2016 Q4 Form 10-K Financial Statement

#000114420417018162 Filed on March 31, 2017

View on sec.gov

Income Statement

Concept 2016 Q4 2015 Q4 2015
Revenue $2.080M -$210.0K $932.0K
YoY Change -1090.48% -400.0% 48.41%
Cost Of Revenue $920.0K -$180.0K $510.0K
YoY Change -611.11% 218.75%
Gross Profit $1.150M -$40.00K $420.0K
YoY Change -2975.0% -10.64%
Gross Profit Margin 55.29% 45.06%
Selling, General & Admin $2.860M $2.250M $7.840M
YoY Change 27.11% -4.85%
% of Gross Profit 248.7% 1866.67%
Research & Development $1.480M $1.000M $4.928M
YoY Change 48.0% -35.13%
% of Gross Profit 128.7% 1173.33%
Depreciation & Amortization $1.440M $1.950M $251.0K
YoY Change -26.15% 93.07% -12.54%
% of Gross Profit 125.22% 59.76%
Operating Expenses $5.790M $8.160M $4.928M
YoY Change -29.04% 49.18% -35.13%
Operating Profit -$4.640M -$8.200M -$19.86M
YoY Change -43.41% 3.23%
Interest Expense $1.130M $920.0K $2.030M
YoY Change 22.83% -1940.0% -1227.78%
% of Operating Profit
Other Income/Expense, Net -$750.0K $26.00K
YoY Change
Pretax Income -$9.150M -$7.300M -$17.86M
YoY Change 25.34% 45.71% -5.89%
Income Tax $0.00
% Of Pretax Income
Net Earnings -$9.150M -$7.300M -$17.86M
YoY Change 25.34% 45.71% -5.91%
Net Earnings / Revenue -439.9% -1915.99%
Basic Earnings Per Share
Diluted Earnings Per Share -$9.370B -$4.368B -$19.84B
COMMON SHARES
Basic Shares Outstanding 22.37M shares 14.34M shares
Diluted Shares Outstanding

Balance Sheet

Concept 2016 Q4 2015 Q4 2015
SHORT-TERM ASSETS
Cash & Short-Term Investments $9.050M $370.0K $370.0K
YoY Change 2345.95% -51.32% -51.32%
Cash & Equivalents $9.054M $368.0K
Short-Term Investments
Other Short-Term Assets $110.0K $20.00K $20.00K
YoY Change 450.0% -95.12% -95.12%
Inventory $2.722M $777.0K $780.0K
Prepaid Expenses
Receivables $1.369M $641.0K $640.0K
Other Receivables $0.00 $0.00 $0.00
Total Short-Term Assets $13.26M $1.801M $1.800M
YoY Change 636.04% -69.69% -69.7%
LONG-TERM ASSETS
Property, Plant & Equipment $771.0K $792.0K $790.0K
YoY Change -2.65% -2.94% -3.66%
Goodwill
YoY Change
Intangibles $5.872M $11.90M
YoY Change -50.67% -27.34%
Long-Term Investments
YoY Change
Other Assets $0.00 $2.080M $2.080M
YoY Change -100.0%
Total Long-Term Assets $6.643M $14.77M $14.77M
YoY Change -55.03% -14.1% -14.13%
TOTAL ASSETS
Total Short-Term Assets $13.26M $1.801M $1.800M
Total Long-Term Assets $6.643M $14.77M $14.77M
Total Assets $19.90M $16.57M $16.57M
YoY Change 20.06% -28.37% -28.39%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $1.606M $1.196M $1.200M
YoY Change 34.28% 37.79% 37.93%
Accrued Expenses $1.813M $252.0K $390.0K
YoY Change 619.44% -50.68% -29.09%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $780.0K $780.0K
YoY Change -100.0%
Long-Term Debt Due $60.00K $50.00K $50.00K
YoY Change 20.0% -58.33% -58.33%
Total Short-Term Liabilities $5.211M $4.177M $4.180M
YoY Change 24.75% -5.15% -5.0%
LONG-TERM LIABILITIES
Long-Term Debt $2.050M $2.110M $2.110M
YoY Change -2.84% 5.5% 5.5%
Other Long-Term Liabilities
YoY Change
Total Long-Term Liabilities $2.050M $2.110M $2.110M
YoY Change -2.84% 5.5% 5.5%
TOTAL LIABILITIES
Total Short-Term Liabilities $5.211M $4.177M $4.180M
Total Long-Term Liabilities $2.050M $2.110M $2.110M
Total Liabilities $7.260M $6.283M $6.280M
YoY Change 15.55% -1.89% -1.88%
SHAREHOLDERS EQUITY
Retained Earnings -$209.3M -$188.4M
YoY Change 11.09% 10.47%
Common Stock $222.0M $198.7M
YoY Change 11.7% 6.31%
Preferred Stock
YoY Change
Treasury Stock (at cost) $22.00K $22.00K
YoY Change 0.0% 0.0%
Treasury Stock Shares 2.000 shares 2.000 shares
Shareholders Equity $12.64M $10.29M $10.29M
YoY Change
Total Liabilities & Shareholders Equity $19.90M $16.57M $16.57M
YoY Change 20.06% -28.37% -28.39%

Cashflow Statement

Concept 2016 Q4 2015 Q4 2015
OPERATING ACTIVITIES
Net Income -$9.150M -$7.300M -$17.86M
YoY Change 25.34% 45.71% -5.91%
Depreciation, Depletion And Amortization $1.440M $1.950M $251.0K
YoY Change -26.15% 93.07% -12.54%
Cash From Operating Activities -$1.600M -$2.640M -$7.780M
YoY Change -39.39% -6.05% -47.79%
INVESTING ACTIVITIES
Capital Expenditures $0.00 -$350.0K $34.00K
YoY Change -100.0% -49.28% -74.63%
Acquisitions $0.00
YoY Change
Other Investing Activities $0.00 $0.00 $0.00
YoY Change
Cash From Investing Activities $0.00 -$350.0K -$2.230M
YoY Change -100.0% -49.28% 16.75%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 8.820M 2.210M 9.610M
YoY Change 299.1% -6.36% -20.25%
NET CHANGE
Cash From Operating Activities -1.600M -2.640M -7.780M
Cash From Investing Activities 0.000 -350.0K -2.230M
Cash From Financing Activities 8.820M 2.210M 9.610M
Net Change In Cash 7.220M -780.0K -400.0K
YoY Change -1025.64% -31.58% -91.6%
FREE CASH FLOW
Cash From Operating Activities -$1.600M -$2.640M -$7.780M
Capital Expenditures $0.00 -$350.0K $34.00K
Free Cash Flow -$1.600M -$2.290M -$7.814M
YoY Change -30.13% 8.02% -48.02%

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xG TECHNOLOGY, INC.
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CY2016 us-gaap Prior Period Reclassification Adjustment Description
