DISCONTINUED OPERATIONS

Effective November 9, 2014, the Company completed the sale of substantially all of the assets and certain liabilities of its Legal eDiscovery business in the U.S. and U.K. to Document Technologies, LLC and DTI of London Limited for $23,000 in cash, and recorded a gain of $11,333 in connection with the sale excluding customary working capital adjustments. Based on the terms of the asset purchase agreement, the Company had no significant continuing involvement in the operations of the Legal eDiscovery business after the disposal transaction. In addition, the Company ceased operations in Sweden, which were included within the Hudson Europe segment, during the third quarter of 2014.

The Company concluded that the divestiture of the Legal eDiscovery business and the cessation of operations in Sweden met the criteria for discontinued operations set forth in ASC No. 205, "Presentation of Financial Statements." The Company reclassified its discontinued operations for all periods presented and has excluded the results of its discontinued operations from continuing operations and from segment results for all periods presented.

The carrying amounts of the major classes of assets and liabilities from the Legal eDiscovery business and Sweden operations included as part of the discontinued operations were as follows:



	December 31, 2017						December 31, 2016
	eDiscovery		Sweden		Total		eDiscovery		Sweden		Total
Total assets	$	—	$	—	$	—	$	38	$	—	$	38
Total liabilities (a)	$	56	$	—	$	56	$	291	$	—	$	291


a.	Total liabilities primarily consisted of restructuring liabilities for lease termination payments and severance.

Reported results for the discontinued operations by period were as follows:



	For The Year Ended December 31,
	2017
	eDiscovery			Sweden		Total
Revenue	$	—		$	—	$	—
Gross margin	—			—		—
Business reorganization	21			—		21
Operating income (loss), excluding gain (loss) from sale of business	(21		)	—		(21		)
Other non-operating income (loss), including interest	—			—		—
Gain (loss) from sale of discontinued operations	—			—		—
Income (loss) from discontinued operations before income taxes	(21		)	—		(21		)
Provision (benefit) for income taxes (a)	—			—		—
Income (loss) from discontinued operations	$	(21	)	$	—	$	(21	)



	For The Year Ended December 31,
	2016
	eDiscovery			Sweden			Total
Revenue	$	30		$	—		$	30
Gross margin	130			—			130
Business reorganization	(111		)	—			(111		)
Operating income (loss), excluding gain (loss) from sale of business	187			(19		)	168
Other non-operating income (loss), including interest	—			—			—
Gain (loss) from sale of discontinued operations	—			—			—
Income (loss) from discontinued operations before income taxes	187			(19		)	168
Provision (benefit) for income taxes (a)	25			—			25
Income (loss) from discontinued operations	$	162		$	(19	)	$	143



	For The Year Ended December 31,
	2015
	eDiscovery			Sweden			Total
Revenue	$	(1	)	$	30		$	29
Gross margin	(30		)	30			—
Business reorganization	501			(29		)	472
Operating income (loss), excluding gain (loss) from sale of business	(731		)	14			(717		)
Other non-operating income (loss), including interest	(8		)	—			(8		)
Gain (loss) from sale of discontinued operations	137			1,273			1,410
Income (loss) from discontinued operations before income taxes	(602		)	1,287			685
Provision (benefit) for income taxes (a)	(37		)	—			(37		)
Income (loss) from discontinued operations	$	(565	)	$	1,287		$	722


a.	Income tax expense is provided at the effective tax rate by taxing jurisdiction and differs from the U.S. statutory tax rate of 35% due to the inability of the Company to recognize tax benefits on losses in the U.S. and certain foreign jurisdictions, variations from the U.S. tax rate in foreign jurisdictions, non-deductible expenses and other miscellaneous taxes.