Note 2 - Investment Write-down

3 Months Ended

Mar. 31, 2017

Investment Write-down

– In the quarter ended

March

31,

2016,

we recorded an impairment charge of

$700,000

to reduce the carrying value of our minority equity ownership in Lumense, Inc., an early stage sensor technology company, to

$50,000.

Subsequently, in the quarter ended

June

30,

2016,

we recorded an additional impairment charge of

$50,000

to fully write-down our minority equity ownership in Lumense, Inc. to

zero.

Given Lumense has no reasonable prospects to fund its operations and product development, we believe a full write-down was prudent and required.