Quarterly report pursuant to Section 13 or 15(d)

EQUITY TRANSACTIONS

v3.5.0.2
EQUITY TRANSACTIONS
 6 Months Ended
Jun. 30, 2016
Equity [Abstract]  
EQUITY TRANSACTIONS
NOTE 11. EQUITY TRANSACTIONS
 
We account for stock-based compensation expense in accordance with FASB ASC Topic 718, “Compensation-Stock Compensation.” As a result, $0.1 million and $0.3 million of non-cash stock-based compensation expense has been recorded to additional paid-in capital for the three and six months ended June 30, 2016, respectively, in comparison to $0.2 million and $0.5 million for the three and six months ended June 30, 2015.
 
While we intend to pay regular quarterly distributions, the actual declaration of such future distributions and the establishment of the per share amount, record dates, and payment dates are subject to final determination by our Board of Directors and dependent upon future earnings, cash flows, financial requirements, and other factors. The current policy of the Board of Directors is to review each of these factors on a quarterly basis to determine the appropriate amount, if any, to allocate toward a cash distribution with the general principle of using approximately 20% of free cash flow. Free cash flow is a non-GAAP measure defined in Item 2, Management’s Discussion and Analysis of Financial Condition and Results of Operations included with this quarterly report.
 
The following table shows distributions that have been declared and paid since January 1, 2015:
 
 
 
 
 
 
 
 
Cash Distributed
 
Announcement Date
 
Payment Date
 
Amount Per Share
 
(in thousands)
 
June 2, 2016
 
June 30, 2016
 
$
0.0650
 
$
1,664
 
March 10, 2016
 
April 5, 2016
 
$
0.0650
 
$
1,657
 
December 1, 2015
 
December 29, 2015
 
$
0.0650
 
$
1,656
 
September 1, 2015
 
September 30, 2015
 
$
0.0650
 
$
1,655
 
June 2, 2015
 
June 30, 2015
 
$
0.0650
 
$
1,654
 
March 5, 2015
 
March 31, 2015
 
$
0.0650
 
$
1,647
 
 
Based on the number of shares of Class A and Class B currently outstanding, and the currently approved distribution amount, we expect to declare and pay total annual distributions of approximately $6.7 million during the year ending December 31, 2016.