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INVESTMENTS | 6 Months Ended
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Dec. 31, 2015
Disclosure Text Block Supplement [Abstract] |
Investments and Other Noncurrent Assets [Text Block] | NOTE 2. INVESTMENTS As of December 31, 2015, the Company held investments with a fair value of approximately $17.2 million and a cost basis of approximately $18.5 million. The fair value of these investments is approximately 63.2 percent of the Company’s total assets. In addition, the Company owned held-to-maturity and other investments of $750,000 and $2.0 million, respectively, accounted for at amortized cost and under the cost method of accounting, respectively. On December 31, 2015, the Company had $14.6 million and $348,000 at fair value invested in USGIF and an offshore fund the Company advises, respectively. These amounts were included in the Consolidated Balance Sheet as “trading securities” and “available-for-sale securities.” Investments in securities classified as trading are reflected as current assets on the Consolidated Balance Sheets at their fair value. Unrealized holding gains and losses on trading securities are included in earnings in the Consolidated Statements of Operations. Investments in securities classified as available-for-sale, which may not be readily marketable, are reflected as non-current assets on the Consolidated Balance Sheets at their fair value. Unrealized holding gains and losses on available-for-sale securities are excluded from earnings and reported in other comprehensive income as a separate component of shareholders’ equity until realized. Investments in securities held-to-maturity consist of debt securities, maturing October 2016, that are purchased with the intent and ability to hold until maturity. These investments are accounted for at amortized cost. Other investments consist of equity investments in entities over which the Company is unable to exercise significant influence and which do not have readily determinable fair values. These investments are accounted for under the cost method of accounting and evaluated periodically for impairment. The Company considers many factors in determining impairment, including the severity and duration of the decline in value below cost, the Company’s interest and ability to hold the security for a period of time sufficient for an anticipated recovery in value, and the financial condition and specific events related to the issuer. When an impairment of a security is determined to be other than temporary, the impairment is recognized as a loss in the Company’s earnings. The Company records security transactions on trade date. Realized gains (losses) from security transactions are calculated on the first-in/first-out cost basis, unless otherwise identifiable, and are recorded in earnings on the date of sale. The following details the components of the Company’s investments recorded as fair value as of December 31, 2015, and June 30, 2015.
|  | December 31, 2015 |
(dollars in thousands) |  | Cost |  |  | Gains |  |  | (Losses) |  |  | Fair Value |
Trading securities1 |  |  |  |  |  |  |  |  |  |  |  |
Offshore fund |  | $ | 1,184 |  |  | $ | - |  |  | $ | (836 | ) |  | $ | 348 |
Mutual funds - Fixed income |  |  | 12,790 |  |  |  | 79 |  |  |  | (1 | ) |  |  | 12,868 |
Mutual funds - Domestic equity |  |  | 535 |  |  |  | - |  |  |  | (180 | ) |  |  | 355 |
Other |  |  | 46 |  |  |  | - |  |  |  | (46 | ) |  |  | - |
Total trading securities |  | $ | 14,555 |  |  | $ | 79 |  |  | $ | (1,063 | ) |  | $ | 13,571 |
Available-for-sale securities2 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Common Stock - Domestic |  | $ | 109 |  |  | $ | - |  |  | $ | (5 | ) |  | $ | 104 |
Common Stock - International |  |  | 615 |  |  |  | 70 |  |  |  | (39 | ) |  |  | 646 |
Corporate debt |  |  | 1,393 |  |  |  | - |  |  |  | (250 | ) |  |  | 1,143 |
Mutual funds - Fixed income |  |  | 1,229 |  |  |  | 14 |  |  |  | (37 | ) |  |  | 1,206 |
Mutual funds - Domestic equity |  |  | 394 |  |  |  | - |  |  |  | - |  |  |  | 394 |
