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Long term obligations
 6 Months Ended
Jun. 30, 2016
Debt Disclosure [Abstract]  
Debt Disclosure [Text Block]
7.
Long term obligations
 
Total long-term obligations as of June 30, 2016 and December 31, 2015 consist of the following (in thousands):
 
 
 
June 30,
 
December 31,
 
 
 
2016
 
2015
 
 
 
 
 
 
 
 
 
Vendor obligations
 
 
 
 
 
 
 
Capital lease obligations (1)
 
$
372
 
$
423
 
Deferred lease payments (2)
 
 
708
 
 
707
 
Microsoft licenses (3)
 
 
170
 
 
360
 
Acquisition related liability (4)
 
 
1,062
 
 
993
 
Pension obligations
 
 
 
 
 
 
 
Accrued pension liability
 
 
2,681
 
 
2,535
 
 
 
 
4,993
 
 
5,018
 
Less: Current portion of long term obligations
 
 
1,307
 
 
1,582
 
Totals
 
$
3,686
 
$
3,436
 
 
(1) In March 2014, the Company entered into an equipment sale leaseback agreement with a financing company. The cash proceeds from the transaction were $0.9 million. The Company leased the equipment for a period of 36 months at an effective interest rate of approximately 6% and has the option to purchase the equipment for a nominal amount at the end of the lease term. The Company has accounted for this transaction as a financing arrangement, wherein the equipment remains on the Company’s books and will continue to be depreciated. As of June 30, 2016, the Company had made $0.8 million in lease payments under the sale leaseback agreement.
 
(2) Deferred lease payments represent the effect of straight-lining operating lease payments over the respective lease terms.
 
(3) In March 2014, the Company renewed a vendor agreement to acquire certain additional software licenses and to receive support and subsequent software upgrades on these and other currently owned software licenses through February 2017. Pursuant to this agreement, the Company is obligated to pay approximately $0.4 million annually over the term of the agreement. The total cost, net of deferred interest (in thousands), was allocated to the following asset accounts in 2014:
 
Prepaid expenses and other current assets
 
$
356
 
Other assets
 
 
713
 
Property and equipment
 
 
136
 
 
 
$
1,205
 
 
(4) Amount represents a portion of the purchase price consideration for the acquisition of MediaMiser as follows: $0.6 million paid by the Company on July 28, 2016 in shares of Innodata Inc.’s common stock. In addition, the Company agreed to pay up to a maximum of $4.6 million of contingent consideration based on MediaMiser’s achieving certain revenue and EBITDA levels during the period from April 1, 2016 to March 31, 2017. The fair value of the contingent consideration as of June 30, 2016 was $0.5 million.