The Securities and Exchange Commission has not necessarily reviewed the information in this filing and has not determined if it is accurate and complete.
The reader should not assume that the information is accurate and complete.

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 13F

FORM 13F INFORMATION TABLE
OMB APPROVAL
OMB Number: 3235-0006
Estimated average burden
hours per response: 23.8
COLUMN 1 COLUMN 2 COLUMN 3 COLUMN 4 COLUMN 5 COLUMN 6 COLUMN 7 COLUMN 8
VALUE SHRS OR SH/ PUT/ INVESTMENT OTHER VOTING AUTHORITY
NAME OF ISSUER TITLE OF CLASS CUSIP (x$1000) PRN AMT PRN CALL DISCRETION MANAGER SOLE SHARED NONE
ACCO BRANDS CORP cs 00081T108 1,031 124,050 SH   SOLE   110,650 0 13,400
ADTRAN INC cs 00738A106 495 26,500 SH   SOLE   26,500 0 0
ADVANCED ENERGY INDS INC cs 007973100 17,835 695,037 SH   SOLE   642,242 0 52,795
AFLAC INC. cs 001055102 13,903 217,207 SH   SOLE   217,207 0 0
ALCOA INC cs 013817101 411 31,830 SH   SOLE   31,650 0 180
ALLEGHENY TECHNOLOGIES INC. cs 01741R102 401 13,350 SH   SOLE   13,350 0 0
ALPHA & OMEGA SEMICONDUCTOR cs G6331P104 445 50,000 SH   SOLE   50,000 0 0
ASSURED GUARANTY LTD cs G0585R106 549 20,800 SH   SOLE   20,800 0 0
BEBE STORES INC cs 075571109 13,302 3,664,477 SH   SOLE   3,417,757 0 246,720
BLACKBERRY LTD cs 09228F103 552 61,760 SH   SOLE   61,760 0 0
BROCADE COMMUNICATIONS SYS cs 111621306 26,592 2,241,202 SH   SOLE   2,241,202 0 0
CA INC cs 12673P105 20,612 632,076 SH   SOLE   586,946 0 45,130
CALLAWAY GOLF CO cs 131193104 15,925 1,671,040 SH   SOLE   1,506,830 0 164,210
CARLSBERG AS SPONSORED ADR cs 142795202 3,983 240,811 SH   SOLE   240,811 0 0
CARNIVAL CORP cs 143658300 38,622 807,321 SH   SOLE   777,471 0 29,850
CEDAR REALTY TRUST INC cs 150602209 16,316 2,178,353 SH   SOLE   1,939,208 0 239,145
CHESAPEAKE ENERGY CORP cs 165167107 20,353 1,437,332 SH   SOLE   1,437,332 0 0
CHEVRON CORPORATION cs 166764100 520 4,950 SH   SOLE   4,125 0 825
CHINA AUTOMOTIVE SYSTEMS INC cs 16936R105 1,307 179,497 SH   SOLE   176,072 0 3,425
CHRISTOPHER & BANKS CORP cs 171046105 9,069 1,631,098 SH   SOLE   1,488,113 0 142,985
CLIFFS NATURAL RESOURCES INC cs 18683K101 5,244 1,090,146 SH   SOLE   1,090,146 0 0
CORNING INC cs 219350105 23,976 1,057,136 SH   SOLE   1,056,736 0 400
CROCS INC cs 227046109 11,787 998,055 SH   SOLE   933,295 0 64,760
CRYOLIFE INC COM cs 228903100 13,804 1,331,114 SH   SOLE   1,331,114 0 0
CTS CORP cs 126501105 6,731 374,172 SH   SOLE   374,172 0 0
DELTIC TIMBER CORP cs 247850100 15,213 229,632 SH   SOLE   206,547 0 23,085
DEVON ENERGY CORPORATION cs 25179M103 619 10,260 SH   SOLE   10,160 0 100
DIANA SHIPPING INC cs y2066g104 11,514 1,881,395 SH   SOLE   1,748,310 0 133,085
DIME COMMUNITY BANCSHRS cs 253922108 14,630 908,665 SH   SOLE   824,644 0 84,021
ENCORE WIRE CORP cs 292562105 11,761 310,477 SH   SOLE   285,142 0 25,335
ENNIS INC cs 293389102 40,203 2,847,222 SH   SOLE   2,776,085 0 71,137
EXELON CORPORATION cs 30161N101 19,703 586,233 SH   SOLE   586,003 0 230
FIRSTENERGY CORP cs 337932107 19,606 559,206 SH   SOLE   559,021 0 185
