ACCOUNTING POLICIES (Tables)

12 Months Ended

Dec. 31, 2016

Accounting Policies [Abstract]

Schedule of fair value of financial instruments using levels of inputs

The following tables summarize our assets and liabilities measured at fair value on a recurring basis using the following levels of inputs as of December 31, 2016 and 2015, as indicated (in thousands): 

	Fair Value Measurements at December 31, 2016:
	Total		Level 1		Level 2		Level 3
Assets:
Cash equivalents - Money market mutual funds	$	75,177	$	75,177	$	—	$	—
Trading securities held in a “rabbi trust” (1)	58		58		—		—
Total assets	$	75,235	$	75,235	$	—	$	—
Liabilities:
Derivatives (2)	$	1,816	$	—	$	1,816	$	—
Deferred compensation accrual “rabbi trust” (3)	61		61		—		—
Total liabilities	$	1,877	$	61	$	1,816	$	—

	Fair Value Measurements at December 31, 2015:
	Total		Level 1		Level 2		Level 3
Assets:
Cash equivalents - Money market mutual funds	$	28,102	$	28,102	$	—	$	—
Trading securities held in a “rabbi trust” (1)	68		68		—		—
Total assets	$	28,170	$	28,170	$	—	$	—
Liabilities:
Derivatives (2)	$	2,397	$	—	$	2,397	$	—
Deferred compensation accrual “rabbi trust” (3)	70		70		—		—
Total liabilities	$	2,467	$	70	$	2,397	$	—

 ___________________________________________

(1) — Trading securities held in a rabbi trust are included in Prepaids and other current assets and Other long-term assets, net in the consolidated balance sheets.

(2) — Derivative financial instruments are included in Other current liabilities, net and Other long-term liabilities in the consolidated balance sheets.

(3) — Non qualified deferred compensation in a rabbi trust is included in Accrued liabilities and Other long-term liabilities in the consolidated balance sheets.

Schedule of estimated useful lives of the fixed assets

The estimated useful lives of our fixed assets are as follows:

	Life (years)
Building	40
Land improvements	20
Building machinery and equipment	15-20
Furniture and equipment	5-7
Computer hardware	3-4
Computer software	2-4

Schedule of depreciation and amortization expense which is classified within the corresponding operating expense categories on the consolidated statements of income

Depreciation expense is classified within the corresponding operating expense categories on the consolidated statements of income as follows (in thousands): 

	Year ended    December 31,
	2016		2015		2014
Cost of goods sold - direct	$	310	$	283	$	282
Technology	25,693		22,126		16,651
Sales and marketing	124		—		—
General and administrative	1,156		1,107		1,028
Total depreciation, including internal-use software and website development	$	27,283	$	23,516	$	17,961

Schedule of intangible assets

Intangible assets consist of the following (in thousands):

	December 31,
	2016			2015
Acquired intangible assets	$	16,000		$	15,776
Intangible assets, other (1)	1,356			1,355
	17,356			17,131
Less: accumulated amortization of intangible assets	(6,443		)	(2,475		)
Total intangible assets, net	$	10,913		$	14,656

Schedule of amortization expense of intangible assets

Amortization of intangible assets other than goodwill is classified within the corresponding operating expense categories on the consolidated statements of income as follows (in thousands):

	Year ended    December 31,
	2016		2015
Technology	$	2,904	$	605
Sales and marketing	1,008		531
General and administrative	56		445
Total amortization	$	3,968	$	1,581

Schedule of costs of goods sold, including product cost and other costs and fulfillment and related costs

Cost of goods sold, including product cost and other costs and fulfillment and related costs are as follows (in thousands):

	Year ended    December 31,
	2016			2015			2014
Total revenue, net	$	1,799,963	100%	$	1,657,838	100%	$	1,497,103	100%
Cost of goods sold
Product costs and other cost of goods sold	1,391,736		77%	1,279,766		77%	1,152,489		77%
Fulfillment and related costs	76,878		4%	73,418		4%	65,555		4%
Total cost of goods sold	1,468,614		82%	1,353,184		82%	1,218,044		81%
Gross profit	$	331,349	18%	$	304,654	18%	$	279,059	19%

Schedule of computation of basic and diluted net income per common share

The following table sets forth the computation of basic and diluted net income per common share for the periods indicated (in thousands, except per share data):

	Year ended December 31,
	2016		2015		2014
Net income attributable to stockholders of Overstock.com, Inc.	$	12,522	$	2,446	$	8,854
Net income per common share—basic:
Net income attributable to common shares—basic	$	0.49	$	0.10	$	0.37
Weighted average common shares outstanding—basic	25,342		24,612		23,999
Effect of dilutive securities:
Stock options and restricted stock awards	84		91		318
Weighted average common shares outstanding—diluted	25,426		24,703		24,317
Net income attributable to common shares—diluted	$	0.49	$	0.10	$	0.36

Schedule of anti-dilutive securities excluded from the calculation of diluted shares outstanding

The following shares were excluded from the calculation of diluted shares outstanding as their effect would have been anti-dilutive (in thousands):

	Year ended December 31,
	2016	2015	2014
Stock options and restricted stock units	466	323	291