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OTHER ASSETS
3 Months Ended
May 31, 2017
Other Assets, Noncurrent Disclosure [Abstract]  
OTHER ASSETS

NOTE 5 – OTHER ASSETS

Other assets consist of the following (in thousands):

      May 31,       February 28,
2017 2017
Deferred compensation plan assets $      5,102 $            5,801
Investment in international licensees 2,351 2,282
Equity investment in and loans to UK affiliate 2,201 2,402
Other 2,300 2,080
$ 11,954 $ 12,565

The Company has a non-qualified deferred compensation plan in which certain members of management and all non-employee directors are eligible to participate. Participants may defer a portion of their compensation until retirement or a date specified by the participant in accordance with the plan. The Company informally funds the deferred compensation plan obligations by making cash deposits to a Rabbi Trust that are invested in various equity, bond and money market mutual funds in generally the same proportion as investment elections made by the participants for their compensation deferrals. The deferred compensation plan liability is included in Other Non-current Liabilities in the accompanying consolidated balance sheets.

The investment in international licensees of $2,351,000 as of May 31, 2017 consists of a 12.5% equity interest in LoJack’s Mexican licensee of $1,700,000, a 17.5% equity interest in LoJack’s Benelux licensee of $340,000, and a 5.5% interest in LoJack’s French licensee of $311,000. The investments in the Mexican and Benelux licensees, over which the Company does not exercise significant influence, are accounted for using the cost method of accounting and are carried at cost, which represents their fair value as measured on the date of the Company’s acquisition of LoJack. The investment in LoJack’s French licensee, in the form of a marketable equity security, is accounted for as an available-for-sale security and is valued at the quoted closing price on its market exchange as of the reporting date.

In September 2015, the Company invested £1,400,000 or approximately $2,156,000 for a 49% minority ownership interest in Smart Driver Club Limited (“Smart Driver Club”), a technology and insurance startup company located in the United Kingdom. This investment is accounted for under the equity method since the Company has significant influence over the investee. The Company’s equity in the net loss of Smart Driver Club amounted to $337,000 and $312,000 in the three months ended May 31, 2017 and 2016, respectively. The Company made loans aggregating $2,636,000 denominated in British pounds to Smart Driver Club bearing interest at an annual interest rate of 8%, with all principal of £2,000,000 and all unpaid interest due in 2020. The foreign currency translation adjustment for this equity investment amounted to $220,000 as of May 31, 2017 and is included as a component of Accumulated Other Comprehensive Loss in the consolidated balance sheet as of that date.