Share-Based Compensation Plans

3 Months Ended

Mar. 31, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Share-Based Compensation Plans

4.    Share-Based Compensation Plans

The following table presents share-based compensation expense attributable to stock options and restricted shares.

	For the Three Months Ended March 31,
	2014		2013
	(In thousands)
Stock options	$	391	$	104
Restricted shares	581		430
Total share-based compensation expense	$	972	$	534

The following table presents share-based compensation expense as included in the Consolidated Statements of Income:

	For the Three Months Ended March 31,
	2014		2013
	(In thousands)
Selling, general and administrative	$	849	$	466
Research and development	123		68
Total share-based compensation expense	$	972	$	534

There is no corresponding deferred income tax benefit for stock options or restricted shares.

Stock Options

The following table summarizes our stock option activity for the three months ended March 31, 2014:

	Number of Shares (In thousands)		Weighted Average Exercise Price Per Share		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value (In thousands)
Outstanding at December 31, 2013	4,873		$	6.52
Granted	100		5.18
Exercised	(82	)	5.33
Forfeited or expired	(214	)	14.93
Outstanding at March 31, 2014	4,677		$	6.13	5.82	$	6,952
Fully vested at March 31, 2014 and expected to vest thereafter	4,643		$	6.14	5.79	$	6,870
Exercisable at March 31, 2014	2,398		$	7.72	2.76	$	1,480

The following assumptions were used to calculate weighted average fair values of the options granted in the three months ended March 31, 2014 and 2013:

	For the Three Months Ended March 31,
	2014			2013
Expected life (in years)	6.1			6.0
Risk-free interest rate	1.9		%	1.1		%
Volatility	59		%	61		%
Dividend yield	—			—
Weighted average grant date fair value per option granted	$	2.89		$	2.62

Total unrecognized compensation expense from stock options, net of a forfeiture estimate, was $4.6 million as of March 31, 2014, which is expected to be recognized over a weighted-average period of approximately 3.2 years beginning April 1, 2014.

Restricted Shares

The following table summarizes our restricted share activity for the three months ended March 31, 2014:

	Number of Shares (In thousands)		Weighted Average Grant-Date Fair Value (Per share)
Nonvested at December 31, 2013	1,172		$	4.83
Awards granted	—		—
Awards vested	(59	)	6.12
Awards forfeited	—		—
Nonvested at March 31, 2014	1,113		$	4.76

Total unrecognized compensation cost, net of a forfeiture estimate, was $3.9 million as of March 31, 2014, which is expected to be recognized over a weighted average period of approximately 2.8 years beginning April 1, 2014.