Annual report pursuant to Section 13 and 15(d)

EMPLOYEE BENEFIT PLANS

EMPLOYEE BENEFIT PLANS

12 Months Ended

Sep. 30, 2011

Compensation and Retirement Disclosure [Abstract]

Compensation and Employee Benefit Plans [Text Block]

NOTE 15 —

EMPLOYEE BENEFIT PLANS

Stock Options and Other Equity Compensation Plans

In March 2008, our Board of Directors adopted the 2008 Long Term Incentive Plan, subject to stockholder approval, referred to as the 2008 Incentive Plan. The 2008 Incentive Plan was approved by the stockholders on April 16, 2009. We reserved 1,000,000 shares of our common stock under the 2008 Incentive Plan and for other compensatory equity grants for the issuance of stock options, restricted stock awards, stock appreciation rights and performance awards, pursuant to which certain options will be granted. The terms and conditions of such awards are determined at the sole discretion of our board of directors or a committee designated by the Board to administer the plan. Previously unissued shares of our common stock are provided to a participant upon a participant’s exercise of vested options.

On May 26, 2011, a majority of our stockholders approved a resolution to reserve and authorize an additional 1,000,000 shares of the Company’s Common Stock under the 2008 Long-Term Incentive Compensation Plan for Beacon’s non-executive employees, thereby bringing the total reserved and authorized shares to 2,000,000.

A summary of stock options that we granted during the years ended September 30, 2011 and 2010, respectively, is as follows:

			Expected										Risk-Free			Value
Date	Quantity		Life		Strike					Dividend			Interest			Per		Aggregate
Earned	Issued		(days)		Price		Volatility			Yield			Rate			Option		Fair Value

11/12/2009		100,000		3,650	$	0.90		66.34	%		0	%		2.28	%	$	0.30	$	30
1/22/2010		60,000		2,373	$	1.07		65.40	%		0	%		2.23	%	$	0.67	$	40
2/5/2010		200,000		2,373	$	1.07		65.40	%		0	%		2.65	%	$	0.67	$	134
3/8/2010		25,000		2,373	$	1.38		65.40	%		0	%		2.36	%	$	0.86	$	22
5/27/2010		450,000		2,628	$	1.40		65.40	%		0	%		2.18	%	$	0.91	$	410
6/1/2010		400,000		2,738	$	1.36		65.40	%		0	%		2.09	%	$	0.90	$	360
6/6/2010		100,000		2,008	$	1.60		65.40	%		0	%		1.95	%	$	0.75	$	75

10/4/2010		140,000		2,008	$	0.63		78.35	%		0	%		1.17	%	$	0.60	$	84
10/31/2010		585,115		2,738	$	1.00		75.87	%		0	%		1.17	%	$	0.62	$	363
3/3/2011		18,333		2,373	$	0.51		70.76	%		0	%		2.30	%	$	0.49	$	9
6/14/2011		100,000		2,008	$	0.34		65.60	%		0	%		1.68	%	$	0.31	$	31
7/25/2011		2,392		2,738	$	1.00		75.87	%		0	%		1.17	%	$	0.62	$	1

We calculate the fair value of stock options using the Black-Scholes option-pricing model. The option-pricing model requires the input of subjective assumptions, such as those included in the table above. The volatility rates are based on historical stock prices of similarly situated companies and expectations of the future volatility of our common stock. The expected life of options granted is based upon the average of the vesting and contractual term. The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant. The total expense to be recorded in future periods will depend on several variables, including the number of share-based awards.

The weighted average grant date fair value of options we granted during the years ended September 30, 2011 and 2010 amounted to $.58 and $0.81 per share respectively.

We recognized non-cash share-based employee compensation expenses as follows:

	For the		For the
	year ended		year ended
	September 30,		September 30,
	2011		2010
Non-Cash Share-Based Compensation Expense

Restricted Stock	$	19	$	221
Stock Options		669		861

Total Stock Compensation Expense	$	688	$	1,082

A summary of the status of our stock option plan and the changes during the years ended September 30, 2011 and 2010 respectively, is presented in the table below:

							Weighted
							Average
				Weighted			Remaining		Aggregate
	Number			Average			Contractual		Intrinsic
	Of Options			Exercise Price			Life		Value

Options Outstanding at October 1, 2009		3,200,900		$	1.19
Granted		1,335,000		$	1.31
Forfeited		(817,367	)	$	(1.03	)
Options Outstanding at October 1, 2010		3,718,533		$	1.47
Granted		845,840		$	0.93
Forfeited		(879,677	)	$	(0.98	)
Options Outstanding at September 30, 2011		3,684,696		$	1.42			8.21	$	-

Options Exercisable, September 30, 2011		1,841,865		$	1.23			7.92	$	-

As of September 30, 2011, there was $923 in unamortized share-based compensation cost. This cost is expected to be recognized over the remaining weighted average vesting period of 4 years.