is a summary of option activity for the Company’s stock option plans:

	Number of Shares			Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life		Aggregate Intrinsic Value

Outstanding at June 30, 2015		2,952,062		$	1.28

Granted		677,500		$	0.64
Forfeited		(168,245	)	$	1.28
Expired		(100,000	)	$	2.02

Outstanding at September 30, 2015		3,361,317		$	1.12		5.6		--

Vested and Expected to Vest at September 30, 2015		2,680,552		$	1.13		5.5		--

Exercisable at September 30, 2015		1,279,965		$	1.29		4.5		--

The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying awards and the quoted price of the Company’s common stock. There were no options exercised during the three months ended

September 30

, 2015.

The fair value of the Company’s stock options granted for the three months ended September 30, 2015 was estimated using the following weighted-average assumptions:

Expected life (years)	5.4
Risk-free interest rate	1.5	%
Expected volatility	77.3	%
Dividend yield	0	%

Common Stock Restricted Units

The following is a summary of restricted stock activity during the three months ended September 30, 2015:

	Number of Shares			Weighted Average Grant Date Fair Value
Balance at June 30, 2015		1,451,784		$	1.12
Granted		--
Vested		(30,000	)	$	0.88
Forfeited		(46,583	)	$	1.81
Outstanding at September 30, 2015		1,375,201		$	1.10

In connection with the vesting of the restricted stock units, the election was made by some of the employees to satisfy the applicable federal income tax withholding obligation by a net share settlement, pursuant to which the Company withheld 9,915 shares and used the deemed proceeds from those shares to pay the income tax withholding. The net share settlement is deemed to be a repurchase by the Company of its common stock.

Warrants

A summary of warrant activity for the three months ended September 30, 2015 follows:

	Number of Shares		Weighted-Average Exercise Price Per Share
Beginning balance		5,052,400	$	2.21
Warrants granted		34,191,176	$	0.68
Warrants canceled		--
Warrants exercised		--

Outstanding at September 30, 2015		39,243,576	$	0.88

Exercisable at September 30, 2015		5,052,400	$	2.21

At September 30, 2015, the total intrinsic value of warrants outstanding and exercisable was $0.