Deferred Revenue and Income

12 Months Ended

Dec. 31, 2016

Deferred Revenue Disclosure [Abstract]

NOTE 8. DEFERRED REVENUE AND INCOME

Deferred revenue consists of amounts received for products or services not yet delivered or earned. Deferred income consists of amounts received for commitments not yet fulfilled. If we anticipate that the revenue or income will not be earned within the following twelve months, the amount is reported as long-term deferred income. A summary of the balances as of December 31, 2016, and 2015 follows (in thousands):



Deferred Revenue and Income
(in thousands)
	12/31/2016		12/31/2015
Fisher agreement	$	—	$	13
Products not yet delivered	35		114
Total current deferred revenue and income	$	35	$	127

Arizona Commerce Authority grant	$	1,000	$	1,000
Total long-term deferred income	$	1,000	$	1,000

Through December 31, 2016, we received $1.0 million in milestone payments from the Arizona Commerce Authority under the Grant Agreement described in Note 7, License Agreements and Grants. As of December 31, 2016, no such payments have been recognized in income, and we do not anticipate recognizing such payments as income until the “claw-back” provisions under the Grant Agreement expire in January 2018.

The deferred income of $114,000 for products not yet delivered as of December 31, 2015, was recognized as product revenue for the year ended December 31, 2016.

- Definition

The entire disclosure for deferred revenues at the end of the reporting period, and description and amounts of significant changes that occurred during the reporting period. Deferred revenue is a liability as of the balance sheet date related to a revenue producing activity for which revenue has not yet been recognized. Generally, an entity records deferred revenue when it receives consideration from a customer before achieving certain criteria that must be met for revenue to be recognized in conformity with GAAP.

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