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FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; BORDER-TOP: #000000 1px solid; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">$</div> </td> <td style="TEXT-ALIGN: right; FONT-STYLE: normal; PADDING-RIGHT: 4px; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; BORDER-TOP: #000000 1px solid; FONT-WEIGHT: 400" width="12%"> <div style="CLEAR:both;CLEAR: both">9,000</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> </tr> <tr style="HEIGHT: 12px"> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="75%"> <div style="CLEAR:both;CLEAR: both">Warranty reserve expense</div> </td> <td style="TEXT-ALIGN: left; 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FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="75%"> <div style="CLEAR:both;CLEAR: both">Warranty claims settled and true-up of accrual</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> <td style="BORDER-BOTTOM: #000000 1px solid; TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> <td style="BORDER-BOTTOM: #000000 1px solid; TEXT-ALIGN: right; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="12%"> <div style="CLEAR:both;CLEAR: both">(6,000)</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> </tr> <tr style="HEIGHT: 12px"> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="75%"> <div style="CLEAR:both;CLEAR: both">December 31, 2015</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; BORDER-TOP: #000000 1px solid; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">$</div> </td> <td style="TEXT-ALIGN: right; FONT-STYLE: normal; PADDING-RIGHT: 4px; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; BORDER-TOP: #000000 1px solid; FONT-WEIGHT: 400" width="12%"> <div style="CLEAR:both;CLEAR: both">9,000</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> </tr> <tr style="HEIGHT: 12px"> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="75%"> <div style="CLEAR:both;CLEAR: both">Warranty reserve acquired in IMT acquisition</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> <td style="TEXT-ALIGN: right; FONT-STYLE: normal; PADDING-RIGHT: 4px; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="12%"> <div style="CLEAR:both;CLEAR: both">167,000</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> </tr> <tr style="HEIGHT: 12px"> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="75%"> <div style="CLEAR:both;CLEAR: both">Warranty reserve expense</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> <td style="TEXT-ALIGN: right; FONT-STYLE: normal; PADDING-RIGHT: 4px; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="12%"> <div style="CLEAR:both;CLEAR: both">52,000</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> </tr> <tr style="HEIGHT: 12px"> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="75%"> <div style="CLEAR:both;CLEAR: both">Warranty claims settled and true-up of accrual</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> <td style="BORDER-BOTTOM: #000000 1px solid; TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> <td style="BORDER-BOTTOM: #000000 1px solid; TEXT-ALIGN: right; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="12%"> <div style="CLEAR:both;CLEAR: both">(46,000)</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #cceeff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> </tr> <tr style="HEIGHT: 12px"> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; FONT-WEIGHT: 400" width="75%"> <div style="CLEAR:both;CLEAR: both">December 31, 2016</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> <td style="BORDER-BOTTOM: #000000 3px double; TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; BORDER-TOP: #000000 1px solid; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">$</div> </td> <td style="BORDER-BOTTOM: #000000 3px double; TEXT-ALIGN: right; FONT-STYLE: normal; PADDING-RIGHT: 4px; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: bottom; BORDER-TOP: #000000 1px solid; FONT-WEIGHT: 400" width="12%"> <div style="CLEAR:both;CLEAR: both">182,000</div> </td> <td style="TEXT-ALIGN: left; FONT-STYLE: normal; FONT-FAMILY: times new roman; BACKGROUND: #ffffff; COLOR: #000000; FONT-SIZE: 10pt; VERTICAL-ALIGN: middle; FONT-WEIGHT: 400" width="1%"> <div style="CLEAR:both;CLEAR: both">&#160;</div> </td> </tr> </table> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;CLEAR: both"> </div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;CLEAR: both"> </div> </div> </div> </div><table border="0" style="width:100%; table-layout:fixed;" cellspacing="0" cellpadding="0"><tr><td></td></tr></table>
CY2016Q4 us-gaap Commitments And Contingencies
CommitmentsAndContingencies
USD
CY2015Q4 us-gaap Commitments And Contingencies
CommitmentsAndContingencies
USD
CY2016Q4 us-gaap Common Stock Value
CommonStockValue
0 USD
CY2015Q4 us-gaap Common Stock Value
CommonStockValue
0 USD
CY2016Q4 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.00001
CY2015Q4 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.00001
CY2016Q4 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
10000000 shares
CY2015Q4 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
10000000 shares
CY2016Q4 us-gaap Preferred Stock Shares Issued
PreferredStockSharesIssued
0 shares
CY2016Q4 us-gaap Preferred Stock Shares Outstanding
PreferredStockSharesOutstanding
0 shares
CY2015Q4 us-gaap Preferred Stock Shares Issued
PreferredStockSharesIssued
0 shares
CY2015Q4 us-gaap Preferred Stock Shares Outstanding
