Stockholders' Equity

6 Months Ended

Jun. 30, 2013

Stockholders' Equity

Note G—Stockholders’ Equity

Stock Repurchase Program. As of June 30, 2013, the Company is authorized to repurchase, from time to time, up to 9.4 million additional shares of the Company’s common stock on the open market or in privately negotiated transactions, depending on market conditions. The number and the cost of common stock shares repurchased during the six months ended June 30, 2013 and 2012, are reflected in the following table (in thousands):

	Six months ended June 30,
	2013		2012
Common stock repurchased (in shares)		2,026		2,503
Common stock repurchased	$	69,117	$	72,361

Additional stock repurchases were made in connection with employee stock plans, whereby Company shares were tendered by employees for the payment of exercise price and applicable statutory withholding taxes. Repurchases of shares are funded with cash generated from operations. The number and the cost of employee stock plan repurchases made during the six months ended June 30, 2013 and 2012, are reflected in the following table (in thousands):

	Six months ended June 30,
	2013		2012
Employee stock plan repurchased (in shares)		491		980
Employee stock plan repurchased	$	17,263	$	29,019

The repurchased shares are held in treasury and are presented as if constructively retired. Treasury stock is accounted for using the cost method. Repurchase activity for the six months ended June 30, 2013 and 2012, is presented in the unaudited Condensed Consolidated Statements of Stockholders’ Equity.

Cash Dividends. The Company’s Board of Directors may at their discretion declare and pay dividends upon the shares of the Company’s stock either out of the Company’s retained earnings or capital surplus. The cash dividends declared during the six months ended June 30, 2013 and 2012, are reflected in the following table:

	Six months ended June 30,
	2013		2012
Cash dividends declared per share	$	.32	$	.30

Repurchases of shares and issuances of cash dividends are applied first to the extent of retained earnings and any remaining amounts are applied to capital surplus. As a result, the Company had $59 thousand in retained earnings as of June 30, 2013 and no retained earnings as of December 31, 2012.