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Stockholders’ Equity | 9 Months Ended
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Oct. 31, 2017
Equity [Abstract] |
Stockholders' Equity Note Disclosure [Text Block] |
7. | Stockholders’ Equity
The 2017, 2015 and 2012 Stock Plans On June 21, 2017, the stockholders of the Company approved the Lakeland Industries, Inc. 2017 Equity Incentive Plan (the “2017 Plan”) at the Annual Meeting of Stockholders. The executive officers and all other employees and directors of the Company, including its subsidiaries are eligible to participate in the 2017 Plan. The 2017 Plan is administered by the Compensation Committee of the Board of Directors (the “Committee”), except that with respect to all non-employee directors, the Committee shall be deemed to include the full Board. The 2017 Plan provides for the grant of equity-based compensation in the form of stock options, restricted stock, restricted stock units, performance shares, performance units, or stock appreciation rights. The 2017 Plan also permits the grant of awards that qualify for “performance-based compensation” within the meaning of Section 162(m) of the U.S. Internal Revenue Code. The Committee has the authority to determine the type of award, as well as the amount, terms and conditions of each award, under the 2017 Plan, subject to the limitations and other provisions of the 2017 Plan. An aggregate of 360,000 shares of the Company’s common stock are authorized for issuance under the 2017 Plan, subject to adjustment as provided in the 2017 Plan for stock splits, dividends, distributions, recapitalizations and other similar transactions or events. If any shares subject to an award are forfeited, expire, lapse or otherwise terminate without issuance of such shares, such shares shall, to the extent of such forfeiture, expiration, lapse or termination, again be available for issuance under the 2017 Plan. The following table summarizes the unvested shares granted on September 12, 2017, which have been made under the 2017 Plan.
|  | Number of shares awarded total |
|  | Minimum |  |  | Target |  |  | Maximum |  |  | Cap |
Employees |  |  | 21,145 |  |  |  | 31,718 |  |  |  | 42,291 |  |  |  | 50,748 |
Non-Employee Directors |  |  | 7,246 |  |  |  | 10,870 |  |  |  | 14,493 |  |  |  | 17,391 |
Total |  |  | 28,391 |  |  |  | 42,588 |  |  |  | 56,784 |  |  |  | 68,139 |
|  | Value at grant date (numbers below are rounded to the nearest $100) |
|  | Minimum |  |  | Target |  |  | Maximum |  |  | Cap |
Employees |  | $ | 291,800 |  |  | $ | 437,700 |  |  | $ | 583,600 |  |  | $ | 700,300 |
Non-Employee Directors |  |  | 100,000 |  |  |  | 150,000 |  |  |  | 200,000 |  |  |  | 240,000 |
Total |  | $ | 391,800 |  |  | $ | 587,700 |  |  | $ | 783,600 |  |  | $ | 940,300 |
Of the total number of shares awarded at Maximum, there are an aggregate of 56,784 shares underlying restricted stock awards and in addition in the 2017 Plan there are 6,376 shares underlying awards of stock appreciation rights with a base price of $13.80 per share. These stock appreciation rights are classified as liability awards and are remeasured at fair value each reporting period until the award is settled. As of October 31, 2017 the Company has recorded a liability in the amount of $13,072 related to these stock appreciation rights.. The actual number of shares of common stock of the Company, if any, to be earned by the award recipients is determined over a full three fiscal year performance period commencing on February 1, 2017 and ending on January 31, 2020, based on the level of earnings before interest, taxes, depreciation and amortization (“EBITDA”) achieved by the Company over this period. The EBITDA targets have been set for each of the Minimum, Target, Maximum and Cap levels, at higher amounts for each of the higher levels. The actual EBITDA amount achieved is determined by the Committee and may be adjusted for items determined to be unusual in nature or infrequent in occurrence, which items may include, without limitation, the charges or costs associated with restructurings of the Company or any subsidiary, discontinued operations, and the cumulative effects of accounting changes. Under the 2017 Plan, as described above, the Company awarded performance-based restricted stock and stock appreciation rights to eligible employees and directors. Such awards