PreferredStockSharesOutstanding
0 shares
CY2016Q4 us-gaap Common Stock Par Or Stated Value Per Share
CommonStockParOrStatedValuePerShare
0.00001
CY2015Q4 us-gaap Common Stock Par Or Stated Value Per Share
CommonStockParOrStatedValuePerShare
0.00001
CY2016Q4 us-gaap Common Stock Shares Authorized
CommonStockSharesAuthorized
100000000 shares
CY2015Q4 us-gaap Common Stock Shares Authorized
CommonStockSharesAuthorized
100000000 shares
CY2016Q4 us-gaap Common Stock Shares Issued
CommonStockSharesIssued
7606518 shares
CY2015Q4 us-gaap Common Stock Shares Outstanding
CommonStockSharesOutstanding
168563 shares
CY2016Q4 us-gaap Common Stock Shares Outstanding
CommonStockSharesOutstanding
7606516 shares
CY2015Q4 us-gaap Common Stock Shares Issued
CommonStockSharesIssued
168565 shares
CY2016Q4 us-gaap Treasury Stock Shares
TreasuryStockShares
2 shares
CY2015Q4 us-gaap Treasury Stock Shares
TreasuryStockShares
2 shares
CY2016 us-gaap Business Combination Bargain Purchase Gain Recognized Amount
BusinessCombinationBargainPurchaseGainRecognizedAmount
2749000 USD
CY2016 us-gaap Inventory Lifo Reserve Effect On Income Net
InventoryLIFOReserveEffectOnIncomeNet
2417000 USD
CY2015 us-gaap Inventory Lifo Reserve Effect On Income Net
InventoryLIFOReserveEffectOnIncomeNet
861000 USD
CY2016 xgti Stock Offering Expenses
StockOfferingExpenses
684000 USD
CY2016 xgti Accrual Of Potential Shortfall
AccrualOfPotentialShortfall
1669000 USD
CY2015 xgti Accrual Of Potential Shortfall
AccrualOfPotentialShortfall
0 USD
CY2016 us-gaap Amortization Of Debt Discount Premium
AmortizationOfDebtDiscountPremium
50000 USD
CY2015 us-gaap Amortization Of Debt Discount Premium
AmortizationOfDebtDiscountPremium
326000 USD
CY2016Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Cash And Equivalents
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCashAndEquivalents
477000 USD
CY2015Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Cash And Equivalents
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCashAndEquivalents
0 USD
CY2016Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Current Assets Receivables
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCurrentAssetsReceivables
676000 USD
CY2015Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Current Assets Receivables
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCurrentAssetsReceivables
0 USD
CY2016Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Inventory
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedInventory
3329000 USD
CY2015Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Inventory
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedInventory
0 USD
CY2016Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Property Plant And Equipment
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedPropertyPlantAndEquipment
1470000 USD
CY2015Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Property Plant And Equipment
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedPropertyPlantAndEquipment
0 USD
CY2016Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Current Assets Other
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCurrentAssetsOther
55000 USD
CY2015Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Current Assets Other
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCurrentAssetsOther
0 USD
CY2016Q4 xgti Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Current Liabilities Deferred Rent
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCurrentLiabilitiesDeferredRent
167000 USD
CY2015Q4 xgti Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Current Liabilities Deferred Rent
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCurrentLiabilitiesDeferredRent
0 USD
CY2016Q4 xgti Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Current Liabilities Accounts Payable And Deferred Revenue
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCurrentLiabilitiesAccountsPayableAndDeferredRevenue
423000 USD
CY2015Q4 xgti Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Current Liabilities Accounts Payable And Deferred Revenue
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCurrentLiabilitiesAccountsPayableAndDeferredRevenue
0 USD
CY2016Q4 us-gaap Operating Leases Future Minimum Payments Due In Three Years
OperatingLeasesFutureMinimumPaymentsDueInThreeYears
156000 USD
CY2016Q4 us-gaap Operating Leases Future Minimum Payments Due In Four Years
OperatingLeasesFutureMinimumPaymentsDueInFourYears
31000 USD
CY2015 xgti Stock Issued During Period Value Upon Conversion Of Related Party Debt
StockIssuedDuringPeriodValueUponConversionOfRelatedPartyDebt
1756000 USD
CY2016 us-gaap Business Combination Consideration Transferred1
BusinessCombinationConsiderationTransferred1
3000000 USD
CY2015 us-gaap Business Combination Consideration Transferred1
BusinessCombinationConsiderationTransferred1
0 USD
CY2016 xgti Stock Issued During Period Value Conversion Of Advances From Related Party
StockIssuedDuringPeriodValueConversionOfAdvancesFromRelatedParty
0 USD
CY2016Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Current Liabilities Other
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCurrentLiabilitiesOther
378000 USD
CY2015Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Current Liabilities Other
