(11) Restructuring Costs

9 Months Ended

Sep. 30, 2012

Notes to Financial Statements

(11) Restructuring Costs

In July 2012, the Company undertook certain restructuring activities that included a workforce reduction of approximately 35 global positions (the “2012 Plan”). These actions were intended to better align the Company’s cost structure with the skills and resources required to more effectively execute the Company’s long-term growth strategy and to support the anticipated revenue levels we expect to achieve on a go forward basis. The total amount incurred with respect to severance under the 2012 Plan was $0.8 million. Actions under the 2012 Plan were substantially completed during the third quarter of 2012.

In July 2011, the Company undertook certain restructuring activities that included a workforce reduction of approximately 25 global positions and the closing of a satellite facility (the “2011 Plan”). The total amounts incurred with respect to severance and facilities abandonment under the 2011 Plan were $0.8 million and less than $0.1 million, respectively. Actions under the 2011 Plan were substantially completed during the third quarter of 2011.

Accrued restructuring costs associated with the 2012 and 2011 Plans are as follows:

	Reconciliation of Aggregate Liability Recorded for
	Restructuring Costs Under the 2012 Plan
	June 30,						September 30,
	2012		Provisions		Payments		2012
Severance related costs	$	-	$	770,749	$	691,223	$	79,526

	Reconciliation of Aggregate Liability Recorded for
	Restructuring Costs Under the 2011 Plan
		December 31,				September 30,
		2011	Provisions		Payments	2012
Severance related costs	$	94,844	—	$	94,844	—
Facility abandonment costs	$	25,200	—	$	25,200	—
Total Restructuring Costs	$	120,044	—	$	120,044	—

Both the severance related liabilities and facility abandonment liabilities are included within “accrued expenses” in the accompanying condensed consolidated balance sheets. The expenses under the 2012 Plan and the 2011 Plan are included within “restructuring costs” in the accompanying condensed consolidated statements of operations. The accrued payments remaining under the 2012 Plan are expected to be paid at various times through January 31, 2013. There were no remaining payments under the 2011 Plan as of September 30, 2012.