ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

6 Months Ended

Jun. 30, 2014

ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]

Loyalty deferred revenue

The deferred revenue associated with the loyalty program at June 30, 2014 and December 31, 2013, respectively was $9.1 million and $5.5 million. In total current assets, the Company defers commissions on (i) the sales of packs and products shipped but not received by the customers by the end of the respective period and (ii) the loyalty program. Deferred commissions were $4.8 million and $2.7 million at June 30, 2014 and December 31, 2013, respectively.

Loyalty program	(in thousands)
Loyalty deferred revenue as of June 30, 2013	$	—
Loyalty points forfeited		(1,136	)
Loyalty points used		(723	)
Loyalty points vested		5,072
Loyalty points unvested		2,243
Loyalty deferred revenue as of December 31, 2013	$	5,456

Loyalty deferred revenue as of January 1, 2014	$	5,456
Loyalty points forfeited		(2,231	)
Loyalty points used		(4,619	)
Loyalty points vested		7,342
Loyalty points unvested		3,188
Loyalty deferred revenue as of June 30, 2014	$	9,136

Sales return reserve

For the six months ended June 30, 2014 our sales return reserve consisted of the following (in thousands):

Sales reserve as of January 1, 2014	$	238
Provision related to sales made in current period		774
Adjustment related to sales made in prior periods		10
Actual returns or credits related to current period		(518	)
Actual returns or credits related to prior periods		(250	)
Sales reserve as of June 30, 2014	$	254