STOCKHOLDERS' EQUITY

12 Months Ended

Dec. 31, 2015

Stockholders' Equity Note [Abstract]

STOCKHOLDERS' EQUITY

7. STOCKHOLDERS’ EQUITY

a. Common and Preferred Stock

On December 18, 2014, the Company’s Board of Directors approved a stock repurchase program authorizing the Company to repurchase up to $60 million of its common stock over a two year period. Stock repurchases under this program may be made in open market or in private transactions at times and in amounts that management deems appropriate. As of December 31, 2015, total shares repurchased under this program reached the $60 million limit and, therefore, exhausted the full authority of the authorized program.

On February 1, 2016, the Company’s Board of Directors approved a stock repurchase program authorizing the Company to repurchase up to $100 million of its common stock over a two year period. Stock repurchases under this program may be made in open market or in private transactions at times and in amounts that management deems appropriate.

The Board of Directors has the authority to issue common and unclassed preferred stock of up to 200 million shares and 25 million shares, respectively, with par value of $0.01 per share as well as to fix dividends, voting and conversion rights, redemption provisions, liquidation preferences and other rights and restrictions.

Effective March 30, 2015, the Company eliminated a series of preferred stock previously designated as Series D Junior Participating Preferred Stock.

b. Stockholders’ Rights Plan

The Company’s Stockholders’ Rights Plan (the “Rights Plan”) was designed to deter coercive or unfair takeover tactics in the event of an unsolicited takeover attempt. It was not intended to prevent a takeover on terms that were favorable and fair to all stockholders and would not interfere with a merger approved by our board of directors. Each right entitled stockholders to buy one one-thousandth of a share of Series D Junior Participating Preferred Stock at an exercise price of $120. The rights would be exercisable only if a person or a group acquired or announced a tender or exchange offer to acquire 20% or more of our common stock or if we entered into other business combination transactions not approved by our board of directors. In the event the rights became exercisable, the Rights Plan allowed for our stockholders to acquire our stock or the stock of the surviving corporation, whether or not we are the surviving corporation, having a value twice that of the exercise price of the rights. Effective March 30, 2015, the Company executed an amendment to its Rights Plan. Pursuant to the amendment, the Final Expiration Date (as defined in the Rights Plan) was advanced from December 28, 2015 to March 30, 2015. As a result of the Amendment, effective with the close of business on March 30, 2015, the rights (as defined in the Rights Plan and outlined above) expired and were no longer outstanding and the Rights Plan terminated by its terms.