Annual report pursuant to Section 13 and 15(d)

12. FAIR VALUE MEASUREMENTS (Tables)

v2.4.1.9
12. FAIR VALUE MEASUREMENTS (Tables)
 12 Months Ended
Dec. 31, 2014
Fair Value Disclosures [Abstract]  
Significant assumptions

Significant assumptions used and related fair values for the warrants as of December 31, 2014 were as follows:

 

Original Issuance   Exercise Price     Volatility     Risk Free Interest Rate     Term (years)     Market Discount     Warrants Outstanding     Fair Value  
09/26/2012 $ 8.85       51.0%       0.19%       0.74       37.0%       473,000     748,000  
07/3/2012   $ 6.09       56.1%       0.89%       2.51       32.8%       211,000     811,000  
12/13/2011   $ 8.43       54.3%       0.67%       1.95       28.7%       138,000     427,000  
                                                    $ 1,986,000  

 

Significant assumptions used and related fair values for the warrants as of December 31, 2013 were as follows:

 

Original Issuance   Exercise Price     Volatility     Risk Free Interest Rate     Term (years)     Market Discount     Warrants Outstanding     Fair Value  
06/21/2013   $ 7.59       52.4%       0.13%       1.24       22.7%       1,051,000     $ 660,000  
03/28/2013   $ 7.59       52.4%       0.13%       1.20       22.7%       788,000     495,000  
01/11/2013   $ 6.32       63.3%       1.27%       4.03       43.8%       1,709,000     2,892,000  
09/26/2012   $ 8.85       58.5%       0.38%       1.74       42.3%       1,771,000     702,000  
07/3/2012   $ 6.09       61.2%       1.27%       3.51       40.2%       1,812,000     3,008,000  
07/3/2012   $ 5.47       52.8%       0.01%       0.01       42.3%       804,000     3,000  
12/13/2011   $ 8.43       60.4%       0.78%       2.95       37.9%       306,000     455,000  
                                                    $ 8,215,000  

 
Schedule of fair value measurements

The following table summarizes fair value measurements by level at December 31, 2014 (in thousands):

    Level 1     Level 2     Level 3     Total  
Assets:                                
Commodity contracts(1)   $ 1,586     $ –     $ –     $ 1,586  
Total Assets   $ 1,586     $ –     $ –     $ 1,586  
                                 
Liabilities:                                
Warrants(2)   $ –     $ –     $ 1,986     $ 1,986  
Commodity contracts(3)     1,149       –       –       1,149  
Total Liabilities   $ 1,149     $ –     $ 1,986     $ 3,135  

_______________

(1) Included in other current assets in the consolidated balance sheets.
(2) Included in warrant liabilities at fair value in the consolidated balance sheets.
(3) Included in accrued liabilities in the consolidated balance sheets.

 

The following table summarizes fair value measurements by level at December 31, 2013 (in thousands):

 

    Level 1     Level 2     Level 3     Total  
Assets:                                
Commodity contracts(1)   $ 961     $ –     $ –     $ 961  
Total Assets   $ 961     $ –     $ –     $ 961  
                                 
Liabilities:                                
Warrants(2)   $ –     $ –     $ 8,215     $ 8,215  
Commodity contracts(3)     859       –       –       859  
Total Liabilities   $ 859     $ –     $ 8,215     $ 9,074  

_______________

(1) Included in other current assets in the consolidated balance sheets.
(2) Included in warrant liabilities at fair value in the consolidated balance sheets.
(3) Included in accrued liabilities in the consolidated balance sheets.

 
Level 3 fair value schedule
    Warrants     Conversion Features  
Balance, December 31, 2011   $ 1,921     $ –  
Issuance of warrants in July offering     3,380       –  
Issuance of warrants in September offering     1,658       –  
Exercises of warrants     (113 )     –  
Adjustments to fair value for the period     (1,954 )     –  
Balance, December 31, 2012   $ 4,892     $ –  
Issuance of warrants in January offering   $ 2,657     $ –  
Issuance of notes and warrants in March offering     1,572       1,401  
Issuance of notes in June offering     –       2,929  
Conversions of notes     –       (5,205 )
Exercises of warrants     (260 )     –  
Adjustments to fair value for the period     (646 )     875  
Balance, December 31, 2013   $ 8,215     $ –  
Exercises of warrants     (41,486 )     –  
Expiration of warrants     (3 )     –  
Adjustments to fair value for the period     35,260       –  
Balance, December 31, 2014   $ 1,986     $ –