Document and Entity Information	3 Months Ended
Document and Entity Information	Mar. 31, 2014	May 05, 2014
Entity Information:
Entity Registrant Name	Tree.com, Inc.
Entity Central Index Key	0001434621
Document Type	10-Q
Document Period End Date	Mar. 31, 2014
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		11,320,449
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	Q1

CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Revenue	$ 40,036	$ 28,080
Costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	1,665	1,356
Selling and marketing expense	27,449	17,255
General and administrative expense	6,133	6,556
Product development	1,932	1,205
Depreciation	755	885
Amortization of intangibles	28	43
Restructuring and severance	202	(2)
Litigation settlements and contingencies	7,707	1,028
Total costs and expenses	45,871	28,326
Operating loss	(5,835)	(246)
Other income (expense):
Interest expense	0	(7)
Loss before income taxes	(5,835)	(253)
Income tax benefit (expense)	1	(20)
Net loss from continuing operations	(5,834)	(273)
Gain from sale of discontinued operations, net of tax	0	98
Loss from operations of discontinued operations, net of tax	(574)	(2,542)
Loss from discontinued operations	(574)	(2,444)
Net loss	$ (6,408)	$ (2,717)
Weighted average shares outstanding:
Basic	11,142	10,967
Diluted	11,142	10,967
Net loss per share from continuing operations:
Basic (in dollars per share)	$ (0.52)	$ (0.02)
Diluted (in dollars per share)	$ (0.52)	$ (0.02)
Net loss per share from discontinued operations:
Basic (in dollars per share)	$ (0.05)	$ (0.22)
Diluted (in dollars per share)	$ (0.05)	$ (0.22)
Net loss per share attributable to common shareholders:
Basic (in dollars per share)	$ (0.58)	$ (0.25)
Diluted (in dollars per share)	$ (0.58)	$ (0.25)

CONSOLIDATED BALANCE SHEETS (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
ASSETS:
Cash and cash equivalents	$ 89,499	$ 91,667
Restricted cash and cash equivalents	24,062	26,017
Accounts receivable, net of allowance of $544 and $408, respectively	13,373	12,850
Prepaid and other current assets	1,611	1,689
Current assets of discontinued operations	527	521
Total current assets	129,072	132,744
Property and equipment, net	5,652	5,344
Goodwill	3,632	3,632
Intangible assets, net	10,656	10,684
Other non-current assets	103	111
Non-current assets of discontinued operations	100	129
Total assets	149,215	152,644
LIABILITIES:
Accounts payable, trade	1,387	4,881
Deferred revenue	25	49
Accrued expenses and other current liabilities	31,200	23,265
Current liabilities of discontinued operations (Note 14)	31,905	32,004
Total current liabilities	64,517	60,199
Other non-current liabilities	210	334
Deferred income taxes	4,849	4,849
Non-current liabilities of discontinued operations	306	254
Total liabilities	69,882	65,636
Commitments and contingencies
SHAREHOLDERS' EQUITY:
Preferred stock $.01 par value; authorized 5,000,000 shares; none issued or outstanding	0	0
Common stock $.01 par value; authorized 50,000,000 shares; issued 12,675,487 and 12,619,835 shares, respectively, and outstanding 11,306,555 and 11,250,903 shares, respectively	127	126
Additional paid-in capital	905,880	907,148
Accumulated deficit	(813,941)	(807,533)
Treasury stock 1,368,932 and 1,368,932 shares, respectively	(12,733)	(12,733)
Total shareholders' equity	79,333	87,008
Total liabilities and shareholders' equity	$ 149,215	$ 152,644

CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) In Thousands, except Share data, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Statement of Financial Position [Abstract]
Accounts receivable, allowance (in dollars)	$ 544	$ 408
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, authorized shares	5,000,000	5,000,000
Preferred stock, issued shares	0	0
Preferred stock, outstanding shares	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, authorized shares	50,000,000	50,000,000
Common stock, issued shares	12,675,487	12,619,835
Common stock, outstanding shares	11,306,555	11,250,903
Treasury stock, shares	1,368,932	1,368,932

CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY (USD $) In Thousands, unless otherwise specified	Total	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Treasury Stock	Comprehensive Income (Loss)
Balance at Dec. 31, 2013	$ 87,008	$ 126	$ 907,148	$ (807,533)	$ (12,733)
Balance (in shares) at Dec. 31, 2013		12,620			1,369
Comprehensive loss:
Year-to-date net income (loss)	(6,408)			(6,408)		(6,408)
Comprehensive loss						(6,408)
Non-cash compensation	1,618		1,618
Dividends	(8)		(8)
Net-share settlement of stock-based compensation, net of issuance of common stock upon stock option exercise	(2,877)	1	(2,878)
Net-share settlement of stock-based compensation, net of issuance of common stock upon stock option exercise (in shares)		55
Balance at Mar. 31, 2014	$ 79,333	$ 127	$ 905,880	$ (813,941)	$ (12,733)
Balance (in shares) at Mar. 31, 2014		12,675			1,369

- Definition

This element represents the amount of recognized equity-based compensation during the period, that is, the amount recognized as expense in the income statement (or as asset if compensation is capitalized). Alternate captions include the words "stock-based compensation".

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- Definition

Total of all stockholders' equity (deficit) items, net of receivables from officers, directors, owners, and affiliates of the entity which are attributable to the parent. The amount of the economic entity's stockholders' equity attributable to the parent excludes the amount of stockholders' equity which is allocable to that ownership interest in subsidiary equity which is not attributable to the parent (noncontrolling interest, minority interest). This excludes temporary equity and is sometimes called permanent equity.

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CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Cash flows from operating activities attributable to continuing operations:
Net loss	$ (6,408)	$ (2,717)
Less: Loss from discontinued operations, net of tax	574	2,444
Net loss from continuing operations	(5,834)	(273)
Adjustments to reconcile net loss from continuing operations to net cash provided by (used in) operating activities attributable to continuing operations:
Loss on disposal of fixed assets	0	24
Amortization of intangibles	28	43
Depreciation	755	885
Non-cash compensation expense	1,616	1,433
Deferred income taxes	(1)	18
Bad debt expense	186	29
Changes in current assets and liabilities:
Accounts receivable	(969)	(2,085)
Prepaid and other current assets	(576)	(2,348)
Accounts payable, accrued expenses and other current liabilities	4,520	(2,520)
Income taxes payable	658	(430)
Deferred revenue	(24)	(6)
Other, net	(115)	(186)
Net cash provided by (used in) operating activities attributable to continuing operations	244	(5,416)
Cash flows from investing activities attributable to continuing operations:
Capital expenditures	(1,069)	(587)
Decrease in restricted cash	1,954	386
Net cash provided by (used in) investing activities attributable to continuing operations	885	(201)
Cash flows from financing activities attributable to continuing operations:
Payments related to net-share settlement of stock-based compensation, net of proceeds from exercise of stock options	(2,877)	(671)
Dividends	(81)	0
Net cash used in financing activities attributable to continuing operations	(2,958)	(671)
Total cash used in continuing operations	(1,829)	(6,288)
Net cash used in operating activities attributable to discontinued operations	(339)	(576)
Total cash used in discontinued operations	(339)	(576)
Net decrease in cash and cash equivalents	(2,168)	(6,864)
Cash and cash equivalents at beginning of period	91,667	80,190
Cash and cash equivalents at end of period	$ 89,499	$ 73,326

ORGANIZATION	3 Months Ended
ORGANIZATION	Mar. 31, 2014
ORGANIZATION
ORGANIZATION	ORGANIZATION Company Overview Tree.com, Inc. ("Tree.com" or the "Company") is the parent of LendingTree, LLC, which owns several brands and businesses that provide information, tools, advice, products and services for critical transactions in consumers' lives. Its family of brands includes: LendingTree®, GetSmart®, LendingTree Autos^SM, LendingTree Education^SM, LendingTree Home Pros^SM and InsuranceTree®. Together, these brands serve as an ally for consumers who are looking to comparison-shop for loans, education programs, home services providers and other services from multiple businesses and professionals that will compete for their business. The consolidated financial statements include the accounts of Tree.com and all its wholly-owned entities. Intercompany transactions and accounts have been eliminated. Discontinued Operations The businesses of RealEstate.com and RealEstate.com, REALTORS® (which together represent the former Real Estate segment) and LendingTree Loans are presented as discontinued operations in the accompanying consolidated balance sheets and consolidated statements of operations and cash flows for all periods presented. The notes accompanying these consolidated financial statements reflect our continuing operations and, unless otherwise noted, exclude information related to the discontinued operations. Real Estate On March 10, 2011, management made the decision and finalized a plan to close all of the field offices of the proprietary full-service real estate brokerage business known as RealEstate.com, REALTORS®. The Company exited all markets in which it previously operated by March 31, 2011. In September 2011, the remaining assets of RealEstate.com were sold, which consisted primarily of internet domain names and trademarks, for $8.3 million and recognized a gain on sale of $7.8 million. LendingTree Loans On May 12, 2011, the Company entered into an asset purchase agreement with Discover Bank ("Discover"), a wholly-owned subsidiary of Discover Financial Services, as amended on February 7, 2012, for the sale of substantially all of the operating assets of its LendingTree Loans business. The sale was completed on June 6, 2012. The asset purchase agreement as amended provided for a purchase price of approximately $55.9 million in cash for the assets, subject to certain conditions. Of this total purchase price, $8.0 million was paid prior to the closing, $37.9 million was paid upon the closing and the contingent amount of $10.0 million was paid and recognized as a gain from sale of discontinued operations in the second quarter of 2013. Discover generally did not assume liabilities of the LendingTree Loans business that arose before the closing date, except for certain liabilities directly related to assets Discover acquired. Of the purchase price paid, as of March 31, 2014, $18.1 million is being held in escrow pending resolution of certain actual and/or contingent liabilities that remain with the Company following the sale. The escrowed amount is recorded as restricted cash at March 31, 2014. Separate from the asset purchase agreement, Tree.com agreed to provide certain marketing-related services to Discover in connection with its mortgage origination business for approximately seventeen months following the closing, or such earlier point as the agreed-upon services are satisfactorily completed. The services were satisfactorily completed in the second quarter of 2013. Discover remains a network lender on the Company's mortgage exchange following completion of the services. Basis of Presentation The accompanying unaudited interim consolidated financial statements as of March 31, 2014 and for the three months ended March 31, 2014 and 2013, respectively, have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and the rules and regulations of the U.S. Securities and Exchange Commission ("SEC"). In the opinion of management, the unaudited interim consolidated financial statements have been prepared on the same basis as the audited financial statements, and include all adjustments, consisting only of normal recurring adjustments, necessary for the fair presentation of our financial position for the periods presented. The results for the three months ended March 31, 2014 are not necessarily indicative of the results to be expected for the year ending December 31, 2014, or any other period. The accompanying consolidated balance sheet as of December 31, 2013 was derived from audited financial statements included in our annual report on Form 10-K for the year ended December 31, 2013 (the "2013 Form 10-K"). These consolidated financial statements do not include all of the information and footnotes required by GAAP for annual financial statements. Accordingly, they should be read in conjunction with the audited financial statements and notes thereto included in the 2013 Form 10-K.

SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
SIGNIFICANT ACCOUNTING POLICIES	Mar. 31, 2014
Accounting Policies [Abstract]
SIGNIFICANT ACCOUNTING POLICIES	SIGNIFICANT ACCOUNTING POLICIES Accounting Estimates Management is required to make certain estimates and assumptions during the preparation of the consolidated financial statements in accordance with GAAP. These estimates and assumptions impact the reported amount of assets and liabilities and disclosures of contingent assets and liabilities as of the date of the consolidated financial statements. They also impact the reported amount of net earnings during any period. Actual results could differ from those estimates. Significant estimates underlying the accompanying consolidated financial statements, including discontinued operations, include: loan loss obligations; the recoverability of long-lived assets, goodwill and intangible assets; the determination of income taxes payable and deferred income taxes, including related valuation allowances; restructuring reserves; various other allowances, reserves and accruals; and assumptions related to the determination of stock-based compensation. Certain Risks and Concentrations Tree.com's business is subject to certain risks and concentrations including dependence on third-party technology providers, exposure to risks associated with online commerce security and credit card fraud. Financial instruments, which potentially subject us to concentration of credit risk at March 31, 2014, consist primarily of cash and cash equivalents and accounts receivable, as disclosed in the consolidated balance sheet. Cash and cash equivalents are in excess of Federal Deposit Insurance Corporation insurance limits, but are maintained with quality financial institutions of high credit. The Company generally requires certain network lenders to maintain security deposits with the Company, which in the event of non-payment, would be applied against any accounts receivable outstanding. Due to the nature of the mortgage lending industry, interest rate increases may negatively impact future revenue from the Company's lender network. Lenders participating on the Company's lender network can offer their products directly to consumers through brokers, mass marketing campaigns or through other traditional methods of credit distribution. These lenders can also offer their products online, either directly to prospective borrowers, through one or more online competitors, or both. If a significant number of potential consumers are able to obtain loans from participating lenders without utilizing the Company's service, its ability to generate revenue may be limited. Because the Company does not have exclusive relationships with the lenders whose loan offerings are offered on its online marketplace, consumers may obtain offers and loans from these lenders without using its service. The Company maintains operations solely in the United States. Litigation Settlements and Contingencies Litigation settlements and contingencies consists of expenses related to actual or anticipated litigation settlements, in addition to legal fees incurred in connection with various patent litigation claims the Company pursues against others. Recent Accounting Pronouncements There are no recently issued accounting pronouncements that were adopted during the quarter ended March 31, 2014 or that are expected to impact the Company's consolidated financial statements.

- Definition

The entire disclosure for all significant accounting policies of the reporting entity.

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RESTRICTED CASH RESTRICTED CASH

3 Months Ended

Mar. 31, 2014

Cash and Cash Equivalents [Abstract]

RESTRICTED CASH

Restricted cash and cash equivalents consists of the following (in thousands):



	March 31, 2014		December 31, 2013
Cash in escrow for surety bonds	$	2,453	$	2,453
Cash in escrow for corporate purchasing card program	400		400
Cash in escrow for sale of LendingTree Loans	18,118		18,117
Cash in escrow for earnout related to an acquisition ^(a)	—		1,956
Cash restricted for loan loss obligations	3,051		3,051
Other	40		40
Total restricted cash and cash equivalents	$	24,062	$	26,017


(a)	During the first quarter of 2014, the Company reached and executed a settlement with the disputing party on the earnout related to an acquisition, upon which $2.0 million of cash previously held in escrow was released, of which $1.0 million was paid out to the disputing party. This settlement had no impact on the results of operations for the three months ended March 31, 2014.

GOODWILL AND INTANGIBLE ASSETS

3 Months Ended

Mar. 31, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND INTANGIBLE ASSETS

The balance of goodwill and intangible assets, net is as follows (in thousands):



	March 31, 2014			December 31, 2013
Goodwill	$	486,720		$	486,720
Accumulated impairment losses	(483,088		)	(483,088		)
Net goodwill	$	3,632		$	3,632

Intangible assets with indefinite lives	$	10,142		$	10,142
Intangible assets with definite lives, net	514			542
Total intangible assets, net	$	10,656		$	10,684

Goodwill and Indefinite-Lived Intangible Assets

The Company's goodwill is associated with its one reportable segment, lending. Intangible assets with indefinite lives relate to the Company's trademarks.

Intangible Assets with Definite Lives

Intangible assets with definite lives relate to the following (dollars in thousands):



	Cost		Accumulated Amortization			Net
Purchase agreements	$	236	$	(224	)	$	12
Technology	25,194		(25,194		)	—
Customer lists	6,682		(6,181		)	501
Other	1,517		(1,516		)	1
Balance at March 31, 2014	$	33,629	$	(33,115	)	$	514



	Cost		Accumulated Amortization			Net
Purchase agreements	$	236	$	(212	)	$	24
Technology	25,194		(25,194		)	—
Customer lists	6,682		(6,166		)	516
Other	1,517		(1,515		)	2
Balance at December 31, 2013	$	33,629	$	(33,087	)	$	542

Amortization of intangible assets with definite lives is computed on a straight-line basis and, based on balances as of March 31, 2014, future amortization is estimated to be as follows (in thousands):



	Amortization Expense
Remainder of current year	$	58
Year ending December 31, 2015	60
Year ending December 31, 2016	60
Year ending December 31, 2017	60
Year ending December 31, 2018	60
Thereafter	216
Total intangible assets with definite lives, net	$	514

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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PROPERTY AND EQUIPMENT

3 Months Ended

Mar. 31, 2014

Property, Plant and Equipment [Abstract]

PROPERTY AND EQUIPMENT

The balance of property and equipment, net is as follows (in thousands):



	March 31, 2014			December 31, 2013
Computer equipment and capitalized software	$	19,550		$	18,130
Leasehold improvements	2,096			2,096
Furniture and other equipment	1,029			981
Projects in progress	1,740			2,145
Total gross property and equipment	24,415			23,352
Accumulated depreciation	(18,763		)	(18,008		)
Total property and equipment, net	$	5,652		$	5,344

- Definition

The entire disclosure for long-lived, physical assets used in the normal conduct of business and not intended for resale. Includes, but is not limited to, accounting policies and methodology, roll forwards, depreciation, depletion and amortization expense, including composite depreciation, accumulated depreciation, depletion and amortization expense, useful lives and method used, income statement disclosures, assets held for sale and public utility disclosures.

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ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

3 Months Ended

Mar. 31, 2014

Payables and Accruals [Abstract]

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

Accrued expenses and other current liabilities consist of the following (in thousands):



	March 31, 2014		December 31, 2013
Accrued litigation liabilities	$	500	$	500
Accrued advertising expense	12,560		8,837
Accrued compensation and benefits	1,872		3,378
Accrued professional fees	8,281		1,806
Accrued restructuring costs ^(a)	289		284
Customer deposits and escrows	4,433		4,279
Deferred rent	259		245
Other	3,006		3,936
Total accrued expenses and other current liabilities	$	31,200	$	23,265


(a)	An additional $0.1 million and $0.2 million of accrued restructuring liability is classified in other long term liabilities on the consolidated balance sheets at March 31, 2014 and December 31, 2013, respectively.

SHAREHOLDERS' EQUITY

3 Months Ended

Mar. 31, 2014

Earnings Per Share [Abstract]

Earnings Per Share

SHAREHOLDERS' EQUITY

The basic and diluted earnings per share were determined based on the following share data (in thousands):



	Three Months Ended March 31,
	2014	2013
Weighted average basic common shares	11,142	10,967
Effect of stock options	—	—
Effect of dilutive share awards	—	—
Weighted average common shares	11,142	10,967

For the three months ended March 31, 2014 and 2013, we had losses from continuing operations and, as a result, no potentially dilutive securities were included in the denominator for computing diluted earnings per share, because the impact would have been anti-dilutive. Accordingly, the weighted average basic shares outstanding were used to compute earnings per share amounts for these periods. For the three months ended March 31, 2014 and 2013, approximately 0.7 million and 0.7 million shares, respectively, related to potentially dilutive securities were excluded from the calculation of diluted earnings per share, because their inclusion would have been anti-dilutive.

Common Stock Repurchases

On January 11, 2010, the board of directors authorized the repurchase of up to $10 million of Tree.com's common stock. During the three months ended March 31, 2014, the Company did not purchase any shares of its common stock pursuant to this stock repurchase program. At March 31, 2014, approximately $0.8 million remains authorized for share repurchase.

On May 7, 2014, the board of directors authorized the repurchase of up to an additional $10 million of Tree.com's common stock.

- Definition

The entire disclosure for earnings per share.

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STOCK-BASED COMPENSATION

3 Months Ended

Mar. 31, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

STOCK-BASED COMPENSATION

Non-cash compensation expense related to equity awards is included in the following line items in the accompanying consolidated statements of operations (in thousands):



	Three Months Ended March 31,
	2014		2013
Cost of revenue	$	6	$	2
Selling and marketing expense	233		217
General and administrative expense	1,061		1,030
Product development	316		184
Total non-cash compensation expense	$	1,616	$	1,433

Stock Options

A summary of changes in outstanding stock options is as follows:



	Number of Options		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term	Aggregate Intrinsic Value^(a)
			(per option)		(in years)	(in thousands)
Options outstanding at January 1, 2014	1,038,999		$	8.98
Granted ^(b)	42,757		33.59
Exercised	(2,692	)	11.44
Forfeited	—		—
Expired	(10	)	0.47
Options outstanding at March 31, 2014	1,079,054		9.95		4.74	$	22,865
Options exercisable at March 31, 2014	935,005		$	9.23	4.21	$	20,394

(a)

The aggregate intrinsic value represents the total pre-tax intrinsic value (the difference between the Company's closing stock price of $31.04 on the last trading day of the quarter ended March 31, 2014 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on March 31, 2014. The intrinsic value changes based on the fair market value of the Company's common stock.