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCurrentLiabilitiesOther
0 USD
CY2016Q4 xgti Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Net Excluding Intangible Assets
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedNetExcludingIntangibleAssets
5039000 USD
CY2015Q4 xgti Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Net Excluding Intangible Assets
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedNetExcludingIntangibleAssets
0 USD
CY2016Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Intangible Assets Other Than Goodwill
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedIntangibleAssetsOtherThanGoodwill
710000 USD
CY2015Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Intangible Assets Other Than Goodwill
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedIntangibleAssetsOtherThanGoodwill
0 USD
CY2016Q4 us-gaap Capital Leases Future Minimum Payments Due In Two Years
CapitalLeasesFutureMinimumPaymentsDueInTwoYears
24000 USD
CY2016Q4 us-gaap Capital Leases Future Minimum Payments Due In Three Years
CapitalLeasesFutureMinimumPaymentsDueInThreeYears
16000 USD
CY2015 xgti Stock Offering Expenses
StockOfferingExpenses
0 USD
CY2015 us-gaap Business Combination Bargain Purchase Gain Recognized Amount
BusinessCombinationBargainPurchaseGainRecognizedAmount
0 USD
CY2016 us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
23000 USD
CY2015 us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
0 USD
CY2015Q3 us-gaap Stockholders Equity Reverse Stock Split
StockholdersEquityReverseStockSplit
1-for-10
CY2016Q2 us-gaap Stockholders Equity Reverse Stock Split
StockholdersEquityReverseStockSplit
1-for-12
CY2016Q4 us-gaap Stockholders Equity Reverse Stock Split
StockholdersEquityReverseStockSplit
1-for-10
CY2016 us-gaap Interest Paid
InterestPaid
626000 USD
CY2015 us-gaap Interest Paid
InterestPaid
240000 USD
CY2016 us-gaap Income Taxes Paid
IncomeTaxesPaid
0 USD
CY2015 us-gaap Income Taxes Paid
IncomeTaxesPaid
0 USD
CY2016 xgti Stock Issued During Period Value Upon Conversion Of Related Party Debt
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364000 USD
CY2016Q4 us-gaap Operating Leases Future Minimum Payments Due
OperatingLeasesFutureMinimumPaymentsDue
620000 USD
CY2016 xgti Operating Leases Expiration Term
OperatingLeasesExpirationTerm
2017 through 2020
CY2015Q3 xgti Exchange Listing Compliance Minimum Share Price
ExchangeListingComplianceMinimumSharePrice
1.00
CY2016Q2 us-gaap Stockholders Equity Reverse Stock Split
StockholdersEquityReverseStockSplit
1-for-12
CY2015 xgti Stock Issued During Period Value Conversion Of Advances From Related Party
StockIssuedDuringPeriodValueConversionOfAdvancesFromRelatedParty
500000 USD
CY2016 xgti Stock Issued As Payment Of Interest On Convertible Notes
StockIssuedAsPaymentOfInterestOnConvertibleNotes
90000 USD
CY2015 xgti Stock Issued As Payment Of Interest On Convertible Notes
StockIssuedAsPaymentOfInterestOnConvertibleNotes
180000 USD
CY2016 us-gaap Liabilities Assumed1
LiabilitiesAssumed1
2379000 USD
CY2015 us-gaap Liabilities Assumed1
LiabilitiesAssumed1
1390000 USD
CY2016 xgti Conversion Of Amounts Of Due To Related Parties Into Series B Preferred Common Stock And Warrants
ConversionOfAmountsOfDueToRelatedPartiesIntoSeriesBPreferredCommonStockAndWarrants
0 USD
CY2015 xgti Conversion Of Amounts Of Due To Related Parties Into Series B Preferred Common Stock And Warrants
ConversionOfAmountsOfDueToRelatedPartiesIntoSeriesBPreferredCommonStockAndWarrants
845000 USD
CY2016 xgti Amortization Of Commitment Fees
AmortizationOfCommitmentFees
0 USD
CY2015 xgti Amortization Of Commitment Fees
AmortizationOfCommitmentFees
294000 USD
CY2015 us-gaap Capital Lease Obligations Incurred
CapitalLeaseObligationsIncurred
193000 USD
CY2016 us-gaap Capital Lease Obligations Incurred
CapitalLeaseObligationsIncurred
0 USD
CY2015 us-gaap Indefinitelived Intangible Assets Acquired
IndefinitelivedIntangibleAssetsAcquired
2192000 USD
CY2016 us-gaap Indefinitelived Intangible Assets Acquired
IndefinitelivedIntangibleAssetsAcquired
710000 USD
CY2015 us-gaap Impairment Of Intangible Assets Excluding Goodwill
ImpairmentOfIntangibleAssetsExcludingGoodwill
2092000 USD
CY2016 us-gaap Impairment Of Intangible Assets Excluding Goodwill
ImpairmentOfIntangibleAssetsExcludingGoodwill
2683000 USD
CY2016 us-gaap Payments Of Financing Costs
PaymentsOfFinancingCosts
2660000 USD
CY2015 us-gaap Payments Of Financing Costs
PaymentsOfFinancingCosts
946000 USD
CY2016Q4 us-gaap Finite Lived Intangible Assets Amortization Expense Next Twelve Months
FiniteLivedIntangibleAssetsAmortizationExpenseNextTwelveMonths
1661000 USD
CY2016Q4 us-gaap Finite Lived Intangible Assets Net
FiniteLivedIntangibleAssetsNet
5872000 USD
CY2016 us-gaap Debt Conversion Converted Instrument Amount1
DebtConversionConvertedInstrumentAmount1
610000 USD
CY2015 us-gaap Debt Conversion Converted Instrument Amount1
DebtConversionConvertedInstrumentAmount1
150000 USD
CY2016Q4 us-gaap Capital Leases Future Minimum Payments Due In Four Years
CapitalLeasesFutureMinimumPaymentsDueInFourYears
14000 USD
CY2016Q4 us-gaap Capital Leases Future Minimum Payments Net Minimum Payments1
CapitalLeasesFutureMinimumPaymentsNetMinimumPayments1
120000 USD
