DISCONTINUED OPERATIONS

9 Months Ended

Dec. 31, 2016

DISCONTINUED OPERATIONS [Abstract]

DISCONTINUED OPERATIONS

NOTE 4. DISCONTINUED OPERATIONS

On March 18, 2015, we entered into an asset purchase agreement (“APA”) with Antech pursuant to which we sold substantially all of the assets of our AVRL business. The sale transaction closed on March 31, 2015. The total purchase price under the APA was $21.0 million in cash. During the fourth quarter of fiscal 2015, we received $20.1 million in cash proceeds and we recorded a gain on sale of discontinued operations, net of tax of $7.7 million. During the fourth quarter of fiscal 2016, we recorded $0.6 million, net of tax, as a gain on sale of discontinued operations, upon meeting certain conditions by the first anniversary of the closing date in March 2016.

The AVRL business represents a separate asset group and the sale of assets in this business qualifies as a discontinued operation and accordingly, we reported the results of operations of this business in discontinued operations within the condensed consolidated statements of operations for all periods presented as applicable.

The results from discontinued operations were as follows (in thousands):

	Three Months Ended December 31,					Nine Months Ended  December 31,
Discontinued operations:	2016			2015		2016			2015
Revenues	$	178		$	167	$	524		$	586
Cost of revenues		178			166		524			811
Gross profit (loss)		-			1		-			(225	)
Sales and marketing expense		-			-		-			(91	)
General and administrative expense		24			-		111			-
Other income		-			3		-			127
Income (loss) before income tax provision (benefit)		(24	)		4		(111	)		(7	)
Income tax provision (benefit)		(9	)		-		(41	)		(4	)
Net income (loss) from discontinued operations	$	(15	)	$	4	$	(70	)	$	(3	)

The current and non-current assets and liabilities of discontinued operations were as follows (in thousands):

	December 31, 2016		March 31, 2016
Receivables, net	$	66	$	949
Prepaid expenses and other current assets		-		12
Total current assets of discontinued operations	$	66	$	961
Other current liabilities		87		112
Total current liabilities of discontinued operations	$	87	$	112