(b)

During the first quarter of 2014 the Company granted stock options with a weighted average grant date fair value per share of $17.13 that vest over a period of three years from their grant date. For purposes of determining stock-based compensation expense, the grant date fair value per share of the stock options was estimated using the Black-Scholes option pricing model, which requires the use of various key assumptions, including the following:



Expected term ⁽¹⁾	6.0 years
Expected dividend ⁽²⁾	—
Expected volatility ⁽³⁾	54	%
Risk-free interest rate ⁽⁴⁾	1.85	%


(1)	The expected term of stock options granted was calculated using the 'Simplified Method', which utilizes the midpoint between the weighted-average time of vesting and the end of the contractual term. This method was utilized for the stock options due to the lack of historical exercise behavior by the Company's employees.


(2)	For all stock options granted in 2014, no dividends are expected to be paid over the contractual term of the stock options, resulting in a zero expected dividend rate.

(3)

The expected volatility rate is based on the historical volatility of the Company's common stock for the four years preceding the grant date, supplemented with the historical volatility of its peer group for the two years preceding the Company's historical volatility over the expected term. A blended rate was used because the Company became a public company in 2008 and, therefore, does not have a historical volatility equal to the expected term of these awards.


(4)	The risk-free interest rate is specific to the date of grant. The risk-free interest rate is based on U.S. Treasury yields for notes with comparable expected terms as the awards, in effect at the grant date.

A summary of the information about stock options outstanding and exercisable is as follows:



	Options Outstanding				Options Exercisable
Range of Exercise Prices	Outstanding	Weighted Average Remaining Contractual Life	Weighted Average Exercise Price		Exercisable	Weighted Average Exercise Price
		(in years)	(per option)			(per option)
$0.01 to $4.99	15	0.12	$	1.52	15	$	1.52
$5.00 to $7.45	304,032	7.47	6.65		202,740	6.65
$7.46 to $9.99	601,783	3.78	8.46		601,783	8.46
$10.00 to $14.99	3,679	0.56	12.25		3,679	12.25
$15.00 to $19.99	80,125	1.18	15.00		80,125	15.00
$20.00 to $33.59	89,420	5.35	26.60		46,663	20.19
Options at March 31, 2014	1,079,054	4.74	$	9.95	935,005	$	9.23

Restricted Stock Units and Restricted Stock

A summary of the changes in outstanding nonvested RSUs and restricted stock is as follows:



	RSUs				RSUs Market Condition
	Number of Units		Weighted Average Grant Date Fair Value		Number of Units	Weighted Average Grant Date Fair Value
			(per unit)			(per unit)
Nonvested at January 1, 2014	599,122		$	14.15	—	$	—
Granted	102,440		33.59		500	33.59
Vested	(141,116	)	13.54		—	—
Forfeited	(10,371	)	16.44		—	—
Nonvested at March 31, 2014	550,075		$	17.89	500	$	33.59



	Restricted Stock				Restricted Stock Market Condition
	Number of Shares		Weighted Average Grant Date Fair Value		Number of Shares		Weighted Average Grant Date Fair Value
			(per share)				(per share)
Nonvested at January 1, 2014	119,500		$	22.47	62,500		$	13.93
Granted	—		—		—		—
Vested	(20,833	)	17.49		(62,500	)	13.93
Forfeited	—		—		—		—
Nonvested at March 31, 2014	98,667		$	23.53	—		$	—

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References+ Details

INCOME TAXES

3 Months Ended

Mar. 31, 2014

Income Tax Disclosure [Abstract]

INCOME TAXES



	Three Months Ended March 31,
	2014			2013
	(in thousands, except percentages)
Income tax benefit (provision)	$	1		$	(20	)
Effective tax rate	—		%	7.9		%

For the three months ended March 31, 2014, the effective tax rate varied from the statutory rate primarily due to the existence of a valuation allowance that has been provided to offset the Company's net deferred tax asset, after excluding deferred tax liabilities related to indefinite lived intangible assets that are not going to provide a source of taxable income in the foreseeable future.

For the three months ended March 31, 2013, the effective income tax rate varied from the statutory rate due primarily to the impact of the valuation allowance, indefinite-lived intangible assets and state taxes.

Valuation Allowance

There have been no changes to the Company's valuation allowance assessment for the three months ended March 31, 2014.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References+ Details

DISCRETIONARY CASH BONUS	3 Months Ended
DISCRETIONARY CASH BONUS	Mar. 31, 2014
Compensation Related Costs [Abstract]
DISCRETIONARY CASH BONUS	DISCRETIONARY CASH BONUS During February 2013, the Company incurred a compensation charge of $0.9 million related to a discretionary cash bonus payment to employee stock option holders.

- Definition

The entire disclosure for compensation costs, including compensated absences accruals, compensated absences liability, deferred compensation arrangements and income statement compensation items. Deferred compensation arrangements may include a description of an arrangement with an individual employee, which is generally an employment contract between the entity and a selected officer or key employee containing a promise by the employer to pay certain amounts at designated future dates, usually including a period after retirement, upon compliance with stipulated requirements. This type of arrangement is distinguished from broader based employee benefit plans as it is usually tailored to the employee. Disclosure also typically includes the amount of related compensation expense recognized during the reporting period, the number of shares (units) issued during the period under such arrangements, and the carrying amount as of the balance sheet date of the related liability.

