Severance Costs

12 Months Ended

Dec. 31, 2011

9. Severance Costs

The Company recorded $42,000 of severance in 2011. The Company's Board of Directors, at the recommendation of management, approved a reduction in the number of its employee workforce by approximately 20 employees (the "Reductions") during fourth quarter of 2010. The Reductions reinforced management's commitment to improve cash flow and reduce further losses. As a result of the Reductions, the Company recorded a $0.9 million charge, consisting of severance and other related termination expenses, during the year ended December 31, 2010. The Company paid approximately $0.4 million of the severance and other related termination costs related to the Reduction during 2010 and paid substantially all the remaining cost amounts during the first quarter of 2011.

In addition to severance related to the Reduction, the Company also incurred $0.4 million in additional severance costs during the year ended December 31, 2010. Total severance costs and other related termination expenses incurred by the Company during the year ended December 31, 2010 is summarized as follows:

(in thousands)	Year Ended December 31, 2010
Sales and marketing	$	301
Technology support		362
General and administrative		599
Total	$	1,262

- Definition

The entire disclosure for compensation costs, including compensated absences accruals, compensated absences liability, deferred compensation arrangements and income statement compensation items. Deferred compensation arrangements may include a description of an arrangement with an individual employee, which is generally an employment contract between the entity and a selected officer or key employee containing a promise by the employer to pay certain amounts at designated future dates, usually including a period after retirement, upon compliance with stipulated requirements. This type of arrangement is distinguished from broader based employee benefit plans as it is usually tailored to the employee. Disclosure also typically includes the amount of related compensation expense recognized during the reporting period, the number of shares (units) issued during the period under such arrangements, and the carrying amount as of the balance sheet date of the related liability.

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