Quarterly report pursuant to Section 13 or 15(d)

EQUITY TRANSACTIONS

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EQUITY TRANSACTIONS
 3 Months Ended
Mar. 31, 2017
Equity [Abstract]  
EQUITY TRANSACTIONS
NOTE 13. EQUITY TRANSACTIONS
 
We account for stock-based compensation expense in accordance with FASB ASC Topic 718, “Compensation-Stock Compensation.” As a result, $1.4 million and $0.2 million of non-cash stock-based compensation expense has been recorded to additional paid-in capital for the three months ending March 31, 2017 and 2016, respectively.
 
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 and legal 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 Adjusted EBITDA less cash paid for capital expenditures, less cash paid for income taxes, and less cash paid for interest. Adjusted EBITDA is a non-GAAP financial measure defined in Item 2, Management’s Discussion and Analysis of Financial Condition and Results of Operations included with this quarterly report on Form 10-Q.
 
The following table shows distributions that have been declared and paid since January 1, 2016:
 
Announcement Date
 
Payment Date
 
Amount Per Share
 
Cash Distributed
(in thousands)
 
March 9, 2017
 
March 30, 2017
 
$
0.0650
 
$
1,691
 
December 7, 2016
 
December 31, 2016
 
$
0.0650
 
$
1,678
 
September 9, 2016
 
September 30, 2016
 
$
0.0650
 
$
1,679
 
June 2, 2016
 
June 30, 2016
 
$
0.0650
 
$
1,664
 
March 10, 2016
 
April 5, 2016
 
$
0.0650
 
$
1,657
 
 
Based on the number of shares of Class A and Class B currently outstanding, we expect to pay total annual distributions of approximately $6.8 million during the year ended December 31, 2017.