XML 12 R12.htm IDEA: XBRL DOCUMENT  v2.3.0.11
Commitments and Contingencies
6 Months Ended
Jun. 30, 2011
Commitments and Contingencies [Abstract]  
Commitments and Contingencies Disclosure [Text Block]
Commitments and Contingencies
Lease Commitments—The Company leases office space under non-cancelable operating leases with expiration dates ranging through 2018, with various renewal options. Capital leases range from three to five years and are primarily for computer equipment. There were multiple assets under various individual capital leases at June 30, 2011 and 2010. Rental expense for office facilities and certain equipment subject to operating leases for the six months ended June 30, 2011 and 2010 was $2.2 million and $2.0 million, respectively. Sublease income was $0 and $72 thousand, respectively for the six months ended June 30, 2011 and 2010.
Contingencies—Between July 14, 2011 and July 29, 2011, nine securities class action complaints were filed against the Company and certain of its officers in the Southern District of New York, and one class action complaint was filed against the Company and certain of its officers in the Northern District of Georgia. These complaints have yet to be consolidated. The complaints allege that between May 6, 2009 and June 30, 2011 the Company issued a series of materially false and misleading statements regarding its business and financial results, and the adequacy of its internal controls in earnings reports, SEC filings, press releases, and other public statements, which allegedly caused the Company's stock to trade at artificially inflated prices. The plaintiffs seek an unspecified amount of damages. The Company believes that the complaints are not justified, that it has meritorious defenses to each of the plaintiffs' claims, and it intends to vigorously defend itself against these actions. As of June 30, 2011 no liability in the Company's financial statements has been recognized with respect to these class action complaints, as presently a loss is not probable nor able to be reasonably estimated.


The Company is not involved in any other significant legal action or claim that, in the opinion of management, could have a material adverse effect on the Company's consolidated financial position, results of operations or liquidity.
Self Insurance—For most of the Company’s U.S. employees the Company is currently self-insured for its health insurance program and has a stop loss policy that limits the individual liability to $100 thousand per person and the aggregate liability to 125% of the expected claims based upon the number of participants and historical claims. As of June 30, 2011, the amount accrued on the Company’s Condensed Consolidated Balance Sheet for the self-insured component of the Company’s employee health insurance was $269 thousand. The maximum potential estimated cumulative liability for the annual contract period, which ends in September 2011, is $2.5 million.