4. DISCONTINUED OPERATIONS

6 Months Ended

Jun. 30, 2011

Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]

4. DISCONTINUED OPERATIONS

PGiSend

     On October 21, 2010, we completed the sale of our PGiSend messaging business to EasyLink Services International Corporation, or EasyLink, for an aggregate purchase price of $105.0 million, with a working capital target that was finalized in the first quarter of 2011 resulting in an additional payment from EasyLink of $1.8 million. Prior period operating results have been reclassified to present this business as discontinued operations.

Maritime Notification and Reminder Solutions

     During the year ended December 31, 2010, we classified our Maritime Notification and Reminder solutions operations as a disposal group held for sale. This disposal group consists of all customers using these non-conferencing, ship-to-shore communication services targeted specifically towards shipping vessels that we resell through our Japanese subsidiary. All assets and liabilities of this disposal group have been classified separately as of December 31, 2010. At June 30, 2011 and December 31, 2010, assets of the disposal group held for sale consisted of accounts receivable of $3.7 million and $4.3 million, respectively, net of allowances of $0.3 million. At June 30, 2011 and December 31, 2010, liabilities of the disposal group held for sale consisted of $2.6 million and $3.1 million of accounts payable, respectively. We expect this disposal to be completed prior to December 31, 2011. Prior period operating results have been reclassified to present this business as discontinued operations.

PGiMarket

     On November 5, 2009, we completed the sale of our PGiMarket business. During the six months ended June 30, 2011, we received $0.7 million in cash for the achievement of certain revenue targets in 2010 under an earn-out provision in the sales agreement.

Components of Discontinued Operations

     We allocated interest expense related to our $50.0 million Term A loan, which was required to be repaid as a result of our PGiSend sale, to discontinued operations in 2010. The following amounts associated with our discontinued businesses have been segregated from continuing operations and are reflected as discontinued operations for the three and six months ended June 30, 2011 and 2010 (in thousands):

	Three Months Ended June 30,						Six Months Ended June 30,
	2011			2010			2011			2010
Net revenue from discontinued operations	$	3,595		$	33,649		$	7,560		$	67,560
Operating income		64			1,671			54			7,037
Interest expense		—			(387	)		(61	)		(801	)
Income from disposal		—			—			18			—
Income tax expense		(28	)		(774	)		(6	)		(3,033	)
Income from discontinued operations, net of taxes	$	36		$	510		$	5		$	3,203