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COMMITMENTS AND CONTINGENCIES
12 Months Ended
Dec. 31, 2013
Commitments And Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENCIES

NOTE 14: COMMITMENTS AND CONTINGENCIES

a. The Company is not a party to any litigation or other legal proceedings that the Company believes could reasonably be expected to have a material adverse effect on the Company’s business, results of operations and financial condition.

b. As of December 31, 2013, the Company and its subsidiaries had several non-cancelable operating leases, primarily for facilities and equipment. These leases generally contain renewal options and require the Company and its subsidiaries to pay all executory costs such as maintenance and insurance. In addition, the Company has several fixed service agreements with sub-contractors.

Rent expenses for the years ended December 31, 2011, 2012 and 2013, were $884, $821 and $839, respectively.

As of December 31, 2013, future purchase obligations and minimum rental commitments for leasehold properties and operating leases with non-cancelable terms are as follows:

 

     Minimum rental
commitments for
leasehold
properties
    
Commitments for
other lease
obligations
     Other purchase
obligations
     Total  

2014

   $ 728       $ 1,681       $ 220       $ 2,629   

2015

     151         1,279         —           1,430   

2016

     35         —           —           35   
  

 

 

    

 

 

    

 

 

    

 

 

 
   $ 914       $ 2,960       $ 220       $ 4,094   
  

 

 

    

 

 

    

 

 

    

 

 

 

c. Royalties:

The Company participated in programs sponsored by the Israeli government for the support of research and development activities. Through December 31, 2013, the Company had obtained grants from the Office of the Chief Scientist of the Israeli Ministry of Industry and Trade (the “OCS”) for certain of the Company’s research and development projects. The Company is obligated to pay royalties to the OCS, amounting to 3%-3.5% of the sales of the products and other related revenues (based on the dollar) generated from such projects, up to 100% of the grants received. Royalty payment obligations also bear interest at the LIBOR rate. The obligation to pay these royalties is contingent on actual sales of the products and in the absence of such sales, no payment is required.

During 2011, the Company did not pay any royalties to the OCS since no actual sales were generated from projects that previously received grants from the OCS. During 2012 and 2013, the Company paid royalties to the OCS in the amount $12 and $147, respectively. As of December 31, 2013, the aggregate contingent liability to the OCS (including interest) amounted to $8,575.