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Equity (Tables)
9 Months Ended
Jun. 30, 2013
Equity [Abstract]  
Schedule of Stock Options Activity
The following table summarizes stock option activity under the Equity Plans for the nine months ended June 30, 2013:


Number of Shares
 
Weighted Average Exercise Price
 
Weighted Average
Remaining Contractual Life
(in years)
 
Aggregate Intrinsic Value (*) (in thousands)
Outstanding as of September 30, 2012
2,032,215

 
$17.76
 
 
 
 
Granted
72,650

 
$4.47
 
 
 
 
Exercised
(77,740
)
 
$4.94
 
 
 
$
93

Forfeited
(58,345
)
 
$7.19
 
 
 
 
Expired
(193,808
)
 
$20.18
 
 
 
 
Outstanding as of June 30, 2013
1,774,972

 
$17.86
 
4.60
 
 
Exercisable as of June 30, 2013
1,468,333

 
$20.53
 
3.94
 
$
7

Vested and expected to vest as of June 30, 2013
1,736,536

 
$18.15
 
4.51
 
$
7


(*) Intrinsic value for stock options represents the “in-the-money” portion or the positive variance between a stock option's exercise price and the underlying stock price.

Schedule of Valuation Assumptions
The fair value of each stock option grant was estimated on the date of grant using the Black-Scholes option valuation model, adhering to the straight-line attribution approach using the following weighted-average assumptions, of which the expected term and stock price volatility rate are highly subjective:

 
For the Three Months Ended June 30,
 
For the Nine Months Ended June 30,
 
2013
 
2012
 
2013
 
2012
Black-Scholes weighted average assumptions:
 
 
 
 
 
 
 
Expected dividend rate
%
 
%
 
%
 
%
Expected stock price volatility rate
96.7
%
 
104.2
%
 
96.8
%
 
104.4
%
Risk-free interest rate 
1.3
%
 
0.8
%
 
1.1
%
 
0.8
%
Expected term (in years)
6.0

 
5.0

 
6.0

 
5.0

 
 
 
 
 
 
 
 
Weighted average grant date fair value per share of stock options granted:
$2.98
 
$
3.04

 
$
3.45

 
$
3.09

Schedule of Restricted Stock Activity
The following table summarizes the activity related to RSAs and RSUs for the nine months ended June 30, 2013:

Restricted Stock Activity
Restricted Stock Awards
 
Restricted Stock Units
 
Number of Shares
 
Weighted Average Grant Date Fair Value
 
Number of Shares
 
Weighted Average Grant Date Fair Value
Non-vested as of September 30, 2012
216,703

 
$5.83
 
700,043

 
$4.44
Granted

 
 
528,300

 
$4.63
Vested
(106,797
)
 
$5.83
 
(177,509
)
 
$3.87
Forfeited
(8,208
)
 
$5.68
 
(92,967
)
 
$4.49
Non-vested as of June 30, 2013
101,698

 
$5.84
 
957,867

 
$4.65
Schedule of Stock-based Compensation Expense - By Award Type
The effect of recording stock-based compensation expense was as follows:

Stock-based Compensation Expense - by award type
For the Three Months Ended June 30,
 
For the Nine Months Ended June 30,
(in thousands)
2013
 
2012
 
2013
 
2012
Employee stock options
$
163

 
$
232

 
$
544

 
$
2,367

Restricted stock awards and units
547

 
605

 
1,468

 
2,126

Employee stock purchase plan
124

 
124

 
380

 
537

401(k) match in common stock
267

 
280

 
780

 
755

Outside director fees in common stock
51

 
34

 
113

 
212

Total stock-based compensation expense
$
1,152

 
$
1,275

 
$
3,285

 
$
5,997

Schedule Stock-based Compensation Expense - By Expense Type
Stock-based Compensation Expense - by expense type
For the Three Months Ended June 30,
 
For the Nine Months Ended June 30,
(in thousands)
2013
 
2012
 
2013
 
2012
Cost of revenue
$
311

 
$
220

 
$
916

 
$
1,289

Selling, general, and administrative
485

 
708

 
1,326

 
2,954

Research and development
356

 
347

 
1,043

 
1,754

Total stock-based compensation expense
$
1,152

 
$
1,275

 
$
3,285

 
$
5,997

Schedule of Earnings Per Share, Basic and Diluted
Income (Loss) Per Share.
The following table sets forth the computation of basic and diluted net income (loss) per share:

Basic and Diluted Net Income (Loss) Per Share
For the Three Months Ended June 30,
 
For the Nine Months Ended June 30,
(in thousands, except per share)
2013
 
2012
 
2013
 
2012
 
 
 
 
 
 
Numerator - Net income (loss)
$
(7,283
)
 
$
(9,039
)
 
$
7,240

 
$
(32,603
)
Less: Undistributed earnings allocated to participating securities

 

 
(42
)
 

Undistributed earnings allocated to common shareholders for basic net income (loss) per share
$
(7,283
)
 
$
(9,039
)
 
$
7,198

 
$
(32,603
)
Undistributed earnings allocated to common shareholders for diluted net income (loss) per share
$
(7,283
)
 
$
(9,039
)
 
$
7,198

 
$
(32,603
)
Denominator:
 
 
 
 
 
 
 
Denominator for basic net income (loss) per share - weighted average shares outstanding
26,609

 
23,686

 
26,320

 
23,441

Dilutive options outstanding, unvested stock units and ESPP

 

 
300

 

Denominator for diluted net income (loss) per share - adjusted weighted average shares outstanding
26,609

 
23,686

 
26,620

 
23,441

Basic net income (loss) per share
$
(0.27
)
 
$
(0.38
)
 
$
0.27

 
$
(1.39
)
Diluted net income (loss) per share
$
(0.27
)
 
$
(0.38
)
 
$
0.27

 
$
(1.39
)
Weighted average antidilutive options, unvested restricted stock units and awards, warrants and ESPP shares excluded from the computation
2,873

 
3,531

 
2,467

 
3,604

Average market price of common stock
$
4.11

 
$
4.19

 
$
4.81

 
$
4.27

Schedule of Common Stock Reserved for Future Issuances
As of June 30, 2013, we had common stock reserved for the following future issuances:

Future Issuances
Number of Common Stock Shares Available for Future Issuances
Exercise of outstanding stock options
1,774,972

Unvested restricted stock units
957,867

Purchases under the employee stock purchase plan
636,001

Issuance of stock-based awards under the Equity Plans
584,730

Exercise of outstanding warrants
400,001

Purchases under the officer and director share purchase plan
93,745

Total reserved
4,447,316