v3.22.2.2
Fair Value Measurements
9 Months Ended
Sep. 30, 2022
Fair Value Measurements  
Fair Value Measurements

Note 13. Fair Value Measurements

Fair value measurements are determined based on assumptions that a market participant would use in pricing an asset or a liability. A three-tiered hierarchy distinguishes between market participant assumptions based on (i) observable inputs such as quoted prices in active markets (Level 1), (ii) inputs other than quoted prices in active markets that are observable either directly or indirectly (Level 2) and (iii) unobservable inputs that require the Company to use present value and other valuation techniques in the determination of fair value (Level 3).

The following table presents the placement in the fair value hierarchy measured at fair value on a recurring basis as of September 30, 2022 and December 31, 2021 (in thousands):

Fair value measurement at reporting date using

    

    

Quoted prices in

    

    

active markets

Significant other

Significant

for identical

observable

unobservable

Balance

assets (Level 1)

inputs (Level 2)

inputs (Level 3)

As of September 30, 2022:

 

  

 

  

 

  

 

  

Recurring fair value measurements

Equity securities:

Route1, Inc.

$

194

$

$

194

$

Total equity securities

194

194

Total recurring fair value measurements

$

194

$

$

194

$

As of December 31, 2021

 

  

 

  

 

  

 

  

Recurring fair value measurements

Equity securities:

Route1

$

722

$

$

722

$

Total equity securities

722

722

Total recurring fair value measurements

$

722

$

$

722

$

Equity securities pertain to common shares in Route1, Inc. obtained in the 2018 sale of Group Mobile to Route 1, Inc.  As of September 30, 2022, the Company owns 3,855,443 common shares of Route 1.  In connection with the remeasurement of the common shares of Route 1, Inc., the Company recorded an unrealized loss of $98 and $528 for the three and nine months ended September 30, 2022, respectively, and $302 and $716, for the three and nine months ended September 30, 2021, respectively.

In addition to the above, the Company’s financial instruments as of September 30, 2022 and December 31, 2021 consisted of cash and cash equivalents, receivables, accounts payable and debt. The carrying amounts of all the aforementioned financial instruments approximate fair value because of the short-term maturities of these instruments.