+ References+ Details

CONTINGENCIES	3 Months Ended
CONTINGENCIES	Mar. 31, 2014
Commitments and Contingencies Disclosure [Abstract]
CONTINGENCIES	CONTINGENCIES Overview Tree.com is involved in legal proceedings on an ongoing basis. In assessing the materiality of a legal proceeding, the Company evaluates, among other factors, the amount of monetary damages claimed, as well as the potential impact of non-monetary remedies sought by plaintiffs (e.g., injunctive relief) that may require it to change its business practices in a manner that could have a material adverse impact on the business. With respect to the matters disclosed in this footnote, unless otherwise indicated, the Company is unable to estimate the possible loss or range of losses that could potentially result from the application of such non-monetary remedies. As of both March 31, 2014 and December 31, 2013, the Company had a litigation settlement accrual for its continuing operations of $0.5 million. The litigation settlement accrual relates to litigation matters that were either settled or a firm offer for settlement was extended, thereby establishing an accrual amount that is both probable and reasonably estimable. Specific Matters Intellectual Property Litigation Zillow LendingTree v. Zillow, Inc., et al. Civil Action No. 3:10-cv-439. On September 8, 2010, the Company filed an action for patent infringement in the US District Court for the Western District of North Carolina against Zillow, Inc., Nextag, Inc., Quinstreet, Inc., Quinstreet Media, Inc. and Adchemy, Inc. The complaint was amended to include Leadpoint, Inc. d/b/a Securerights on September 24, 2010. The complaint alleges that each of the defendants infringe one or both of the Company's patents—U.S. Patent No. 6,385,594, entitled "Method and Computer Network for Co-Ordinating a Loan over the Internet," and U.S. Patent No. 6,611,816, entitled "Method and Computer Network for Co-Ordinating a Loan over the Internet." Collectively, the asserted patents cover computer hardware and software used in facilitating business between computer users and multiple lenders on the internet. The defendants in this action asserted various counterclaims against the Company, including the assertion by certain of the defendants of counterclaims alleging illegal monopolization via our maintenance of the asserted patents. In July 2011, the Company reached a settlement agreement with Leadpoint, Inc., pursuant to which all claims against Leadpoint, Inc. and all counter-claims against the Company by Leadpoint, Inc. were dismissed. In November 2012, the Company reached a settlement agreement with Quinstreet, Inc. and Quinstreet Media, Inc. (collectively, the "Quinstreet Parties"), pursuant to which all claims against the Quinstreet Parties and all counterclaims against the Company by the Quinstreet Parties were dismissed. This matter went to trial beginning in February 2014, and on March 12, 2014, the jury returned a verdict. The jury found that the defendants Zillow, Inc., Adchemy, Inc., and NexTag, Inc. did not infringe the two patents referenced above and determined that those patents are invalid due to inventorship defects. The jury found in the Company's favor on the defendants' counterclaims alleging inequitable conduct and antitrust violations. Judgment was entered on March 31, 2014. Certain matters remain pending with the court, including the Company's motions for a new trial and to correct the inventorship defect and restore the validity of the patents and the defendants' motions for sanctions and awards of attorneys' fees. The Company believes it has strong grounds for appeal and filed a notice of appeal on April 22, 2014. The range of possible loss on the motions for sanctions and awards of attorneys' fees is estimated to be between $0 to $9.7 million. The Company believes the defendants' motions for sanctions and attorneys' fees lack merit and intends to defend these motions vigorously. Internet Patents Corp. Internet Patents Corporation f/k/a InsWeb v. Tree.com, Inc., No. C-12-6505 (U.S. Dist. Ct., N.D. Cal.). In December 2012, the plaintiff filed a patent infringement lawsuit against the Company seeking a judgment that it had infringed a patent held by the plaintiff. Process was formally served with respect to this matter in April 2013. The plaintiff sought injunctive relief, damages, costs, expenses, pre- and post-judgment interest, punitive damages and attorneys' fees. The plaintiff alleged that the Company infringes U.S. Patent No. 7,707,505, entitled "Dynamic Tabs for a Graphical User Interface". On October 25, 2013, the court dismissed the suit based on the finding that the plaintiff's claims failed as a matter of law because the asserted patent is invalid for lack of patent-eligible subject matter. The plaintiff filed a notice of appeal on November 7, 2013. In December 2013, the Company's case was consolidated with three other pending appeals involving the asserted patents. The plaintiff filed its opening appellate brief in January 2014, and the Company filed a joint appellate response brief in April 2014. The Company believes the plaintiff's allegations lack merit and intends to defend against this action vigorously. Money Suite The Money Suite Company v. LendingTree, LLC, No. 1:13-ev-986 (U.S. Dist. Ct, D Del.). In June 2013, the plaintiff filed a patent infringement lawsuit against LendingTree, LLC ("LendingTree") seeking a judgment that it infringed a patent held by plaintiff. The plaintiff alleges that LendingTree infringes U.S. Patent No. 6,684,189 for "an apparatus and method using front end network gateways and search criteria for efficient quoting at a remote location". The plaintiff seeks damages (including pre- and post- judgment interest thereon), costs and attorneys' fees. In December 2013, the court stayed this case pending review of the patent by the United States Patent and Trademark Office. The Company believes the plaintiff's allegations lack merit and intends to defend against this action vigorously. Other Litigation Boschma Boschma v. Home Loan Center, Inc., No. SACV7-613 (U.S. Dist. Ct., C.D. Cal.). On May 25, 2007, the plaintiffs filed this putative class action against Home Loan Center, Inc. ("HLC") in the U.S. District Court for the Central District of California. The plaintiffs allege that HLC sold them an option "ARM" (adjustable-rate mortgage) loan but failed to disclose in a clear and conspicuous manner, among other things, that the interest rate was not fixed, that negative amortization could occur and that the loan had a prepayment penalty. Based upon these factual allegations, the plaintiffs asserted violations of the federal Truth in Lending Act, violations of the Unfair Competition Law, breach of contract, and breach of the covenant of good faith and fair dealing. The plaintiffs purport to represent a class of all individuals who between June 1, 2003 and May 31, 2007 obtained an option ARM loan through HLC on their primary residence located in California, and seek rescission, damages, attorneys' fees and injunctive relief. The plaintiffs have not yet filed a motion for class certification, but have filed a total of eight complaints in connection with this lawsuit. Each of the first seven complaints has been dismissed by the federal and state courts. The plaintiffs filed the eighth complaint (a "Second Amended Complaint") in Orange County (California) Superior Court on March 4, 2010 alleging only the fraud and Unfair Competition Law claims. As with each of the seven previous versions of plaintiffs' complaint, the Second Amended Complaint was dismissed in April 2010. The plaintiffs appealed the dismissal and on August 10, 2011, the appellate court reversed the trial court's dismissal and directed the trial court to overrule the demurrer. The case was remanded to superior court. During 2013, the parties agreed to a $450,000 settlement, which was approved in 2013. A nominal payment into the settlement fund was made in late 2013. The Company expects administration of the settlement to be completed by the third quarter of 2014. A provision for the remaining $435,000 is included in current liabilities of discontinued operations at March 31, 2014. The impact of the settlement was not material. Dijkstra Lijkel Dijkstra v. Harry Carenbauer, Home Loan Center, Inc. et al., No. 5:11-cv-152-JPB (U.S. Dist. Ct., N.D.WV). On November 7, 2008, the plaintiffs filed this putative class action in Circuit Court of Ohio County, West Virginia against Harry Carenbauer, HLC, HLC Escrow, Inc. et al. The complaint alleges that HLC engaged in the unauthorized practice of law in West Virginia by permitting persons who were neither admitted to the practice of law in West Virginia nor under the direct supervision of a lawyer admitted to the practice of law in West Virginia to close mortgage loans. The plaintiffs assert claims for declaratory judgment, contempt, injunctive relief, conversion, unjust enrichment, breach of fiduciary duty, intentional misrepresentation or fraud, negligent misrepresentation, violation of the West Virginia Consumer Credit and Protection Act ("CCPA"), violation of the West Virginia Lender, Broker & Services Act, civil conspiracy, outrage and negligence. The claims against all defendants other than Mr. Carenbauer, HLC and HLC Escrow, Inc. have been dismissed. The case was removed to federal court in October 2011. On January 3, 2013, the court granted a conditional class certification only with respect to the declaratory judgment, contempt, unjust enrichment and CCPA claims. The conditional class includes consumers with mortgage loans in effect any time after November 8, 2007 who obtained such loans through HLC, and whose loans were closed by persons not admitted to the practice of law in West Virginia or by persons not under the direct supervision of a lawyer admitted to the practice of law in West Virginia. On February 26, 2014, the court granted and denied certain of each party's motions for summary judgment. With respect to the Class Claims, the court granted plaintiff's motions for summary judgment with respect to declaratory judgment, unjust enrichment and violation of the CCPA. The court granted HLC's motion for summary judgment with respect to contempt. In addition, the court denied HLC's motion to decertify the class. With respect to the claims applicable to the named plaintiff only (the "Individual Claims"), HLC's motions for summary judgment were granted with respect to conversion, breach of fiduciary duty, intentional misrepresentation, negligent misrepresentation and outrage. HLC and the plaintiff have reached a tentative settlement agreement with respect to the remaining Individual Claims. The trial for the Class Claims has not yet been scheduled by the court. The Company believes that the plaintiffs' allegations related to the Class Claims lack merit and intends to defend against this action vigorously. The range of possible loss is estimated to be between $0.6 million and $1.95 million, of which some or all may be covered by insurance. A reserve of $0.6 million and a corresponding insurance recoverable of $0.5 million have been established for this matter in the consolidated balance sheet as of March 31, 2014. Massachusetts Division of Banks On February 11, 2011, the Massachusetts Division of Banks (the "Division") delivered a Report of Examination/Inspection to LendingTree, which identified various alleged violations of Massachusetts and federal laws, including the alleged insufficient delivery by LendingTree of various disclosures to its customers. On October 14, 2011, the Division provided a proposed Consent Agreement and Order to settle the Division's allegations, which the Division had shared with other state mortgage lending regulators. Thirty-four of such state mortgage lending regulators (the "Joining Regulators") indicated that if LendingTree would enter into the Consent Agreement and Order, they would agree not to pursue any analogous allegations that they otherwise might assert. As of May 7, 2014, none of the Joining Regulators have asserted any such allegations. The proposed Consent Agreement and Order calls for a fine to be allocated among the Division and the Joining Regulators and for LendingTree to adopt various new procedures and practices. The Company has commenced negotiations toward an acceptable Consent Agreement and Order. It does not believe its mortgage exchange business violated any federal or state mortgage lending laws; nor does it believe that any past operations of the mortgage business have resulted in a material violation of any such laws. Should the Division or any Joining Regulator bring any actions relating to the matters alleged in the February 2011 Report of Examination/Inspection, the Company intends to defend against such actions vigorously. The range of possible loss is estimated to be between $0.5 million and $6.5 million, and a reserve of $0.5 million has been established for this matter in the consolidated balance sheet as of March 31, 2014.

SEGMENT INFORMATION

3 Months Ended

Mar. 31, 2014

Segment Reporting [Abstract]

SEGMENT INFORMATION

The Company has one reportable segment, its lending operating segment. Its additional operating segments—auto, education and home services—are included in the "Other" category in the reconciliation of segment information below.

The expenses presented below for the lending segment and the operating segments shown in the Other category include allocations of certain corporate expenses that are identifiable and directly benefit those segments. The unallocated expenses included in the "Corporate" category are those corporate overhead expenses that are not directly attributable to an operating segment and include: finance, legal, executive technology support and human resources.

Adjusted EBITDA, a non-GAAP measure, is the primary metric by which the chief operating decision maker evaluates the performance of the Company's businesses, on which its internal budgets are based and by which management is compensated. Adjusted EBITDA is defined as operating income or loss (which excludes interest expense and taxes) adjusted to exclude amortization of intangibles and depreciation, and excluding (1) non-cash compensation expense, (2) non-cash intangible asset impairment charges, (3) gain/loss on disposal of assets, (4) restructuring and severance expenses, (5) litigation settlements and contingencies and legal fees for certain patent litigation, (6) adjustments for significant acquisitions or dispositions, and (7) one-time items. For the periods presented in this report, there are no adjustments for one-time items, except for a $0.9 million related to a discretionary cash bonus payment to employee stock option holders during the three months ended March 31, 2013.

Assets and other balance sheet information are not used by the chief operating decision maker.

Summarized information by segment and reconciliations to Adjusted EBITDA and income (loss) before income taxes is as follows (in thousands):



	Three Months Ended March 31, 2014
	Lending		Other			Corporate			Total
Revenue	$	36,928	$	3,108		$	—		$	40,036
Costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	1,545		120			—			1,665
Selling and marketing expense	25,619		1,830			—			27,449
General and administrative expense	1,246		782			4,105			6,133
Product development	1,623		309			—			1,932
Depreciation	363		293			99			755
Amortization of intangibles	—		28			—			28
Restructuring and severance	148		15			39			202
Litigation settlements and contingencies	—		—			7,707			7,707
Total costs and expenses	30,544		3,377			11,950			45,871
Operating income (loss)	6,384		(269		)	(11,950		)	(5,835		)
Adjustments to reconcile to Adjusted EBITDA:
Amortization of intangibles	—		28			—			28
Depreciation	363		293			99			755
Restructuring and severance	148		15			39			202
Loss on disposal of assets	—		8			—			8
Non-cash compensation	599		265			752			1,616
Litigation settlements and contingencies	—		—			7,707			7,707
Adjusted EBITDA	$	7,494	$	340		$	(3,353	)	$	4,481

Operating loss									$	(5,835	)
Interest expense									—
Loss before income taxes									$	(5,835	)



	Three Months Ended March 31, 2013 ^(a)
	Lending		Other			Corporate			Total
Revenue	$	25,673	$	2,407		$	—		$	28,080
Costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	1,156		173			27			1,356
Selling and marketing expense	15,160		2,095			—			17,255
General and administrative expense	978		511			5,067			6,556
Product development	950		255			—			1,205
Depreciation	374		417			94			885
Amortization of intangibles	—		43			—			43
Restructuring and severance	—		—			(2		)	(2		)
Litigation settlements and contingencies	—		—			1,028			1,028
Total costs and expenses	18,618		3,494			6,214			28,326
Operating income (loss)	7,055		(1,087		)	(6,214		)	(246		)
Adjustments to reconcile to Adjusted EBITDA:
Amortization of intangibles	—		43			—			43
Depreciation	374		417			94			885
Restructuring and severance	—		—			(2		)	(2		)
Loss on disposal of assets	—		—			25			25
Non-cash compensation	413		142			878			1,433
Discretionary cash bonus	—		—			920			920
Litigation settlements and contingencies	—		—			1,028			1,028
Adjusted EBITDA	$	7,842	$	(485	)	$	(3,271	)	$	4,086

Operating loss									$	(246	)
Interest expense									(7		)
Loss before income taxes									$	(253	)


(a)	For comparative purposes, revenue from and expenses related to personal loan offerings have been recast from the "Other" category to the lending segment.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

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+ Details

RESTRUCTURING EXPENSE

3 Months Ended

Mar. 31, 2014

Restructuring and Related Activities [Abstract]

RESTRUCTURING EXPENSE

RESTRUCTURING

Accrued restructuring liabilities primarily relate to lease obligations for call center leases exited in 2010, which are expected to be completed by 2015. Restructuring expense and payments against liabilities are as follows (in thousands):



	Continuing Lease Obligations
Balance at December 31, 2013	$	462
Restructuring expense	4
Payments	(74		)
Balance at March 31, 2014	$	392

At March 31, 2014, restructuring liabilities of $0.3 million are included in accrued expenses and other current liabilities and $0.1 million are included in other non-current liabilities in the accompanying consolidated balance sheet. At December 31, 2013, restructuring liabilities of $0.3 million are included in accrued expenses and other current liabilities and $0.2 million are included in other non-current liabilities in the accompanying consolidated balance sheet. We do not expect to incur significant additional costs related to the restructuring noted above.

