DEI_Document
DEI Document | 3 Months Ended | |
Mar. 31, 2014 | Apr. 30, 2014 | |
DEI [Abstract] | ' | ' |
Entity Registrant Name | 'HOOPER HOLMES INC | ' |
Entity Central Index Key | '0000741815 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Document Type | '10-Q | ' |
Document Period End Date | 31-Mar-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Amendment Flag | 'false | ' |
Entity Common Stock, Shares Outstanding | ' | 70,410,649 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
ASSETS | ' | ' |
Cash and cash equivalents | $2,667 | $3,970 |
Accounts receivable, net of allowance for doubtful accounts of $124 and $153 at March 31, 2014 and December 31, 2013, respectively | 9,099 | 8,398 |
Inventories | 1,457 | 1,376 |
Other current assets | 1,650 | 1,597 |
Assets held for sale | 714 | 714 |
Total current assets | 15,587 | 16,055 |
Property, plant and equipment | 16,345 | 16,018 |
Less: Accumulated depreciation and amortization | 12,617 | 12,257 |
Property, plant and equipment, net | 3,728 | 3,761 |
Other assets | 1,029 | 1,830 |
Total assets | 20,344 | 21,646 |
LIABILITIES AND STOCKHOLDERS' EQUITY | ' | ' |
Accounts payable | 3,234 | 3,440 |
Accrued expenses | 5,605 | 4,036 |
Total current liabilities | 8,839 | 7,476 |
Other long-term liabilities | 796 | 870 |
Commitments and contingencies (Note 10) | ' | ' |
Stockholders' Equity: | ' | ' |
Common stock, par value $.04 per share; Authorized: 240,000,000 shares; Issued: 70,420,044 shares and 70,382,544 shares at March 31, 2014 and December 31, 2013, respectively; Outstanding: 70,410,649 shares and 70,373,149 shares at March 31, 2014 and December 31, 2013, respectively. | 2,817 | 2,815 |
Additional paid-in capital | 150,327 | 150,235 |
Accumulated deficit | -142,364 | -139,679 |
Stockholders' equity | 10,780 | 13,371 |
Less: Treasury stock, at cost; 9,395 shares at March 31, 2014 and December 31, 2013 | -71 | -71 |
Total stockholders' equity | 10,709 | 13,300 |
Total liabilities and stockholders' equity | $20,344 | $21,646 |
Consolidated_Balance_Sheet_Par
Consolidated Balance Sheet (Parentheticals) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ' | ' |
Allowance for doubtful accounts | $124 | $153 |
Common stock, par value (in dollars per share) | $0.04 | $0.04 |
Common stock, shares authorized (in shares) | 240,000,000 | 240,000,000 |
Common stock, shares issued (in shares) | 70,420,044 | 70,382,544 |
Common stock, shares outstanding (in shares) | 70,410,649 | 70,373,149 |
Treasury stock (in shares) | 9,395 | 9,395 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (unaudited) (USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Income Statement [Abstract] | ' | ' |
Revenues | $12,599 | $12,359 |
Cost of operations | 9,985 | 9,160 |
Gross profit | 2,614 | 3,199 |
Selling, general and administrative expenses | 5,036 | 5,206 |
Restructuring charges | 92 | 4 |
Operating loss from continuing operations | -2,514 | -2,011 |
Other expense: | ' | ' |
Interest expense | -1 | -2 |
Interest income | 1 | 3 |
Other expense, net | -46 | -13 |
Other expense | -46 | -12 |
Loss from continuing operations before income taxes | -2,560 | -2,023 |
Income tax expense | 5 | 4 |
Loss from continuing operations | -2,565 | -2,027 |
Discontinued operations: | ' | ' |
Adjustment to gain on sale of Portamedic and subsidiary | -150 | 0 |
Gain (loss) from discontinued operations, including income taxes | 30 | -533 |
Loss from discontinued operations | -120 | -533 |
Net loss | ($2,685) | ($2,560) |
Continuing operations | ' | ' |
Basic (in dollars per share) | ($0.04) | ($0.03) |
Diluted (in dollars per share) | ($0.04) | ($0.03) |
Discontinued operations | ' | ' |
Basic (in dollars per share) | $0 | ($0.01) |
Diluted (in dollars per share) | $0 | ($0.01) |
Net loss | ' | ' |
Basic (in dollars per share) | ($0.04) | ($0.04) |
Diluted (in dollars per share) | ($0.04) | ($0.04) |
Weighted average number of shares - Basic (in shares) | 70,410,649 | 69,835,387 |
Weighted average number of shares - Diluted (in shares) | 70,410,649 | 69,835,387 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Cash flows from operating activities: | ' | ' |
Net loss | ($2,685) | ($2,560) |
Adjustments to reconcile net loss to net cash used in operating activities: | ' | ' |
Adjustment to gain on sale of Portamedic and subsidiary | 150 | 0 |
Depreciation and amortization | 360 | 646 |
Amortization of deferred financing fees | 83 | 0 |
Provision for bad debt expense | -30 | 26 |
Share-based compensation expense | 77 | 235 |
Impairment of long-lived assets and loss on disposal of fixed assets | 0 | 123 |
Change in assets and liabilities: | ' | ' |
Accounts receivable | -672 | -1,742 |
Inventories | -81 | -102 |
Other assets | -229 | -502 |
Accounts payable, accrued expenses and other liabilities | 1,292 | 720 |
Net cash used in operating activities | -1,735 | -3,156 |
Cash flows from investing activities: | ' | ' |
Capital expenditures | -327 | -311 |
Proceeds from the sale of Portamedic | 743 | 0 |
Net cash provided by (used in) investing activities | 416 | -311 |
Cash flows from financing activities: | ' | ' |
Reduction in capital lease obligations | -1 | -48 |
Proceeds related to the exercise of stock options | 17 | 0 |
Debt financing fees | 0 | -967 |
Net cash provided by (used in) financing activities | 16 | -1,015 |
Net decrease in cash and cash equivalents | -1,303 | -4,482 |
Cash and cash equivalents at beginning of period | 3,970 | 8,319 |
Cash and cash equivalents at end of period | 2,667 | 3,837 |
Supplemental disclosure of non-cash investing activities: | ' | ' |
Fixed assets vouchered but not paid | 230 | 182 |
Fixed assets acquired by capital lease | $0 | $62 |
Basis_of_Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
Hooper Holmes, Inc. (“Hooper Holmes” or the "Company”) mobilizes a national network of health professionals to provide on-site health screenings, laboratory testing, risk assessment and sample collection services to wellness and disease management companies, insurance companies, employers, government organizations and academic institutions. The Company also conducts laboratory testing, assembles collection kits, conducts telephone interviews of life insurance applicants, compiles health histories, collects medical records and provides underwriting services to help life insurance companies evaluate underwriting risks. | |
As a provider of services to the health and insurance industries, the Company's business is subject to seasonality, with second and third quarter sales typically dropping below the other quarters due to a decline in activity during the summer months and fourth quarter sales typically the strongest quarter due to annual benefit renewal cycles. | |
The unaudited interim consolidated financial statements of the Company have been prepared in accordance with instructions for Form 10-Q and the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been condensed or omitted pursuant to such rules and regulations. The unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company's 2013 Annual Report on Form 10-K, filed with the SEC on March 31, 2014. | |
Financial statements prepared in accordance with U.S. GAAP require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses and other disclosures. The financial information included herein is unaudited; however, such information reflects all adjustments that are, in the opinion of the Company's management, necessary for a fair statement of results for the interim periods presented. | |
The results of operations for the three month periods ended March 31, 2014 and 2013 are not necessarily indicative of the results to be expected for any other interim period or the full year. See “Management's Discussion and Analysis of Financial Condition and Results of Operations” for additional information. | |
On September 30, 2013, the Company completed the sale of certain assets comprising its Portamedic service line. The Portamedic service line is accounted for as a discontinued operation in this Report. Accordingly, the operating results of Portamedic are segregated and reported as discontinued operations in the accompanying consolidated statements of operations for all periods presented. For further discussion on Discontinued Operations, refer to Note 6. | |
Following the sale of the Portamedic service line, the Company reassessed its segment reporting. Beginning in the fourth quarter of 2013, the Company has reported its financial results in three segments: Health and Wellness, Heritage Labs and Hooper Holmes Services. Previously reported financial statement amounts have been reclassified to reflect the new segment determination for all periods presented in this Report. For further discussion on Segments, refer to Note 13. | |
Subsequent Events | |
On April 16, 2014, the Company entered into a Strategic Alliance Agreement (the “Alliance Agreement”) with Clinical Reference Laboratory, Inc. (“CRL”) pursuant to which, among other things, the Company has agreed to sell certain assets comprising the Company’s Heritage Labs and Hooper Holmes Services business units (the “Business”) to CRL. Under the terms of the Alliance Agreement, CRL has agreed to pay $3.7 million in cash (the “Purchase Price”) for certain assets of the Business, which such assets exclude, among others, all accounts receivable, and to assume specified liabilities related to the Business. The net book value of assets to be sold was approximately $1.5 million as of March 31, 2014, consisting primarily of inventory and property, plant and equipment, qualified as assets held for sale subsequent to March 31, 2014. The transaction is expected to close in the late second quarter or early third quarter of 2014. The Company will retain certain aspects of its sample kit assembly operations centering around the Health and Wellness segment and all other supply chain fulfillment capabilities, which continue to support Health and Wellness operations and other customers. | |