CY2016Q4 us-gaap Capital Leases Future Minimum Payments Interest Included In Payments
CapitalLeasesFutureMinimumPaymentsInterestIncludedInPayments
13000 USD
CY2016Q4 us-gaap Capital Leases Future Minimum Payments Present Value Of Net Minimum Payments
CapitalLeasesFutureMinimumPaymentsPresentValueOfNetMinimumPayments
107000 USD
CY2016Q4 us-gaap Capital Leases Future Minimum Payments Remainder Of Fiscal Year
CapitalLeasesFutureMinimumPaymentsRemainderOfFiscalYear
58000 USD
CY2016 us-gaap Product Warranty Accrual Additions From Business Acquisition
ProductWarrantyAccrualAdditionsFromBusinessAcquisition
167000 USD
CY2016 us-gaap Product Warranty Accrual Warranties Issued
ProductWarrantyAccrualWarrantiesIssued
52000 USD
CY2016 us-gaap Impairment Of Intangible Assets Finitelived
ImpairmentOfIntangibleAssetsFinitelived
2700000 USD
CY2015 us-gaap Impairment Of Intangible Assets Finitelived
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2100000 USD
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9700 USD
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CY2016 us-gaap Current Income Tax Expense Benefit
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CY2015 xgti Stock Issued During Period Value Exchange For Payment Of Offering Costs
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1302000 USD
CY2015 xgti Stock Issued During Period Value Reclassification Of Derivative Liability And Warrant Exercise
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CY2016 us-gaap Fair Value Assumptions Expected Dividend Rate
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0 pure
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3557000 USD
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604000 USD
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CY2016 us-gaap Convertible Preferred Stock Terms Of Conversion
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CY2016 us-gaap Interest Expense
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14000 USD
CY2016 us-gaap Loss Contingency Disclosures
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Future payments under such lease will amount to $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">260,000</font> of which $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">50,000</font> will be for the year ending December 31, 2017.</font></div> </div> <font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt"> <i><font style="FONT-SIZE: 10pt">Legal:</font></i></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">The Company is subject, from time to time, to claims by third parties under various legal theories. The defense of such claims, or any adverse outcome relating to any such claims, could have a material adverse effect on the Company&#8217;s liquidity, financial condition and cash flows. For the years ended December 31, 2016 and 2015, the Company did not have any legal actions pending.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><i><font style="FONT-SIZE: 10pt">Delisting Notice:</font></i></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">On September 28, 2015, we received written notice from NASDAQ notifying us that we were not in compliance with the minimum bid price requirement set forth in NASDAQ Listing Rule 5550(a)(2) for continued listing on NASDAQ, as the closing bid price for our common stock was below $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">1.00</font> per share for the last thirty (30) consecutive business days. In accordance with NASDAQ listing rules, we were afforded 180 calendar days, or until March 28, 2016, to regain compliance with NASDAQ Listing Rule 5550(a)(2). We were unable to regain compliance with the bid price requirement by March 28, 2016.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">On March 29, 2016, we received written notice from NASDAQ that it had granted us an additional 180 calendar days, or until September 26, 2016, to regain compliance with the minimum bid price requirement of $1.00 per share for continued listing on NASDAQ, pursuant to NASDAQ Listing Rule 5810(c)(3)(A)(ii).</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">The NASDAQ determination to grant the second compliance period was based on our meeting the continued listing requirement for market value of publicly held shares and all other applicable requirements for initial listing on the NASDAQ, with the exception of the bid price requirement, and our written notice of our intention to cure the deficiency during the second compliance period by effecting a reverse stock split, if necessary.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">To regain compliance, the bid price of our common stock must have a closing bid price of at least $1.00 per share for a minimum of ten (10) consecutive business days at any time during the second 180-day compliance period. On June 20, 2016, we effected a 1-for-12 reverse stock split of our outstanding common stock as a measure to regain compliance. On August 19, 2016, we filed a Definitive Proxy for a special shareholders meeting to be held on September 22, 2016, asking for the shareholders to grant the Board of Directors approval to execute another reverse stock split, if necessary. The meeting was adjourned to November 23, 2016 to allow additional time for the stockholders to vote on the proposal. On November 23, 2016, our shareholders granted a proposal to authorize the Board to amend our Certificate of Incorporation to effect a reverse stock split of all of the outstanding shares of the Company&#8217;s common stock at a specific ratio within a range from one-for-three to one-for-twenty, at any time before May 15, 2017 with such range and timing to be left to the complete discretion of the Board.