Note 3 - Commitments and Contingent Liabilities

6 Months Ended

Jun. 30, 2016

Commitments and Contingencies Disclosure [Text Block]

NOTE 3:-

COMMITMENTS AND CONTINGENT LIABILITIES

Liens:

The Company has several liens granted to financial institutions mainly to secure various operating lease agreements in connection with its office space.

Lease Commitments:

The Company rents its facilities in all locations under operating leases with lease periods expiring from 2016 - 2026. The lease agreements of VSI and VSL include extension options. VSL leases cars for its employees under operating lease agreements expiring at various dates from 2016 – 2019.

Aggregate minimum rental commitments under non-cancelable leases as of June 30, 2016 for the upcoming years were as follows:

	(unaudited)

2016	$	2,295
2017		4,268
2018		4,020
2019		4,088
2020		3,122
Thereafter		15,827

	$	33,620

Total rent expenses for the six months ended June 30, 2016 and the year ended December 31, 2015 were $1,573 and $4,296, respectively. The total minimum rent to be received in the future under the non-cancelable sublease as of June 30, 2016 was $1,887.

For leases that contain predetermined fixed escalations of the minimum rent, the Company recognizes the related rent expense on a straight-line basis from the date of possession of the property to the end of the initial lease term. The Company records any differences between the straight-line rent amounts and amounts payable under the leases as part of deferred rent, in accrued liabilities or long-term liabilities, as appropriate. Cash or lease incentives received upon entering into certain leases (“tenant allowances”) are recognized on a straight-line basis as a reduction to rent from the date of possession of the property through the end of the initial lease term. The Company records the unamortized portion of tenant allowances as a part of deferred rent, in current liabilities or other long-term liabilities, as appropriate.

On March 31, 2014, the Company entered into a promissory note and related security documents with Bank Leumi USA. The Company may borrow up to $7,000 against certain of its accounts receivable outstanding amount, based on several conditions, at an annual interest rate of the Wall Street Journal Prime Rate less 0.15%. As of June 30, 2016, that rate amounted to 3.35%. This promissory note enables the Company, among other things, to engage in foreign currency hedging transactions with Bank Leumi USA to manage exposure to foreign currency risk without restricted cash requirements. The Company may borrow under the promissory note until May 15, 2017 at which time the principal sum of each such loan, together with accrued and unpaid interest payable, became due and payable. As of June 30, 2016, the Company had no balance outstanding under the promissory note. As part of the transaction, the Company granted the lender a security interest in its personal property, excluding intellectual property and other intangible assets. The promissory note also contains customary events of default