The Company also entered into a Limited Laboratory and Administrative Services Agreement (the “LLASA”) with CRL pursuant to which, among other things, CRL will become the Company’s exclusive provider, subject to certain exceptions, of laboratory testing and reporting services and will also provide administrative services in support of the Company’s Health and Wellness operations. The Company will become a member of CRL’s preferred provider network for wellness programs during the term of the LLASA. The LLASA will become effective upon the closing of the transaction contemplated by the Alliance Agreement (the “Effective Date”), and will continue for five years from such date and auto-renew for an additional five year renewal period unless sooner terminated by either party in accordance with the LLASA. | |
On May 13, 2014, the Company entered into a Purchase and Sale Agreement (the “Purchase and Sale Agreement”) for the sale to McElroy Deutsch Mulvaney & Carpenter, LLP (the “MDMC”) of the buildings, land, certain personal property and other interests comprising the Company’s Basking Ridge, New Jersey property (the “Property”) for an aggregate purchase price of $3.05 million (the “Purchase Price”). Upon entering into the Purchase and Sale Agreement, MDMC made an initial deposit of $75,000 of the Purchase Price with an escrow agent and will deposit an additional $75,000 of the Purchase Price with the escrow agent following the completion of a 40-day inspection period (the “Inspection Period”). The remaining $2.9 million of the Purchase Price will be paid by MDMC to the Company at the closing. Subject to satisfaction of customary closing conditions, the closing is expected to occur five days after the end of the Inspection Period but no later than July 11, 2014. The deposit is refundable to MDMC in certain circumstances. The Basking Ridge real estate was classified as assets held for sale as of March 31, 2014. | |
New Accounting Pronouncements | |
In April 2014, accounting guidance was issued to change the criteria for reporting discontinued operations. Under the new guidance, only disposals of components of an entity that represent strategic shifts that have, or will have, a major effect on an entity’s operations should be reported as discontinued operations in the financial statements. Additionally, the new guidance removes the condition that an entity may not have any significant continuing involvement in the operations of the component after the disposal transaction. The new guidance requires expanded disclosures for discontinued operations, as well as disclosures about the financial effects of significant disposals that do not qualify for discontinued operations. The guidance will be effective for the Company on January 1, 2015, however early adoption is permitted. The Company currently expects to early adopt this accounting guidance in its second fiscal quarter of 2014 concurrent with meeting the criteria for assets held for sale of the Company’s Heritage Labs and Hooper Holmes Services segments. |
Liquidity
Liquidity | 3 Months Ended |
Mar. 31, 2014 | |
Liquidity [Abstract] | ' |
Liquidity | ' |
Liquidity | |
The Company's primary sources of liquidity are cash and cash equivalents and the 2013 Loan and Security Agreement. At March 31, 2014, the Company had $2.7 million in cash and cash equivalents, $6.7 million of working capital and no outstanding debt. | |
For the three month periods ended March 31, 2014 and 2013, the Company incurred losses from continuing operations of $2.6 million and $2.0 million, respectively. The Company’s net cash used in operating activities for the three months ended March 31, 2014 was $1.7 million. The Company has managed its liquidity through the sale of Portamedic and a series of cost reduction and accounts receivable collection initiatives. | |
Transition Initiatives | |
During the three month period ended March 31, 2014, the Company incurred $1.1 million of costs, which are recorded in selling, general and administrative expenses in the consolidated statement of operations, in connection with the relocation of its corporate headquarters to Olathe, Kansas, and contributed to the loss from continuing operations during the quarter. The Company relocated its headquarters to Olathe, Kansas during the first quarter of 2014, where the Health and Wellness facilities are located. As of March 31, 2014, the Basking Ridge, New Jersey real estate continued to be classified as assets held for sale. On May 13, 2014, the Company entered into an agreement for the sale of the Basking Ridge, New Jersey real estate. | |
Holdback Related to the Sale of Portamedic | |
On September 30, 2013, the Company completed the sale of Portamedic. Approximately $2.0 million (“Holdback Amount”) of the purchase price was held back by the acquirer as security for the Company’s obligations under the agreements between the Company and the acquirer. (Refer to Note 6). The Holdback Amount includes two components of $1.0 million each. During the first quarter of 2014, the Company received $0.7 million of the first Holdback Amount. The Company currently anticipates finalization and collection on the second Holdback Amount in the first quarter of 2015. The Company has recorded the remaining receivable related to the second Holdback Amount at the amount it believes will be collected. There cannot be any assurance that the remaining Holdback Amounts will be collected by the Company. | |
2013 Loan and Security Agreement | |
The Company maintains a three year 2013 Loan and Security Agreement, as amended, (collectively, the “2013 Loan and Security Agreement”), with Keltic Financial Partners II, LP (“Keltic Financial”) (refer to Note 9). Borrowings under the 2013 Loan and Security Agreement are to be used for working capital purposes and capital expenditures. The amount available for borrowing may be less than the $10 million under this facility at any given time due to the manner in which the maximum available amount is calculated. The Company has an available borrowing base subject to reserves established at the lender's discretion of 85% of Eligible Receivables (as defined in the 2013 Loan and Security Agreement) up to $10 million under this facility. Eligible Receivables do not include Heritage Labs receivables, certain Hooper Holmes Services receivables, and other receivables deemed ineligible by the lender. Eligible Receivables include only billed receivables and concentration limits such that borrowing capacity may be affected by the Company's billing and revenue cycles. As of March 31, 2014, the lender applied a discretionary reserve of $0.5 million. Available borrowing capacity, net of this discretionary reserve was $3.1 million based on Eligible Receivables as of March 31, 2014. As of March 31, 2014, there were no borrowings outstanding under the 2013 Loan and Security Agreement. | |
The Company is also working with Keltic Financial to modify the financial covenants of the 2013 Loan and Security Agreement in an effort to be more in-line with the Company's operations and strategy going forward. If the Company is not able to successfully execute favorable amendments to the existing credit facility, the Company's borrowing capacity may be limited. | |
The 2013 Loan and Security Agreement contains various covenants, including financial covenants which required the Company to achieve a minimum EBITDA amount (earnings before interest expense, income taxes, depreciation and amortization) beginning with the twelve months ending June 30, 2014 as the first measurement date. The lender recently waived the quarterly minimum EBITDA covenants for the fiscal period ended December 31, 2014. The Company continues to have limitations on the maximum amount of unfunded capital expenditures for each fiscal year. | |
Subsequent Events | |
On April 16, 2014 under the Alliance Agreement (refer to Note 1), CRL has agreed to pay $3.7 million in cash for certain assets of the Business, which such assets exclude, among others, all accounts receivable, and to assume specified liabilities related to the Business. The Company will retain certain aspects of its sample kit assembly operations centering around the Health and Wellness segment and all other supply chain fulfillment capabilities, which continue to support Health and Wellness operations and other customers. | |
On May 13, 2014 under the Purchase and Sale Agreement (refer to Note 1), MDMC has agreed to pay $3.05 million in cash for the Property. | |
These transactions will provide the Company with additional capital to invest as it focuses on growth supporting Health and Wellness operations. | |
Other Considerations | |
The Company's Health and Wellness business sells through wellness, disease management and insurance companies who ultimately have the relationship with the end customer. The Company's current services are aggregated with its partners' offerings to provide a total solution. As such, the Company's success is largely dependent on that of its partners. | |
