Fair Value Measurement (Tables)

3 Months Ended

Mar. 31, 2016

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis

The following table sets forth the Company’s financial assets and financial liabilities measured at fair value on a recurring basis and the basis of measurement at March 31, 2016 and December 31, 2015 (in thousands):



At March 31, 2016	Total Fair Value Measurement			Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Money market funds⁽¹⁾	$	667		$	667	$	—	$	—
Liabilities:
Contingent consideration	$	(20,318	)	$	—	$	—	$	(20,318	)



At December 31, 2015	Total Fair Value Measurement			Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Money market funds⁽¹⁾	$	667		$	667	$	—	$	—
Liabilities:
Contingent consideration	$	(22,162	)	$	—	$	—	$	(22,162	)


(1)	Included in cash and cash equivalents on the balance sheet.

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The following table provides a reconciliation of the beginning and ending balances for the liabilities measured at fair value using significant unobservable inputs (Level 3) (in thousands):



	Fair Value Measurements at Reporting Date Using Significant Unobservable Inputs (Level 3)
	Contingent Consideration
Balance as of December 31, 2015	$	(22,162	)
Contingent consideration payments paid in cash	525
Change in fair value⁽¹⁾	(1,911		)
Reclassification to Due to seller	3,201
Foreign exchange impact⁽²⁾	29
Balance as of March 31, 2016	$	(20,318	)


(1)	Adjustments to original contingent consideration obligations recorded were the result of using revised financial forecasts and updated fair value measurements. These changes are recognized within operating expenses on the consolidated statement of comprehensive income.


(2)	Changes in the contingent consideration liability which are caused by foreign exchange rate fluctuations are recognized in other comprehensive loss.