- Definition

The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled.

+ References+ Details

DISCONTINUED OPERATIONS

3 Months Ended

Mar. 31, 2014

Discontinued Operations and Disposal Groups [Abstract]

DISCONTINUED OPERATIONS

Real Estate

On March 10, 2011, management made the decision and finalized a plan to close all of the field offices of the proprietary full-service real estate brokerage business known as RealEstate.com, REALTORS®. The Company exited all markets by March 31, 2011. In September 2011, the remaining assets of RealEstate.com were sold, which consisted primarily of internet domain names and trademarks. Accordingly, these real estate businesses are presented as discontinued operations in the accompanying consolidated financial statements for all periods presented. No significant future cash flows are anticipated from the disposition of this business.

The revenue and net loss for the real estate businesses that are reported as discontinued operations in the accompanying consolidated statements of operations are as follows (in thousands):



	Three Months Ended March 31,
	2014			2013
Revenue	$	—		$	1

Income (loss) before income taxes	$	(16	)	$	7
Income tax benefit	—			—
Net income (loss)	$	(16	)	$	7

The liabilities of real estate businesses that are reported as discontinued operations in the accompanying consolidated balance sheets are as follows (in thousands):



	March 31, 2014			December 31, 2013
Current liabilities	$	(15	)	$	(45	)
Net liabilities	$	(15	)	$	(45	)

LendingTree Loans

On May 12, 2011, the Company entered into an asset purchase agreement, later amended on February 7, 2012, that provided for the sale of substantially all of the operating assets of its LendingTree Loans business to Discover. The sale was completed on June 6, 2012. Discover has participated as a network lender since closing of the transaction. An evaluation of the facts and circumstances of the transaction and the applicable accounting guidance for discontinued operations indicates that the LendingTree Loans business should be reflected as discontinued operations in the accompanying consolidated financial statements for all periods presented. The continuing cash flows related to this transaction are not significant and, accordingly, are not deemed to be direct cash flows of the divested business.

The Company agreed to indemnify Discover for a breach or inaccuracy of any representation, warranty or covenant made by it in the asset purchase agreement, for any liability of LendingTree Loans that was not assumed, for any claims by its stockholders against Discover and for its failure to comply with any applicable bulk sales law, subject to certain limitations. Discover submitted a claim for indemnification relating to the sale prior to the closing of certain loans that were listed in the asset purchase agreement as to be conveyed to Discover at closing. In May 2013, this indemnification claim and other miscellaneous items were settled by agreeing to credit Discover for $1.3 million in future services. A majority of these credits were applied against services during the year ended December 31, 2013. The remaining credits were exhausted in the first quarter of 2014.

The revenue and net loss for LendingTree Loans that are reported as discontinued operations in the accompanying consolidated statements of operations are as follows (in thousands):



	Three Months Ended March 31,
	2014			2013
Revenue	$	2		$	(1,195	)

Income (loss) before income taxes	$	(555	)	$	(2,498	)
Income tax benefit (expense)	(3		)	(51		)
Gain from sale of discontinued operations, net of tax	—			98
Net income (loss)	$	(558	)	$	(2,451	)

The assets and liabilities of LendingTree Loans that are reported as discontinued operations in the accompanying consolidated balance sheets are as follows (in thousands):



	March 31, 2014			December 31, 2013
Current assets	$	527		$	521
Non-current assets	100			129
Current liabilities	(31,890		)	(31,959		)
Non-current liabilities	(306		)	(254		)
Net liabilities	$	(31,569	)	$	(31,563	)

Significant Assets and Liabilities of LendingTree Loans

Upon closing of the sale of substantially all of the operating assets of the LendingTree Loans business on June 6, 2012, LendingTree Loans ceased to originate consumer loans. The remaining operations are being wound down. These wind-down activities have included, among other things, selling the balance of loans held for sale to investors, paying off and then terminating the warehouse lines of credit and settling derivative obligations, all of which have been completed. Liability for losses on previously sold loans will remain with LendingTree Loans and are discussed below.

Loan Loss Obligations

LendingTree Loans sold loans it originated to investors on a servicing-released basis, so the risk of loss or default by the borrower was generally transferred to the investor. However, LendingTree Loans was required by these investors to make certain representations and warranties relating to credit information, loan documentation and collateral. These representations and warranties may extend through the contractual life of the loan. Subsequent to the loan sale, if underwriting deficiencies, borrower fraud or documentation defects are discovered in individual loans, LendingTree Loans may be obligated to repurchase the respective loan or indemnify the investors for any losses from borrower defaults if such deficiency or defect cannot be cured within the specified period following discovery. In the case of early loan payoffs and early defaults on certain loans, LendingTree Loans may be required to repay all or a portion of the premium initially paid by the investor.

The Company's HLC subsidiary continues to be liable for these indemnification obligations, repurchase obligations and premium repayment obligations following the sale of substantially all of the operating assets of its LendingTree Loans business in the second quarter of 2012. As of March 31, 2014, approximately $21.2 million is being held in escrow pending resolution of certain of these contingent liabilities. The Company has been negotiating with certain secondary market purchasers to settle any existing and future contingent liabilities, but it may not be able to complete such negotiations on acceptable terms, or at all. Because LendingTree Loans does not service the loans it sold, it does not maintain nor generally have access to the current balances and loan performance data with respect to the individual loans previously sold to investors. Accordingly, LendingTree Loans is unable to determine, with precision, its maximum exposure for breaches of the representations and warranties it made to the investors that purchased such loans.

During the fourth quarter of 2013, the Company revised its estimation process for evaluating the adequacy of the reserve for loan losses to use a settlement discount framework. This model estimates the lifetime losses on the population of remaining loans originated and sold by LendingTree Loans using actual defaults for loans with similar characteristics and projected future defaults. It also considers the likelihood of claims expected due to alleged breaches of representations and warranties made by LendingTree Loans and the percentage of those claims investors estimate LendingTree Loans may agree to repurchase. A settlement discount factor is then applied to the result of the foregoing to reflect publicly announced bulk settlements for similar loan types and vintages, as well as LendingTree Loans' non-operating status, in order to estimate a range of potential obligation.

The estimated range of remaining loan losses using this settlement discount framework was determined to be $17.0 million to $31.0 million at March 31, 2014. The reserve balance recorded as of March 31, 2014 was $28.5 million. Management has considered both objective and subjective factors in the estimation process, but given current general industry trends in mortgage loans as well as housing prices and market expectations, actual losses related to LendingTree Loans' obligations could vary significantly from the obligation recorded as of the balance sheet date or the range estimated above.

Additionally, Tree.com has guaranteed certain loans sold to two investors in the event that LendingTree Loans is unable to satisfy its repurchase and warranty obligations related to such loans.

The following table represents the loans sold for the periods shown and the aggregate loan losses through March 31, 2014:



	March 31, 2014
Period of Loan Sales	Number of Loans Sold	Original Principal Balance		Number of Loans with Losses	Original Principal Balance of Loans with Losses		Amount of Aggregate Losses
		(in billions)			(in millions)		(in millions)
2014	—	$	—	—	$	—	$	—
2013	—	—		—	—		—
2012	9,200	1.9		—	—		—
2011	12,500	2.7		1	0.3		0.1
2010	12,400	2.8		4	1.1		0.1
2009	12,800	2.8		5	1.2		0.2
2008	11,000	2.2		33	6.9		2.2
2007	36,300	6.1		160	22.1		8.2
2006	55,000	7.9		207	24.5		13.4
2005 and prior years	86,700	13.0		89	12.3		5.0
Total	235,900	$	39.4	499	$	68.4	$	29.2

Based on historical experience, it is anticipated that LendingTree Loans will continue to receive repurchase requests and incur losses on loans sold in prior years.

The activity related to loss reserves on previously sold loans is as follows (in thousands):



	Three Months Ended March 31,
	2014		2013
Loan loss reserve, beginning of period	$	28,543	$	27,182
Provisions	—		1,197
Charge-offs to reserves	—		—
Loan loss reserve, end of period	$	28,543	$	28,379

The liability for losses on previously sold loans is presented as current liabilities of discontinued operations in the accompanying consolidated balance sheet as of March 31, 2014 and December 31, 2013.

- Definition

The entire disclosure for the facts and circumstances leading to the completed or expected disposal, manner and timing of disposal, the gain (loss) recognized in the income statement and the income statement caption that includes that gain (loss), amounts of revenues and pretax profit or loss reported in discontinued operations, the segment in which the disposal group was reported, and the classification (whether sold or classified as held for sale) and carrying value of the assets and liabilities comprising the disposal group. Includes all disposal groups, including those classified as components of the entity (discontinued operations).

