Note 12 - Fair Value Measurements

3 Months Ended

Mar. 31, 2019

Fair Value Disclosures [Text Block]

12.

FAIR VALUE MEASUREMENTS

The Company’s fair value hierarchy for its cash equivalents and marketable securities as of

March

31,

2019

and

December

31,

2018,

respectively, was as follows:

(in thousands)
March 31, 2019	Level 1		Level 2		Level 3		Total
Money market securities	$	16	$	—	$	—	$	16
Certificates of deposit - restricted cash		523		—		—		523
Certificate of deposit - restricted investment (1)		400		—		—		400
Total assets	$	939	$	—	$	—	$	939

December 31, 2018	Level 1		Level 2		Level 3		Total
Money market securities	$	16	$	—	$	—	$	16
Certificates of deposit - restricted cash		523		—		—		523
Certificate of deposit - restricted investment (1)		400		—		—		400
Convertible notes receivable		—		—		655		655
Total assets	$	939	$	—	$	655	$	1,594

Changes in Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
	Convertible
(in thousands)	Note
Balance at December 31, 2018	$	655
Conversion to common stock of VPS		(655	)
Balance at March 31, 2019	$	—

(

) Investment is a

-month certificate of deposit classified as available for sale and included in Deposits and other assets on the balance sheet.

There were

transfers between Level

and Level

2019

as determined at the end of the reporting period. The inputs used to measure the convertible note are classified as Level

within the valuation hierarchy. The valuation is

not

supported by market criteria and reflects the Company’s internal analysis. Since the valuation is

not

supported by market criteria, the valuation is completely dependent on unobservable inputs. During quarterly updates of the valuation, the calculation of the value is based on recent similar transactions with the seller of the convertible notes. The convertible note receivable was converted to VPS stock in the

first

quarter of

2019

(see Note

). The future value of the investment will be measured using the equity method of accounting.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

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