NOTE 19 - WHOLLY OWNED FOREIGN SUBSIDIARIES

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

The net revenue and net loss for IDS 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,
	2014		2015		2014		2015
Net revenue	$	1,321,000	$	157,000	$	3,089,000	$	1,032,000

Net income (loss)		241,000		(209,000)		530,000		(245,000)

Total assets of IDS GmbH were $4,235,000 and $3,640,000 as of December 31, 2014 and September 30, 2015, respectively. IDS GmbH operates in a local currency environment using the Euro as its functional currency.

The net revenue and net loss for IDS Ltd 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,
	2014		2015		2014		2015
Net revenue	$	74,000	$	89,000	$	246,000	$	374,000

Net loss		(145,000)		(120,000)		(316,000)		(199,000)

Total assets of IDS Ltd were $1,937,000 and $1,297,000 as of December 31, 2014 and September 30, 2015, respectively. IDS Ltd 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, 2014 of $(75,000) and $(43,000), respectively, and for the three- and nine-month periods ended September 30, 2015 of $(2,000) and $(56,000) respectively, are included in selling, general and administrative expenses in the Condensed Consolidated Statement of Operations.