NOTE 20 - WHOLLY OWNED FOREIGN SUBSIDIARIES

The financial statements of the Company’s wholly owned German subsidiary, I.D. Systems GmbH (the “GmbH”), and United Kingdom subsidiary, I.D. Systems (UK) Ltd (“Didbox”), are consolidated with the financial statements of I.D. Systems, Inc.

The net revenue and net loss for the GmbH included in the Condensed Consolidated Statement of Operations are as follows:

	For the Three Months Ended				For the Nine Months Ended
	September 30,				September 30,
	2012		2013		2012		2013
Net revenue	$	170,000	$	219,000	$	932,000	$	938,000

Net loss		(160,000)		(112,000)		(227,000)		(258,000)

Total assets of the GmbH were $1,739,000 and $1,607,000 as of December 31, 2012 and September 30, 2013, respectively. The GmbH operates in a local currency environment using the Euro as its functional currency.

The net revenue and net loss for Didbox included in the Condensed Consolidated Statement of Operations are as follows:

	For the Three Months Ended				For the Nine Months Ended
	September 30,				September 30,
	2012		2013		2012		2013
Net revenue	$	220,000	$	902,000	$	992,000	$	1,295,000

Net (loss) income		(120,000)		336,000		(7,000)		165,000

Total assets of Didbox were $1,291,000 and $2,138,000 as of December 31, 2012 and September 30, 2013, respectively. Didbox operates in a local currency environment using the British Pound as its functional currency.

Gains and losses resulting from foreign currency transactions are included in determining net income or loss. Foreign currency transactions gains (losses) for the three- and nine-month periods ended September 30, 2012 of $(44,000) and $(28,000), respectively, and for the three- and nine-month periods ended September 30, 2013 of $41,000 and $12,000, respectively, are included in selling, general and administrative expenses in the Condensed Consolidated Statement of Operations.