Note 9 - Stockholders' Equity

9 Months Ended

Sep. 30, 2017

Notes to Financial Statements

Stockholders' Equity Note Disclosure [Text Block]

9. Stockholders ’ Equity – On December 30, 2016, Intelligent Systems and its wholly owned subsidiary CoreCard MergerSub, Inc. entered into an Agreement and Plan of Merger with CoreCard Software, Inc., our majority owned subsidiary, providing for the recapitalization of CoreCard. Pursuant to the Merger Agreement, MergerSub merged with and into CoreCard on January 1, 2017. As a result of the merger, we now own 100% of the outstanding shares of CoreCard. As such, beginning January 1, 2017, we no longer reduce income or losses by the amount that had been allocable in prior periods to the non-controlling common stock interest in CoreCard.

As a result of the recapitalization of CoreCard, we recorded the following adjustment

s to our shareholders’ equity to eliminate the minority interest component. There was

no

impact on the statement of operations for the

three

and

nine

months ended

September 30, 2017.

	As of						As of
(in thousands)	December 31, 2016			Adjustments			January 1, 2 017
Intelligent Systems Corporation stockholders ’ equity:
Common stock	$	87		$	--		$	87
Additional paid-in capital		17,864			(3,038	)		14,826
Accumulated other comprehensive loss		(163	)		22			(141	)
Accumulated income		4,158			--			4,158
Total Intelligent Systems Corporation stockholders ’ equity		21,946			(3,016	)		18,930
Noncontrolling interest		(3,016	)		3,016			--
Total stockholders ’ equity	$	18,930		$	--		$	18,930