4.	INVESTMENTS

December 31,

201

and

2016,

our ownership interest in NKD Enterprises, LLC was

25.5

percent. We account for our investment by the equity method of accounting. The carrying value of NKD Enterprises, LLC is included in long-term investments.

	Carrying Value
At December 31, (in thousands)	2017		201 6
NKD Enterprises, LLC	$	25	$	64

The following table presents the unaudited summarized financial information for NKD Enterprises, LLC for the respective time periods:

As of and for the year ended December 31 , (in thousands)	2017			201 6
Revenues	$	2,188		$	2,050
Operating loss		(152	)		(168	)
Net loss		(152	)		(168	)

As of and for the year ended December 31, (in thousands)	2017		201 6
Current assets	$	115	$	107
Non-current assets		3,005		3,002
Current liabilities		563		400
Stockholders ’ equity		2,557		2,709

2015,

one

of our investee companies in which we held a small equity stake, was sold to Cisco, Inc. We recognized a gain of

$2,034,000

against our carrying value of

$214,000

2015.

Cash from the sale of

$2,248,000

was received in early

January 2016.

A portion of the sale proceeds was held in escrow for

eighteen

months for claims that the buyer

may

assert against the investee company. In the

third

quarter of

2017,

the remaining cash held in escrow was released. Since we had

reasonable way to estimate the amount of escrow, if any, to be released to us at the initial time of the sale,

provision was previously recorded in the financial statements. We received cash of

$372,000,

which was recognized as a gain in the

third

quarter of

2017.

In the quarter ended

March 31, 2016,

we recorded an impairment charge of

$700,000

to reduce the carrying value of our minority equity ownership in

one

of our investee companies, an early stage sensor technology company, to

$50,000.

Subsequently, in the quarter ended

June 30, 2016,

we recorded an additional impairment charge of

$50,000

to fully write-down our minority equity ownership in the investee company to

zero

. Given that the investee has limited prospects to fund its operations and product development, we believe a full write-down is prudent and required.

December 30, 2016

we signed an agreement to invest

$1,000,000

a privately held technology company and program manager in the FinTech industry, with

$500,000

of the investment held in escrow to pay future fees to CoreCard pursuant to a Processing Agreement entered into by the parties. The investment was funded on

January 4, 2017;

the liability for the investment funding is shown in “Other Current Liabilities” at

December 31, 2016.

In the quarter ended

June 30, 2017,

we recorded an impairment charge of

$90,000

to reduce the carrying value of our minority equity ownership in

an investee company, a privately-held technology company in the FinTech industry. During the quarter ended

June 30, 2017,

the investee closed on a Series A preferred stock financing with higher preference to our Series Seed preferred stock which resulted in substantial dilution to our investment. Subsequently, in the quarter ended

December 31, 2017,

the investee sold its intellectual property and is winding down its operations. As such, we recorded an additional impairment charge of

$10,000

to fully write-down our minority equity ownership in the investee company to zero. Given the operational and contractual wind-down costs of the investee coupled with the Series A preferred stock preference to our Series Seed preferred stock, we believe a full write-down was warranted. CoreCard remains in an ongoing contractual business relationship with the company through the wind-down period pursuant to a Processing Agreement and anticipates receiving liquidated damages as contractually allowed per the Processing Agreement. CoreCard has recognized processing services revenue from the investee company greater than our investment.

In the quarter ended

September 30, 2017,

we sold shares in a tender offer for stock of

one

of our investee companies, a privately-held technology company in the FinTech industry. We sold approximately

ninety-one

percent of our shares. We recognized a gain of

$1,466,000

over our carrying value of

$98,000.

We retained a small equity stake in the investee and CoreCard remains in an ongoing business relationship with the company pursuant to a Processing Agreement previously entered into by the parties.