+ References

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-Name Accounting Standards Codification

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-SubTopic 10

-Section 50

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-Topic 205

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+ Details

SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
SIGNIFICANT ACCOUNTING POLICIES (Policies)	Mar. 31, 2014
Accounting Policies [Abstract]
Accounting Estimates	Accounting Estimates Management is required to make certain estimates and assumptions during the preparation of the consolidated financial statements in accordance with GAAP. These estimates and assumptions impact the reported amount of assets and liabilities and disclosures of contingent assets and liabilities as of the date of the consolidated financial statements. They also impact the reported amount of net earnings during any period. Actual results could differ from those estimates. Significant estimates underlying the accompanying consolidated financial statements, including discontinued operations, include: loan loss obligations; the recoverability of long-lived assets, goodwill and intangible assets; the determination of income taxes payable and deferred income taxes, including related valuation allowances; restructuring reserves; various other allowances, reserves and accruals; and assumptions related to the determination of stock-based compensation.
Certain Risks and Concentrations	Certain Risks and Concentrations Tree.com's business is subject to certain risks and concentrations including dependence on third-party technology providers, exposure to risks associated with online commerce security and credit card fraud. Financial instruments, which potentially subject us to concentration of credit risk at March 31, 2014, consist primarily of cash and cash equivalents and accounts receivable, as disclosed in the consolidated balance sheet. Cash and cash equivalents are in excess of Federal Deposit Insurance Corporation insurance limits, but are maintained with quality financial institutions of high credit. The Company generally requires certain network lenders to maintain security deposits with the Company, which in the event of non-payment, would be applied against any accounts receivable outstanding. Due to the nature of the mortgage lending industry, interest rate increases may negatively impact future revenue from the Company's lender network. Lenders participating on the Company's lender network can offer their products directly to consumers through brokers, mass marketing campaigns or through other traditional methods of credit distribution. These lenders can also offer their products online, either directly to prospective borrowers, through one or more online competitors, or both. If a significant number of potential consumers are able to obtain loans from participating lenders without utilizing the Company's service, its ability to generate revenue may be limited. Because the Company does not have exclusive relationships with the lenders whose loan offerings are offered on its online marketplace, consumers may obtain offers and loans from these lenders without using its service. The Company maintains operations solely in the United States.
Litigation Settlements and Contingencies	Litigation Settlements and Contingencies Litigation settlements and contingencies consists of expenses related to actual or anticipated litigation settlements, in addition to legal fees incurred in connection with various patent litigation claims the Company pursues against others.
New Accounting Pronouncements, Policy [Policy Text Block]	Recent Accounting Pronouncements There are no recently issued accounting pronouncements that were adopted during the quarter ended March 31, 2014 or that are expected to impact the Company's consolidated financial statements.

- Definition

Disclosure of accounting policy for credit risk.

+ References+ Details

RESTRICTED CASH RESTRICTED CASH (Tables)

3 Months Ended

Mar. 31, 2014

Cash and Cash Equivalents [Abstract]

Schedule of Restricted Cash and Cash Equivalents

Restricted cash and cash equivalents consists of the following (in thousands):



	March 31, 2014		December 31, 2013
Cash in escrow for surety bonds	$	2,453	$	2,453
Cash in escrow for corporate purchasing card program	400		400
Cash in escrow for sale of LendingTree Loans	18,118		18,117
Cash in escrow for earnout related to an acquisition ^(a)	—		1,956
Cash restricted for loan loss obligations	3,051		3,051
Other	40		40
Total restricted cash and cash equivalents	$	24,062	$	26,017


(a)	During the first quarter of 2014, the Company reached and executed a settlement with the disputing party on the earnout related to an acquisition, upon which $2.0 million of cash previously held in escrow was released, of which $1.0 million was paid out to the disputing party. This settlement had no impact on the results of operations for the three months ended March 31, 2014.

GOODWILL AND INTANGIBLE ASSETS (Tables)

3 Months Ended

Mar. 31, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of balance of goodwill and intangible assets, net

The balance of goodwill and intangible assets, net is as follows (in thousands):



	March 31, 2014			December 31, 2013
Goodwill	$	486,720		$	486,720
Accumulated impairment losses	(483,088		)	(483,088		)
Net goodwill	$	3,632		$	3,632

Intangible assets with indefinite lives	$	10,142		$	10,142
Intangible assets with definite lives, net	514			542
Total intangible assets, net	$	10,656		$	10,684

Schedule of intangible assets with definite lives

Intangible assets with definite lives relate to the following (dollars in thousands):



	Cost		Accumulated Amortization			Net
Purchase agreements	$	236	$	(224	)	$	12
Technology	25,194		(25,194		)	—
Customer lists	6,682		(6,181		)	501
Other	1,517		(1,516		)	1
Balance at March 31, 2014	$	33,629	$	(33,115	)	$	514



	Cost		Accumulated Amortization			Net
Purchase agreements	$	236	$	(212	)	$	24
Technology	25,194		(25,194		)	—
Customer lists	6,682		(6,166		)	516
Other	1,517		(1,515		)	2
Balance at December 31, 2013	$	33,629	$	(33,087	)	$	542

Schedule of amortization of intangible assets with definite lives for the next five years



	Amortization Expense
Remainder of current year	$	58
Year ending December 31, 2015	60
Year ending December 31, 2016	60
Year ending December 31, 2017	60
Year ending December 31, 2018	60
Thereafter	216
Total intangible assets with definite lives, net	$	514

PROPERTY AND EQUIPMENT (Tables)

3 Months Ended

Mar. 31, 2014

Property, Plant and Equipment [Abstract]

Schedule of property and equipment, net

The balance of property and equipment, net is as follows (in thousands):



	March 31, 2014			December 31, 2013
Computer equipment and capitalized software	$	19,550		$	18,130
Leasehold improvements	2,096			2,096
Furniture and other equipment	1,029			981
Projects in progress	1,740			2,145
Total gross property and equipment	24,415			23,352
Accumulated depreciation	(18,763		)	(18,008		)
Total property and equipment, net	$	5,652		$	5,344

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables)

3 Months Ended

Mar. 31, 2014

Payables and Accruals [Abstract]

Schedule of accrued expenses and other current liabilities

Accrued expenses and other current liabilities consist of the following (in thousands):



	March 31, 2014		December 31, 2013
Accrued litigation liabilities	$	500	$	500
Accrued advertising expense	12,560		8,837
Accrued compensation and benefits	1,872		3,378
Accrued professional fees	8,281		1,806
Accrued restructuring costs ^(a)	289		284
Customer deposits and escrows	4,433		4,279
Deferred rent	259		245
Other	3,006		3,936
Total accrued expenses and other current liabilities	$	31,200	$	23,265


(a)	An additional $0.1 million and $0.2 million of accrued restructuring liability is classified in other long term liabilities on the consolidated balance sheets at March 31, 2014 and December 31, 2013, respectively.

STOCK-BASED COMPENSATION (Tables)

3 Months Ended

Mar. 31, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule of non-cash compensation expense related to equity awards

Non-cash compensation expense related to equity awards is included in the following line items in the accompanying consolidated statements of operations (in thousands):



	Three Months Ended March 31,
	2014		2013
Cost of revenue	$	6	$	2
Selling and marketing expense	233		217
General and administrative expense	1,061		1,030
Product development	316		184
Total non-cash compensation expense	$	1,616	$	1,433

Summary of changes in outstanding stock options

A summary of changes in outstanding stock options is as follows:



	Number of Options		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term	Aggregate Intrinsic Value^(a)
			(per option)		(in years)	(in thousands)
Options outstanding at January 1, 2014	1,038,999		$	8.98
Granted ^(b)	42,757		33.59
Exercised	(2,692	)	11.44
Forfeited	—		—
Expired	(10	)	0.47
Options outstanding at March 31, 2014	1,079,054		9.95		4.74	$	22,865
Options exercisable at March 31, 2014	935,005		$	9.23	4.21	$	20,394

(a)


(b)	During the first quarter of 2014 the Company granted stock options with a weighted average grant date fair value per share of $17.13 that vest over a period of three years from their grant date.

Schedule of stock option valuation assumptions

For purposes of determining stock-based compensation expense, the grant date fair value per share of the stock options was estimated using the Black-Scholes option pricing model, which requires the use of various key assumptions, including the following:



Expected term ⁽¹⁾	6.0 years
Expected dividend ⁽²⁾	—
Expected volatility ⁽³⁾	54	%
Risk-free interest rate ⁽⁴⁾	1.85	%


(1)	The expected term of stock options granted was calculated using the 'Simplified Method', which utilizes the midpoint between the weighted-average time of vesting and the end of the contractual term. This method was utilized for the stock options due to the lack of historical exercise behavior by the Company's employees.


(2)	For all stock options granted in 2014, no dividends are expected to be paid over the contractual term of the stock options, resulting in a zero expected dividend rate.

(3)


(4)	The risk-free interest rate is specific to the date of grant. The risk-free interest rate is based on U.S. Treasury yields for notes with comparable expected terms as the awards, in effect at the grant date.

Summary of the information about stock options outstanding and exercisable



	Options Outstanding				Options Exercisable
Range of Exercise Prices	Outstanding	Weighted Average Remaining Contractual Life	Weighted Average Exercise Price		Exercisable	Weighted Average Exercise Price
		(in years)	(per option)			(per option)
$0.01 to $4.99	15	0.12	$	1.52	15	$	1.52
$5.00 to $7.45	304,032	7.47	6.65		202,740	6.65
$7.46 to $9.99	601,783	3.78	8.46		601,783	8.46
$10.00 to $14.99	3,679	0.56	12.25		3,679	12.25
$15.00 to $19.99	80,125	1.18	15.00		80,125	15.00
$20.00 to $33.59	89,420	5.35	26.60		46,663	20.19
Options at March 31, 2014	1,079,054	4.74	$	9.95	935,005	$	9.23

Schedule of non-vested RSUs, RSUs with a market condition, restricted stock and restricted stock with a market condition as at the end of the period and changes during the reporting period



	RSUs				RSUs Market Condition
	Number of Units		Weighted Average Grant Date Fair Value		Number of Units	Weighted Average Grant Date Fair Value
			(per unit)			(per unit)
Nonvested at January 1, 2014	599,122		$	14.15	—	$	—
Granted	102,440		33.59		500	33.59
Vested	(141,116	)	13.54		—	—
Forfeited	(10,371	)	16.44		—	—
Nonvested at March 31, 2014	550,075		$	17.89	500	$	33.59



	Restricted Stock				Restricted Stock Market Condition
	Number of Shares		Weighted Average Grant Date Fair Value		Number of Shares		Weighted Average Grant Date Fair Value
			(per share)				(per share)
Nonvested at January 1, 2014	119,500		$	22.47	62,500		$	13.93
Granted	—		—		—		—
Vested	(20,833	)	17.49		(62,500	)	13.93
Forfeited	—		—		—		—
Nonvested at March 31, 2014	98,667		$	23.53	—		$	—

SEGMENT INFORMATION (Tables)

3 Months Ended

Mar. 31, 2014

Segment Reporting [Abstract]

Summary of information by segment and reconciliations to Adjusted EBITDA and income (loss) before income taxes

Summarized information by segment and reconciliations to Adjusted EBITDA and income (loss) before income taxes is as follows (in thousands):



