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Table of Contents
PART II
Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities.
Market Information
Our common stock is traded on the NASDAQ Global Market under the symbol "ELNK." The following table sets forth the high and low
sale prices for our common stock for the periods indicated, as reported by the NASDAQ Global Market.
The last reported sale price of our common stock on the NASDAQ Global Market on January 31, 2011 was $8.53 per share.
Holders
There were approximately 1,622 holders of record of our common stock on January 31, 2011.
Dividends
Prior to 2009, we had never declared or paid cash dividends on our common stock. During 2009, we began paying quarterly cash dividends.
During the year ended December 31, 2009, cash dividends declared were $0.28 per common share and total dividend payments were
$30.0 million. During the year ended December 31, 2010, cash dividends declared were $0.62 per common share and total dividend payments
were $67.5 million. In January 2011, we reduced our quarterly dividend to $0.05 per share. We currently intend to continue to pay regular
quarterly dividends on our common stock. Any decision to declare future dividends will be made at the discretion of the Board of Directors and
will depend on, among other things, our results of operations, financial condition, cash requirements, investment opportunities and other factors
the Board of Directors may deem relevant.
Performance Graph
The following indexed line graph indicates our total return to stockholders from December 31, 2005 to December 31, 2010, as compared to
the total return for the NASDAQ Stock Market, Russell 2000, Morgan Stanley Internet and NASDAQ Telecomm indices for the same period.
We have historically compared our total return to the NASDAQ Stock Market and the Morgan Stanley Internet indices. During 2010 we entered
into two telecommunications acquisition transactions we believe will transform our business and we refocused our business strategy to become a
leading IP infrastructure and managed services provider. As a result, we are comparing to a new index, the NASDAQ Telecomm, which we
believe
41
EarthLink, Inc.
High
Low
Year Ended December 31, 2009
First Quarter
$
7.83
$
6.02
Second Quarter
8.17
6.43
Third Quarter
8.75
7.30
Fourth Quarter
8.93
7.92
Year Ending December 31, 2010
First Quarter
$
8.78
$
7.95
Second Quarter
9.35
7.96
Third Quarter
9.13
7.85
Fourth Quarter
9.29
8.51
Year Ending December 31, 2011
First Quarter (through January 31, 2011)
$
8.95
$
8.47