NOTE 11 – DERIVATIVE FINANCIAL INSTRUMENTS

As of July 31, 2018, the Company’s entire net forward contracts hedging portfolio consisted of 30.0 million Swiss francs equivalent, 11.5 million Euros equivalent and 0.8 million British Pounds equivalent, with various expiry dates ranging through January 1, 2019.

The following table summarizes the fair value and presentation in the Consolidated Balance Sheets for derivatives (in thousands):

	Asset Derivatives							Liability Derivatives
	Balance Sheet Location	July 31, 2018 Fair Value		January 31, 2018 Fair Value		July 31, 2017 Fair Value		Balance Sheet Location	July 31, 2018 Fair Value		January 31, 2018 Fair Value		July 31, 2017 Fair Value
Derivatives not designated as hedging instruments:
Foreign Exchange Contracts	Other Current Assets	$	—	$	544	$	402	Accrued Liabilities	$	481	$	2	$	25
Total Derivative Instruments		$	—	$	544	$	402		$	481	$	2	$	25

	Asset Derivatives							Liability Derivatives
	Balance Sheet Location	July 31, 2018 Fair Value		January 31, 2018 Fair Value		July 31, 2017 Fair Value		Balance Sheet Location	July 31, 2018 Fair Value		January 31, 2018 Fair Value		July 31, 2017 Fair Value
Derivatives designated as hedging instruments:
Foreign Exchange Contracts	Other Current Assets	$	161	$	—	$	—	Accrued Liabilities	$	—	$	44	$	464
Total Derivative Instruments		$	161	$	—	$	—		$	—	$	44	$	464

As of July 31, 2018 and 2017, the balance of deferred net gains on derivative financial instruments documented as cash flow hedges included in accumulated other comprehensive income (“AOCI”) was $0.1 and $0.4 million, net of tax benefit of an immaterial amount and $0.1 million, respectively. The maximum length of time the Company hedges its exposure to the fluctuation in future cash flows for forecasted transactions is 24 months. For the three and six months ended July 31, 2018, the Company reclassified from AOCI to earnings $0.3 million of net gain, net of tax benefit of $0.1 for both periods, respectively. For the three and six months ended July 31, 2017, the Company reclassified from AOCI to earnings $0.4 million of net loss, net of tax benefit of $0.1 million, for both periods, respectively.