Through the focus on the Health and Wellness sector, the Company believes it will be able to capitalize on the opportunities that exist in the Health and Wellness sector given the macro-economic focus on health care costs and improving the efficiency of health care delivery in the United States to grow revenue. | |
If the Company is not able to realize the benefits from the consolidation in Kansas and control the costs of transition, grow the Health and Wellness business as it seeks to streamline operations and improve efficiency through increased revenue and cost reduction initiatives, the Company may not have sufficient Eligible Receivables and the lender may increase reserves such that the Company may not be able to borrow under the 2013 Loan and Security Agreement. These and other factors could adversely affect liquidity and the Company's ability to generate cash flow in the future. | |
Based on the Company's anticipated level of future revenues and gross profits, anticipated cost reduction initiatives, cash proceeds in connection with the Alliance Agreement, the sale of the Basking Ridge, New Jersey real estate, and existing cash and cash equivalents and borrowing capacity, the Company believes it has sufficient funds to meet its cash needs to fund operation expenses and capital expenditures for the twelve months following March 31, 2014. |
Loss_Earnings_Per_Share
(Loss) Earnings Per Share | 3 Months Ended | |
Mar. 31, 2014 | ||
Earnings Per Share [Abstract] | ' | |
(Loss) Earnings Per Share | ' | |
(Loss) Earnings Per Share | ||
Basic (loss) earnings per share equals net (loss) income divided by the weighted average common shares outstanding during the period. Diluted (loss) earnings per share equals net (loss) income divided by the sum of the weighted average common shares outstanding during the period plus dilutive common stock equivalents. The calculation of (loss) earnings per common share on a basic and diluted basis was the same because the inclusion of dilutive common stock equivalents would have been anti-dilutive for all periods presented. | ||
Outstanding stock options to purchase approximately 3,917,000 and 5,607,500 shares of the Company's common stock were excluded from the calculation of diluted loss per share for the three month periods ended March 31, 2014 and 2013, respectively, because their exercise prices exceeded the average market price of the Company's common stock for such periods and, therefore, were antidilutive. |
Impairment_of_Longlived_Assets
Impairment of Long-lived Assets | 3 Months Ended |
Mar. 31, 2014 | |
Asset Impairment Charges [Abstract] | ' |
Impairment of Long-lived Assets | ' |
Impairment of Long-lived Assets | |
The Company evaluates the recovery of its long-lived assets when events or changes in circumstances occur that indicate that the carrying value of assets may not be recoverable. For the three month period ended March 31, 2014, the Company evaluated the long-lived assets associated with Heritage Labs and Hooper Holmes Services in connection with the anticipated sale of certain assets under the Alliance Agreement with CRL. The Company concluded these long-lived assets were not impaired. There were no impairment charges recorded for these assets in continuing operations during the three month periods ended March 31, 2014 or 2013. |
ShareBased_Compensation
Share-Based Compensation | 3 Months Ended | |||||||||||
Mar. 31, 2014 | ||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||
Share-Based Compensation | ' | |||||||||||
Share-Based Compensation | ||||||||||||
Employee Share-Based Compensation Plans - On May 29, 2008, the Company's shareholders approved the 2008 Omnibus Employee Incentive Plan (the “2008 Plan”) providing for the grant of stock options, stock appreciation rights, non-vested stock and performance shares. The 2008 Plan provides for the issuance of an aggregate of 5,000,000 shares. For the three months ended March 31, 2014, the Company granted 162,600 options to purchase shares under the 2008 Plan. For the three months ended March 31, 2013, there were no options for the purchase of shares granted under the 2008 Plan. As of March 31, 2014, approximately 3,209,300 shares remain available for grant under the 2008 Plan. | ||||||||||||
On May 24, 2011, the Company's shareholders approved the 2011 Omnibus Employee Incentive Plan (the "2011 Plan") providing for the grant of stock options and non-vested stock awards. On May 29, 2013, the Company's shareholders approved an amendment and restatement of the 2011 Plan which increased the number of shares of the Company's common stock available for issuance from 1,500,000 shares to 3,500,000 shares (subject to adjustment as provided in the Amended and Restated Omnibus Plan). During the three months ended March 31, 2014, the Company granted 300,000 options to purchase shares under the 2011 Plan. There were no options for the purchase of shares granted under the 2011 Plan during the three month periods ended March 31, 2013. As of March 31, 2014, approximately 1,166,750 shares remain available for grant under the 2011 Plan as amended. | ||||||||||||
Options awarded under the 2008 and 2011 Plans (as amended) are granted at fair value on the date of grant, are exercisable in accordance with a vesting schedule specified in the grant agreement, and have contractual lives of 10 years from the date of grant. Options to purchase an aggregate of 500,000 shares of the Company's stock granted to certain executives of the Company in December 2010 vested 50% on each of the first and second anniversaries of the grant. Options to purchase an aggregate of 1,344,100 shares of the Company's stock granted to certain employees of the Company vest one-third on each of the first, second and third anniversaries of the grant. Options to purchase 2,000,000 shares of the Company's stock granted to the Chief Executive Officer of the Company in September 2013, vest 25% upon receipt of the grant and 25% on the first, second and third anniversary of the grant. Other options granted by the Company vest 25% on each of the second through fifth anniversaries of the grant. | ||||||||||||
The fair value of the stock options granted during the three month period ended March 31, 2014 was estimated on the date of grant using the Black-Scholes option pricing model with the following weighted average assumptions: | ||||||||||||
Three Months Ended March 31, | ||||||||||||
2014 | ||||||||||||
Expected life (years) | 5.24 | |||||||||||
Expected volatility | 85.00% | |||||||||||
Expected dividend yield | —% | |||||||||||
Risk-free interest rate | 1.80% | |||||||||||
Weighted average fair value of options granted during the period | $0.38 | |||||||||||
The following table summarizes stock option activity for the three month period ended March 31, 2014: | ||||||||||||
Number of Shares | Weighted Average Exercise Price Per Share | Weighted Average remaining Contractual Life (years) | Aggregate Intrinsic Value (in thousands) | |||||||||
Outstanding balance at December 31, 2013 | 4,150,550 | $ | 0.75 | |||||||||
Granted | 462,600 | 0.56 | ||||||||||
Exercised | (37,500 | ) | 0.45 | |||||||||
Expired | (505,550 | ) | 1.2 | |||||||||
Forfeited | (83,500 | ) | 0.57 | |||||||||
Outstanding balance at March 31, 2014 | 3,986,600 | 0.68 | 8.5 | $222 | ||||||||
Options exercisable at March 31, 2014 | 1,388,700 | $ | 0.99 | 6.8 | $51 | |||||||
The aggregate intrinsic value disclosed in the table above represents the difference between the Company's closing stock price on the last trading day of the quarter ended March 31, 2014 and the exercise price, multiplied by the number of in-the-money stock options. | ||||||||||||
During the three ended March 31, 2014, an aggregate of 37,500 stock options valued with a weighted average exercise price of $0.45 were exercised. No stock options were exercised during the three months ended March 31, 2013. Options for the purchase of an aggregate of 24,400 shares of common stock vested during the three month period ended March 31, 2014, and the aggregate fair value at grant date of these options was $0.01 million. As of March 31, 2014, there was approximately $0.7 million of total unrecognized compensation cost related to stock options. The cost is expected to be recognized over a weighted average period of 2.0 years. | ||||||||||||
In July 2009, an aggregate of 500,000 shares of non-vested stock were granted under the 2008 Plan. The fair value of these non-vested stock awards were based on the grant date fair value of $0.45 per share. The shares vest as follows: 25% after two years and 25% on each of the next three anniversary dates thereafter. As of March 31, 2014, an aggregate of 343,750 shares of such non-vested stock were forfeited and 150,000 were vested. In July 2011, an aggregate of 305,000 shares of non-vested stock were granted under the 2008 Plan. The fair value of these non-vested stock awards were based on the grant date fair value of $1.06 per share. As of March 31, 2014, an aggregate of 141,400 shares of such non-vested stock were forfeited and 155,100 were vested. The shares vest as follows: 33% on each of the first and second anniversary dates and 34% on the third anniversary. As of March 31, 2014, there was approximately $0.03 million of total unrecognized compensation cost related to non-vested stock awards. The cost is expected to be recognized over a weighted average period of 0.6 years. | ||||||||||||
