Stockholders' Equity | 3 Months Ended |
Mar. 31, 2014 |
Stock-Based Compensation | ' |
Stockholders' Equity [Text Block] | ' |
Stockholders’ Equity |
Equity Plans |
A summary of the Company’s activity under its equity-settled award plans and related information is as follows (in thousands, except per share data): |
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| | | Options Outstanding |
| Shares Available for Grant | | Number of Shares | | Weighted-Average Exercise Price | | Weighted-Average Remaining Contractual Life in Years | | Aggregate Intrinsic Value |
Balance - December 31, 2013 | 2,451 | | | 4,089 | | | $ | 9.91 | | | | | |
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Shares authorized(1) | 1,000 | | | — | | | — | | | | | |
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Options exercised | — | | | (138 | ) | | 4.18 | | | | | |
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Options forfeited/canceled | 20 | | | (20 | ) | | 16.26 | | | | | |
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Restricted stock units granted | (1,098 | ) | | — | | | — | | | | | |
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Restricted stock units forfeited | 56 | | | — | | | — | | | | | |
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Restricted stock units withheld related to net-share settlement of restricted stock units | 56 | | | — | | | — | | | | | |
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Balance - March 31, 2014 | 2,485 | | | 3,931 | | | 10.08 | | | 6.8 | | $ | 26,904 | |
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Vested and exercisable - March 31, 2014 | | | 2,318 | | | 10.27 | | | 6.7 | | 16,165 | |
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Vested and expected to vest - March 31, 2014 | | | 3,717 | | | 10.1 | | | 6.8 | | 25,484 | |
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(1) In March 2014, the Company reserved an additional 1,000,000 shares of its common stock for future issuance under the 2011 Plan. |
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The aggregate intrinsic value of stock options exercised during the three months ended March 31, 2014 and 2013 was $1.7 million and $4.0 million, respectively. The total fair value of stock options vested during the three months ended March 31, 2014 and 2013 was $1.7 million and $2.2 million, respectively. |
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Restricted Stock Units |
The summary of restricted stock unit activity, which includes performance-based restricted stock units with a market condition (“PBRSUs”), is as follows (in thousands, except for per share data): |
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| Number of Shares | | Weighted-Average Grant Date Fair Value | | Aggregate Intrinsic Value | | | | | |
Non-vested units - December 31, 2013 | 2,057 | | | $ | 12.38 | | | | | | | | |
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Granted | 1,098 | | | 13.97 | | | | | | | | |
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Vested | (148 | ) | | 10.99 | | | | | | | | |
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Forfeited | (56 | ) | | 13.77 | | | | | | | | |
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Non-vested units - March 31, 2014 | 2,951 | | | 13.02 | | | $ | 48,049 | | | | | | |
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The total fair value of restricted stock units (“RSUs”) vested during the three months ended March 31, 2014 and 2013 was $2.4 million and $0.4 million, respectively. |
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In October 2013, the Board of Directors approved net-share settlement for tax withholdings on RSU vesting. During the three months ended March 31, 2014, the Company withheld issuing 55,648 shares of its common stock based on the value of the RSUs on their vesting dates as determined by the Company’s closing common stock price. Total payments for the employees’ minimum tax obligations to taxing authorities were $0.9 million for the three months ended March 31, 2014, and were recorded as a reduction to additional paid-in capital and reflected as a financing activity within the condensed consolidated statements of cash flows. The net-share settlements reduced the number of shares that would have otherwise been issued on the vesting date and increased the number of shares reserved for future issuance under the 2011 Plan. |
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Stock-Based Compensation Related to Employees and Directors |
The fair value of RSUs granted to employees and directors is measured by reference to the fair value of the underlying shares on the date of grant. |
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PBRSUs contain both service and market conditions that affect the quantity of awards that will vest. During the three months ended March 31, 2014 and 2013, the Company granted 200,000 and 125,000 PBRSUs, respectively. The Company estimates the grant date fair value of PBRSUs using the Monte Carlo simulation model. The weighted-average assumptions used to estimate the fair value of PBRSUs and the resulting fair values are as follows: |
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| Three Months Ended March 31, | | | | | | | | |
| 2014 | | 2013 | | | | | | | | |
Dividend yield | — | % | | — | % | | | | | | | | |
Risk-free rate | 1.11 | % | | 0.62 | % | | | | | | | | |
Expected volatility | 48 | % | | 55 | % | | | | | | | | |
Grant date fair value | $ | 7.47 | | | $ | 6 | | | | | | | | | |
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Stock-based compensation expense related to stock options granted to employees and directors was $1.5 million and $2.4 million for the three months ended March 31, 2014 and 2013, respectively. Stock-based compensation expense related to RSUs granted to employees and directors was $2.2 million and $1.1 million for the three months ended March 31, 2014 and 2013, respectively. Stock-based compensation expense related to PBRSUs granted to employees was $0.2 million and less than $0.1 million for the three months ended March 31, 2014 and 2013, respectively. |
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As of March 31, 2014, there was $8.9 million and $35.0 million of unrecognized compensation cost related to stock options and RSUs, including PBRSUs, respectively, which is expected to be recognized over a weighted-average period of 2.0 years and 3.1 years, respectively. Future grants of equity awards will increase the amount of stock-based compensation expense to be recorded. |
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Stock-Based Compensation Related to Non-Employees |
The Company periodically grants equity awards to non-employees in exchange for goods and services. No equity awards were granted to non-employees in exchange for goods and services during the three months ended March 31, 2014 and 2013. |
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Stock-based compensation expense for non-employees is based on the fair value of the award on the measurement date, which is the earlier of the date by which the commitment for performance by the non-employee to earn the award is reached and the date on which the non-employee’s performance is complete. Each reporting period, the fair value of the unvested non-employee stock option or RSU is revalued until the award vests on the measurement date. |
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Non-employee stock-based compensation expense related to stock options was nil and $0.1 million for the three months ended March 31, 2014 and 2013, respectively. Non-employee stock-based compensation expense related to RSUs was nil and $0.1 million for the three months ended March 31, 2014 and 2013, respectively. |