Retirement Plans

12 Months Ended

Dec. 31, 2012

Retirement Plans

Note 16. Retirement Plans

We have a 401(k) Plan for all U.S. eligible employees. Each eligible employee can contribute a portion of their salary, limited by certain Federal regulations. Beginning in 2008, we matched 100% of employee contributions on eligible compensation, up to a maximum of 4% each pay period; our contribution vests immediately. For 2012, eligible compensation consisted of gross base salary and annual bonus. For 2011 and 2010, eligible compensation consisted solely of gross base salary. In addition, we have the discretion of contributing up to 4% of eligible compensation to each eligible employee’s 401(k) plan irrespective of the employees’ contribution amount, which also vests immediately. The Company did not make any discretionary matching contributions during the years ended December 31, 2012, 2011, and 2010.

We sponsored a standalone retirement savings defined contribution plan covering substantially all of the Company’s U.S. employees through December 31, 2011. The standalone retirement savings defined contribution plan was merged into the 401(k) Plan effective January 1, 2012. Company contributions were equal to 7.5% of each eligible employee’s eligible compensation up to the amount permitted by certain Federal regulations. For 2012, eligible compensation consisted solely of gross base salary. For 2011 and 2010, eligible compensation consisted of gross base salary and annual bonus, with the contribution on the bonus not to exceed $2,500. The Company’s contributions vest at 20% per year for six years with vesting beginning in an employee’s second year of service. For any employee hired prior to January 1, 2008, vesting is calculated based on hours of service and vesting commences on January 1 following an employee’s first full year of service. For employees hired after January 1, 2008, vesting is calculated based on elapsed time and vesting commences on the employees anniversary date.

The expense recorded for all contributions to the 401(k) Plan for the year ended December 31, 2012 was $4.6 million, consisting of $2.5 million for the retirement savings contributions and $2.1 million for the non discretionary matching contributions. The expense recorded for the 401(k) Plan for the years ended December 31, 2011 and 2010 was $1.6 million and $1.7 million, respectively. The expense recorded for the money purchase defined contribution plan for the years ended December 31, 2011 and 2010 was $2.8 million and $2.9 million, respectively.

The Company sponsors a defined contribution plan for the Company’s U.K. employees under U.K. regulations. Contributions, which are fully vested when made, are equal to 15% of each eligible employee’s gross base salary. All U.K. employees are eligible on their date of hire. The expense recorded for the U.K. defined contribution plan was $1.9 million, $1.7 million and $1.5 million for 2012, 2011 and 2010, respectively. Such expenses are included in Other operating expenses.