Note 12 - Palladium Contingent Purchase Price

9 Months Ended

Sep. 30, 2012

Contingent Purchase Price Disclosure Text Box

12.          Palladium Contingent Purchase Price

The change in the CPP for the nine and three months ended September 30, 2012 and 2011 was as follows (in thousands):

	Nine Months Ended September 30,					Three Months Ended September 30,
	2012			2011		2012			2011
Beginning balance	$	3,739		$	3,689	$	3,702		$	4,148
Payment		(1,776	)		0		(1,776	)		0
Change in net present value of the CPP		(54	)		197		(17	)		(262	)
Ending balance	$	1,909		$	3,886	$	1,909		$	3,886

On July 9, 2012, the Company entered into Amendment No. 3 to the Share Purchase and Shareholders’ Rights Agreement which required an upfront payment and revised the terms of the remaining future purchase price for Palladium payable in 2013 to be equal to €1,500,000 plus up to €500,000 based on an amount calculated in accordance with a formula driven by Palladium’s EBITDA for the twelve months ended December 31, 2012.  As a result, on July 12, 2012, the Company made a payment of €1,443,000, or $1,776,000.