Support.com 2007 Annual Report Download - page 77

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SUPPORTSOFT, INC
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
Note 6. Stockholders' Equity (Continued)
At December 31, 2007, there was $16.0 million of unrecognized compensation cost related to existing options outstanding which is expected to be
recognized over a weighted average period of 3.0 years.
Employee Stock Purchase Plan
In February 2000, the Board of Directors approved SupportSoft's 2000 Employee Stock Purchase Plan (the "2000 Purchase Plan"). A total of 2,000,000
shares of common stock were initially reserved for issuance under the 2000 Purchase Plan. On January 1 of each year, the number of shares reserved
automatically increases by the lesser of 2,000,000 shares, 3% of the outstanding shares, or an amount determined by the Board of Directors. In 2007, the Board
of Directors elected to have zero shares added to the 2000 Purchase Plan. The 2000 Purchase Plan permits eligible employees to acquire shares of SupportSoft's
common stock through periodic payroll deductions of up to 15% of total compensation. Purchases occur on the last day of each January and July following the
end of each six-month purchase period. The price at which the common stock may be purchased is 85% of the lesser of the fair market value of SupportSoft's
common stock at the beginning of the applicable offering period or the end of the applicable purchase period. Beginning August 1, 2006, the offering period for
all new participants in the 2000 Purchase Plan was reduced to six months. Prior to August 1, 2006, all participants were enrolled in offering periods which could
last up to 24 months and contained up to four separate purchase periods.
As of December 31, 2007, we had approximately 1.8 million shares of common stock reserved for future issuance under this ESPP plan.
Note 7. Income Taxes
The components of our income (loss) before income taxes are as follows (in thousands):
Years Ended December 31,
2007
2006
2005
United States $ (22,143) $ (9,514) $ 3,870
Foreign 1,445 1,766 957
Total $ (20,698) $ (7,748) $ 4,827
73
Source: SUPPORTSOFT INC, 10-K, March 13, 2008