Fair Value Measurements (Tables)

9 Months Ended

Apr. 30, 2015

Fair Value Measurements

Schedule of fair values of financial instruments measured on a recurring basis

	April 30, 2015
	Level 1		Level 2		Level 3		Total
Assets:
Cash and cash equivalents:
Money markets	$	1,680,000	$	—	$	—	$	1,680,000
Total assets	$	1,680,000	$	—	$	—	$	1,680,000
Liabilities:
Accrued expenses:
Interest rate swap agreements	$	—	$	14,000	$	—	$	14,000
Assumed contingent obligation	—		—		12,000		12,000
Contingent guaranteed obligation	—		—		601,000		601,000
Total accrued expenses	—		14,000		613,000		627,000
Contingent consideration	—		—		729,000		729,000
Other long-term liabilities:
Assumed contingent obligation	—		—		1,119,000		1,119,000
Contingent guaranteed obligation	—		—		313,000		313,000
Total other long-term liabilities	—		—		1,432,000		1,432,000
Total liabilities	$	—	$	14,000	$	2,774,000	$	2,788,000
	July 31, 2014
	Level 1		Level 2		Level 3		Total
Assets:
Cash and cash equivalents:
Money markets	$	1,702,000	$	—	$	—	$	1,702,000
Total assets	$	1,702,000	$	—	$	—	$	1,702,000
Liabilities:
Accrued expenses:
Interest rate swap agreements	$	—	$	69,000	$	—	$	69,000
Contingent guaranteed obligation	—		—		684,000		684,000
Total accrued expenses	—		69,000		684,000		753,000
Contingent consideration	—		—		2,722,000		2,722,000
Other long-term liabilities:
Assumed contingent obligation	—		—		1,752,000		1,752,000
Contingent guaranteed obligation	—		—		711,000		711,000
Total other long-term liabilities	—		—		2,463,000		2,463,000
Total liabilities	$	—	$	69,000	$	5,869,000	$	5,938,000

Reconciliation of liabilities measured and recorded at fair value on a recurring basis using significant unobservable inputs (Level 3)

							Jet Prep			PuriCore
	Byrne			Jet Prep			Assumed			Contingent
	Price			Contingent			Contingent			Guaranteed
	floor			Consideration			Obligation			Obligation			Total
Balance, July 31, 2013	$	45,000		$	—		$	—		$	—		$	45,000
Total net unrealized gains included in general and administrative expense in earnings	(44,000		)	—			—			—			(44,000		)
Balance, October 31, 2013	1,000			—			—			—			1,000
Total net unrealized gains included in general and administrative expense in earnings	(1,000		)	—			—			—			(1,000		)
Consideration issued and obligation assumed (1)	—			4,760,000			990,000			—			5,750,000
Balance, January 31, 2014	—			4,760,000			990,000			—			5,750,000
Total net unrealized losses included in general and administrative expense in earnings	—			266,000			55,000			—			321,000
Balance, April 30, 2014	—			5,026,000			1,045,000			—			6,071,000
Total net unrealized gains included in general and administrative expense in earnings	—			(34,000		)	(23,000		)	—			(57,000		)
Consideration issued and obligation assumed (1)	—			(2,270,000		)	730,000			1,414,000			(126,000		)
Settlements	—			—			—			(19,000		)	(19,000		)
Balance, July 31, 2014	—			2,722,000			1,752,000			1,395,000			5,869,000
Total net unrealized losses included in general and administrative expense in earnings	—			82,000			11,000			54,000			147,000
Settlements	—			—			—			(132,000		)	(132,000		)
Foreign currency translation	—			—			—			(77,000		)	(77,000		)
Balance, October 31, 2014	—			2,804,000			1,763,000			1,240,000			5,807,000
Total net unrealized losses included in general and administrative expense in earnings	—			84,000			10,000			33,000			127,000
Settlements	—			—			—			(164,000		)	(164,000		)
Foreign currency translation	—			—			—			(69,000		)	(69,000		)
Balance, January 31, 2015	—			2,888,000			1,773,000			1,040,000			5,701,000
Total net unrealized (gains) losses included in general and administrative expense in earnings	—			(2,159,000		)	(642,000		)	11,000			(2,790,000		)
Settlements	—			—			—			(161,000		)	(161,000		)
Foreign currency translation	—			—			—			24,000			24,000
Balance, April 30, 2015	$	—		$	729,000		$	1,131,000		$	914,000		$	2,774,000

(1) Both of the Jet Prep liabilities were estimated on the date of the acquisition using preliminary information and subsequently revised in July 2014.