Quarterly report pursuant to Section 13 or 15(d)

Earnings Per Share and Other Equity Related Information

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Earnings Per Share and Other Equity Related Information
 6 Months Ended
Jun. 30, 2020
Earnings Per Share [Abstract]  
Earnings Per Share and Other Equity Related Information EARNINGS PER SHARE AND OTHER EQUITY RELATED INFORMATION
Earnings Per Share
Basic earnings per share is calculated using the Company’s weighted-average outstanding common shares, including vested restricted shares. When the effects are not anti-dilutive, diluted earnings per share is calculated using the weighted-average outstanding common shares; the dilutive effect of convertible preferred stock, under the “if converted” method; and the treasury stock method with regard to warrants and stock options; all as determined under the treasury stock method.
Three Months Ended June 30, Six Months Ended June 30,
2020 2019 2020 2019
Net income attributable to common shareholders $ 4,365    $ 9,216    $ 10,566    $ 13,363   
Basic weighted-average shares outstanding 47,488    46,387    47,500    46,340   
Effect of dilutive securities:
Stock options 1,031    1,294    1,071    1,326   
Diluted weighted-average shares outstanding 48,519    47,681    48,571    47,666   

For the three months ended June 30, 2020 and 2019, the total number of shares of common stock related to stock options excluded from the calculation of dilutive shares, as the effect would be anti-dilutive, were 1,450 and 446, respectively. For the six months ended June 30, 2020 and 2019, the total number of shares of common stock related to stock options excluded from the calculation of dilutive shares, as the effect would be anti-dilutive, were 1,388 and 372, respectively.
The Company’s 2020 Stock Incentive Plan (the “2020 Plan”), was adopted by the Company’s Board of Directors in February 2020 and approved by its stockholders in May 2020. The 2020 Plan provides for the grant of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock awards and other stock-based awards. Upon its effectiveness, 5,000 shares of the Company’s Class A common stock were reserved for issuance under the 2020 Plan. As of June 30, 2020, the Company had granted options to purchase 85 shares of Class A common stock under the 2020 Plan.
In May 2020, the Company amended its 2017 Employee Stock Purchase Plan ("ESPP") which permits eligible employees to purchase up to an aggregate of 350 shares of the Company’s Class A common stock. This plan commenced December 1, 2017 and was previously amended on August 2018. The ESPP allows participants to purchase shares of common stock at a 5% discount from the fair market value of the stock as determined on specific dates at six-month intervals. During the six months ended June 30, 2020 and 2019, the Company issued 28 and 22 shares, respectively, under the ESPP.

Stock-Based Compensation Expense
For the three months ended June 30, 2020 and 2019, the Company recorded stock-based compensation expense, including expense related to the ESPP, of $430 and $397, respectively, in connection with the stock-based payment awards. For the six months ended June 30, 2020 and 2019, the Company recorded stock-based compensation expense, including expense related to the ESPP, of $859 and $782, respectively, in connection with the stock-based payment awards. The compensation expense is included in selling, general and administrative expenses in the accompanying condensed consolidated statements of income. As of June 30, 2020, there was $11,167 of unrecognized compensation expense related to non-vested stock option awards that is expected to be recognized over a weighted-average period of 2.8 years.
No awards to individuals who were not either an employee or director of the Company were granted during the six months ended June 30, 2020 or during the year ended December 31, 2019.
Stock Option Grants
During the three months ended June 30, 2020, the Company granted 85 common stock options to certain employee and directors under its 2020 Stock Incentive Plan, which have a contractual life of ten years and vest over a five-year period. During the six months ended June 30, 2020, the Company granted 281 common stock options to certain employees and directors under its 2010 and 2020 Stock Incentive Plan, which have a contractual life of ten years and vest over a five-year period.
Share Repurchase Program
In April 2016, the Company’s Board of Directors authorized the repurchase of up to $10,000 of the Company’s Class A common stock from time to time on the open market in privately negotiated transactions. The Company’s Board of Directors authorized an increase in the Company’s share repurchase authorization to $15,000 of the Company's Class A common stock in February 2017 and to $17,553 of the Company's Class A common stock in August 2019, in each case, from time to time on the open market or in privately negotiated transactions. The timing and amount of any shares repurchased will be determined by the Company's management based on its evaluation of market conditions and other factors. Any repurchased shares will be available for use in connection with its stock plans and for other corporate purposes. The repurchase program has and will be funded using the Company's working capital and borrowings under its revolving line of credit. The Company accounts for share repurchases using the cost method. Under this method, the cost of the share repurchase is recorded entirely in treasury stock, a contra equity account. During the six months ended June 30, 2020, the Company repurchased an immaterial amount of shares of common stock. During the six months ended June 30, 2019, the Company did not repurchase any shares of common stock.