XML 24 R17.htm IDEA: XBRL DOCUMENT v2.4.0.6
Note 11 - Stockholders' Equity
 12 Months Ended
Dec. 31, 2011
Notes To Financial Statements  
Stockholders' Equity Note Disclosure [Text Block]
11.  STOCKHOLDERS' EQUITY

a)   Stock Option Plan

In connection with its 2007 Director Non-Qualified Stock Option Plan for non-employee directors, the Company has outstanding options to purchase its common stock.  The plan provides for the granting of non-qualified options at the discretion of the Company Committee of the Board of Directors.  Options are granted at the fair market value of the underlying common stock at the date of grant and vest after six months.  The Company has reserved 100,000 shares of common stock for issuance under this plan.

We had two other stock options plans from 1995 which provided to stock option grants to officers, key employees, and non-employee directors.  These plans expired in 2005.  The expiration of the plans had no effect on the options previously granted.

All options expire ten years from date of grant and are exercisable at any time after vesting.  Of the 100,000 shares available for issuance, there are 45,400 un-optioned shares available for future grants.

A summary of stock option transactions for the years ended December 31, 2011, 2010, and 2009, is as follows:

   
2011
   
2010
   
2009
 
         
Weighted
         
Weighted
         
Weighted
 
         
Average
         
Average
         
Average
 
   
Option
   
Exercise
   
Option
   
Exercise
   
Option
   
Exercise
 
   
Shares
   
Price
   
Shares
   
Price
   
Shares
   
Price
 
Outstanding at January 1
    103,600     $ 4.35       197,700     $ 2.23       224,700     $ 2.16  
Granted
    12,000       4.80       42,600       4.59       -       -  
Forfeited or expired
    -       -       -       -       -       -  
Exchanged
    -       -       -       -       -       -  
Exercised
    -       -       (136,700 )     1.65       (27,000 )     0.92  
Outstanding at December 31
    115,600     $ 4.40       103,600     $ 4.35       197,700     $ 2.33  
Exercisable at end of year
    115,600     $ 4.40       70,000     $ 4.33       197,700     $ 2.33  
Weighted-average fair value of options granted during year
  $ 1.19             $ 1.42               -          

The following table summarizes outstanding options into groups based upon exercise price ranges at December 31, 2011:

   
Options Outstanding
   
Options Exercisable
 
         
Weighted
   
Weighted
         
Weighted
   
Weighted
 
         
Average
   
Average
         
Average
   
Average
 
   
Option
   
Exercise
   
Maturity
   
Option
   
Exercise
   
Maturity
 
Exercise Price Range
 
Shares
   
Price
   
(Years)
   
Shares
   
Price
   
(Years)
 
$ 2.72 to $3.90     10,000     $ 3.650       1.94       10,000     $ 3.650       1.94  
$ 3.91-$5.30     105,600       4.470       5.46       105,600       4.470       5.46  
      115,600     $ 4.400       5.15       115,600     $ 4.400       5.15  

b)   Warrants

Warrants to acquire up to 50,000 shares of common stock at $5.00 per share were issued in conjunction with a consulting agreement to an unrelated entity in February 2004.  The warrants expired on February 24, 2009.

A summary of warrant transactions for the years ended December 31, 2011, 2010, and 2009, is as follows:

   
2011
   
2010
   
2009
 
         
Weighted
         
Weighted
         
Weighted
 
         
Average
         
Average
         
Average
 
   
Warrant
   
Exercise
   
Warrant
   
Exercise
   
Warrant
   
Exercise
 
   
Shares
   
Price
   
Shares
   
Price
   
Shares
   
Price
 
Outstanding at January 1
    -       -       -       -       7,500     $ 5.000  
Granted
    -       -       -       -       -       -  
Forfeited or expired
    -       -       -       -       (7,500 )     5.000  
Exchanged
    -       -       -       -       -       -  
Exercised
    -       -       -       -       -       -  
Outstanding at December 31
    -       -       -       -       -       -  
Exercisable at end of year
    -       -       -       -       -       -  
Weighted-average fair value of warrants granted during year
    -               -               -          

c)   Stock Repurchase Program

On February 27, 2009, our Board of Directors authorized a share repurchase program of up to 1 million shares of our common stock at prevailing market prices not to exceed $2.85.  The share repurchase program commenced on April 1, 2009.  On December 4, 2009, our Board amended the repurchase program to increase the maximum purchase price to $3.70.  The plan terminated on December 10, 2010.  We repurchased a total of 2,300 and 60,927 shares in 2010 and 2009, respectively, for a total purchase price of $207,683.

d)   Cash Dividend
 
In May 2010, our Board of Directors authorized a $0.75 per share special one-time cash dividend that was paid to shareholders of record at the close of business on June 3, 2010. The dividend, totaling $7.7 million, was paid to shareholders on July 5, 2010. Our Board will determine future cash dividends after giving consideration to our then existing levels of profit and cash flow, capital requirements, current and forecasted liquidity, as well as financial and other business conditions existing at the time.  We did not make any dividend payments during 2009 or 2011.

Our Board of Directors authorized a $0.25 per share special one-time cash dividend to be paid in the second quarter of 2012.  See Note 18 – Subsequent Events for further details.