Note 7 - Derivative Instruments

3 Months Ended

Mar. 31, 2019

Notes to Financial Statements

Derivative Instruments and Hedging Activities Disclosure [Text Block]

7.

DERIVATIVE INSTRUMENTS

The Company uses various derivative instruments including forward currency contracts, and interest rate swaps to manage certain exposures. These instruments are entered into under the Company’s corporate risk management policy to minimize exposure and are

not

for speculative trading purposes. The Company recognizes all derivatives as either assets or liabilities in the condensed consolidated balance sheets and measures those instruments at fair value. Changes in the fair value of derivatives are recognized in earnings. The Company has limited involvement with derivative instruments and does

not

trade them. In the

first

quarter of

2018,

the Company had an interest rate swap, which had a maturity date of

ten

years from the date of inception, and was used to minimize the interest rate risk on the variable rate mortgage. During the

three

months ended

March 

31,

2018,

the Company had

$84

thousand of unrealized gain related to the interest rate swap. The Company closed out this derivative in

December 2018

as part of the Company's sale/leaseback transaction and the Company does

not

own any derivative instruments at

March 31, 2019.

Embedded Derivative Liabilities

The Company evaluates embedded conversion features pursuant to FASB Accounting Standards Codification

No.

815

(“FASB ASC

815”

), “Derivatives and Hedging,” which requires a periodic valuation of the fair value of derivative instruments and a corresponding recognition of liabilities associated with such derivatives.