Quarterly report pursuant to sections 13 or 15(d)

Shareholders' Equity

v2.4.0.8
Shareholders' Equity
 3 Months Ended
Mar. 31, 2014
Equity [Abstract]  
Shareholders' Equity
Shareholders’ Equity

Repurchase Program

In March 2007, the Company’s board of directors authorized the repurchase of up to 2,500,000 shares of the Company’s common stock from time to time on the open market or in privately negotiated transactions, depending on market conditions. In October 2011, the board approved an amendment to the repurchase program to permit the purchase of up to an additional 5,000,000 shares.
Since inception through March 31, 2014, 4,042,366 shares of common stock have been repurchased for $6,993 under the program. During the quarter ended March 31, 2014, the Company repurchased 292,609 shares of common stock for $904.

Stock Compensation Plans

Options granted during the three months ended March 31, 2014 were as follows:

Grant Date
 
Expire Date
Shares
Exercise Price
Fair Value(1)
January 17, 2014
(2)(3) 
January 17, 2024
30,000
$
3.25

$
66

January 17, 2014
(2) 
January 17, 2024
2,268,000
$
3.25

$
3,859

January 22, 2014
(2) 
January 22, 2024
10,000
$
2.89

$
18

March 31, 2014
(2) 
March 31, 2024
30,000
$
3.02

$
55

 
 
 
2,338,000
 
 

(1)
Fair value is calculated using the Black-Scholes option pricing model.
(2)
Options vest in four equal annual installments beginning on the first anniversary of the respective grant dates.
(3)
Compensation expense recognized each period is based on the award's estimated value at the most recent reporting date.

Options to purchase 5,567 shares of common stock were forfeited during the three months ended March 31, 2014.

As of March 31, 2014, there was $14,137 of unrecognized compensation cost for stock-based compensation, of which $3,720 related to the 2014 grants described above. This cost is expected to be recognized over the vesting periods of the options, which on a weighted-average basis are approximately 2.1 years for all grants and approximately 3.8 years for the 2014 grants.

Options were exercised to purchase 650,744 shares of the Company’s common stock during the three months ended March 31, 2014, for which the intrinsic value on dates of exercise was $1,087.

Capital Stock
On June 24, 2013, the Company entered into an Equity Distribution Agreement under which it may sell up to an aggregate of 3,000,000 shares of its Series A Preferred Stock from time to time in an “at the market” offering under Rule 415 under the Securities Act of 1933, as amended. During the three months ended March 31, 2014, the Company sold 609,486 shares of Series A Preferred Stock, pursuant to the "at the market" offering, which provided total gross proceeds to the Company of $13,969 before deducting the commission paid to unaffiliated sales agents and offering expenses aggregating $279. From April 1, 2014 through May 2, 2014, the Company sold an additional 448,886 shares of Series A Preferred Stock which provided total gross proceeds of $10,078 before deducting selling expenses of $201.
During the three months ended March 31, 2014, the Company paid dividends of $3,225 on its outstanding Series A Preferred Stock based on a monthly dividend of approximately $0.17 per share.