Employee Stock Purchase Plan - The Company's 2004 Employee Stock Purchase Plan (the "2004 Plan") provides for the granting of purchase rights for up to 2,000,000 shares of the Company's stock to eligible employees of the Company. The 2004 Plan provides employees with the opportunity to purchase shares on the date thirteen months from the grant date (“the purchase date”) at a purchase price equal to 95% of the closing price of the Company’s common stock on the NYSE MKT on the grant date. During the period between the grant date and the purchase date, up to 10% of a participating employee's compensation, not to exceed $0.025 million, is withheld to fund the purchase of shares. Employees can cancel their purchases at any time during the period without penalty. In February 2013, under the 2004 Plan, purchase rights for approximately 233,000 shares were granted with an aggregate fair value of $0.03 million, based on the Black-Scholes option pricing model. The February 2013 offering period concluded in March 2014 and, in accordance with the 2004 Plan's automatic termination provision, there will be 36,154 shares issued. In February 2012, under the 2004 Plan, purchase rights for approximately 273,000 shares were granted with an aggregate grant date fair value of $0.05 million, based on the Black-Scholes pricing model. This offering period concluded in March 2013 and, in accordance with the 2004 Plan's automatic termination provision, no shares were issued. Unless terminated earlier by the Board of Directors, the 2014 Plan will terminate December 31, 2024. | ||||||||||||
Other Stock Awards - On May 30, 2007, the Company's shareholders approved the Hooper Holmes, Inc. 2007 Non-Employee Director Restricted Stock Plan (the “2007 Plan”), which provides for the automatic grant, on an annual basis for 10 years, of shares of the Company's stock to the Company's non-employee directors. The total number of shares that may be awarded under the 2007 Plan is 600,000. As of March 31, 2014, there remain available for grant approximately 360,000 shares under the 2007 Plan. Each non-employee member of the Board of Directors other than the non-executive chair receives 5,000 shares annually and the non-executive chair receives 10,000 shares annually of the Company's stock, with such shares vesting immediately upon issuance. The Company believes that the shares awarded under the 2007 Plan are “restricted securities”, as defined in SEC Rule 144 under the Securities Act of 1933, as amended (the "Securities Act"). The Company filed a Registration Statement on Form S-8 with respect to the 2007 Plan on April 16, 2008. The directors who receive shares under the 2007 Plan are "affiliates" as defined in Rule 144 under the Securities Act and thus remain subject to the applicable provisions of Rule 144. In addition, the terms of the awards (whether or not restricted) specify that the shares may not be sold or transferred by the recipient until the director ceases to serve on the Board or, if at that time the director has not served on the Board for at least four years, on the fourth anniversary of the date the director first became a Board member. During the three months ended March 31, 2014 and 2013, no shares were awarded under the 2007 Plan. | ||||||||||||
The Company recorded $0.1 million and $0.2 million of share-based compensation expense in selling, general and administrative expenses for the three month periods ended March 31, 2014 and 2013. |
Discontinued_Operations
Discontinued Operations | 3 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ||||||
Discontinued Operations | ' | ||||||
Discontinued Operations | |||||||
On September 30, 2013, the Company completed the sale of certain assets comprising the Portamedic service line to Piston Acquisition, Inc., a subsidiary of American Para Professional Systems, Inc., (“Piston”). Pursuant to the terms of the Asset Purchase Agreement, the Company sold assets associated with the Portamedic service line to Piston, including, among other things, fixed assets, inventory and intellectual property, and Piston assumed certain specified liabilities. The adjusted purchase price (the "Purchase Price") was approximately $8.1 million in cash, adjusted from $8.4 million at announcement due to changes in working capital. Piston held back $2.0 million of the Purchase Price as security for the obligations under the Asset Purchase Agreement and certain other agreements between the Company and Piston. | |||||||
The Holdback Amount includes two components. The first holdback is $1.0 million, subject to adjustments, and is released in total as follows: within three business days after the date on which final closing adjustments for inventory and other current assets are determined and paid (the “Closeout Date”). The remaining $1.0 million of the Holdback Amount, less any deductions or adjustments with respect to fixed assets, indemnification claims and any amounts in respect of any indemnification claims then in dispute, will be paid on the first anniversary of the Closeout Date. During the first quarter of 2014, the Company received $0.7 million of the first Holdback Amount. As a result, the amount remaining related to the first Holdback Amount was written off during the three months ended March 31, 2014 as a charge to the adjustment to gain on sale of Portamedic and subsidiary in the statement of operations. The Company has recorded the receivable related to the second Holdback Amount at the amount it believes will be collected. There cannot be any assurance that the remaining the Holdback Amounts will be collected by the Company. The Company currently anticipates finalization and collection on the second Holdback Amount in the first quarter of 2015. | |||||||
The table below summarizes the operating results of Portamedic which are reported in discontinued operations in the accompanying consolidated statement of operations. Income taxes, which comprise margin tax expenses, relating to the operations of Portamedic were less than $0.1 million for the three month period ended March 31, 2013. | |||||||
Three Months Ended | |||||||
31-Mar | |||||||
(in thousands) | 2014 | 2013 | |||||
Revenues | $ | — | $ | 23,648 | |||
Gain (loss) from discontinued operations | $ | 30 | $ | (533 | ) | ||
Adjustment to gain on sale of Portamedic and subsidiary | $ | (150 | ) | $ | — | ||
As of March 31, 2014, the Basking Ridge, New Jersey real estate continued to be classified as assets held for sale as the Board authorized the sale of the real estate during the fourth quarter of 2013. The land and building owned in Basking Ridge, New Jersey of $0.7 million are recorded as assets held for sale at March 31, 2014 and December 31, 2013. On May 13, 2014, the Company entered into an agreement for the sale of the Basking Ridge, New Jersey real estate. |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2014 | |
Inventory Disclosure [Abstract] | ' |
Inventories | ' |
Inventories | |
Included in inventories at March 31, 2014 and December 31, 2013 are $0.6 million and $0.4 million, respectively, of finished goods and $0.8 million and $1.0 million, respectively, of components. |
Restructuring_Charges
Restructuring Charges | 3 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Restructuring Charges [Abstract] | ' | |||||||||||||||
Restructuring Charges | ' | |||||||||||||||
Restructuring Charges | ||||||||||||||||
During the three month periods ended March 31, 2014, the Company recorded restructuring charges in continuing operations totaling $0.1 million. The restructuring charges for the three month period ended March 31, 2014 consisted of employee severance. | ||||||||||||||||
At March 31, 2014, there was a total of $0.7 million related to restructuring charges, including employee severance and branch closure costs, are recorded in accrued expenses in the accompanying consolidated balance sheet. The following table provides a summary of the activity in the restructure accrual for the three months ended March 31, 2014: | ||||||||||||||||
As of | As of | |||||||||||||||
(In thousands) | 31-Dec-13 | Charges | Payments | 31-Mar-14 | ||||||||||||
Severance | $ | 531 | $ | 92 | $ | (213 | ) | $ | 410 | |||||||
Branch closure obligation | 415 | — | (148 | ) | 267 | |||||||||||
Total | $ | 946 | $ | 92 | $ | (361 | ) | $ | 677 | |||||||
Loan_and_Security_Agreements
Loan and Security Agreements | 3 Months Ended |
Mar. 31, 2014 | |
Debt Disclosure [Abstract] | ' |
Loan and Security Agreements | ' |
Loan and Security Agreement | |
The Company maintains a three year 2013 Loan and Security Agreement, as amended on March 28, 2013 by the First Amendment, with Keltic Financial. Borrowings under the 2013 Loan and Security Agreement are to be used for working capital purposes and capital expenditures. The amount available for borrowing may be less than the $10 million under this facility at any given time due to the manner in which the maximum available amount is calculated. The Company has an available borrowing base subject to reserves established at the lender's discretion of 85% of Eligible Receivables up to $10 million under this facility. Eligible Receivables do not include Heritage Labs receivables, certain Hooper Holmes Services receivables, and other receivables deemed ineligible by Keltic Financial. Eligible Receivables include only billed receivables such that borrowing capacity may be affected by the Company's billing cycles. As of March 31, 2014, the lender applied a discretionary reserve of $0.5 million. Available borrowing capacity, net of this discretionary reserve was $3.1 million based on Eligible Receivables as of March 31, 2014. As of March 31, 2014, there were no borrowings outstanding under the 2013 Loan and Security Agreement. | |
