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Discontinued Operations

3 Months Ended

Mar. 31, 2017

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations

NOTE 4—Discontinued Operations

In April 2016, the Company announced that it decided to cease operations of its GridSense subsidiary and initiate the liquidation of the GridSense assets. As a result of this decision, GridSense is being reported as a discontinued operation. Following the decision to cease GridSense operations, the Company wrote down all GridSense assets to their estimated realizable values at the time and accrued for estimated severance costs of $140 and lease commitments of $100 in GridSense’s first quarter 2016 results.

In July 2016, the Company and its GridSense subsidiary completed the sale of the GridSense assets to Franklin Fueling Systems, Inc., a wholly-owned subsidiary of Franklin Electric Co., Inc. for a gross sales price of $1,000 of which $100 was set aside as an indemnity escrow. Under the terms of the escrow, if there were no pending indemnifiable claims, $50 was to be released to GridSense on January 7, 2017, with the balance to be released to GridSense on July 7, 2017. The buyers refused to authorize the escrow agent to release the $50 on January 7, 2017 and, subsequent to that date, submitted purported third-party indemnifiable claims which the Company believes to be both untimely and without merit. This dispute has yet to be resolved.

Following the sale, GridSense engaged a third-party liquidation officer to satisfy, to the extent of the funds available, the claims of GridSense creditors, including Acorn which is GridSense’s largest creditor. At December 31, 2016, GridSense had approximately $19 of cash available (excluding escrow amounts) for satisfaction of remaining creditor claims of approximately $314. During the three months ended March 31, 2017, the liquidator settled $70 of claims while disbursing $7 to those creditors. At March 31, 2017, GridSense had approximately $12 of cash available (excluding escrow amounts) for satisfaction of remaining creditor claims of approximately $244.

Assets and liabilities related to the discontinued operations of GridSense are as follows:

		As of
		March 31, 2017				December 31, 2016

Cash and cash equivalents		$	12			$	19
Other current assets and non-current assets			100				100
Total assets		$	112			$	119
Accounts payable		$	431			$	501
Accrued payroll, payroll taxes and social benefits			90				90
Other current and non-current liabilities			404				406
Total liabilities		$	925			$	997

GridSense’s operating results for the three months ended March 31, 2017 and 2016 are included in “Income (loss) from discontinued operations, net of income taxes” in the Company’s Condensed Consolidated Statements of Operations. Summarized financial information for GridSense’s operations for the three months ended March 31, 2017 and 2016 are presented below:

		Three months ended March 31,
		2017				2016
Revenue		$	—			$	143
Gross profit (loss)			—				(30	)
Net income (loss)		$	65			$	(1,386	)