Note 9 - Capital Stock

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Stockholders' Equity Note Disclosure [Text Block]

9. CAPITAL STOCK

The Company's authorized capital stock consists of

40,000,000

shares of common stock, par value

$.01

per share, and

10,000,000

shares of preferred stock, par value

$.01

per share. At

December 31, 2019,

there were

11,656,160

shares of our common stock issued and

5,748,897

shares outstanding. At

December 31, 2018,

there were

11,612,144

shares of our common stock issued and

5,956,558

shares outstanding.

No

shares of our preferred stock were issued or outstanding at

December 31, 2019

or

2018.

Common Stock

The holders of our common stock, subject to such rights as

may

be granted to any preferred stockholders, elect all directors and are entitled to

one

vote per share. All shares of common stock participate equally in dividends when and as declared by the Board of Directors and in net assets on liquidation. The shares of common stock have

no

preference, conversion, exchange, preemptive, or cumulative voting rights.

Preferred Stock

Preferred stock

may

be issued from time to time by our Board of Directors, without stockholder approval, in such series and with such preferences, conversion or other rights, voting powers, restrictions, limitations as to dividends, qualifications or other provisions, as

may

be fixed by the Board of Directors in the resolution authorizing their issuance. The issuance of preferred stock by the Board of Directors could adversely affect the rights of holders of shares of common stock; for example, the issuance of preferred stock could result in a class of securities outstanding that would have certain preferences with respect to dividends and in liquidation over the common stock, and that could result in a dilution of the voting rights, net income per share and net book value of the common stock. As of

December 31, 2019,

we have

no

agreements or understandings for the issuance of any shares of preferred stock.

Treasury Stock

In

May 2019,

our Board of Directors authorized the repurchase of up to

200,000

shares of our common stock through a Dutch auction tender offer (the

“2019

tender offer”). Subject to certain limitations and legal requirements, the Company could repurchase up to an additional

2%

of its outstanding shares, which totaled

118,996

shares. The

2019

tender offer commenced on

May 13, 2019

and expired on

June 11, 2019.

Through this tender offer, the Company’s shareholders had the opportunity to tender some or all of their shares at a price within the range of

$55.00

to

$60.00

per share. Upon expiration,

192,743

shares were purchased through this offer at a final purchase price of

$60.00

per share for a total of approximately

$11.6

million, including fees and commission. The repurchase was settled on

June 13, 2019.

The Company accounted for the repurchase of these shares as treasury stock on the Company’s consolidated balance sheet as of

December 31, 2019.

In

May 2018,

our Board of Directors authorized the repurchase of up to

100,000

shares of our common stock through a Dutch auction tender offer (the

“2018

tender offer”). Subject to certain limitations and legal requirements, the Company could repurchase up to an additional

2%

of its outstanding shares, which totaled

124,248

shares. The

2018

tender offer commenced on

May 8, 2018

and expired on

June 7, 2018.

Through this tender offer, the Company’s shareholders had the opportunity to tender some or all of their shares at a price within the range of

$39.00

to

$43.00

per share. Upon expiration,

185,597

shares were purchased through this offer at a final purchase price of

$40.00

per share for a total of approximately

$7.5

million, including fees and commission. The repurchase was settled on

June 12, 2018.

The Company accounted for the repurchase of these shares as treasury stock on the Company’s consolidated balance sheet as of

December 31, 2018.

The Company’s stock repurchase program has been extended and expanded several times, most recently in

April 2017,

when the Board of Directors reauthorized

500,000

shares of common stock for repurchase under the initial

September 2011

authorization. The Company repurchased

58,934

shares and

101,754

shares of its common stock under this program during

2019

and

2018,

respectively.

The Company accounts for Treasury stock using the cost method, and as of

December 31, 2019,

5,907,263

shares were held in the treasury at an aggregate cost of approximately

$156,836,650.