Interest on revolving credit loans is calculated based on the greatest of (i) the annualized prime rate plus 2.75%, (ii) the 90 day LIBOR rate plus 5.25%, and (iii) 6% per annum. The interest rate on the 2013 Loan and Security Agreement was 6.00% as of March 31, 2014. The Company is obligated to pay, on a monthly basis in arrears, an annual facility fee equal to 1% of the revolving credit limit of $10 million. During the three month periods ended March 31, 2014 and 2013, in connection with the 2013 Loan and Security Agreement, the Company incurred $0.01 million in facility fees. | |
The revolving credit loans are payable in full, together with all accrued interest and fees, on February 28, 2016. The 2013 Loan and Security Agreement provides for the prepayment of the entire outstanding balance of the revolving credit loans. The Company would be required to pay an early termination fee equal to 3% of the revolving credit limit if the termination occurs prior to February 28, 2015, and 2% if the termination occurs after February 28, 2015 but prior to February 28, 2016. | |
As security for payment and other obligations under the 2013 Loan and Security Agreement, the Company granted Keltic Financial a security interest in all of its, and its subsidiary guarantors, existing and after-acquired property, including receivables (which are subject to a lockbox account arrangement), inventory, equipment and the Basking Ridge, New Jersey real estate. The aforementioned security interest is collectively referred to herein as the “collateral”. | |
The 2013 Loan and Security Agreement contains various covenants, including financial covenants which require the Company to achieve a minimum EBITDA amount (earnings before interest expense, income taxes, depreciation and amortization) beginning with the twelve months ending June 30, 2014 as the first measurement date. The lender recently waived the quarterly minimum EBITDA covenants for the fiscal period ended December 31, 2014. The Company continues to have limitations on the maximum amount of unfunded capital expenditures for each fiscal year. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
Commitments and Contingencies | |
The Company leases its corporate headquarters in Olathe, Kansas, continuing laboratory facility and operations centers under operating leases which expire in various years through 2018. These leases generally contain renewal options and require the Company to pay all executory costs (such as property taxes, maintenance and insurance). The Company also leases copiers and other miscellaneous equipment. These leases expire in various years through 2017. | |
The Company is still the primary lessee under operating leases for 12 Portamedic branch offices with terms extending through September 2016, which are subleased by the acquirer of the former Portamedic business. The acquirer pays 100% of the rent and other executory costs for these 12 offices in the form of a contractual obligation for the remaining lease term. If the Company is unable to assign these leases to the acquirer of the former Portamedic business, the Company will let the leases expire with no intent of renewal. | |
In addition, the Company is still the primary lessee under 17 operating leases related to former Portamedic offices not utilized for continuing operations, which are not subleased by the acquirer of the former Portamedic business. The Company has accrued in previous periods approximately $0.3 million as branch closure obligations. The accrual is included as a component of the restructure reserve in the consolidated balance sheet as of March 31, 2014. | |
The Company has employment agreements with its Chief Executive Officer and Chief Financial Officer that provide for payment of base salary for a one year period in the event their employment with the Company is terminated in certain circumstances, including following a change in control, as further defined in the agreements. | |
In the past, some federal and state agencies have claimed that the Company improperly classified its health professionals as independent contractors for purposes of federal and state unemployment and/or worker's compensation tax laws and that the Company was therefore liable for taxes in arrears, or for penalties for failure to comply with their interpretation of the laws. There are no assurances that the Company will not be subject to similar claims in the future. The Company has determined that losses related to the remaining complaint are not probable or estimable. |
Litigation
Litigation | 3 Months Ended |
Mar. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Litigation | ' |
Litigation | |
On April 23, 2012, a complaint was filed against the Company in U.S. District Court for the District of New Jersey on behalf of a purported class of employee examiners alleging, among other things, that the Company had failed to pay overtime compensation to certain employees as required by federal law. On May 24, 2012, a related complaint was filed against the Company in the same court alleging, among other things, that the Company similarly failed to pay overtime compensation to a purported class of certain independent contractor examiners who, the complaint alleges, should be treated as employees for purposes of federal law. The complaints seek award of an unspecified amount of allegedly unpaid overtime wages to certain examiners. The Company believes the allegations in the cases are without merit, has filed answers in both cases denying the substantive allegations therein. By Consent Order filed March 11, 2013, the court approved a settlement of $0.05 million between the Company and the named plaintiffs in the employee case, and the case was dismissed with prejudice. Preliminary discovery and motion practice are being conducted in the contractor case. The claim is not covered by insurance, and the Company is incurring legal costs to defend the litigation which are recorded in continuing operations. This matter relates to the former Portamedic service line for which the Company retained liability. The Company has determined that losses related to the remaining complaint are not probable or estimable. | |
On July 30, 2013, a complaint was filed against the Company in the California Superior Court, San Bernadino County, on behalf of a putative class of employees alleging, among other things, that the Company failed to pay wages and other compensation as required by state law. The complaint seeks award of an unspecified amount of damages and penalties. The Company has denied all of the allegations in the case and believes them to be without merit. In January 2014, the Superior Court referred the parties to mediation and a mediation date of July 17, 2014 is scheduled. The Superior Court also set a trial date of August 10, 2015. The Company has determined that the losses related to these matters are not probable or estimable. The claim is not covered by insurance, and as a result, the Company is incurring legal costs to defend the litigation. | |
The Company is a party to a number of other legal actions arising in the ordinary course of its business. In the opinion of management, the Company has substantial legal defenses and/or insurance coverage with respect to all of its pending legal actions. Accordingly, none of these actions is expected to have a material adverse effect on the Company’s liquidity, its consolidated results of operations or its consolidated financial position. |
Income_Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
Income Taxes | |
The Company recorded tax expense of less than $0.01 million in continuing operations for each of three month periods ended March 31, 2014 and 2013 reflecting a state tax liability to one state. No amounts were recorded for unrecognized tax benefits or for the payment of interest and penalties during the three month periods ended March 31, 2014 and 2013. No federal or state tax benefits were recorded relating to the current year loss, as the Company continues to believe that a full valuation allowance is required on its net deferred tax assets. | |
The 2011 federal income tax return is currently under examination by the Internal Revenue Service. The remaining tax years 2010 through 2013 may be subject to federal examination and assessment. Tax years from 2006 through 2009 remain open solely for purposes of federal and certain state examination of net operating loss and credit carryforwards. State income tax returns may be subject to examination for tax years 2009 through 2013, depending on state tax statute of limitations. | |
As of December 31, 2013, the Company has U.S. federal and state net operating loss carryforwards of $140.0 million and $127.2 million, respectively. There has been no significant change in these balances as of March 31, 2014. The net operating loss carryforwards, if unutilized, will expire in the years 2014 through 2033. |
Segments
Segments | 3 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Segments | ' | ||||||||||||||||
Segments | |||||||||||||||||
