Quarterly report pursuant to Section 13 or 15(d)

9. Fair Value Measurements (Tables)

v3.7.0.1
9. Fair Value Measurements (Tables)
 6 Months Ended
Jun. 30, 2017
Fair Value Disclosures [Abstract]  
Schedule of Significant Assumptions Used and Related Fair Values for Warrants

Significant assumptions used and related fair values for the warrants as of December 31, 2016 were as follows:

 

Original
Issuance 		Exercise
Price 		Volatility Risk Free
Interest Rate 		Term
(years) 		Market
Discount 		Warrants
Outstanding 		Fair
Value
07/3/2012 $6.09 40.9% 0.62% 0.50 11.3% 211,000 $  651,000
Summary of Recurring Fair Value Measurements by Level

The following table summarizes recurring fair value measurements by level at June 30, 2017 (in thousands):

 

    Fair                    
    Value     Level 1     Level 2     Level 3  
Assets:                                
Derivative instruments   $ 1,150     $ 1,150     $ –     $ –  
    $ 1,150     $ 1,150     $ –     $ –  
                                 
Liabilities:                                
Warrants   $ –     $ –     $ –     $ –  
Derivative instruments     (1,721 )     (1,721 )     –       –  
    $ (1,721 )   $ (1,721 )   $ –     $ –  

 
Schedule of Fair Value of Level 3 Inputs to Warrants

The changes in the Company’s fair value of its Level 3 inputs with respect to its warrants were as follows (in thousands):

 

Balance, December 31, 2016   $ 651  
Exercised warrants     (178 )
Adjustments to fair value for the period     (473 )
Balance, June 30, 2017   $ –