FLIR SYSTEMS INC cs 302445101 25,865 826,880 SH   SOLE   826,880 0 0
FREIGHTCAR AMERICA cs 357023100 19,852 631,611 SH   SOLE   571,301 0 60,310
FUEL TECH INC cs 359523107 78 25,000 SH   SOLE   25,000 0 0
GAP INC cs 364760108 298 6,875 SH   SOLE   6,875 0 0
GLAXOSMITHKLINE cs 37733W105 28,482 617,153 SH   SOLE   595,653 0 21,500
GOLD RESOURCE CORPORATION cs 38068T105 4,898 1,535,344 SH   SOLE   1,535,344 0 0
GRAHAM CORP cs 384556106 11,641 485,647 SH   SOLE   452,532 0 33,115
GRANITE CONST INC cs 387328107 16,730 476,085 SH   SOLE   439,262 0 36,823
GULF ISLAND FABRICATION cs 402307102 6,434 432,965 SH   SOLE   415,699 0 17,266
HALLADOR ENERGY CO cs 40609P105 13,157 1,125,485 SH   SOLE   984,095 0 141,390
HALLMARK FINL SVCS INC cs 40624q203 16,811 1,585,897 SH   SOLE   1,438,523 0 147,374
HARTFORD FINANCIAL SVCS GRP cs 416515104 25,350 606,164 SH   SOLE   606,164 0 0
HELMERICH & PAYNE cs 423452101 328 4,825 SH   SOLE   4,825 0 0
HEWLETT-PACKARD COMPANY cs 428236103 241 7,740 SH   SOLE   7,740 0 0
HOOKER FURNITURE CORP cs 439038100 14,779 775,791 SH   SOLE   674,796 0 100,995
HUNTINGTON BANCSHARES INC. cs 446150104 20,095 1,818,540 SH   SOLE   1,818,540 0 0
INTEL CORP cs 458140100 3,754 120,047 SH   SOLE   65,707 0 54,340
INTREPID POTASH cs 46121Y102 11,681 1,011,300 SH   SOLE   914,605 0 96,695
ITRON INC cs 465741106 535 14,650 SH   SOLE   14,650 0 0
JACOBS ENGINEERING GROUP, INC cs 469814107 564 12,500 SH   SOLE   12,500 0 0
JPMORGAN CHASE & CO cs 46625h100 3,207 52,938 SH   SOLE   29,873 0 23,065
KMG INC cs 482564101 21,914 819,822 SH   SOLE   762,053 0 57,769
KNOLL INC cs 498904200 17,571 749,918 SH   SOLE   692,040 0 57,878
LANDAUER INC cs 51476K103 6,774 192,775 SH   SOLE   192,775 0 0
LANDEC CORP cs 514766104 16,597 1,189,763 SH   SOLE   1,100,773 0 88,990
LEAPFROG ENTERPRISES cs 52186n106 4,229 1,939,710 SH   SOLE   1,808,025 0 131,685
LSI INDUSTRIES INC cs 50216C108 1,970 241,691 SH   SOLE   241,691 0 0
MACK CALI REALTY CORP cs 554489104 15,496 803,736 SH   SOLE   803,461 0 275
MCGRATH RENTCORP cs 580589109 13,950 423,896 SH   SOLE   387,681 0 36,215
MERCURY SYSTEMS INC cs 589378108 15,270 981,968 SH   SOLE   886,213 0 95,755
METHODE ELECTRNCS INC cs 591520200 22,993 488,791 SH   SOLE   454,036 0 34,755
MICREL INC cs 594793101 14,825 983,099 SH   SOLE   896,749 0 86,350
MICROSOFT CORP cs 594918104 482 11,854 SH   SOLE   11,570 0 284
MOSAIC CO cs 61945c103 438 9,500 SH   SOLE   9,500 0 0
MYRIAD GENETICS INC cs 62855j104 16,038 453,040 SH   SOLE   413,830 0 39,210
NEWELL RUBBERMAID INC cs 651229106 21,709 555,651 SH   SOLE   555,651 0 0
NEWPARK RESOURCES INC cs 651718504 9,871 1,083,539 SH   SOLE   1,007,904 0 75,635
NOKIA CORP ADR cs 654902204 8,235 1,086,383 SH   SOLE   1,086,383 0 0
NUCOR CORP cs 670346105 527 11,085 SH   SOLE   11,085 0 0
OFFICE DEPOT INC. cs 676220106 478 52,000 SH   SOLE   52,000 0 0
OLYMPIC STEEL INC cs 68162k106 8,087 600,783 SH   SOLE   554,263 0 46,520
OSIRIS THERAPEUTICS INC cs 68827R108 608 34,600 SH   SOLE   34,600 0 0