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><strong><font style="FONT-SIZE: 10pt"> &#160;</font></strong></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">On September 27, 2016, we received a determination letter (the &#8216;&#8216;Letter&#8217;&#8217;) from the staff of NASDAQ stating that we had not regained compliance with the NASDAQ minimum bid price of $1.00 requirement for continued listing set forth in NASDAQ Listing Rule 5550(a)(2) and unless we requested a hearing to appeal this determination our common stock will be delisted from The Nasdaq Capital Market.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">We requested a hearing before a Nasdaq Hearing Panel (the &#8216;&#8216;Panel&#8217;&#8217;), which hearing occurred on November 17, 2016. On November 21, 2016 the Panel granted the Company&#8217;s request for continued listing, subject to (i) providing updates to the Panel on the status of the Transaction, (ii) implementing a reverse stock split prior to January 3, 2017, in a ratio sufficient to enable us to demonstrate compliance with the minimum bid requirement, and (iii) having evidenced a closing bid price of $1.00 or more for a minimum of ten prior consecutive trading days by January 17, 2017. In the event the Company is unable to comply with the above, its securities may be delisted from The Nasdaq Stock Market.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">To regain compliance, the bid price of our common stock must have a closing bid price of at least $1.00 per share for a minimum of ten (10) consecutive business days at any time during the second 180-day compliance period. On December 15, 2016, we effected a 1-for-10 reverse stock split of our outstanding common stock as a measure to regain compliance.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><strong><font style="FONT-SIZE: 10pt"> &#160;</font></strong></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">On January 9, 2017, we received a letter from the staff of The Nasdaq Stock Market LLC (&#8216;&#8216;Nasdaq&#8217;&#8217;) stating that the Nasdaq staff determined that the Company regained compliance with the Nasdaq Capital Market minimum bid price requirement for continued listing set forth in Nasdaq Listing Rule 5550(a)(2).</font></div> </div> </div><table border="0" style="width:100%; table-layout:fixed;" cellspacing="0" cellpadding="0"><tr><td></td></tr></table>
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259000 USD
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2379000 USD
CY2016 us-gaap Adjustments To Additional Paid In Capital Warrant Issued
AdjustmentsToAdditionalPaidInCapitalWarrantIssued
4592000 USD
CY2016 us-gaap Adjustments To Additional Paid In Capital Sharebased Compensation Requisite Service Period Recognition Value
AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue
369000 USD
CY2015 us-gaap Fair Value Assumptions Expected Volatility Rate
FairValueAssumptionsExpectedVolatilityRate
1.16 pure
CY2016Q4 us-gaap Class Of Warrant Or Right Outstanding
ClassOfWarrantOrRightOutstanding
7611904 shares
CY2016Q4 us-gaap Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized
EmployeeServiceShareBasedCompensationNonvestedAwardsTotalCompensationCostNotYetRecognized
100000 USD
CY2016 us-gaap Adjustments To Additional Paid In Capital Stock Issued Issuance Costs
AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts
684000 USD
CY2016 us-gaap Nature Of Operations
NatureOfOperations
<div style="MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif "> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><b><font style="FONT-SIZE: 10pt"><font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> </font>1&#160;&#151;&#160;NATURE OF OPERATIONS</font></b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><b><font style="FONT-SIZE: 10pt"> &#160;</font></b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><b><font style="FONT-SIZE: 10pt">Description of Business</font></b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">The overarching strategy of xG Technology, Inc. (&#8220;xG&#8221;, the &#8220;Company&#8221;) is to design, develop and deliver advanced wireless communications solutions that provide customers in our target markets with enhanced levels of reliability, mobility, performance and efficiency in their business operations and missions. xG&#8217;s business lines include the brands of Integrated Microwave Technologies LLC (&#8220;IMT&#8221;), Vislink Communication Systems (&#8220;Vislink&#8221;, &#8220;VCS&#8221;), and xMax. There is considerable brand interaction, owing to complementary market focus, compatible product and technology development roadmaps, and solution integration opportunities. In addition to these brands, xG has a dedicated Federal Sector Group&#160;focused on providing next-generation spectrum sharing solutions to national defense, scientific research and other federal organizations.