NOTE 13 – OTHER FINANCIAL INFORMATION

Supplemental Balance Sheet Information

Other non-current liabilities consist of the following (in thousands):

	February 28,
	2016		2015
Deferred compensation plan liability	$	3,392	$	2,246
Deferred revenue		1,070		1,652
Deferred rent		559		329
Acquisition-related contingent consideration		530		-
	$	5,551	$	4,227

See Note 7 for information related to non-qualified deferred compensation plan.

The acquisition-related contingent consideration at February 28, 2016 is comprised of the estimated earn-out of $530,000 payable to the sellers in conjunction with the April 2015 acquisition of Crashboxx. See Note 2 for additional information related to this acquisition.

Supplemental Income Statement Information

Investment income consists of the following (in thousands):

	Year Ended February 28,
	2016			2015		2014
Investment income on cash equivalents and marketable securities	$	814		$	58	$	42
Investment income (loss) on Rabbi Trust assets		(359	)		166		-
Unrealized gain on investment in LoJack common stock		1,416			-		-
Total investment income	$	1,871		$	224	$	42

Interest expense consists of the following (in thousands):

	Year Ended February 28,
	2016		2015		2014
Interest expense on convertible senior unsecured notes:
Stated interest at 1.625% per annum	$	2,268	$	-	$	-
Amortization of note discount		4,613		-		-
Amortization of debt issue costs		588		-		-
		7,469		-		-
Other interest expense		126		296		407
Total interest expense	$	7,595	$	296	$	407

Supplemental Cash Flow Information

“Net cash provided by operating activities” in the consolidated statements of cash flows includes cash payments for interest and income taxes as follows (in thousands):

	Year Ended February 28,
	2016		2015		2014
Interest expense paid	$	1,512	$	12	$	117
Income tax paid	$	451	$	347	$	35

Following is the supplemental schedule of non-cash investing and financing activities (in thousands):

	Year Ended February 28,
	2016		2015		2014
Acquisition of Crashboxx in April 2015:
Accrued liability for earn-out consideration	$	455	$	-	$	-

Valuation and Qualifying Accounts

Following is the Company's schedule of valuation and qualifying accounts for the last three years (in thousands):

			Charged
	Balance at		(credited)
	beginning		to costs and					Balance at
	of year		expenses		Deductions			end of year
Allowance for doubtful accounts:
Fiscal 2014	$	461	$	353	$	(53	)	$	761
Fiscal 2015		761		188		(276	)		673
Fiscal 2016		673		170		(221	)		622

Warranty reserve:
Fiscal 2014	$	1,328	$	881	$	(693	)	$	1,516
Fiscal 2015		1,516		1,333		(1,030	)		1,819
Fiscal 2016		1,819		1,015		(942	)		1,892

Deferred tax assets valuation allowance:
Fiscal 2014	$	3,959	$	890	$	-		$	4,849
Fiscal 2015		4,849		150		(840	)		4,159
Fiscal 2016		4,159		-		(2,541	)		1,618

The warranty reserve is included in the Other Current Liabilities in the consolidated balance sheets.