	Three Months Ended March 31, 2014
	Lending		Other			Corporate			Total
Revenue	$	36,928	$	3,108		$	—		$	40,036
Costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	1,545		120			—			1,665
Selling and marketing expense	25,619		1,830			—			27,449
General and administrative expense	1,246		782			4,105			6,133
Product development	1,623		309			—			1,932
Depreciation	363		293			99			755
Amortization of intangibles	—		28			—			28
Restructuring and severance	148		15			39			202
Litigation settlements and contingencies	—		—			7,707			7,707
Total costs and expenses	30,544		3,377			11,950			45,871
Operating income (loss)	6,384		(269		)	(11,950		)	(5,835		)
Adjustments to reconcile to Adjusted EBITDA:
Amortization of intangibles	—		28			—			28
Depreciation	363		293			99			755
Restructuring and severance	148		15			39			202
Loss on disposal of assets	—		8			—			8
Non-cash compensation	599		265			752			1,616
Litigation settlements and contingencies	—		—			7,707			7,707
Adjusted EBITDA	$	7,494	$	340		$	(3,353	)	$	4,481

Operating loss									$	(5,835	)
Interest expense									—
Loss before income taxes									$	(5,835	)



	Three Months Ended March 31, 2013 ^(a)
	Lending		Other			Corporate			Total
Revenue	$	25,673	$	2,407		$	—		$	28,080
Costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	1,156		173			27			1,356
Selling and marketing expense	15,160		2,095			—			17,255
General and administrative expense	978		511			5,067			6,556
Product development	950		255			—			1,205
Depreciation	374		417			94			885
Amortization of intangibles	—		43			—			43
Restructuring and severance	—		—			(2		)	(2		)
Litigation settlements and contingencies	—		—			1,028			1,028
Total costs and expenses	18,618		3,494			6,214			28,326
Operating income (loss)	7,055		(1,087		)	(6,214		)	(246		)
Adjustments to reconcile to Adjusted EBITDA:
Amortization of intangibles	—		43			—			43
Depreciation	374		417			94			885
Restructuring and severance	—		—			(2		)	(2		)
Loss on disposal of assets	—		—			25			25
Non-cash compensation	413		142			878			1,433
Discretionary cash bonus	—		—			920			920
Litigation settlements and contingencies	—		—			1,028			1,028
Adjusted EBITDA	$	7,842	$	(485	)	$	(3,271	)	$	4,086

Operating loss									$	(246	)
Interest expense									(7		)
Loss before income taxes									$	(253	)


(a)	For comparative purposes, revenue from and expenses related to personal loan offerings have been recast from the "Other" category to the lending segment.

- Definition

Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

+ References+ Details

RESTRUCTURING EXPENSE (Tables)

3 Months Ended

Mar. 31, 2014

Restructuring and Related Activities [Abstract]

Schedule of restructuring expense and payments against liabilities

Restructuring expense and payments against liabilities are as follows (in thousands):



	Continuing Lease Obligations
Balance at December 31, 2013	$	462
Restructuring expense	4
Payments	(74		)
Balance at March 31, 2014	$	392

DISCONTINUED OPERATIONS (Tables)

3 Months Ended

Mar. 31, 2014

RealEstate.com

DISCONTINUED OPERATIONS

Schedule of revenue and net income (loss) of the discontinued operations

The revenue and net loss for the real estate businesses that are reported as discontinued operations in the accompanying consolidated statements of operations are as follows (in thousands):



	Three Months Ended March 31,
	2014			2013
Revenue	$	—		$	1

Income (loss) before income taxes	$	(16	)	$	7
Income tax benefit	—			—
Net income (loss)	$	(16	)	$	7

Schedule of assets and liabilities of the discontinued operations

The liabilities of real estate businesses that are reported as discontinued operations in the accompanying consolidated balance sheets are as follows (in thousands):



	March 31, 2014			December 31, 2013
Current liabilities	$	(15	)	$	(45	)
Net liabilities	$	(15	)	$	(45	)

Lending Tree Loans

DISCONTINUED OPERATIONS

Schedule of revenue and net income (loss) of the discontinued operations

The revenue and net loss for LendingTree Loans that are reported as discontinued operations in the accompanying consolidated statements of operations are as follows (in thousands):



	Three Months Ended March 31,
	2014			2013
Revenue	$	2		$	(1,195	)

Income (loss) before income taxes	$	(555	)	$	(2,498	)
Income tax benefit (expense)	(3		)	(51		)
Gain from sale of discontinued operations, net of tax	—			98
Net income (loss)	$	(558	)	$	(2,451	)

Schedule of assets and liabilities of the discontinued operations

The assets and liabilities of LendingTree Loans that are reported as discontinued operations in the accompanying consolidated balance sheets are as follows (in thousands):



	March 31, 2014			December 31, 2013
Current assets	$	527		$	521
Non-current assets	100			129
Current liabilities	(31,890		)	(31,959		)
Non-current liabilities	(306		)	(254		)
Net liabilities	$	(31,569	)	$	(31,563	)

Schedule of loans sold for the period and the aggregate loan losses

The following table represents the loans sold for the periods shown and the aggregate loan losses through March 31, 2014:



	March 31, 2014
Period of Loan Sales	Number of Loans Sold	Original Principal Balance		Number of Loans with Losses	Original Principal Balance of Loans with Losses		Amount of Aggregate Losses
		(in billions)			(in millions)		(in millions)
2014	—	$	—	—	$	—	$	—
2013	—	—		—	—		—
2012	9,200	1.9		—	—		—
2011	12,500	2.7		1	0.3		0.1
2010	12,400	2.8		4	1.1		0.1
2009	12,800	2.8		5	1.2		0.2
2008	11,000	2.2		33	6.9		2.2
2007	36,300	6.1		160	22.1		8.2
2006	55,000	7.9		207	24.5		13.4
2005 and prior years	86,700	13.0		89	12.3		5.0
Total	235,900	$	39.4	499	$	68.4	$	29.2

Schedule of activity related to loss reserves on previously sold loans



	Three Months Ended March 31,
	2014		2013
Loan loss reserve, beginning of period	$	28,543	$	27,182
Provisions	—		1,197
Charge-offs to reserves	—		—
Loan loss reserve, end of period	$	28,543	$	28,379

ORGANIZATION (Details - Disc Ops) (USD $)	3 Months Ended					3 Months Ended			1 Months Ended
ORGANIZATION (Details - Disc Ops) (USD $)	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013	Mar. 31, 2014 Cash in escrow for sale of LendingTree Loans	Dec. 31, 2013 Cash in escrow for sale of LendingTree Loans	Mar. 31, 2014 Lending Tree Loans Discover Bank	Jun. 30, 2013 Lending Tree Loans Discover Bank	Feb. 07, 2012 Lending Tree Loans Discover Bank	Sep. 30, 2011 Internet domain names and trademarks RealEstate.com
Organization - Discontinued Operations
Proceeds from sale of assets									$ 8,300,000
Gain on sale of internet domain names and trademarks									7,800,000
Total proceeds from the sale								55,900,000
Amount received from sale of assets prior to closing								8,000,000
Amount received from sale of assets on the closing								37,900,000
Amount received from the sale on the first anniversary of the closing								10,000,000
Gain from sale of discontinued operations, net of tax	0	98,000					10,000,000
Restricted cash and cash equivalents	$ 24,062,000		$ 26,017,000	$ 18,118,000	$ 18,117,000	$ 21,200,000
Period for which marketing related services are to be provided						17 months

RESTRICTED CASH RESTRICTED CASH (Details - Balance Sheet) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
Restricted Cash and Cash Equivalents
Restricted cash and cash equivalents	$ 24,062,000		$ 26,017,000
Decrease (increase) in Restricted Cash	1,954,000	386,000
Escrow Deposit for Surety Bonds
Restricted Cash and Cash Equivalents
Restricted cash and cash equivalents	2,453,000		2,453,000
Escrow Deposit for Corporate Purchasing Card Program
Restricted Cash and Cash Equivalents
Restricted cash and cash equivalents	400,000		400,000
Cash in escrow for sale of LendingTree Loans
Restricted Cash and Cash Equivalents
Restricted cash and cash equivalents	18,118,000		18,117,000
Escrow Deposit for Earnout Related to Acquisition
Restricted Cash and Cash Equivalents
Restricted cash and cash equivalents	0		1,956,000
Decrease (increase) in Restricted Cash	2,000,000
Payment made from restricted cash on loss contingency	1,000,000
Escrow Deposit for Loan Loss Obligations
Restricted Cash and Cash Equivalents
Restricted cash and cash equivalents	3,051,000		3,051,000
Other Restricted Cash and Cash Equivalents
Restricted Cash and Cash Equivalents
Restricted cash and cash equivalents	$ 40,000		$ 40,000

- Definition

The carrying amounts of cash and cash equivalent items which are restricted as to withdrawal or usage. Restrictions may include legally restricted deposits held as compensating balances against short-term borrowing arrangements, contracts entered into with others, or entity statements of intention with regard to particular deposits; however, time deposits and short-term certificates of deposit are not generally included in legally restricted deposits. Excludes compensating balance arrangements that are not agreements which legally restrict the use of cash amounts shown on the balance sheet. For a classified balance sheet represents the current portion only (the noncurrent portion has a separate concept); there is a separate and distinct element for unclassified presentations.