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><b><font style="FONT-SIZE: 10pt"> &#160;</font></b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><b><font style="FONT-SIZE: 10pt"> IMT:</font></b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><b><font style="FONT-SIZE: 10pt"> &#160;</font></b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">On January 29, 2016, xG completed the acquisition of the net assets that constituted the business of IMT, pursuant to an asset purchase agreement by and between xG and Skyview Capital, LLC. The IMT business develops, manufactures and sells microwave communications equipment utilizing COFDM (Coded Orthogonal Frequency Division Multiplexing) technology. COFDM is a transmission technique that combines encoding technology with OFDM (Orthogonal Frequency Division Multiplexing) modulation to provide the low latency and high image clarity required for real-time live broadcasting video transmissions. IMT has extensive experience in ultra-compact COFDM wireless technology, and this has allowed IMT to develop integrated solutions over the past 20 years that deliver reliable video footage captured from both aerial and ground-based sources to fixed and mobile receiver locations.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><b><font style="FONT-SIZE: 10pt"> &#160;</font></b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><b><font style="FONT-SIZE: 10pt"> Vislink:</font></b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">On February 2, 2017, the Company completed the acquisition of certain assets and liabilities related to the hardware segment of Vislink International Limited, an England and Wales registered limited company (the &#8216;&#8216;UK Seller&#8217;&#8217;), and Vislink Inc., a Delaware corporation (the &#8216;&#8216;US Seller&#8217;&#8217;, and together with the UK Seller, the &#8216;&#8216;Sellers&#8217;&#8217;), pursuant to a Business Purchase Agreement, dated December 16, 2016, as amended on January 16, 2017, by and among the Company, the Sellers and Vislink PLC, an England and Wales registered limited company, as guarantor. The Company refers to the hardware segment acquired as Vislink Communications Systems (&#8216;&#8216;VCS&#8217;&#8217;). VCS specializes in the wireless capture, delivery and management of secure, high-quality, live video from the field to the point of usage. VCS designs and manufactures products encompassing microwave radio components, satellite communication, cellular and wireless camera systems, and associated amplifier items. VCS serves two core markets: broadcast and media and public safety and surveillance. In the broadcast and media market, VCS provides broadcast communication links for the collection of live news, sports and entertainment events. VCS&#8217; customers in the broadcast and media market include national broadcasters, multi-channel broadcasters, network owners and station groups, sports and live broadcasters and hosted service providers. In the public safety and surveillance market, VCS provides secure video communications and mission-critical solutions for law enforcement, defense and homeland security applications. VCS&#8217; customers in the public safety and surveillance market include metropolitan, regional and national law enforcement agencies as well as domestic and international defense agencies and organizations.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><b><font style="FONT-SIZE: 10pt">Reverse Stock Splits</font></b></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">On July 9, 2015, the Company&#8217;s Board of Directors (the &#8220;Board&#8221;) approved a resolution to amend the Company&#8217;s Certificate of Incorporation and to authorize the Company to effect a reverse split of the Company&#8217;s outstanding common stock at a ratio of <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 1-for-10</font>. On July 17, 2015, the Company effected a one-for-ten reverse stock split. Upon effectiveness of the reverse stock split, every 10 shares of outstanding common stock decreased to one share of common stock. Throughout this report the reverse split was retroactively applied to all periods presented.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">On June 10, 2016, the Company&#8217;s Board of Directors approved a resolution to amend the Company&#8217;s Certificate of Incorporation and to authorize the Company to effect a reverse split of the Company&#8217;s outstanding common stock at a ratio of <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 1-for-12</font>. On June 20, 2016, the Company effected the 1-for-12 reverse stock split. Upon effectiveness of the reverse stock split, every 12 shares of outstanding common stock decreased to one share of common stock. Throughout this annual report the reverse split has been retroactively applied to all periods presented.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">On December 7, 2016, the Company&#8217;s Board of Directors approved a resolution to amend the Company&#8217;s Certificate of Incorporation and to authorize the Company to effect a reverse split of the Company&#8217;s outstanding common stock at a ratio of <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 1-for-10</font>. On December 15, 2016, the Company effected the 1-for-10 reverse stock split. Upon effectiveness of the reverse stock split, every 10 shares of outstanding common stock decreased to one share of common stock. Throughout this annual report the reverse split has been retroactively applied to all periods presented.</font></div> </div><table border="0" style="width:100%; table-layout:fixed;" cellspacing="0" cellpadding="0"><tr><td></td></tr></table>
