Derivatives

6 Months Ended

Jun. 30, 2021

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivatives

6. DERIVATIVES 

The Company has identified various embedded derivatives resulting from certain features in the Company’s existing borrowing arrangements, requiring recognition on its condensed consolidated balance sheets. None of these derivative instruments are designated as a hedge. The following table discloses the fair values of the derivative instruments on the Company’s condensed consolidated balance sheets (in thousands):

	June 30, 2021		December 31, 2020
Derivative assets:
Compound embedded derivative with the Second Lien Facility Agreement	$	668	$	286
Total derivative assets	$	668	$	286
Derivative liabilities:
Compound embedded derivative with the 2013 8.00% Notes	$	(2,944)	$	(123)
Total derivative liabilities	$	(2,944)	$	(123)

The derivative asset recorded for the Compound embedded derivative with the Second Lien Facility Agreement is included in Intangible and other assets, net on the Company's consolidated balance sheets.

 The following table discloses the changes in value recorded as derivative gain (loss) in the Company’s condensed consolidated statement of operations (in thousands): 

	Three Months Ended				Six Months Ended
	June 30, 2021		June 30, 2020		June 30, 2021		June 30, 2020
Compound embedded derivative with the 2013 8.00% Notes	$	(1,077)	$	20	$	(2,821)	$	267
Compound embedded derivative with the Loan Agreement with Thermo	—		—		—		212
Compound embedded derivative with the Second Lien Facility Agreement	(233)		1,140		382		(140)
Total derivative loss	$	(1,310)	$	1,160	$	(2,439)	$	339

The fair value of each embedded derivative liability is marked-to-market at the end of each reporting period, or more frequently as deemed necessary, with any changes in value reported in its condensed consolidated statements of operations and its condensed consolidated statements of cash flows as an operating activity. The Company classifies its derivatives consistent with the classification of the underlying debt on the Company's condensed consolidated balance sheet. See Note 7: Fair Value Measurements for further discussion.