Stock-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2012

Stock-Based Compensation

Schedule of the Company's issuance of common stock under the 2005 Employee Stock Purchase Plan

	Fiscal Years
	2012		2011		2010
Common shares issued		325,270		272,767		338,656
Average price	$	20.48	$	22.58	$	17.11

Schedule of stock-based compensation

Stock-based compensation expense related to stock options, SARs, ESPP shares, and RSUs was recognized in Advent's consolidated statement of operations for the periods presented as follows (in thousands):

	Fiscal Years
	2012									2011									2010
	Options, SARs & ESPP			RSUs			Total			Options, SARs & ESPP			RSUs			Total			Options, SARs & ESPP			RSUs			Total
Statement of operations classification
Cost of recurring revenues	$	1,432		$	973		$	2,405		$	1,105		$	1,049		$	2,154		$	1,066		$	708		$	1,774
Cost of non-recurring revenues		642			594			1,236			753			561			1,314			804			337			1,141
Total cost of revenues		2,074			1,567			3,641			1,858			1,610			3,468			1,870			1,045			2,915
Sales and marketing		4,881			2,284			7,165			4,324			1,981			6,305			4,141			1,725			5,866
Product development		2,952			2,869			5,821			2,348			2,790			5,138			2,856			2,344			5,200
General and administrative		2,437			1,737			4,174			2,443			1,784			4,227			3,213			1,236			4,449
Total operating expenses		10,270			6,890			17,160			9,115			6,555			15,670			10,210			5,305			15,515
Total stock-based employee compensation expense	$	12,344		$	8,457		$	20,801		$	10,973		$	8,165		$	19,138		$	12,080		$	6,350		$	18,430
Tax effect on stock-based employee compensation		(4,763	)		(3,324	)		(8,087	)		(4,303	)		(3,169	)		(7,472	)		(5,592	)		(2,568	)		(8,160	)
Effect on net income from continuing operations, net of tax	$	7,581		$	5,133		$	12,714		$	6,670		$	4,996		$	11,666		$	6,488		$	3,782		$	10,270

Schedule of assumptions used in determining the fair value of stock-based awards

	Fiscal Years
	2012	2011	2010
Stock Options and SARs
Risk-free interest rate	0.6% - 1.2%	0.9% - 2.4%	1.3% - 2.7%
Volatility	38.4% - 42.9%	36.0% - 42.8%	35.2% - 38.8%
Expected life	4.02 - 5.50 years	5 years	4 - 5 years
Expected dividends	None	None	None
Employee Stock Purchase Plan*
Risk-free interest rate	0.1%	0.1% - 0.2%	0.2%
Volatility	31.0% - 48.3%	28.6% - 48.3%	28.8% - 29.9%
Expected life	6 months	6 months	6 months
Expected dividends	None	None	None

*

The ESPP periods begin every six months on December 1 and June 1 of each year.

Schedule of Stock option and SAR activity

The Company's stock option and SAR activity for the periods presented is as follows (in thousands, except weighted average exercise price):

	Fiscal Years
	2012					2011					2010
	Number of Shares			Weighted Average Exercise Price		Number of Shares			Weighted Average Exercise Price		Number of Shares			Weighted Average Exercise Price
Outstanding at beginning of year		7,029		$	18.01		6,780		$	15.73		7,886		$	14.57
Options and SARs granted		1,895		$	24.92		1,469		$	26.72		1,041		$	22.13
Options and SARs exercised		(972	)	$	15.60		(1,032	)	$	14.47		(1,795	)	$	13.91
Options and SARs canceled		(284	)	$	23.63		(188	)	$	22.96		(352	)	$	18.05
Outstanding at end of year		7,668		$	19.82		7,029		$	18.01		6,780		$	15.73
Exercisable at end of year		4,575		$	16.55		4,355		$	14.65		4,278		$	13.37

Schedule of weighted average grant date fair value and intrinsic value of stock options and SARs and cash received from options exercised

The weighted average grant date fair value of options and SARs granted for the total Company, total intrinsic value of options and SARs exercised and cash received from options exercised during the periods presented were as follows (in thousands, except weighted average grant date fair value):

	Fiscal Years
	2012		2011		2010
Options and SARs
Weighted average grant date fair value	$	8.88	$	9.35	$	7.64
Total intrinsic value of awards exercised	$	10,086	$	13,612	$	18,875
Options
Cash received from exercises	$	5,173	$	7,189	$	14,020

Schedule of options and SARs outstanding and exercisable by exercise price

	Options and SARs Outstanding						Options and SARs Exercisable
Exercise Price	Number of Shares (in thousands)		Weighted Average Remaining Contractual Life (in years)		Weighted Average Exercise Price		Number Exercisable (in thousands)		Weighted Average Exercise Price
$6.96 - $9.13		877		1.53	$	9.04		877	$	9.04
$9.35 - $9.36		77		1.05	$	9.35		77	$	9.35
$9.48 - $14.09		942		2.66	$	12.02		917	$	12.05
$14.16 - $16.97		770		5.29	$	15.96		701	$	15.94
$17.00 - $20.88		911		4.88	$	19.55		830	$	19.50
$21.09 - $21.75		1,170		8.47	$	21.42		373	$	21.71
$21.90 - $26.73		742		7.45	$	24.53		374	$	24.24
$26.80		1,057		9.31	$	26.80		—	$	—
$26.85		11		7.87	$	26.85		5	$	26.85
$26.91		918		8.06	$	26.91		372	$	26.91
$27.02 - $30.15		193		8.54	$	27.50		49	$	27.68
As of December 31, 2012		7,668		6.11	$	19.82		4,575	$	16.55
Expected to vest at December 31, 2012		7,295		5.95	$	19.57

Schedule of equity awards available for grant

The equity awards available for grant for the periods presented were as follows (in thousands):

	Fiscal Years
	2012			2011			2010
Beginning balance		4,545			6,622			5,087
Awards authorized		1,915			—			3,002
Options and SARs granted		(1,895	)		(1,469	)		(1,041	)
Options and SARs canceled		284			188			352
Options expired		—			(10	)		—
RSUs granted		(520	)		(489	)		(452	)
RSUs canceled		98			94			62
RSU adjustment(1)(2)		(272	)		(391	)		(388	)
Ending balance		4,155			4,545			6,622

(1)

Effective with our 2002 Stock Plan amended on April 1, 2012, awards of restricted stock, restricted stock units, performance shares or performance units reduce the number of shares available under the Plan by 1.79 shares for each share covered by such awards.

(2)

Effective with our 2002 Stock Plan amended on April 1, 2010, awards of restricted stock, restricted stock units, performance shares or performance units reduce the number of shares available under the Plan by 1.99 shares for each share covered by such awards.

Summary of RSU Activity

	Fiscal Years
	2012					2011					2010
	Number of Shares (in thousands)			Weighted Average Grant Date Fair Value		Number of Shares (in thousands)			Weighted Average Grant Date Fair Value		Number of Shares (in thousands)			Weighted Average Grant Date Fair Value
Outstanding and unvested at beginning of period		1,253		$	16.51		1,308		$	19.58		1,369		$	18.17
RSUs granted		520		$	25.69		489		$	26.75		452		$	22.05
RSUs vested		(402	)	$	21.36		(450	)	$	35.35		(451	)	$	17.85
RSUs canceled		(98	)	$	23.82		(94	)	$	22.21		(62	)	$	18.99
Outstanding and unvested at end of period		1,273		$	18.16		1,253		$	16.51		1,308		$	19.58