Other |  |  | 162 |  |  |  | - |  |  |  | (7 | ) |  |  | 155 |
Total available-for-sale securities3 |  | $ | 3,902 |  |  | $ | 84 |  |  | $ | (338 | ) |  | $ | 3,648 |
Held-to-maturity securities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Corporate debt |  | $ | 750 |  |  | $ | - |  |  | $ | - |  |  | $ | 750 |
Total held-to-maturity securities |  | $ | 750 |  |  | $ | - |  |  | $ | - |  |  | $ | 750 |
|  | June 30, 2015 |
(dollars in thousands) |  | Cost |  |  | Gains |  |  | (Losses) |  |  | Fair Value |
Trading securities1 |  |  |  |  |  |  |  |  |  |  |  |
Offshore fund |  | $ | 1,184 |  |  | $ | - |  |  | $ | (703 | ) |  | $ | 481 |
Mutual funds - Fixed income |  |  | 14,691 |  |  |  | 68 |  |  |  | (5 | ) |  |  | 14,754 |
Mutual funds - Domestic equity |  |  | 535 |  |  |  | - |  |  |  | (130 | ) |  |  | 405 |
Other |  |  | 81 |  |  |  | - |  |  |  | (81 | ) |  |  | - |
Total trading securities |  | $ | 16,491 |  |  | $ | 68 |  |  | $ | (919 | ) |  | $ | 15,640 |
Available-for-sale securities2 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Common Stock - Domestic |  | $ | 535 |  |  | $ | 316 |  |  | $ | (9 | ) |  | $ | 842 |
Common Stock - International |  |  | 695 |  |  |  | 309 |  |  |  | (39 | ) |  |  | 965 |
Corporate debt |  |  | 1,433 |  |  |  | - |  |  |  | (817 | ) |  |  | 616 |
Mutual funds - Fixed income |  |  | 1,227 |  |  |  | 9 |  |  |  | (22 | ) |  |  | 1,214 |
Mutual funds - Domestic equity |  |  | 543 |  |  |  | - |  |  |  | (80 | ) |  |  | 463 |
Other |  |  | 169 |  |  |  | 1 |  |  |  | (7 | ) |  |  | 163 |
Total available-for-sale securities3 |  | $ | 4,602 |  |  | $ | 635 |  |  | $ | (974 | ) |  | $ | 4,263 |
1 | Unrealized and realized gains and losses on trading securities are included in earnings in the statement of operations.
2 | Unrealized gains and losses on available-for-sale securities are excluded from earnings and recorded in other comprehensive income as a separate component of shareholders’ equity until realized.
3 | Net unrealized gains (losses) on available-for-sale securities gross and net of tax as of December 31, 2015, are $(254) and $(254), respectively, and as of June 30, 2015, are $(339) and $(339), respectively.
The following tables show the gross unrealized losses and fair values of available-for-sale investment securities with unrealized losses aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position:
|  | December 31, 2015 |
|  | Less Than 12 Months |  |  | 12 Months or Greater |  |  | Total |
|  |  |  |  | Gross |  |  |  |  |  | Gross |  |  |  |  |  | Gross |
|  |  |  |  | Unrealized |  |  |  |  |  | Unrealized |  |  |  |  |  | Unrealized |
(dollars in thousands) |  | Fair Value |  |  | Losses |  |  | Fair Value |  |  | Losses |  |  | Fair Value |  |  | Losses |
Available-for-sale securities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Common stock - Domestic |  | $ | 104 |  |  | $ | (5 | ) |  | $ | - |  |  | $ | - |  |  | $ | 104 |  |  | $ | (5 | )
Common stock - International |  |  | 157 |  |  |  | (21 | ) |  |  | 28 |  |  |  | (18 | ) |  |  | 185 |  |  |  | (39 | )
Corporate debt |  |  | - |  |  |  | - |  |  |  | 931 |  |  |  | (250 | ) |  |  | 931 |  |  |  | (250 | )
Mutual funds - Fixed income |  |  | 2 |  |  |  | - |  |  |  | 190 |  |  |  | (37 | ) |  |  | 192 |  |  |  | (37 | )
Mutual funds - Domestic equity |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
Other |  |  | 102 |  |  |  | (7 | ) |  |  | - |  |  |  | - |  |  |  | 102 |  |  |  | (7 | )
Total available-for-sale securities |  | $ | 365 |  |  | $ | (33 | ) |  | $ | 1,149 |  |  | $ | (305 | ) |  | $ | 1,514 |  |  | $ | (338 | )
|  | June 30, 2015 |
|  | Less Than 12 Months |  |  | 12 Months or Greater |  |  | Total |
|  |  |  |  | Gross |  |  |  |  |  | Gross |  |  |  |  |  | Gross |
|  |  |  |  | Unrealized |  |  |  |  |  | Unrealized |  |  |  |  |  | Unrealized |
(dollars in thousands) |  | Fair Value |  |  | Losses |  |  | Fair Value |  |  | Losses |  |  | Fair Value |  |  | Losses |
Available-for-sale securities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Common stock - Domestic |  | $ | 77 |  |  | $ | (7 | ) |  | $ | 107 |  |  | $ | (2 | ) |  | $ | 184 |  |  | $ | (9 | )