Following the sale of the Portamedic service line, the Company reassessed its segment reporting to align with the information that the Company's chief operating decision maker regularly reviews since the sale of Portamedic. Beginning in the fourth quarter of 2013, the Company reports financial results in three segments: Health and Wellness (health risk assessments including biometric screenings), Heritage Labs (laboratory testing and kit assembly for third parties) and Hooper Holmes Services (health information services). Financial statement amounts have been recast to reflect the new segment determination for all periods presented in this Report, including certain revenues and costs previously reported as a part of discontinued Portamedic operations which have been reclassified to Hooper Holmes Services to conform to current period presentation. The determination of segment assets involves a degree of management judgment and estimates as the Company has not historically prepared balance sheets by service line. Segment asset information is not provided as of March 31, 2013, as previously indicated, the Company reported one segment through September 30, 2013 and did not historically separate working capital by service line. As of March 31, 2014, substantially all of the Company's services are provided within the United States, and substantially all of the Company's assets are located within the United States. | |||||||||||||||||
The table presented below provides disclosures by segment for the three month periods ended March 31, 2014 and 2013. Intercompany revenue for the three month periods ended March 31, 2013 was $0.5 million, representing Heritage Lab revenue for kit sales to the discontinued Portamedic operations at arms' length sales prices. Heritage Lab also performs services to Health and Wellness. These services are recorded at Heritage Labs' cost directly within the Health and Wellness segment, and thus, no intercompany elimination is required. | |||||||||||||||||
Three Months Ended March 31, 2014 | Health and Wellness | Heritage Labs | Hooper Holmes Services | Unallocated Corporate | Total | ||||||||||||
Revenues | $ | 7,089 | $ | 2,522 | $ | 2,988 | $ | — | $ | 12,599 | |||||||
Operating income (loss) | 497 | 338 | (62 | ) | (3,287 | ) | (a) | (2,514 | ) | ||||||||
Segment assets | 7,223 | 3,786 | 2,847 | 6,488 | 20,344 | ||||||||||||
a) Unallocated corporate includes selling, general and administrative costs that the Company has not allocated to its segments. For the three month period ended March 31, 2014, the Company incurred $1.1 million of costs, which are recorded in unallocated corporate in the table above in connection with the relocation of its corporate headquarters to Olathe, Kansas. | |||||||||||||||||
Three Months Ended March 31, 2013 | Health and Wellness | Heritage Labs | Hooper Holmes Services | Unallocated Corporate | Total | ||||||||||||
Revenues | $ | 5,150 | $ | 3,145 | $ | 4,064 | $ | — | $ | 12,359 | |||||||
Operating income (loss) | (15 | ) | 196 | (470 | ) | (1,722 | ) | (b) | (2,011 | ) | |||||||
b) Unallocated corporate includes selling, general and administrative costs that the Company has not allocated to its segments. |
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 3 Months Ended |
Mar. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Basis of Presentation | ' |
The unaudited interim consolidated financial statements of the Company have been prepared in accordance with instructions for Form 10-Q and the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been condensed or omitted pursuant to such rules and regulations. The unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company's 2013 Annual Report on Form 10-K, filed with the SEC on March 31, 2014. | |
Financial statements prepared in accordance with U.S. GAAP require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses and other disclosures. The financial information included herein is unaudited; however, such information reflects all adjustments that are, in the opinion of the Company's management, necessary for a fair statement of results for the interim periods presented. | |
The results of operations for the three month periods ended March 31, 2014 and 2013 are not necessarily indicative of the results to be expected for any other interim period or the full year. See “Management's Discussion and Analysis of Financial Condition and Results of Operations” for additional information. | |
Discontinued Operations | ' |
On September 30, 2013, the Company completed the sale of certain assets comprising its Portamedic service line. The Portamedic service line is accounted for as a discontinued operation in this Report. Accordingly, the operating results of Portamedic are segregated and reported as discontinued operations in the accompanying consolidated statements of operations for all periods presented. |
ShareBased_Compensation_Tables
Share-Based Compensation (Tables) | 3 Months Ended | |||||||||||
Mar. 31, 2014 | ||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||
Schedule of Valuation Assumptions | ' | |||||||||||
The fair value of the stock options granted during the three month period ended March 31, 2014 was estimated on the date of grant using the Black-Scholes option pricing model with the following weighted average assumptions: | ||||||||||||
Three Months Ended March 31, | ||||||||||||
2014 | ||||||||||||
Expected life (years) | 5.24 | |||||||||||
Expected volatility | 85.00% | |||||||||||
Expected dividend yield | —% | |||||||||||
Risk-free interest rate | 1.80% | |||||||||||
Weighted average fair value of options granted during the period | $0.38 | |||||||||||
Schedule of Stock Option Activity | ' | |||||||||||
The following table summarizes stock option activity for the three month period ended March 31, 2014: | ||||||||||||
Number of Shares | Weighted Average Exercise Price Per Share | Weighted Average remaining Contractual Life (years) | Aggregate Intrinsic Value (in thousands) | |||||||||
Outstanding balance at December 31, 2013 | 4,150,550 | $ | 0.75 | |||||||||
Granted | 462,600 | 0.56 | ||||||||||
Exercised | (37,500 | ) | 0.45 | |||||||||
Expired | (505,550 | ) | 1.2 | |||||||||
Forfeited | (83,500 | ) | 0.57 | |||||||||
Outstanding balance at March 31, 2014 | 3,986,600 | 0.68 | 8.5 | $222 | ||||||||
Options exercisable at March 31, 2014 | 1,388,700 | $ | 0.99 | 6.8 | $51 | |||||||
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 3 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ||||||
Schedule of Discontinued Operations | ' | ||||||
The table below summarizes the operating results of Portamedic which are reported in discontinued operations in the accompanying consolidated statement of operations. Income taxes, which comprise margin tax expenses, relating to the operations of Portamedic were less than $0.1 million for the three month period ended March 31, 2013. | |||||||
Three Months Ended | |||||||
31-Mar | |||||||
(in thousands) | 2014 | 2013 | |||||
Revenues | $ | — | $ | 23,648 | |||
Gain (loss) from discontinued operations | $ | 30 | $ | (533 | ) | ||
Adjustment to gain on sale of Portamedic and subsidiary | $ | (150 | ) | $ | — | ||
Restructuring_Charges_Tables
Restructuring Charges (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Restructuring Charges [Abstract] | ' | |||||||||||||||
Restructuring and Related Costs | ' | |||||||||||||||
The following table provides a summary of the activity in the restructure accrual for the three months ended March 31, 2014: | ||||||||||||||||
As of | As of | |||||||||||||||
(In thousands) | 31-Dec-13 | Charges | Payments | 31-Mar-14 | ||||||||||||
Severance | $ | 531 | $ | 92 | $ | (213 | ) | $ | 410 | |||||||
Branch closure obligation | 415 | — | (148 | ) | 267 | |||||||||||
Total | $ | 946 | $ | 92 | $ | (361 | ) | $ | 677 | |||||||
Segments_Tables
Segments (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Revenue by Segment | ' | ||||||||||||||||
The table presented below provides disclosures by segment for the three month periods ended March 31, 2014 and 2013. Intercompany revenue for the three month periods ended March 31, 2013 was $0.5 million, representing Heritage Lab revenue for kit sales to the discontinued Portamedic operations at arms' length sales prices. Heritage Lab also performs services to Health and Wellness. These services are recorded at Heritage Labs' cost directly within the Health and Wellness segment, and thus, no intercompany elimination is required. | |||||||||||||||||
Three Months Ended March 31, 2014 | Health and Wellness | Heritage Labs | Hooper Holmes Services | Unallocated Corporate | Total | ||||||||||||
Revenues | $ | 7,089 | $ | 2,522 | $ | 2,988 | $ | — | $ | 12,599 | |||||||
Operating income (loss) | 497 | 338 | (62 | ) | (3,287 | ) | (a) | (2,514 | ) | ||||||||
Segment assets | 7,223 | 3,786 | 2,847 | 6,488 | 20,344 | ||||||||||||
a) Unallocated corporate includes selling, general and administrative costs that the Company has not allocated to its segments. For the three month period ended March 31, 2014, the Company incurred $1.1 million of costs, which are recorded in unallocated corporate in the table above in connection with the relocation of its corporate headquarters to Olathe, Kansas. | |||||||||||||||||
Three Months Ended March 31, 2013 | Health and Wellness | Heritage Labs | Hooper Holmes Services | Unallocated Corporate | Total | ||||||||||||
Revenues | $ | 5,150 | $ | 3,145 | $ | 4,064 | $ | — | $ | 12,359 | |||||||
Operating income (loss) | (15 | ) | 196 | (470 | ) | (1,722 | ) | (b) | (2,011 | ) | |||||||
