Stock-Based Compensation

6 Months Ended

Jun. 30, 2011

Stock-Based Compensation

Stock-Based Compensation

12.  STOCK-BASED COMPENSATION

For the second quarter and first six months of 2011 and 2010, stock-based compensation expense was reflected in the Company's unaudited condensed consolidated statements of income as follows:

	Three Months Ended June 30,						Six Months Ended June  30,
(in thousands)	2011			2010			2011			2010
Cost of services	$	553		$	483		$	1,350		$	881
Operating expenses		1,312			1,703			3,050			2,751
Total stock-based compensation before tax	$	1,865		$	2,186		$	4,400		$	3,632
Income tax benefit		(613	)		(578	)		(1,499	)		(1,091	)

During the first six months of 2011, the Company issued approximately 332,000 shares to its employees under the Company's share-based compensation plans.

During the first six months of 2011, the Company granted approximately 107,000 restricted stock units ("RSUs") with a total fair value of $3.6 million. Approximately 52,000 of these RSUs were granted in connection with the election by employees to receive 50% of their 2011 target incentive compensation under the Company's Corporate Incentive Compensation Plan (the "CICP") in the form of RSUs instead of cash. The total stock-based compensation of approximately $1.6 million associated with these RSUs will be recognized over one year.

As of June 30, 2011, the Company had approximately $9.1 million of unrecognized stock-based compensation expense, net of estimated forfeitures, related to all unvested RSUs and unvested stock options that is expected to be recognized over a weighted-average period of 2.1 years.