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Common Stock and Stock-Based Compensation Plans (Tables)
9 Months Ended
Sep. 30, 2012
Common Stock and Stock-Based Compensation Plans [Abstract]  
Summary of stock option and SARs activity and related information
                                 
    Number of
options and
SAR units
    Weighted
average
exercise
price
    Weighted
average
remaining
contractual
term
   
Aggregate
intrinsic-
value
 

Outstanding as of June 30, 2012

    2,018,796     $ 15.93                  

SAR units granted (1)

    537,000       15.54                  

Options exercised

    (3,908     7.97                  

Options/SAR units forfeited or expired

    (5,282     20.96                  
   

 

 

   

 

 

                 

Outstanding as of September 30, 2012 (2)

    2,546,606     $ 15.85       5.1     $ —    
   

 

 

   

 

 

   

 

 

   

 

 

 

Exercisable as of September 30, 2012

    1,202,457     $ 12.32       3.5     $ 2,471,668  
   

 

 

   

 

 

   

 

 

   

 

 

 

 

(1) The SAR units are convertible for a maximum number of shares of the Company’s common stock equal to 75% of the SAR units subject to the grant.
(2) Due to the ceiling imposed on the SAR grants, the outstanding amount equals to a maximum of approximately 2,412,606 shares of the Company’s common stock issuable upon exercise.
Equity-based compensation expense included in interim condensed consolidated statements of comprehensive income
                                 
    Nine months ended
September 30,
    Three months ended
September 30,
 
    2012     2011     2012     2011  
    (unaudited)     (unaudited)     (unaudited)     (unaudited)  

Cost of revenue

  $ 177     $ 171     $ 73     $ 61  

Research and development, net

    1,327       1,372       468       510  

Sales and marketing

    723       747       284       291  

General and administrative

    1,461       1,250       541       553  
   

 

 

   

 

 

   

 

 

   

 

 

 

Total equity-based compensation expense

  $ 3,688     $ 3,540     $ 1,366     $ 1,415  
   

 

 

   

 

 

   

 

 

   

 

 

 
Assumptions used to estimate stock options and SARs granted to employees
                 
    Three months ended
September 30,
 
    2012     2011  
    (unaudited)     (unaudited)  

Expected dividend yield

    0     0

Expected volatility

    47%-55     41%-55

Risk-free interest rate

    0.2%-1.0     0.2%-2.3

Expected forfeiture (employees)

    10     10

Expected forfeiture (executives)

    5     —    

Contractual term of up to

    7 Years       7 Years  

Suboptimal exercise multiple (employees)

    2.1       2.0  

Suboptimal exercise multiple (executives)

    2.4       —