Stock-Based Compensation (Tables)

9 Months Ended

Sep. 30, 2014

Total Stock-Based Compensation

Total stock-based compensation is reflected in the condensed consolidated statements of operations as follows:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2014		2013		2014		2013
Cost of revenues	$	112	$	104	$	315	$	294
Research and development		149		182		509		505
Sales and marketing		155		174		491		435
General and administrative		315		437		1,263		1,384
Total continuing operations		731		897		2,578		2,618
Discontinued operations		0		0		0		1
Total	$	731	$	897	$	2,578	$	2,619

Summary of Stock Option Activity

The following table summarizes the stock option activity for the nine months ended September 30, 2014:

				Weighted
				Average
	Options			Exercise
	Outstanding			Price
Outstanding at December 31, 2013		1,461,559		$	8.40
Granted		19,550			8.21
Retention stock rights converted to stock options		207,236			7.16
Exercised		(41,841	)		7.22
Expired or Cancelled		(243,110	)		10.98
Forfeited		(7,944	)		7.83
Outstanding at September 30, 2014		1,395,450		$	7.80
Exercisable at September 30, 2014		681,693		$	8.41

Fair Value of Date of Grant Using Black Scholes Option Pricing Model

The Company calculated the fair value of each option grant on the date of grant using the Black-Scholes option-pricing model using the following assumptions at September 30:

	September 30,
	2014			2013
Dividend yield		2.2	%		1.6	%
Risk-free interest rate		0.5	%		0.2	%
Expected volatility		34	%		51	%
Expected life (in years)		5.2			4.6

Information About Stock Options Outstanding Under all Stock Plans

The following table summarizes information about stock options outstanding under all stock plans at September 30, 2014:

	Options Outstanding						Options Exercisable
Range of Exercise Prices	Number Outstanding		Weighted Average Contractual Life (Years)		Weighted- Average Exercise Price		Number Exercisable		Weighted Average Exercise Price
$5.50 — $6.86		57,969		4.01	$	6.59		44,918	$	6.63
6.87 — 7.93		912,531		5.29		7.22		230,188		7.29
7.94 — 8.63		41,445		2.59		8.47		33,207		8.49
8.64 — 8.76		29,500		1.84		8.76		26,500		8.76
8.77 — 9.09		105,250		1.10		9.08		100,125		9.09
9.10 — 9.12		6,575		1.73		9.11		6,575		9.11
9.13 — 9.16		132,000		1.84		9.16		132,000		9.16
9.17 — 10.25		69,280		2.74		9.40		67,280		9.39
10.26 — 10.50		1,400		3.84		10.46		1,400		10.46
10.51 — 11.00		39,500		1.64		10.65		39,500		10.65
$5.50 — $11.00		1,395,450		4.19	$	7.80		681,693	$	8.41

Weighted Average Contractual Life and Intrinsic Value of the Options Outstanding

The intrinsic value and contractual life of the options outstanding and exercisable at September 30, 2014 were as follows:

	Weighted Average Contractual Life (years)		Intrinsic Value
Options Outstanding		4.19	$	414
Options Exercisable		2.78	$	123

Calculation of Fair Value of Each Employee Stock Purchase Grant Using Black-Scholes Option Pricing Model

The Company calculated the fair value of each employee stock purchase grant on the date of grant using the Black-Scholes option-pricing model using the following assumptions:

	September 30,
	2014			2013
Dividend yield		2.2	%		1.7	%
Risk-free interest rate		0.3	%		0.3	%
Expected volatility		38	%		51	%
Expected life (in years)		0.5			0.5

Restricted Stock [Member]

Summary of Restricted Stock Activity

The following table summarizes restricted stock activity for the nine months ended September 30, 2014:

				Weighted
				Average
				Grant Date
	Shares			Fair Value
Unvested Restricted Stock Awards - December 31, 2013		543,021		$	6.59
Shares awarded		145,505			8.28
Shares vested		(371,749	)		6.57
Shares cancelled		(3,175	)		8.28
Unvested Restricted Stock Awards - September 30, 2014		313,602		$	7.38

Restricted Stock Units [Member]

Summary of Restricted Stock Activity

The following table summarizes the restricted stock unit activity during the nine months ended September 30, 2014:

				Weighted
				Average
				Grant Date
	Shares			Fair Value
Unvested Restricted Stock Units - December 31, 2013		6,325		$	6.70
Units awarded		1,500			8.77
Units vested		(3,225	)		6.56
Unvested Restricted Stock Units - September 30, 2014		4,600		$	7.47