STOCKHOLDERS' EQUITY

12 Months Ended

Jun. 30, 2016

Disclosure Text Block Supplement [Abstract]

Shareholders' Equity and Share-based Payments [Text Block]

NOTE 13. SHAREHOLDERS’ EQUITY

Dividends

The Company paid $0.005 per share per month in fiscal years 2014 and 2015 and through September 2015 and $0.0025 per share per month from October 2015 through June 2016. Dividends of $496,000; $800,000; and $804,000 were paid to holders of class A common stock in fiscal years 2016, 2015, and 2014, respectively. Dividends of $78,000; $124,000; and $124,000 were paid to holders of class C common stock in fiscal years 2016, 2015, and 2014, respectively.

The monthly dividend of $0.0025 is authorized through December 2016 and will be considered for continuation at that time by the Board. Payment of cash dividends is within the discretion of the Company’s Board of Directors and is dependent on earnings, operations, capital requirements, general financial condition of the Company and general business conditions. On a per share basis, the holders of the class C common stock and the nonvoting class A common stock participate equally in dividends as declared by the Company’s Board of Directors.

Share Repurchase Plan

Effective January 1, 2013, the Board of Directors approved a share repurchase program on December 7, 2012, authorizing the Company to purchase up to $2.75 million of its outstanding common shares, as market and business conditions warrant, on the open market in compliance with Rule 10b-18 of the Securities Exchange Act of 1934 through December 31, 2013. On December 12, 2013, December 10, 2014, and December 9, 2015, the Board of Directors renewed the repurchase program for calendar years 2014, 2015 and 2016, respectively. The total amount of shares that may be repurchased in 2016 under the renewed program is $2.75 million. The acquired shares may be used for corporate purposes, including shares issued to employees in the Company’s stock-based compensation programs. As of June 30, 2016, approximately $2.68 million remains available for repurchase under this authorization.

During fiscal years 2016, 2015, and 2014, the Company repurchased 177,998; 95,251; and 93,351, respectively, of its class A shares on the open market using cash of $313,000; $292,000; and $289,000, respectively. To date, the Company has repurchased a total of 421,652 class A shares under the repurchase program using cash of $1,067,000.

Other Activity

The Company granted 2,400 shares of class A common stock at a weighted average fair value of $2.66 to an employee during fiscal year 2016. The Company did not grant any shares of class A common stock to employees during fiscal year 2015 or 2014. Grants vest immediately after issuance.

The Company granted 3,600; 3,600; and 3,600 shares of class A common stock at a weighted average fair value of $1.63, $3.24, and $3.07 to its non-employee directors in fiscal years 2016, 2015, and 2014, respectively. Grants vest immediately after issuance.

Issuances of treasury stock for grants or bonuses are accounted for using the weighted-average cost basis of the shares issued. During fiscal 2016, shares were issued, as described above, with a weighted-average cost basis greater than current fair value, which resulted in a combined negative adjustment to additional paid-in capital of approximately $43,000.

Shareholders of class C shares are allowed to convert to class A. During fiscal year 2016, no shares were converted from class C to class A. During fiscal years 2015 and 2014, 60 and 1,340 shares, respectively, were converted from class C to class A. Conversions are one class A share for one class C share and are recorded at par value. There are no restrictions or requirements to convert.

Stock-based compensation

In November 1989, the Board of Directors adopted the 1989 Non-Qualified Stock Option Plan (“1989 Plan”), amended in December 1991, which provides for the granting of options to purchase 1,600,000 shares of the Company’s class A common stock to directors, officers and employees of the Company and its subsidiaries. Options issued under the 1989 Plan vest six months from the grant date or 20 percent on the first, second, third, fourth, and fifth anniversaries of the grant date. Options issued under the 1989 Plan expire ten years after issuance. No options were granted in fiscal years 2016, 2015, or 2014. As of June 30, 2016, there were no options outstanding under the 1989 Plan.

In April 1997, the Board of Directors adopted the 1997 Non-Qualified Stock Option Plan (“1997 Plan”), which provides for the granting of stock appreciation rights (SARs) and/or options to purchase 400,000 shares of the Company’s class A common stock to directors, officers, and employees of the Company and its subsidiaries. Options issued under the 1997 Plan expire ten years after issuance. No options were granted in fiscal years 2016, 2015, or 2014. As of June 30, 2016, there were 2,000 options outstanding under the 1997 Plan.

The estimated fair value of options granted is amortized to expense over the options’ vesting period. The fair value of these options is estimated at the date of the grant using a Black-Scholes option pricing model.

Stock option transactions under the various employee stock option plans for the past three fiscal years are summarized below:

(dollars in thousands, except price data)	Options			Weighted Average Exercise Price		Weighted Average Remaining Contractual Life in Years	Aggregate Intrinsic Value (net of tax)
Outstanding June 30, 2013		29,000		$	17.03
Granted		-			n/a
Exercised		-			n/a
Forfeited		(7,000	)	$	11.74
Outstanding June 30, 2014		22,000		$	18.72
Granted		-			n/a
Exercised		-			n/a
Forfeited		-			n/a
Outstanding June 30, 2015		22,000		$	18.72
Granted		-			n/a
Exercised		-			n/a
Forfeited		(20,000	)	$	19.36
Outstanding June 30, 2016		2,000		$	12.31	3.27	$ 12

As of June 30, 2016, 2015, and 2014, exercisable employee stock options totaled 2,000; 22,000; and 22,000 shares and had weighted average exercise prices of $12.31, $18.72, and $18.72 per share, respectively.

Class A common stock options outstanding and exercisable under the employee stock option plans at June 30, 2016, were as follows:

	Options Outstanding							Options Exercisable
	Date of Option Grant	Number Outstanding		Remaining Life in Years		Weighted Average Exercise Price ($)		Number Exercisable		Weighted Average Option Price ($)
1997 Plan Class A	10/07/09		2,000		3.27	$	12.31		2,000	$	12.31
			2,000		3.27	$	12.31		2,000	$	12.31