Stockholders' Equity

9 Months Ended

Sep. 30, 2011

Stockholders' Equity

Stockholders' Equity

8. Stockholders' Equity

• Earnings Per Share

        Basic earnings per share ("EPS") is computed by dividing net income by the weighted average number of shares of common stock outstanding during the year. Diluted EPS is computed considering the dilutive effect of stock options and contingently issuable restricted stock.

        The effect of 0.1 million and 0.2 million of common stock equivalents have been excluded from the calculation of diluted EPS for the three and nine months ended September 30, 2011, respectively, due to our net loss position in these periods. Assuming dilution, there were approximately 0.8 million and 0.7 million anti-dilutive stock options excluded from the calculation of diluted EPS for the three and nine months ended September 30, 2011, respectively. There were approximately 0.7 million and 0.5 million of anti-dilutive stock options that were excluded from the calculation of diluted EPS for the three and nine months ended September 30, 2010, respectively.

        The following table reconciles the number of shares outstanding with the number of shares used in computing basic and diluted earnings per share for each of the periods presented (in thousands):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2011		2010		2011		2010
Common shares outstanding, end of period(a)		37,134		37,491		37,134		37,491
Effect of using weighted average common shares outstanding		191		69		362		73
Shares used in computing earnings per share—basic		37,325		37,560		37,496		37,564
Effect of shares issuable under stock option plans based on the treasury stock method		—		234		—		257
Effect of contingently issuable restricted stock		—		—		—		—
Shares used in computing earnings per share—diluted		37,325		37,794		37,496		37,821

(a)

Excludes 0.4 million and 0.4 million shares of unvested contingently issuable restricted stock outstanding as of September 30, 2011 and 2010, respectively.

• Share Repurchase Program

        On March 29, 2007, our Board of Directors (the "Board") approved a stock repurchase program to acquire up to one million shares of our outstanding common stock. As of September 30, 2011, the Board approved extensions of the program to acquire up to 5.6 million shares.

        The share repurchases will be made from time to time at our discretion in the open market or privately negotiated transactions as permitted by securities laws and other legal requirements, and subject to market conditions and other factors. The Board may modify, suspend, extend or terminate the program at any time. We repurchased 0.6 million shares during the nine months ended September 30, 2011 at an average price of $9.92 per share. Since the inception of the program in 2007 and as of September 30, 2011, we have repurchased a cumulative total of 5.5 million shares at an average price of $11.00 per share.