were at either Minimum, Target, Maximum or Cap levels, based on three year EBITDA targets. The Company recognizes expense related to performance-based restricted share awards over the requisite performance period using the straight-line attribution method based on the most probable outcome (minimum, target, maximum, cap or zero) at the end of the performance period and the price of the Company’s common stock price at the date of grant. The Company is recognizing expense related to awards under the 2017 Plan at maximum and these expenses were $62,106 for the nine months ended October 31, 2017. The 2017 Plan is the successor to the Lakeland Industries, Inc. 2015 Stock Plan (the “2015 Plan”). The executive officers and all other employees and directors of the Company and its subsidiaries were eligible to participate in the 2015 Plan. The 2015 Plan authorized the issuance of awards of restricted stock, restricted stock units, performance shares, performance units and other stock-based awards. The 2015 Plan also permitted the grant of awards that qualify for “performance-based compensation” within the meaning of Section 162(m) of the U.S. Internal Revenue Code. The aggregate number of shares of the Company’s common stock that was issuable under the 2015 Plan was 100,000 shares. Under the 2015 Plan, as of October 31, 2017, there were 67,000 shares vested; of which 43,029 shares were issued and 23,971 shares were returned to the Company to pay employee taxes. The 2015 Plan, was the successor to the Company’s 2012 Stock Incentive Plan (the “2012 Plan”). The Company’s 2012 Plan authorized the issuance of up to a maximum of 310,000 shares of the Company’s common stock to employees and directors of the Company and its subsidiaries in the form of restricted stock, restricted stock units, performance shares, performance units and other share-based awards. Under the 2012 Plan, as of October 31, 2017, the Company issued 293,887 fully vested shares of common stock; there are no outstanding shares to vest according to the terms of the 2012 Plan. Under the 2012 Plan and the 2015 Plan, the Company generally awarded eligible employees and directors with either performance-based or time-based restricted shares. Performance-based restricted shares were awarded at either baseline (target), maximum or zero amounts. The number of restricted shares subject to any award was not tied to a formula or comparable company target ranges, but rather was determined at the discretion of the Committee at the end of the applicable performance period, which was two years under the 2015 Plan and had been three years under the 2012 Plan. The Company recognized expense related to performance-based restricted share awards over the requisite performance period using the straight-line attribution method based on the most probable outcome (baseline, maximum or zero) at the end of the performance period and the price of the Company’s common stock price at the date of grant. As of October 31, 2017, unrecognized stock-based compensation expense totaled $0 pursuant to both the 2012 and 2015 Plans and $822,566 pursuant to the 2017 Plan based on the maximum performance award level. Such unrecognized stock-based compensation expense totaled $0 for both the 2012 and 2015 Plans and $411,283 for the 2017 Plan at the minimum performance award level. The cost of these non-vested awards is expected to be recognized over a weighted-average period of three years for the 2017 Plan. The Company recognized total stock-based compensation costs, which are reflected in operating expenses:
|  | Three Months Ended October 31, |  |  | Nine Months Ended October 31, |
|  | 2017 |  |  | 2016 |  |  | 2017 |  |  | 2016 |
2012 Plan |  | $ | — |  |  | $ | 392 |  |  | $ | 206 |  |  | $ | (9,756 | )
2015 Plan |  |  | — |  |  |  | 98,642 |  |  |  | 197,284 |  |  |  | 186,712 |
2017 Plan |  |  | 93,981 |  |  |  | — |  |  |  | 93,981 |  |  |  | — |
Total stock-based compensation |  | $ | 93,981 |  |  | $ | 99,034 |  |  | $ | 291,471 |  |  | $ | 176,966 |
Total income tax benefit recognized for stock-based compensation arrangements |  | $ | 33,833 |  |  | $ | 35,652 |  |  | $ | 104,929 |  |  | $ | 63,708 |
Shares issued under 2017, 2015 and 2012 Stock Plans |  | Outstanding Unvested Grants at Maximum at Beginning of FY18 |  |  | Granted during FY18 through October 31, 2017 |  |  | Becoming Vested during FY18 through October 31, 2017 |  |  | Forfeited during FY18 through October 31, 2017 |  |  | Outstanding Unvested Grants at Maximum at End of October 31, 2017 |