PC-TEL INC cs 69325Q105 22,612 2,826,547 SH   SOLE   2,826,547 0 0
PEABODY ENERGY CORP cs 704549104 1,320 268,325 SH   SOLE   179,360 0 88,965
PITNEY BOWES INC cs 724479100 32,503 1,393,790 SH   SOLE   1,312,305 0 81,485
PLEXUS CORP cs 729132100 9,609 235,685 SH   SOLE   216,075 0 19,610
PPL CORP cs 69351T106 13,343 396,392 SH   SOLE   396,207 0 185
QUEST DIAGNOSTICS INC cs 74834L100 32,439 422,114 SH   SOLE   422,114 0 0
RUDOLPH TECHNOLOGIES INC cs 781270103 13,396 1,215,600 SH   SOLE   1,081,736 0 133,864
SCANSOURCE INC cs 806037107 15,315 376,755 SH   SOLE   342,100 0 34,655
SONY CORP ADR cs 835699307 31,775 1,186,502 SH   SOLE   1,186,502 0 0
SPARTAN MOTORS INC cs 846819100 10,993 2,266,691 SH   SOLE   2,131,901 0 134,790
STILLWATER MINING CO cs 86074Q102 14,404 1,114,850 SH   SOLE   1,004,285 0 110,565
SUNCOR ENERGY INC cs 867224107 455 15,550 SH   SOLE   15,550 0 0
SUPERIOR INDUSTRIES cs 868168105 28,597 1,510,658 SH   SOLE   1,510,658 0 0
SYMANTEC CORP cs 871503108 13,264 567,669 SH   SOLE   567,669 0 0
SYNAPTICS INC cs 87157d109 11,566 142,259 SH   SOLE   126,544 0 15,715
TESSERA TECHNOLOGIES INC cs 88164L100 7,122 176,811 SH   SOLE   176,811 0 0
THOR INDUSTRIES INC cs 885160101 396 6,270 SH   SOLE   6,270 0 0
UNISYS CORP cs 909214306 13,049 562,207 SH   SOLE   516,272 0 45,935
UNUM GROUP cs 91529y106 1,649 48,890 SH   SOLE   29,005 0 19,885
VAALCO ENERGY INC cs 91851c201 3,335 1,361,065 SH   SOLE   1,312,947 0 48,118
VONAGE HOLDINGS CORP cs 92886t201 19,369 3,944,775 SH   SOLE   3,498,100 0 446,675
WARREN RESOURCES INC cs 93564A100 1,895 2,129,473 SH   SOLE   1,899,003 0 230,470
WELLS FARGO & CO cs 949746101 373 6,865 SH   SOLE   6,865 0 0
WESTMORELAND COAL CO cs 960878106 803 30,000 SH   SOLE   30,000 0 0
WINNEBAGO INDUSTRIES cs 974637100 7,026 330,476 SH   SOLE   303,756 0 26,720
AOL INC 0.75 09-01-19 cv 00184XAA3 6,142 6,181,000 PRN   SOLE   6,181,000 0 0
CHESAPEAKE ENERGY 2.75 11-15-3 cv 165167BW6 13,163 13,130,000 PRN   SOLE   13,130,000 0 0
CHESAPEAKE ENERGY CORP 2.5 05- cv 165167BZ9 7,258 7,575,000 PRN   SOLE   7,575,000 0 0
CHESAPEAKE ENERGY CORP 2.5 05- cv 165167CA3 7,213 7,578,000 PRN   SOLE   7,578,000 0 0
CIENA CORP 0.875 06-15-17 cv 171779AE1 1,498 1,510,000 PRN   SOLE   1,510,000 0 0
NUANCE COMMUNICATIONS 2.75 11- cv 67020YAF7 64,155 64,640,000 PRN   SOLE   64,640,000 0 0
PEABODY ENERGY CORP 4.75 12-15 cv 704549AG9 25,135 71,178,000 PRN   SOLE   71,178,000 0 0
TIVO INC 2.0 10-01-21 cv 888706AE8 18,200 19,452,000 PRN   SOLE   19,452,000 0 0
ALEXANDRIA REAL ESTATE PFD cp 015271505 12,358 418,917 SH   SOLE   418,917 0 0
CHESAPEAKE ENERGY PFD CONV 5.0 cp 165167826 22,203 243,324 SH   SOLE   242,994 0 330
CLIFFS NATURAL CONV PFD 7.0% cp 18683K408 20,200 3,825,770 SH   SOLE   3,825,770 0 0
EXELON CORP PFD CONV 6.50% cp 30161N127 10,063 206,855 SH   SOLE   206,855 0 0
FELCOR LODGING TRUST INC SERIE cp 31430F200 25,405 971,521 SH   SOLE   971,521 0 0
NY COMMUNITY CAP TRUST PFD cp 64944P307 17,907 354,596 SH   SOLE   354,596 0 0