Common stock - International |  |  | 114 |  |  |  | (23 | ) |  |  | 39 |  |  |  | (16 | ) |  |  | 153 |  |  |  | (39 | )
Corporate debt |  |  | 386 |  |  |  | (817 | ) |  |  | - |  |  |  | - |  |  |  | 386 |  |  |  | (817 | )
Mutual funds - Fixed income |  |  | 67 |  |  |  | (7 | ) |  |  | 139 |  |  |  | (15 | ) |  |  | 206 |  |  |  | (22 | )
Mutual funds - Domestic equity |  |  | 463 |  |  |  | (80 | ) |  |  | - |  |  |  | - |  |  |  | 463 |  |  |  | (80 | )
Other |  |  | 112 |  |  |  | (7 | ) |  |  | - |  |  |  | - |  |  |  | 112 |  |  |  | (7 | )
Total available-for-sale securities |  | $ | 1,219 |  |  | $ | (941 | ) |  | $ | 285 |  |  | $ | (33 | ) |  | $ | 1,504 |  |  | $ | (974 | )
Investment income can be volatile and varies depending on market fluctuations, the Company’s ability to participate in investment opportunities, and timing of transactions. The Company expects that gains and losses will continue to fluctuate in the future. Investment income (loss) from the Company’s investments includes:
• | realized gains and losses on sales of securities;
• | unrealized gains and losses on trading securities;
• | realized foreign currency gains and losses;
• | other-than-temporary impairments on available-for-sale securities;
• | other-than-temporary impairments on held-at-cost securities; and
• | dividend and interest income.
The following summarizes investment income reflected in earnings for the periods discussed:
|  | Six Months Ended December 31, |  |  | Three Months Ended December 31, |
(dollars in thousands) |  | 2015 |  |  | 2014 |  |  | 2015 |  |  | 2014 |
Investment Income |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Realized gains on sales of available-for-sale securities |  | $ | 531 |  |  | $ | 382 |  |  | $ | - |  |  | $ | 86 |
Realized losses on sales of trading securities |  |  | (35 | ) |  |  | (6 | ) |  |  | - |  |  |  | (6 | )
Unrealized losses on trading securities |  |  | (133 | ) |  |  | (526 | ) |  |  | (69 | ) |  |  | (295 | )
Realized foreign currency gains |  |  | 52 |  |  |  | 23 |  |  |  | 17 |  |  |  | 4 |
Other-than-temporary declines in available-for-sale securities |  |  | (259 | ) |  |  | - |  |  |  | (199 | ) |  |  | - |
Other-than-temporary declines in securities held at cost |  |  | (258 | ) |  |  | - |  |  |  | (258 | ) |  |  | - |
Dividend and interest income |  |  | 365 |  |  |  | 400 |  |  |  | 238 |  |  |  | 264 |
Total Investment Income (Loss) |  | $ | 263 |  |  | $ | 273 |  |  | $ | (271 | ) |  | $ | 53 |
Included in investment income were other-than temporary declines in value on available-for-sale securities of approximately $199,000 and $259,000 for the three and six months ended December 31, 2015, respectively. The impairment loss resulted from fair values of securities being lower than book value and from proposed changes to debt securities. For the three and six months ending December 31, 2015, there were five and eight securities, respectively, with a combined cost basis of $653,000 and $702,000, respectively, that were written down to a combined fair value of $454,000 and $466,000, respectively. For the six months ended December 31, 2015, another security was written down to the net present value of estimated cash flows. This security had a cost basis of $970,000 and was written down to $947,000. In making these determinations, the Company considered the length of time and extent to which the fair value has been less than the cost basis, financial condition and prospects of the issuers, and the Company's ability to hold the investment until recovery. Also included in investment income were other-than-temporary declines in value on securities held at cost of approximately $258,000 for the three and six months ended December 31, 2015. The impairment loss resulted from the estimated values of certain securities being lower than cost. Three securities held at cost with a combined cost basis of $1.1 million were written down to a combined adjusted cost basis of $867,000.

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