b) Unallocated corporate includes selling, general and administrative costs that the Company has not allocated to its segments. |
Basis_of_Presentation_Details
Basis of Presentation (Details) (Subsequent Event [Member], USD $) | 0 Months Ended | 0 Months Ended | |||
Apr. 16, 2014 | Apr. 16, 2014 | Mar. 31, 2014 | 13-May-14 | Apr. 16, 2014 | |
Strategic Alliance Agreement Assets [Member] | Strategic Alliance Agreement Assets [Member] | Purchase and Sale Agreement Property [Member] | Purchase and Sale Agreement Property [Member] | ||
Subsequent Event [Line Items] | ' | ' | ' | ' | ' |
Consideration amount | ' | $3,700,000 | ' | $3,050,000 | $3,050,000 |
Disposal Group, Including Discontinued Operation, Initial Deposit with Escrow Agent | ' | ' | ' | 75,000 | ' |
Disposal Group, Including Discontinued Operation, Deposit to Escrow Agent Receivable Upon Completion of Inspection | ' | ' | ' | 75,000 | ' |
Assets of Disposal Group, Including Discontinued Operation | ' | ' | 1,500,000 | ' | ' |
Agreement Period | '5 years | ' | ' | ' | ' |
Additional Agreement Period | '5 years | ' | ' | ' | ' |
Inspection Period Related to Purchase and Sale Agreement | ' | ' | ' | '40 days | ' |
Disposal Group, Including Discontinued Operation, Remaining Receivable Upon Closing | ' | ' | ' | $2,900,000 | ' |
Closing Period Subsequent to Inspection Period | ' | ' | ' | '5 days | ' |
Liquidity_Details
Liquidity (Details) (USD $) | 3 Months Ended | 0 Months Ended | 3 Months Ended | 3 Months Ended | ||||||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Mar. 31, 2014 | Apr. 16, 2014 | 13-May-14 | Apr. 16, 2014 | Mar. 31, 2014 | |
Portamedic Service Line [Member] | Portamedic Service Line [Member] | Strategic Alliance Agreement Assets [Member] | Purchase and Sale Agreement Property [Member] | Purchase and Sale Agreement Property [Member] | Selling, General and Administrative Expenses [Member] | |||||
holdback_component | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | $2,667,000 | $3,837,000 | $3,970,000 | $8,319,000 | ' | ' | ' | ' | ' | ' |
Working capital | 6,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loss from continuing operations | -2,565,000 | -2,027,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Net cash used in operating activities of continuing operations | 1,735,000 | 3,156,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Relocation costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,100,000 |
Holdback amount | ' | ' | ' | ' | 2,000,000 | ' | ' | ' | ' | ' |
Number of holdback components | ' | ' | ' | ' | 2 | ' | ' | ' | ' | ' |
Holdback amount, component one | ' | ' | ' | ' | 1,000,000 | ' | ' | ' | ' | ' |
Holdback amount, component two | ' | ' | ' | ' | 1,000,000 | ' | ' | ' | ' | ' |
Proceeds from the sale of Portamedic | 743,000 | 0 | ' | ' | 8,100,000 | 700,000 | ' | ' | ' | ' |
Maximum borrowing capacity under Loan and Security Agreement | 10,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loan maximum defined, based on eligible receivables | 85.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loan maximum defined, based on eligible receivables, reserve | 500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional borrowing availability under Loan and Security Agreement | 3,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Borrowings outstanding under Loan and Security Agreement | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consideration amount | ' | ' | ' | ' | $8,400,000 | ' | $3,700,000 | $3,050,000 | $3,050,000 | ' |
Loss_Earnings_Per_Share_Detail
(Loss) Earnings Per Share (Details) (Stock Options [Member]) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Stock Options [Member] | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Antidilutive securities excluded from computation of EPS (in shares) | 3,917,000 | 5,607,500 |
Impairment_of_Longlived_Assets1
Impairment of Long-lived Assets (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Asset Impairment Charges [Abstract] | ' | ' |
Impairment of long-lived assets | $0 | $0 |
ShareBased_Compensation_Employ
Share-Based Compensation Employee Share-Based Compensation Plans (Details) | 3 Months Ended | 3 Months Ended | 3 Months Ended | 1 Months Ended | ||||||||||
Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | 29-May-13 | Mar. 31, 2014 | Mar. 31, 2014 | 29-May-13 | Sep. 30, 2013 | Mar. 31, 2014 | Dec. 31, 2010 | Mar. 31, 2014 | Mar. 31, 2014 | |
2008 Plan [Member] | 2008 Plan [Member] | 2011 Plan [Member] | 2011 Plan [Member] | 2011 Plan [Member] | Awards to Certain Employees [Member] | Amended and Restated 2011 Plan [Member] | Amended and Restated 2011 Plan [Member] | Director Stock Plan [Member] | Director Stock Plan [Member] | December 2010 Stock Option Award [Member] | December 2010 Stock Option Award [Member] | All Other Stock Option Awards [Member] | ||
Number of shares authorized under the plan (in shares) | ' | 5,000,000 | ' | ' | ' | 1,500,000 | ' | ' | 3,500,000 | ' | 600,000 | ' | ' | ' |
Options granted (in shares) | 462,600 | 162,600 | 0 | 300,000 | 0 | ' | ' | ' | ' | ' | ' | 500,000 | ' | ' |
Remaining shares available for grant under the plan (in shares) | ' | 3,209,300 | ' | ' | ' | ' | ' | 1,166,750 | ' | ' | 360,000 | ' | ' | ' |
Contractual life of stock options and other awards under share-based compensation plans | ' | '10 years | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Option Vesting Schedule | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vesting percentage, grant date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% | ' | ' | ' |
Vesting percentage, year one | ' | ' | ' | 25.00% | ' | ' | 33.00% | ' | ' | ' | 25.00% | ' | 50.00% | 0.00% |
Vesting percentage, year two | 33.00% | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | 25.00% | ' | 50.00% | 25.00% |
Vesting percentage, year three | 33.00% | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | 25.00% | ' | ' | 25.00% |
Vesting percentage, year four | ' | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% |
Vesting percentage, year five | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% |
Aggregate shares granted | ' | ' | ' | ' | ' | ' | 1,344,100 | ' | ' | 2,000,000 | ' | ' | ' | ' |
ShareBased_Compensation_Stock_
Share-Based Compensation Stock Option Valuation Assumptions (Details) (USD $) | 3 Months Ended |
Mar. 31, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' |
Expected life (years) | '5 years 2 months 27 days |
Expected volatility | 85.00% |
Expected dividend yield | 0.00% |
Risk-free interest rate | 1.80% |
Weighted average fair value of options granted during the period | $0.38 |
ShareBased_Compensation_Option
Share-Based Compensation Option Roll-Forward (Details) (USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Stock Option Activity [Roll Forward] | ' | ' |
Outstanding balance (options) at December 31, 2013 | 4,150,550 | ' |
Options granted (in shares) | 462,600 | ' |
Exercised (options) | -37,500 | 0 |
Expired (options) | -505,550 | ' |
Forfeited (options) | -83,500 | ' |
Outstanding balance (options) at March 31, 2014 | 3,986,600 | ' |
Outstanding balance (weighted average exercise price) at December 31, 2013 | $0.75 | ' |
Granted (weighted average exercise price) | $0.56 | ' |
Exercised (weighted averaged exercise price) | $0.45 | ' |
Expired (weighted average exercise price) | $1.20 | ' |
Forfeited (weighted average exercise price) | $0.57 | ' |
Outstanding balance (weighted average exercise price) at March 31, 2014 | $0.68 | ' |
Weighted Average Remaining Contractual Life, options outstanding | '8 years 6 months | ' |
Aggregate Intrinsic Value (in thousands), options outstanding | $222 | ' |
Number of options exercisable at March 31, 2014 | 1,388,700 | ' |
Weighted average exercise price of options exercisable at March 31, 2014 | $0.99 | ' |
Weighted Average Remaining Contractual Life, options exercisable | '6 years 9 months 18 days | ' |
Aggregate Intrinsic Value (in thousands), options exercisable | $51 | ' |
ShareBased_Compensation_Award_
Share-Based Compensation Award Activity (Details) (USD $) | 3 Months Ended | 3 Months Ended | 1 Months Ended | 3 Months Ended | 1 Months Ended | 3 Months Ended | |||||||
Mar. 31, 2014 | Mar. 31, 2013 | Feb. 27, 2013 | Feb. 29, 2012 | Mar. 31, 2014 | Sep. 30, 2013 | Mar. 31, 2013 | Mar. 31, 2014 | Jul. 31, 2009 | Mar. 31, 2014 | Jul. 31, 2011 | Mar. 31, 2014 | Mar. 31, 2014 | |
Director Stock Plan [Member] | Director Stock Plan [Member] | Director Stock Plan [Member] | Stock Options [Member] | July 2009 Non-vested Stock Award [Member] | July 2009 Non-vested Stock Award [Member] | July 2011 Non-vested Stock Award [Member] | July 2011 Non-vested Stock Award [Member] | Non-Vested Stock Award [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercised (options) | -37,500 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercised (weighted averaged exercise price) | $0.45 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options vested in period | 24,400 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate fair value of options vested in period | $10,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized compensation cost related to stock options | ' | ' | ' | ' | ' | ' | ' | 700,000 | ' | ' | ' | ' | ' |
Weighted average period for recognition of compensation cost | ' | ' | ' | ' | ' | ' | ' | '2 years | ' | ' | ' | ' | '7 months 6 days |
Unrecognized compensation cost | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 |
