CANTEL MEDICAL LLC - 10-Q filing on 2016-03-10

Fair Value Measurements (Tables)

6 Months Ended

Jan. 31, 2016

Schedule of fair values of financial instruments measured on a recurring basis

	January 31, 2016
	Level 1		Level 2		Level 3		Total
Assets:
Cash and cash equivalents:
Money markets	$	880,000	$	—	$	—	$	880,000

Total assets	$	880,000	$	—	$	—	$	880,000


Liabilities:
Accrued expenses:
Assumed contingent obligation	$	—	$	—	$	12,000	$	12,000
Contingent guaranteed obligation	—		—		461,000		461,000

Total accrued expenses	—		—		473,000		473,000
Other long-term liabilities:
Contingent consideration	—		—		143,000		143,000
Assumed contingent obligation	—		—		1,126,000		1,126,000
Contingent guaranteed obligation	—		—		176,000		176,000

Total other long-term liabilities	—		—		1,445,000		1,445,000

Total liabilities	$	—	$	—	$	1,918,000	$	1,918,000

	July 31, 2015
	Level 1		Level 2		Level 3		Total
Assets:
Cash and cash equivalents:
Money markets	$	1,680,000	$	—	$	—	$	1,680,000

Total assets	$	1,680,000	$	—	$	—	$	1,680,000


Liabilities:
Accrued expenses:
Assumed contingent obligation	$	—	$	—	$	12,000	$	12,000
Contingent guaranteed obligation	—		—		566,000		566,000

Total accrued expenses	—		—		578,000		578,000
Other long-term liabilities:
Contingent consideration	—		—		751,000		751,000
Assumed contingent obligation	—		—		1,126,000		1,126,000
Contingent guaranteed obligation	—		—		322,000		322,000

Total other long-term liabilities	—		—		2,199,000		2,199,000

Total liabilities	$	—	$	—	$	2,777,000	$	2,777,000

Reconciliation of liabilities measured and recorded at fair value on a recurring basis using significant unobservable inputs (Level 3)

				Jet Prep			Cantel Medical (UK)
	Jet Prep			Assumed			Contingent
	Contingent			Contingent			Guaranteed
	Consideration			Obligation			Obligation			Total
Balance, July 31, 2014	$	2,722,000		$	1,752,000		$	1,395,000		$	5,869,000
Total net unrealized losses included in general and administrative expense in earnings	82,000			11,000			54,000			147,000
Settlements	—			—			(132,000		)	(132,000		)
Foreign currency translation	—			—			(77,000		)	(77,000		)

Balance, October 31, 2014	2,804,000			1,763,000			1,240,000			5,807,000
Total net unrealized losses included in general and administrative expense in earnings	84,000			10,000			33,000			127,000
Settlements	—			—			(164,000		)	(164,000		)
Foreign currency translation	—			—			(69,000		)	(69,000		)

Balance, January 31, 2015	2,888,000			1,773,000			1,040,000			5,701,000
Total net unrealized (gains) losses included in general and administrative expense in earnings	(2,159,000		)	(642,000		)	11,000			(2,790,000		)
Settlements	—			—			(161,000		)	(161,000		)
Foreign currency translation	—			—			24,000			24,000

Balance, April 30, 2015	729,000			1,131,000			914,000			2,774,000
Total net unrealized losses included in general and administrative expense in earnings	22,000			7,000			23,000			52,000
Settlements	—			—			(109,000		)	(109,000		)
Foreign currency translation	—			—			60,000			60,000

Balance, July 31, 2015	751,000			1,138,000			888,000			2,777,000
Total net unrealized (gains) losses included in general and administrative expense in earnings	(612,000		)	—			20,000			(592,000		)
Settlements	—			—			(120,000		)	(120,000		)
Foreign currency translation	—			—			(15,000		)	(15,000		)

Balance, October 31, 2015	139,000			1,138,000			773,000			2,050,000
Total net unrealized (gains) losses included in general and administrative expense in earnings	4,000			—			17,000			21,000
Settlements	—			—			(100,000		)	(100,000		)
Foreign currency translation	—			—			(53,000		)	(53,000		)

Balance, January 31, 2016	$	143,000		$	1,138,000		$	637,000		$	1,918,000