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F - 17
prices, broker or dealer quotations, or alternative pricing sources with reasonable levels of price transparency, therefore are
categorized as Level 2.
The following table presents assets measured at fair value on a recurring basis at December 31, 2008:
Fair value measurements using input type
Level 1
Level 2
Level 3
Total
Cash equivalent:
Treasury notes
$
-
$
2,100
$
-
$
2,100
Marketable securities:
Corporate debentures
-
8,419
-
8,419
Government debentures
-
10,371
-
10,371
Total Financials Assets
$
-
$
20,890
$
-
$
20,890
INCREDIMAIL LTD. AND ITS SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTE 2:
–
SIGNIFICANT ACCOUNTING POLICIES (Cont.)
The following table presents the changes in Level 3 instruments measured on a recurring basis for the year ended December 31,
2008. The Company
’
s Level 3 instrument consists of an Auction Rate Security (see note 3(b)).
ARS issued
by Credit
Suisse
Balance, beginning of period
$
100
Sale of ARS, net
(100
)
Balance, end of period
$
-
v.
Treasury shares:
The Company repurchases its Ordinary shares from time to time on the open market and holds such shares as treasury shares. The
Company presents the cost to repurchase treasury shares as a reduction of shareholders
’
equity.
w.
Recently issued accounting pronouncements:
In February 2008, the FASB issued FASB Staff Position (“FSP”) FAS No. 157-2, “Effective Date of FASB Statement No.
157” (“FSP 157-2”),
to delay the effective date of FASB Statement 157 for one year for certain nonfinancial assets and nonfinancial
liabilities, excluding those that are recognized or disclosed in financial statements at fair value on a recurring basis (that is, at least
annually). For purposes of applying the FSP 157-2, nonfinancial assets and nonfinancial liabilities include all assets and liabilities
other than those meeting the definition of a financial asset or a financial liability in FASB Statement 159. FSP 157-2 defers the
effective date of Statement 157 to fiscal years beginning after November 15, 2008, and interim periods within those fiscal years for
items within the scope of this FSP 157-2. The adoption of FAS 157 to nonfinancial assets and nonfinancial liabilities under the
scope of FSP 157
-
2 did not have a material impact on the Company's financial position, results of operations or cash flows.
In March 2008, the FASB issued Statement 161 “Disclosures about Derivative Instruments and Hedging Activities” (“SFAS 161”)
an amendment to FASB No. 133. This statement changes the disclosure requirements for derivative instruments and hedging
activities. Entities are required to provide enhanced disclosures about (a) how and why and entity uses derivative instruments, (b)
how derivative instruments and related hedged items are accounted for under Statement 133 and its related interpretations, and (c)
how derivative instruments and related hedged items affect an entity’s financial position, financial performance, and cash
flows. This statement is effective for financial statements issued for fiscal years and interim periods beginning after November 15,