Non-vested Stock Awards | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate shares granted | ' | ' | ' | ' | ' | 2,000,000 | ' | ' | 500,000 | ' | 305,000 | ' | ' |
Grant date fair value | ' | ' | ' | ' | ' | ' | ' | ' | $0.45 | ' | $1.06 | ' | ' |
Aggregate shares that vested in the period | ' | ' | ' | ' | ' | ' | ' | ' | ' | 150,000 | ' | 155,100 | ' |
Aggregate shares of non-vested stock forfeited | ' | ' | ' | ' | ' | ' | ' | ' | ' | 343,750 | ' | 141,400 | ' |
Vesting Schedule for Equity Grants Other than Options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vesting percentage, year one | ' | ' | ' | ' | 25.00% | ' | ' | ' | ' | 0.00% | ' | 33.00% | ' |
Vesting percentage, year two | 33.00% | ' | ' | ' | 25.00% | ' | ' | ' | ' | 25.00% | ' | 33.00% | ' |
Vesting percentage, year three | 33.00% | ' | ' | ' | 25.00% | ' | ' | ' | ' | 25.00% | ' | 34.00% | ' |
Vesting percentage, year four | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% | ' | ' | ' |
Vesting percentage, year five | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% | ' | ' | ' |
ESPP | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
ESPP, number of shares authorized | 2,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
ESPP, purchase date | '13 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
ESPP, purchase price as percentage of market value | 95.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
ESPP, maximum subscription rate | 10.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
ESPP, maximum subscription amount | 25,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares issued during period, Employee Stock Purchase Plan | ' | ' | 233,000 | 273,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate Grant-Date Fair Value, Employee Stock Purchase Plan | ' | ' | 30,000 | 50,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares issued in accordance with plan termination provision | 36,154 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other Stock Awards | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Term over which grants will occur | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares authorized under the plan (in shares) | ' | ' | ' | ' | 600,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Remaining shares available for grant under the plan (in shares) | ' | ' | ' | ' | 360,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares awarded annually to non-employee board members other than the non-executive chair | ' | ' | ' | ' | 5,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares awarded annually to non-executive chair of the board of directors | ' | ' | ' | ' | 10,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate shares granted | ' | ' | ' | ' | ' | 2,000,000 | ' | ' | 500,000 | ' | 305,000 | ' | ' |
Number of shares awarded | ' | ' | ' | ' | 0 | ' | 0 | ' | ' | ' | ' | ' | ' |
Share-based compensation expense | $100,000 | $200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Discontinued_Operations_Operat
Discontinued Operations Operation Assets (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Adjustment to gain on sale of Portamedic and subsidiary | ($150,000) | $0 |
Portamedic Service Line [Member] | ' | ' |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' |
Revenues | 0 | 23,648,000 |
Gain (loss) from discontinued operations | 30,000 | -533,000 |
Tax Effect of Discontinued Operation | ' | $100,000 |
Discontinued_Operations_Narrat
Discontinued Operations Narrative (Details) (USD $) | 3 Months Ended | 0 Months Ended | 3 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Mar. 31, 2014 | |
Portamedic Service Line [Member] | Portamedic Service Line [Member] | ||||
holdback_component | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' | ' | ' | ' |
Proceeds from the sale of Portamedic | $743,000 | $0 | ' | $8,100,000 | $700,000 |
Consideration amount | ' | ' | ' | 8,400,000 | ' |
Holdback amount | ' | ' | ' | 2,000,000 | ' |
Holdback release, business days after closing | ' | ' | ' | '3 days | ' |
Number of holdback components | ' | ' | ' | 2 | ' |
Assets held for sale | 714,000 | ' | 714,000 | ' | ' |
Adjustment to gain on sale of Portamedic and subsidiary | -150,000 | 0 | ' | ' | ' |
Holdback amount, component one | ' | ' | ' | 1,000,000 | ' |
Holdback amount, component two | ' | ' | ' | $1,000,000 | ' |
Inventories_Details
Inventories (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Finished goods | $0.60 | $0.40 |
Components | $0.80 | $1 |
Restructuring_Charges_Details
Restructuring Charges (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Restructuring Cost and Reserve [Line Items] | ' | ' |
Restructuring Charges, Discontinued Operations | $677 | ' |
Restructuring Reserve [Roll Forward] | ' | ' |
Restructuring reserve, beginning balance | 946 | ' |
Restructuring charges | 92 | 4 |
Payments | -361 | ' |
Restructuring reserve, ending balance | 677 | ' |
Employee Severance [Member] | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' |
Restructuring reserve, beginning balance | 531 | ' |
Restructuring charges | 92 | ' |
Payments | -213 | ' |
Restructuring reserve, ending balance | 410 | ' |
Facility Closing - Branch Office Closure [Member] | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' |
Restructuring reserve, beginning balance | 415 | ' |
Restructuring charges | 0 | ' |
Payments | -148 | ' |
Restructuring reserve, ending balance | $267 | ' |
Loan_and_Security_Agreements_D
Loan and Security Agreements (Details) (USD $) | 3 Months Ended |
Mar. 31, 2014 | |
Loan and Security Agreements [Line Items] | ' |
Maximum borrowing capacity under Loan and Security Agreement | $10,000,000 |
Loan maximum defined, based on eligible receivables | 85.00% |
Loan maximum defined, based on eligible receivables, reserve | 500,000 |
Additional borrowing availability under Loan and Security Agreement | 3,100,000 |
Borrowings outstanding under Loan and Security Agreement | 0 |
Interest rate, stated percentage | 6.00% |
Unused Capacity, Commitment Fee Percentage | 1.00% |
Commitment fee | $10,000 |
Prime rate [Member] | ' |
Loan and Security Agreements [Line Items] | ' |
Spread on variable rate | 2.75% |
LIBOR 90 day rate [Member] | ' |
Loan and Security Agreements [Line Items] | ' |
Spread on variable rate | 5.25% |
Prior to second anniversary [Member] | ' |
Loan and Security Agreements [Line Items] | ' |
Credit facility - early termination fee | 3.00% |
Prior to third anniversary [Member] | ' |
Loan and Security Agreements [Line Items] | ' |
Credit facility - early termination fee | 2.00% |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2014 |
branch_office | |
operating_lease | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Number of offices | 12 |
Number of operating leases | 17 |
Branch closure obligation | $0.30 |
Employment agreements, contract term | '1 year |
Litigation_Details
Litigation (Details) (USD $) | 0 Months Ended |
In Millions, unless otherwise specified | Mar. 11, 2013 |
Commitments and Contingencies Disclosure [Abstract] | ' |
Settlement | $0.05 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | |||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | |
Internal Revenue Service (IRS) [Member] | State and Local Jurisdiction [Member] | |||
Income tax expense | $5,000 | $4,000 | ' | ' |
Operating loss carryforwards, subject to expiration | ' | ' | $140,000,000 | $127,200,000 |
Segments_Details
Segments (Details) (USD $) | 3 Months Ended | ||||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | |||
segment | |||||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Revenues | $12,599,000 | $12,359,000 | ' | ||
Operating income (loss) | -2,514,000 | -2,011,000 | ' | ||
Segment assets | 20,344,000 | ' | 21,646,000 | ||
Number of reportable segments | 3 | ' | ' | ||
Intercompany eliminations [Member] | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Revenues | 500,000 | ' | ' | ||
Health & Wellness [Member] | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Revenues | 7,089,000 | 5,150,000 | ' | ||
Operating income (loss) | 497,000 | -15,000 | ' | ||
Segment assets | 7,223,000 | ' | ' | ||
Heritage Labs [Member] | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Revenues | 2,522,000 | 3,145,000 | ' | ||
Operating income (loss) | 338,000 | 196,000 | ' | ||
Segment assets | 3,786,000 | ' | ' | ||
Hooper Holmes Services [Member] | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Revenues | 2,988,000 | 4,064,000 | ' | ||
Operating income (loss) | -62,000 | -470,000 | ' | ||
Segment assets | 2,847,000 | ' | ' | ||
Unallocated Corporate [Member] | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Revenues | 0 | 0 | ' | ||
Operating income (loss) | -3,287,000 | [1] | -1,722,000 | [2] | ' |
Segment assets | 6,488,000 | ' | ' | ||
Selling, General and Administrative Expenses [Member] | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ||
Relocation costs | $1,100,000 | ' | ' | ||
[1] | Unallocated corporate includes selling, general and administrative costs that the Company has not allocated to its segments. For the three month period ended MarchB 31, 2014, the Company incurred $1.1 million of costs, which are recorded in unallocated corporate in the table above in connection with the relocation of its corporate headquarters to Olathe, Kansas. | ||||
[2] | Unallocated corporate includes selling, general and administrative costs that the Company has not allocated to its segments. |