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OTHER ASSETS AND AMOUNTS DUE TO / FROM AFFILIATES
 3 Months Ended
Mar. 31, 2012
OTHER ASSETS AND AMOUNTS DUE TO / FROM AFFILIATES

7. OTHER ASSETS AND AMOUNTS DUE TO / FROM AFFILIATES

Marketable Equity Securities

As of March 31, 2012 and December 31, 2011 the Company had an investment in AWSC, with a fair market value of $2.3 million and $1.6 million, respectively and an adjusted cost basis of $0.7 million and $0.7 million, respectively. One of the Company’s directors is a director of AWSC and several directors and officers own amounts ranging from 0.1% to 0.5% of the outstanding stock of AWSC.

As of March 31, 2012 and December 31, 2011 the Company had an investment in WIN, with a fair market value of $1.9 million and $1.7 million, respectively. The adjusted cost basis of the WIN investment is $0. In the period ended March 31, 2012 the Company sold 500,000 shares of WIN and recorded a gain of $0.9 million.

AWSC and WIN are listed on the Gre Tai stock exchange in Taiwan. The Company determines the fair market value of these investments based on the quoted prices from this exchange

Non-Marketable Securities—Equity Method Investments

The Company has an approximate 12% interest in KoBrite at March 31, 2012. The Company accounts for its interest using the equity method and at March 31, 2012 the carrying value of the investment was $2.2 million. One of the Company’s directors, who is the chairman of KTC, is a member of the Board of Directors of Bright LED, one of the other principal investors of KoBrite.

Summarized financial information for KoBrite for the three month periods ended December 31, 2011 and December 25, 2010 is as follows (KoBrite’s results are recorded one quarter in arrears):

 

     Three Months Ended  
     March 31,
2012		     March 26,
2011		  

Revenue

    $ 1,551,000      $ 991,000   

Gross profit

      (372,000 )      (521,000 ) 

Loss from operations

      (799,000 )      (978,000 ) 

Net loss

    $ (1,332,000 )    $ (943,000 ) 

During the period ended March 31, 2012 the Company acquired a 25% interest in a private company for $0.7 million.

Amounts Due from and Due to Affiliates

Related party receivables from AWSC approximated $2.4 million and $1.1 million at March 31, 2012 and December 31, 2011, respectively. At December 31, 2011 the Company also had a $0.2 million due from other related parties.

The Company has entered into an agreement wherein it agreed to sell certain of its patents that it was no longer using to a party who would attempt to sublicense the patents. Under the terms of the agreement the amount the Company would receive for the sale of the patents was a percentage of any license fees, after expenses, from the sublicense. In the three months ended March 26, 2011 the Company recorded $0.2 million of gains from the sale of these patents.