Restricted stock grants – employees |  |  | 67,619 |  |  |  | 42,291 |  |  |  | 40,570 |  |  |  | 27,049 |  |  |  | 42,291 |
Restricted stock grants – non-employee directors |  |  | — |  |  |  | 14,493 |  |  |  | — |  |  |  | — |  |  |  | 14,493 |
Retainer in stock – non-employee directors |  |  | 32,372 |  |  |  | 2,674 |  |  |  | 27,151 |  |  |  | — |  |  |  | 7,895 |
Total restricted stock |  |  | 99,991 |  |  |  | 59,458 |  |  |  | 67,721 |  |  |  | 27,049 |  |  |  | 64,679 |
Weighted average grant date fair value |  | $ | 10.18 |  |  | $ | 13.89 |  |  | $ | 10.18 |  |  | $ | 10.19 |  |  | $ | 13.59 |
Other Compensation Plans/Programs Pursuant to the Company’s restrictive stock program, all directors are eligible to elect to receive any director fees in shares of restricted stock in lieu of cash. Such restricted shares are subject to a two-year vesting period. The valuation is based on the stock price at the grant date and is amortized to expense over the two-year period, which approximates the performance period. Since the director is giving up cash for unvested shares, and is subject to a vesting requirement, the amount of shares awarded is 133% of the cash amount based on the grant date stock price. As of October 31, 2017, unrecognized stock-based compensation expense related to these restricted stock awards totaled $0 for the 2015 Plans and $10,519 for the 2017 Plan. The cost of these non-vested awards is expected to be recognized over a weighted-average period. In addition, as of October 31, 2017, the Company granted awards for up to an aggregate of 5,221 for the 2015 Plan and 2,674 for the 2017 Plan. Stock Repurchase Program On July 19, 2016, the Company’s board of directors approved a stock repurchase program under which the Company may repurchase up to $2,500,000 of its outstanding common stock. The Company has not repurchased any stock under this program as of the date of this filing. Warrants In October 2014, the Company issued a five-year warrant that is immediately exercisable to purchase up to 55,500 shares of the Company’s common stock at an exercise price of $11.00 per share. As of October 31, 2017 and January 31, 2017, the warrant to purchase up to 55,500 shares remains outstanding. Public Offering On August 17, 2017, the Company entered into an underwriting agreement (the “Underwriting Agreement”) with Roth Capital Partners, LLC and Craig-Hallum Capital Group LLC, as underwriters (collectively, the “Underwriters”), to issue and sell 725,000 shares of common stock, par value $0.01 per share (“Common Stock”), of the Company at a public offering price of $13.80 per share (the “Offering Price”) in a firm commitment underwritten public offering. The underwriting discount was $0.966 per share sold in the Offering. The Offering with respect to the sale of the 725,000 shares of Common Stock closed on August 22, 2017. Pursuant to the Underwriting Agreement, the Underwriters had the option, exercisable for a period of 45-days after execution of the Underwriting Agreement, to purchase up to an additional 108,750 shares of the Common Stock at the Offering Price. In September 2017, the Underwriters exercised their option to purchase 83,750 shares of Common Stock. The net proceeds to the Company from the Offering, including the overallotment, were approximately $10.1 million, after deducting underwriting discounts and estimated offering expenses payable by the Company. The offer and sale of shares of Common Stock in the Offering have been registered under the Securities Act of 1933, as amended, pursuant to the Company’s shelf registration statement on Form S-3 (File No. 333-216943) declared effective by the Securities and Exchange Commission (the “Commission”) on April 11, 2017 (the “Registration Statement”). The offer and sale of the shares of Common Stock in the Offering are described in the Company’s prospectus constituting a part of the Registration Statement, as supplemented by a final prospectus supplement filed with the Commission on August 18, 2017.

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- Definition The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -URI http://asc.fasb.org/topic&trid=2208762 + Details
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