Stock-Based Compensation

9 Months Ended

Sep. 30, 2013

Share-based Compensation [Abstract]

Stock-Based Compensation

Stock-Based Compensation

The Company recognizes stock-based compensation in accordance with the provisions of ASC 718, Compensation-Stock Based Compensation. Stock-based compensation expense was $984 and $879 for the three months ended September 30, 2013 and September 30, 2012, respectively and $2,988 and $2,747 for the nine months endedSeptember 30, 2013 and September 30, 2012, respectively. As of September 30, 2013, there was $2,692 of total unrecognized compensation expense related to stock options, which is expected to be recognized over a weighted-average period of 2.45 years. As of September 30, 2013, there was $3,524 of total unrecognized compensation expense related to restricted stock awards, which is expected to be recognized over a weighted-average period of 2.38 years.

The Company granted 20,000 and 265,625 restricted stock awards to employees under the terms of the Amended and Restated 2006 Stock Incentive Plan during the three and nine months ended September 30, 2013, respectively. The restricted stock awards vest ratably over four years from the date of grant subject to the recipient remaining employed through the applicable vesting dates. Compensation expense for restricted stock awards is measured at fair value on the date of grant based on the number of shares granted and the quoted market closing price of the Company’s common stock. Such value is recognized as expense over the vesting period of the award, net of estimated forfeitures.

The Company granted 68,183 and 138,183 stock options to employees under the terms of the Amended and Restated 2006 Stock Incentive Plan during the three and nine months ended September 30, 2013, respectively.

The fair value of stock options granted during the nine months ended September 30, 2013 and 2012 was estimated as of the date of grant using the Black-Scholes option-pricing model. The weighted-average fair value per share for all options granted during the nine months ended September 30, 2013 and 2012 was $5.45 and $4.72, respectively. The weighted-average assumptions used to value options as of their grant date were as follows:

	Nine Months Ended		Nine Months Ended
	September 30, 2013		September 30, 2012
Risk-free interest rate	1.06	%	0.72	%
Expected volatility	50.89	%	64.60	%
Expected life (in years)	4.24		4.22
Dividend yield	0	%	0	%