2.2.0.7falseStock-Based Compensation0204 - Disclosure - Stock-Based Compensationtruefalsefalsefalse1USDfalsefalseUSDStandardhttp://www.xbrl.org/2003/iso4217USDiso42170USDEPSDividehttp://www.xbrl.org/2003/iso4217USDiso4217http://www.xbrl.org/2003/instancesharesxbrli0SharesStandardhttp://www.xbrl.org/2003/instancesharesxbrli0$20us-gaap_ShareBasedCompensationAbstractus-gaaptruenadurationNo definition available.falsefalsefalsefalsefalsetruefalsefalsefalsefalsefalsefalse1falsefalsefalsefalse00falsefalsefalsexbrli:stringItemTypestringNo definition available.false31us-gaap_DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlockus-gaaptruenadurationNo definition available.falsefalsefalsefalsefalsefalsefalsefalsefalsefalsefalseverboselabelfalse1falsefalsefalsefalse00<!--DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd" -->
<!-- Begin Block Tagged Note 4 - us-gaap:DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock-->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>4. Stock-Based Compensation</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The Company recorded $4.3 million and $3.8 million of stock-based compensation expense for the
three months ended September 30, 2010 and 2009, respectively, and $13.9 million and $10.9 million
for the nine months ended September 30, 2010 and 2009, respectively. Project personnel expenses,
selling and marketing expenses and general and administrative expenses appearing in the
consolidated and condensed statements of operations include the following stock-based compensation
amounts (in thousands):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="52%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6"><b>Three Months Ended</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6"><b>Nine Months Ended</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>September 30,</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>September 30,</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2010</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2009</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2010</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2009</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Project personnel expenses
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">2,844</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">2,130</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">7,948</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">6,138</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Selling and marketing expenses
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(7</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">305</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">844</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,128</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">General and administrative expenses
</div></td>
<td> </td>
<td> </td>
<td align="right">1,452</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,347</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">5,132</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">3,662</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Total stock-based compensation
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">4,289</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">3,782</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">13,924</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">10,928</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     Stock-based compensation expense capitalized related to individuals working on internally
developed software was immaterial. The Company values restricted stock units (“RSUs”) based on
performance conditions and RSUs contingent on employment based on the fair market value on the date
of grant, which is equal to the quoted market price of the Company’s common stock on the date of
grant.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The Company recognizes stock-based compensation expense net of a forfeiture rate and
recognizes expense for only those shares expected to vest on a straight-line basis over
the requisite service period of the award when the only condition to vesting is continued
employment. If vesting is subject to a market, vesting is based on the derived service period. The
Company estimates its forfeiture rate based on its historical experience.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     During the first quarter of 2010, the Company granted a special dividend equivalent payment of
$0.35 per RSU for each outstanding RSU award as of March 1, 2010, to be paid in shares when the
underlying award vests. If the underlying RSU does not vest, the dividend equivalent is forfeited.
As the dividend declared on outstanding RSUs is a modification of the original awards, the cost of
the dividend equivalent will be recognized as stock-based compensation in the same manner the
Company recognizes stock-based compensation for RSUs. The Company estimated the total additional
stock-based compensation expense related to the special dividend equivalent on RSUs, net of
forfeitures, to be approximately $2.0 million. This expense will be recognized through March 1,
2014, the amounts recorded in each period to be commensurate with the vesting of the underlying
awards.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     During the second quarter, the Company granted RSU with service period and performance
conditions to its Chief Executive Officer (“CEO”). Up to 150,000 units will vest on March 1, 2013
if the performance conditions are met. The performance conditions
for 100,000 of the RSUs have vesting based on the Company achieving certain financial measures
for the three year period ending December 31, 2012. The remaining 50,000 RSUs will vest if the CEO
meets certain strategic objectives set by the Board of Directors over the same three year period.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The following table summarizes activity relating to stock options under all stock option plans
for the nine months ended September 30, 2010 (in thousands, except prices):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Weighted</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Average</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Exercise</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Shares</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Price</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Outstanding as of December 31, 2009
</div></td>
<td> </td>
<td> </td>
<td align="right">5,810</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">12.55</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Options exercised
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(1,207</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left">$</td>
<td align="right">4.85</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Options forfeited/cancelled
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(925</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left">$</td>
<td align="right">45.38</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Outstanding as of September 30, 2010
</div></td>
<td> </td>
<td> </td>
<td align="right">3,678</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">6.82</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Vested and expected to vest as of September 30, 2010
</div></td>
<td> </td>
<td> </td>
<td align="right">3,678</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">6.82</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Options exercisable as of September 30, 2010
</div></td>
<td> </td>
<td> </td>
<td align="right">3,674</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">6.82</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Aggregate intrinsic value of outstanding
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">20,811</td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Aggregate intrinsic value of vested and expected to vest
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">20,811</td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Aggregate intrinsic value of exerciseable
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">20,802</td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The aggregate intrinsic value of stock options exercised in the nine months ended
September 30, 2010 and 2009 was $6.1 million and less than $1.0 million, respectively, determined
at the date of exercise. As of September 30, 2010 there remained less than $0.1 million of
compensation expense, net of estimated forfeitures related to non-vested stock options to be
recognized as expense over a weighted average period of less than one year.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The table below summarizes activity relating to RSUs for the nine months ended September 30,
2010 (in thousands, except prices):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Number of Shares</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Weighted</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Underlying</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Average Grant</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Restricted Units</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Date Fair Value</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Unvested as of December 31, 2009
</div></td>
<td> </td>
<td> </td>
<td align="right">6,629</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">6.23</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Restricted units granted
</div></td>
<td> </td>
<td> </td>
<td align="right">2,687</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">9.40</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Restricted units vested
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(2,580</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left">$</td>
<td align="right">6.55</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Restricted units forfeited/cancelled
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(260</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left">$</td>
<td align="right">6.91</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Unvested as of September 30, 2010
</div></td>
<td> </td>
<td> </td>
<td align="right">6,476</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">7.39</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Expected to vest as of September 30, 2010
</div></td>
<td> </td>
<td> </td>
<td align="right">5,914</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">7.39</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The weighted average grant date fair value of RSUs granted for the nine months ended
September 30, 2010 and 2009 was $9.40 and $6.00, respectively. The aggregate intrinsic value of the
RSUs vested in the nine months ended September 30, 2010 and 2009, was $26.8 million and $14.3
million, respectively. The intrinsic value of the non-vested RSUs, net of forfeitures, as of
September 30, 2010, was $77.5 million. As of September 30, 2010 there remained $40.6 million of
compensation expense related to non-vested RSUs to be recognized as expense over a weighted average
period of approximately 2.8 years.
</div>
</div>
<!--DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd" -->
<!-- Begin Block Tagged Notefalsefalsefalseus-types:textBlockItemTypetextblockDisclosure of compensation-related costs for share-based compensation which may include disclosure of policies, compensation plan details, allocation of stock compensation, incentive distributions, share-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 123R
-Paragraph 64, 65, A240
Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Statement of Position (SOP)
-Number 93-6
-Paragraph 53
Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 14
false12falseUnKnownUnKnownUnKnownfalsetrue