Deferred Revenue and Income

12 Months Ended

Dec. 31, 2017

Deferred Revenue Disclosure [Abstract]

Deferred Revenue and Income

NOTE 10. 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, follows (in thousands):

	2017		2016
Products and services not yet delivered	71		35
Arizona Commerce Authority grant	1,000		—
Total current deferred revenue and income	$	1,071	$	35
Arizona Commerce Authority grant	$	—	$	1,000
Total long-term deferred income	$	—	$	1,000

Through December 31, 2017, we received $1.0 million in milestone payments from the Arizona Commerce Authority under the Grant Agreement described in Note 9, License Agreements and Grants. As of December 31, 2017, 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 2018.

In January 2018, the “claw-back” provisions expired and the $1.0 million was recognized as an offset to expense.

Deferred revenue of $114,000 was recognized and recorded as a component of net sales on the consolidated statements of operations and comprehensive loss for the year ended December 31, 2016. No material deferred revenue was recognized and recorded as a component of net sales during the year ended December 31, 2017.