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66
The estimated fair value of stock purchase rights granted under the Purchase Plans were estimated using the Black-Scholes
pricing model with the following weighted-average assumptions:
2013 2012 2011
Expected volatility 40% 73% 61%
Expected dividend yield - - -
Risk-free interest rate 0.14% 0.10% 0.23%
Weighted average expected rights term 0.75 years 0.75 years 0.75 years
Weighted average fair value of rights granted $ 1.78 $ 1.67 $ 0.79
Years Ended March 31,
STOCK REPURCHASES
On October 19, 2010, the Company's board of directors authorized the Company to create a new stock repurchase plan to
purchase an additional $10.0 million of its common stock from time to time until October 19, 2011. The stock repurchase plan
expired on October 19, 2011. The stock repurchase activity since March 31, 2010 is summarized as follows:
Weighted
Average
Shares
Price
Amount
Repurchased
Per Share
Repurchased
Balance at March 31, 2010
282,376
$
0.75
$
211,741
Repurchase of common stock 3,588,609 2.30 7,810,949
Balance at March 31, 2011
3,870,985
2.26
8,022,690
Repurchase of common stock 301,800 2.95 888,964
Balance at March 31, 2012 4,172,785 2.23 8,911,654
Repurchase of common stock
-
-
-
Balance at March 31, 2013 4,172,785 $ 2.23 $ 8,911,654
The total purchase prices of the common stock repurchased and retired were reflected as a reduction to consolidated
stockholders’ equity during the period of repurchase.
In fiscal 2012, the Company also repurchased in two transactions at current market prices 352,030 shares with a total
repurchase price of $1.5 million from former and current members of the board of directors outside of the stock repurchase
plan.
In fiscal 2013, the Company also withheld 73,751 shares related to net share settlement of restricted stock awards with a total
price of $0.4 million.
6. EMPLOYEE BENEFIT PLAN
401(k) Savings Plan
In April 1991, the Company adopted a 401(k) savings plan (the “Savings Plan”) covering substantially all of its U.S.
employees. Eligible employees may contribute to the Savings Plan from their compensation up to the maximum allowed by the
Internal Revenue Service. In January 2007, the Company reactivated the employer matching contribution. The matching
contribution is 100% of each employee’s contributions in each year, not to exceed $1,500 per annum. The matching expense
in 2013, 2012 and 2011 was $0.3 million, $0.3 million and $0.2 million, respectively. The Savings Plan does not allow
employee contributions to be invested in the Company’s common stock.