CY2016 xgti Stock Reserved During Period Value
StockReservedDuringPeriodValue
2500000 USD
CY2016Q4 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Net
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedNet
5749000 USD
CY2016 us-gaap Revenue From Related Parties
RevenueFromRelatedParties
0 USD
CY2015 us-gaap Revenue From Related Parties
RevenueFromRelatedParties
156000 USD
CY2016 xgti Share Based Compensation Arrangement By Sharebased Payment Award Options And Warrants Exercisable Weighted Average Remaining Contractual Term1
ShareBasedCompensationArrangementBySharebasedPaymentAwardOptionsAndWarrantsExercisableWeightedAverageRemainingContractualTerm1
4.87 pure
CY2015Q4 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliations Recurring Basis Liability Value
FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue
1284000 USD
CY2014Q4 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliations Recurring Basis Liability Value
FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue
270000 USD
CY2016 xgti Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Conversion Feature
FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityConversionFeature
0 USD
CY2015 xgti Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Conversion Feature
FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityConversionFeature
769000 USD
CY2016 xgti Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Warrant On Issuance Date
FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityWarrantOnIssuanceDate
4823000 USD
CY2015 xgti Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Warrant On Issuance Date
FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityWarrantOnIssuanceDate
7268000 USD
CY2016 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Period Increase Decrease
FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease
-2545000 USD
CY2015 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Period Increase Decrease
FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease
-2559000 USD
CY2016Q4 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliations Recurring Basis Liability Value
FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue
1183000 USD
CY2016 us-gaap Conversion Of Stock Shares Converted1
ConversionOfStockSharesConverted1
977751 shares
CY2015 us-gaap Conversion Of Stock Shares Converted1
ConversionOfStockSharesConverted1
154543 shares
CY2016Q4 xgti Fair Market Value Of Stock
FairMarketValueOfStock
1.35
CY2015Q4 xgti Fair Market Value Of Stock
FairMarketValueOfStock
27.60
CY2014Q4 us-gaap Intangible Assets Net Excluding Goodwill
IntangibleAssetsNetExcludingGoodwill
16382000 USD
CY2016 xgti Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Reclassification To Stockholders Equity Upon Exercise
FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityReclassificationToStockholdersEquityUponExercise
2379000 USD
CY2015 xgti Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Reclassification To Stockholders Equity Upon Exercise
FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityReclassificationToStockholdersEquityUponExercise
4464000 USD
CY2015Q3 us-gaap Repayments Of Notes Payable
RepaymentsOfNotesPayable
702000 USD
CY2015Q4 us-gaap Inventory Noncurrent
InventoryNoncurrent
2078000 USD
CY2016Q4 us-gaap Inventory Noncurrent
InventoryNoncurrent
0 USD
CY2016 xgti Derivative Liability Upon Conversion Of Option And Warrants
DerivativeLiabilityUponConversionOfOptionAndWarrants
0 USD
CY2015 xgti Derivative Liability Upon Conversion Of Option And Warrants
DerivativeLiabilityUponConversionOfOptionAndWarrants
270000 USD
CY2016 us-gaap Dividends Preferred Stock
DividendsPreferredStock
1808000 USD
CY2015 us-gaap Dividends Preferred Stock
DividendsPreferredStock
3079000 USD
CY2016 xgti Effective Income Tax Rate Reconciliation Provision To Return
EffectiveIncomeTaxRateReconciliationProvisionToReturn
0.0147 pure
CY2015 xgti Effective Income Tax Rate Reconciliation Provision To Return
EffectiveIncomeTaxRateReconciliationProvisionToReturn
0 pure
CY2016 xgti Effective Income Tax Rate Reconciliation Imt Opening Balance
EffectiveIncomeTaxRateReconciliationImtOpeningBalance
-0.0465 pure
CY2015 xgti Effective Income Tax Rate Reconciliation Imt Opening Balance
EffectiveIncomeTaxRateReconciliationImtOpeningBalance
0 pure
CY2016Q4 us-gaap Preferred Stock Value
PreferredStockValue
0 USD
CY2015Q4 us-gaap Preferred Stock Value
PreferredStockValue
0 USD
CY2016Q4 xgti Inventory Current And Noncurrent
InventoryCurrentAndNoncurrent
2722000 USD
CY2015Q4 xgti Inventory Current And Noncurrent
InventoryCurrentAndNoncurrent
2855000 USD

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