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13. Related Party Transactions
12 Months Ended
Dec. 31, 2018
Related Party Transactions [Abstract]  
Related Party Transactions

The Company owes Eric McAfee, the Company’s Chairman and CEO, and McAfee Capital, owned by Eric McAfee, $0.4 million in connection with employment agreements and expense reimbursements previously accrued as salaries expense and currently held as an accrued liability. The balance accrued related to these employment agreements was $0.4 million as of December 31, 2018 and 2017. For the years ended December 31, 2018 and 2017, the Company expensed $39 thousand and $49 thousand, respectively, to reimburse actual expenses incurred by McAfee Capital and related entities. The Company previously prepaid $0.2 million to Redwood Capital, a company controlled by Eric McAfee, for the Company’s use of flight time on a corporate jet. As of December 31, 2018, $0.1 million remained as a prepaid expense.

 

As consideration for the reaffirmation of guaranties required by Amendment's No. 13 and 14 to the Note Purchase Agreement which the Company entered into with Third Eye Capital on March 1, 2017 and March 27, 2018 respectively, the Company also agreed to pay $0.2 million for each year in consideration to McAfee Capital in exchange for its willingness to provide the guaranties. The balance of $400 thousand and $342 thousand for guaranty fee remained as an accrued liability as of December 31, 2018 and December 31, 2017 respectively.

 

The Company owes various board members amounts totaling $1.1 million and $1.7 million as of December 31, 2018 and 2017, respectively, in connection with board compensation fees, which are included in accounts payable on the balance sheet. For each of the years ended December 31, 2018 and 2017, the Company expensed $0.4 million each year, in connection with board compensation fees.