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International Business Machines Corporation Information Technology Outsourcing Agreement
6 Months Ended
Jun. 30, 2012
International Business Machines Corporation Information Technology Outsourcing Agreement

16. International Business Machines Corporation Information Technology Outsourcing Agreement

On April 1, 2012, the Company provided notice of termination for the Master Services Agreement with International Business Machines to outsource the Company’s internal information technology environment. The effective date of the termination is January 31, 2013.

The Company has recorded the $3.0 million termination fee in general and administrative expenses during the three months ended June 30, 2012 in the accompanying consolidated condensed statements of operations. The termination fee is due on the termination date of January 31, 2013. In addition, the Company will incur additional fees related to the transition in accordance with the terms of the agreement that we expect to expense and pay as incurred.