Note 11 - Subsequent Events

6 Months Ended

Jun. 30, 2015

11. SUBSEQUENT EVENTS

In July 2015, the Company acquired all of NG Customer-Connect, LLC’s interest in Connect and a portion of Illuminate Health, LLC’s interest in Connect for combined consideration of $2.8 million. Since the Company previously consolidated Connect, the transaction will be accounted for as a reduction to additional paid in capital. Following the transaction, the Company owns approximately 89% of Connect and Illuminate Health, LLC owns 11% of Connect. In addition, the Connect operating agreement was amended. Under the revised agreement, NRC has a future obligation to acquire additional equity units from Illuminate Health when new annual recurring contract value reaches targeted levels. NRC will be required to acquire approximately one-third of Illuminate Health, LLC’s equity units when new annual recurring contract value reaches $7 million, $14 million, and $20 million.

The Company is in discussions with a third party to potentially sell selected assets and liabilities of the Predictive Analytics operating segment. The sale is subject to the parties entering a final definitive agreement. The estimated carrying amount of assets and liabilities to be included in the transaction at June 30, 2015 are as follows (in thousands):

Noncurrent assets		$	1,341
Current liabilities			(551	)