Stock-based Compensation (Tables)

6 Months Ended

Jun. 30, 2016

Summary Components of Stock-Based Compensation Expense

The following table summarizes the components of stock-based compensation expense in the condensed consolidated statements of operations for the quarters and six months ended June 30, 2016 and 2015:

	Quarter ended				Six months ended
	June 30,				June 30,
	2016		2015		2016		2015
Cost of services	$	158	$	85	$	333	$	199
Cost of product sales		10		10		22		24
Selling, general and administrative		956		952		2,034		1,881
Product development		95		57		216		131
Total	$	1,219	$	1,104	$	2,605	$	2,235

Time-Based Stock Appreciation Rights [Member]

Summary of Stock Appreciation Rights

A summary of the Company’s time-based Stock Appreciation Rights (“SARs”) for the six months ended June 30, 2016 is as follows:

						Weighted-
						Average		Aggregate
				Weighted-		Remaining		Intrinsic
	Number of			Average		Contractual		Value
	Shares			Exercise Price		Term (years)		(In thousands)
Outstanding at January 1, 2016		4,109,184		$	5.22
Granted		—			—
Exercised		(226,700	)		5.23
Forfeited or expired		—			—
Outstanding at June 30, 2016		3,882,484		$	5.25		5.05	$	20,475
Exercisable at June 30, 2016		3,717,284		$	5.23		4.83	$	19,877
Vested and expected to vest at June 30, 2016		3,882,484		$	5.25		5.05	$	20,475

Performance-Based Stock Appreciation Rights [Member]

Summary of Stock Appreciation Rights

A summary of the Company’s performance-based SARs for the six months ended June 30, 2016 is as follows:

						Weighted-
						Average		Aggregate
				Weighted-		Remaining		Intrinsic
	Number of			Average		Contractual		Value
	Shares			Exercise Price		Term (years)		(In thousands)
Outstanding at  January 1, 2016		778,774		$	6.33
Granted		—			—
Exercised		(12,450	)		2.91
Forfeited or expired		(1,000	)		5.65
Outstanding at June 30, 2016		765,324		$	6.34		3.86	$	3,569
Exercisable at June 30, 2016		765,324		$	6.34		3.86	$	3,569
Vested and expected to vest at June 30, 2016		765,324		$	6.34		3.86	$	3,569

Fair Value of Stock Appreciation Rights Estimated

The fair value of each time-based and performance-based SAR award is estimated on the date of grant using the Black-Scholes option pricing model with the assumptions described below. For the periods indicated, the expected volatility was based on the Company’s historical volatility over the expected terms of the SAR awards. Estimated forfeitures were based on voluntary and involuntary termination behavior, as well as analysis of actual forfeitures. The risk-free interest rate was based on the U.S. Treasury yield curve at the time of the grant over the expected term of the SAR grants. The Company did not grant time-based or performance-based SARs during the six months ended June 30, 2016.

	Six months ended June 30,
	2015
Risk-free interest rate	1.35% and 1.82%
Expected life (years)	6.0
Estimated volatility factor	64.0%to 64.6%
Expected dividends	None

Time-Based Restricted Stock Units [Member]

Summary of Restricted Stock Units

A summary of the Company’s time-based Restricted Stock Units (“RSUs”) for the six months ended June 30, 2016 is as follows:

	Shares			Weighted- Average Grant Date Fair Value
Balance at January 1, 2016		366,004		$	6.63
Granted		159,945			9.08
Vested		(75,470	)		6.41
Forfeited or expired		(5,899	)		6.78
Balance at June 30, 2016		444,580		$	7.55

Performance-Based Restricted Stock Units [Member]

Summary of Restricted Stock Units

A summary of the Company’s performance-based RSUs for the six months ended June 30, 2016 is as follows:

	Shares			Weighted- Average Grant Date Fair Value
Balance at January 1, 2016		499,369		$	6.66
Granted		—			—
Vested		(175,389	)		6.53
Forfeited or expired		(66,158	)		6.56
Balance at June 30, 2016		257,822		$	6.66

Performance Units [Member]

Fair Value of Stock Appreciation Rights Estimated

As the MPUs contain both a performance and service condition, the MPUs have been treated as a series of three separate awards, or tranches, for purposes of recognizing stock-based compensation expense. The Company recognizes stock-based compensation expense on a tranche-by-tranche basis over the requisite service period for that specific tranche. The Company estimated the fair value of the MPUs using a Monte Carlo Simulation Model that used the following assumptions:

	Six Months Ended June 30,
	2016	2015
Risk-free interest rate	0.35%to 0.68%	0.11% to 0.83%
Estimated volatility factor	34.0%to 37.0%	31.0% to 38.0%
Expected dividends	None	None