+ References+ Details

GOODWILL AND INTANGIBLE ASSETS (Details - Balance Sheet) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	$ 486,720	$ 486,720
Accumulated impairment losses	(483,088)	(483,088)
Net goodwill	3,632	3,632
Intangible assets with indefinite lives	10,142	10,142
Intangible assets with definite lives, net	514	542
Total intangible assets, net	$ 10,656	$ 10,684

GOODWILL AND INTANGIBLE ASSETS (Details - Definite Lived Intangibles) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Intangible assets with definite lives
Cost	$ 33,629	$ 33,629
Accumulated amortization	(33,115)	(33,087)
Total intangible assets with definite lives, net	514	542
Purchase agreements
Intangible assets with definite lives
Cost	236	236
Accumulated amortization	(224)	(212)
Total intangible assets with definite lives, net	12	24
Technology
Intangible assets with definite lives
Cost	25,194	25,194
Accumulated amortization	(25,194)	(25,194)
Total intangible assets with definite lives, net	0	0
Customer lists
Intangible assets with definite lives
Cost	6,682	6,682
Accumulated amortization	(6,181)	(6,166)
Total intangible assets with definite lives, net	501	516
Other
Intangible assets with definite lives
Cost	1,517	1,517
Accumulated amortization	(1,516)	(1,515)
Total intangible assets with definite lives, net	$ 1	$ 2

GOODWILL AND INTANGIBLE ASSETS (Details - 5yr Definite Lived Intangibles Amortization) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Amortization of intangible assets with definite lives computed on a straight-line basis
Remainder of current year	$ 58
2015	60
2016	60
2017	60
2018	60
Thereafter	216
Total intangible assets with definite lives, net	$ 514	$ 542

PROPERTY AND EQUIPMENT (Details - Balance Sheet) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Property and Equipment
Property and equipment, gross	$ 24,415	$ 23,352
Accumulated depreciation	(18,763)	(18,008)
Total property and equipment, net	5,652	5,344
Computer equipment and capitalized software
Property and Equipment
Property and equipment, gross	19,550	18,130
Leasehold improvements
Property and Equipment
Property and equipment, gross	2,096	2,096
Furniture and other equipment
Property and Equipment
Property and equipment, gross	1,029	981
Projects in progress
Property and Equipment
Property and equipment, gross	$ 1,740	$ 2,145

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details - Balance Sheet) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Accrued expenses and other current liabilities
Accrued litigation liability	$ 500,000	$ 500,000
Accrued advertising expense	12,560,000	8,837,000
Accrued compensation and benefits	1,872,000	3,378,000
Accrued professional fees	8,281,000	1,806,000
Accrued restructuring costs	289,000	284,000
Customer deposits and escrows	4,433,000	4,279,000
Deferred rent	259,000	245,000
Other	3,006,000	3,936,000
Total accrued expenses and other current liabilities	31,200,000	23,265,000
Accrued restructuring liability classified in other non-current liabilities	$ 100,000	$ 200,000

SHAREHOLDERS' EQUITY (Details) (USD $)	0 Months Ended	3 Months Ended		0 Months Ended
SHAREHOLDERS' EQUITY (Details) (USD $)	Jan. 11, 2010	Mar. 31, 2014	Mar. 31, 2013	May 07, 2014 Subsequent Event [Member]
Calculation of weighted average common shares
Basic		11,142,000	10,967,000
Effect of dilutive securities
Effect of stock options (in shares)		0	0
Effect of dilutive share awards (in shares)		0	0
Weighted average common shares, diluted		11,142,000	10,967,000
Anti-dilutive securities excluded from calculation of diluted earnings per share (in shares)		700,000	700,000
Common stock repurchases
Value of common stock authorized to be repurchased	$ 10,000,000			$ 10,000,000
Purchase of treasury stock (in shares)		0
Remaining authorized repurchase amount		$ 800,000

STOCK-BASED COMPENSATION (Details - P&L Impact) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Non-cash compensation expense related to equity awards
Total non-cash compensation expense	$ 1,616	$ 1,433
Cost of revenue
Non-cash compensation expense related to equity awards
Total non-cash compensation expense	6	2
Selling and marketing expense
Non-cash compensation expense related to equity awards
Total non-cash compensation expense	233	217
General and administrative expense
Non-cash compensation expense related to equity awards
Total non-cash compensation expense	1,061	1,030
Product development
Non-cash compensation expense related to equity awards
Total non-cash compensation expense	$ 316	$ 184

STOCK-BASED COMPENSATION (Details - Stock Options Rollforward) (USD $)	3 Months Ended
	Mar. 31, 2014
STOCK-BASED COMPENSATION
Share Price	$ 31.04
Stock options
Stock options, Shares
Outstanding at the beginning of the period (in shares)	1,038,999
Granted (in shares)	42,757
Exercised (in shares)	(2,692)
Expired (in shares)	(10)
Outstanding at the end of the period (in shares)	1,079,054
Options exercisable at the end of the period (in shares)	935,005
Stock options, Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)	$ 8.98
Granted (in dollars per share)	$ 33.59
Exercised (in dollars per share)	$ 11.44
Expired (in dollars per share)	$ 0.47
Outstanding at the end of the period (in dollars per share)	$ 9.95
Options exercisable at the end of the period (in dollars per share)	$ 9.23
Stock options, Weighted Average Remaining Contractual Term
Outstanding at the end of the period	4 years 8 months 27 days
Options exercisable at the end of the period	4 years 2 months 16 days
Stock options, Aggregate Intrinsic Value
Outstanding at the end of the period	$ 22,865,000
Options exercisable at the end of the period	20,394,000
Stock options, Grant Date Fair Value Valuation
Grant date fair value	$ 17.13
Vesting period	3 years
Expected term	6 years
Expected dividends	$ 0
Expected dividend rate	0.00%
Expected volatility	54.00%
Risk-free interest rate	1.85%

STOCK-BASED COMPENSATION (Details - Range of Stock Option Exercise Prices) (Stock options, USD $)	3 Months Ended
	Mar. 31, 2014
Stock options outstanding and exercisable by range of exercise prices
Options Outstanding at the end of the period (in shares)	1,079,054
Options Outstanding - Weighted Average Remaining Contractual Term	4 years 8 months 27 days
Options Outstanding - Weighted Average Exercise Price (in dollars per share)	$ 9.95
Options Exercisable at the end of the period (in shares)	935,005
Options Exercisable - Weighted Average Exercise Price (in dollars per share)	$ 9.23
Range of exercise price $0.01 to $4.99
Stock options outstanding and exercisable by range of exercise prices
Options Outstanding at the end of the period (in shares)	15
Options Outstanding - Weighted Average Remaining Contractual Term	1 month 13 days
Options Outstanding - Weighted Average Exercise Price (in dollars per share)	$ 1.52
Options Exercisable at the end of the period (in shares)	15
Options Exercisable - Weighted Average Exercise Price (in dollars per share)	$ 1.52
Exercise price, low end of the range (in dollars per share)	$ 0.01
Exercise price, high end of the range (in dollars per share)	$ 4.99
Range of exercise price $5.00 to $7.45
Stock options outstanding and exercisable by range of exercise prices
Options Outstanding at the end of the period (in shares)	304,032
Options Outstanding - Weighted Average Remaining Contractual Term	7 years 5 months 19 days
Options Outstanding - Weighted Average Exercise Price (in dollars per share)	$ 6.65
Options Exercisable at the end of the period (in shares)	202,740
Options Exercisable - Weighted Average Exercise Price (in dollars per share)	$ 6.65
Exercise price, low end of the range (in dollars per share)	$ 5
Exercise price, high end of the range (in dollars per share)	$ 7.45
Range of exercise price $7.46 to $9.99
Stock options outstanding and exercisable by range of exercise prices
Options Outstanding at the end of the period (in shares)	601,783
Options Outstanding - Weighted Average Remaining Contractual Term	3 years 9 months 11 days
Options Outstanding - Weighted Average Exercise Price (in dollars per share)	$ 8.46
Options Exercisable at the end of the period (in shares)	601,783
Options Exercisable - Weighted Average Exercise Price (in dollars per share)	$ 8.46
Exercise price, low end of the range (in dollars per share)	$ 7.46
Exercise price, high end of the range (in dollars per share)	$ 9.99
Range of exercise price $10.00 to $14.99
Stock options outstanding and exercisable by range of exercise prices
Options Outstanding at the end of the period (in shares)	3,679
Options Outstanding - Weighted Average Remaining Contractual Term	6 months 22 days
Options Outstanding - Weighted Average Exercise Price (in dollars per share)	$ 12.25
Options Exercisable at the end of the period (in shares)	3,679
Options Exercisable - Weighted Average Exercise Price (in dollars per share)	$ 12.25
Exercise price, low end of the range (in dollars per share)	$ 10
Exercise price, high end of the range (in dollars per share)	$ 14.99
Range of exercise price $15.00 to $19.99
Stock options outstanding and exercisable by range of exercise prices
Options Outstanding at the end of the period (in shares)	80,125
Options Outstanding - Weighted Average Remaining Contractual Term	1 year 2 months 5 days
Options Outstanding - Weighted Average Exercise Price (in dollars per share)	$ 15.00
Options Exercisable at the end of the period (in shares)	80,125
Options Exercisable - Weighted Average Exercise Price (in dollars per share)	$ 15.00
Exercise price, low end of the range (in dollars per share)	$ 15
Exercise price, high end of the range (in dollars per share)	$ 19.99
Range of exercise price $20.00 to $33.59
Stock options outstanding and exercisable by range of exercise prices
Options Outstanding at the end of the period (in shares)	89,420
Options Outstanding - Weighted Average Remaining Contractual Term	5 years 4 months 6 days
Options Outstanding - Weighted Average Exercise Price (in dollars per share)	$ 26.60
Options Exercisable at the end of the period (in shares)	46,663
Options Exercisable - Weighted Average Exercise Price (in dollars per share)	$ 20.19
Exercise price, low end of the range (in dollars per share)	$ 20
Exercise price, high end of the range (in dollars per share)	$ 33.59

STOCK-BASED COMPENSATION (Details - RSA & RSU Rollforwards) (USD $)	3 Months Ended
	Mar. 31, 2014
RSUs
Nonvested RSUs, RSUs with a Market Condition, Restricted Stock and Restricted Stock with a Market Condition, Number of Shares
Nonvested at the beginning of the period (in shares)	599,122
Granted (in shares)	102,440
Vested (in shares)	(141,116)
Forfeited (in shares)	(10,371)
Nonvested at the end of the period (in shares)	550,075
Nonvested RSUs, RSUs with a Market Condition, Restricted Stock and Restricted Stock with a Market Condition, Weighted Average Grant Date Fair Value
Nonvested at the beginning of the period (in dollars per share)	$ 14.15
Granted (in dollars per share)	$ 33.59
Vested (in dollars per share)	$ 13.54
Forfeited (in dollars per share)	$ 16.44
Nonvested at the end of the period (in dollars per share)	$ 17.89
RSUs with a market condition
Nonvested RSUs, RSUs with a Market Condition, Restricted Stock and Restricted Stock with a Market Condition, Number of Shares
Nonvested at the beginning of the period (in shares)	0
Granted (in shares)	500
Nonvested at the end of the period (in shares)	500
Nonvested RSUs, RSUs with a Market Condition, Restricted Stock and Restricted Stock with a Market Condition, Weighted Average Grant Date Fair Value
Nonvested at the beginning of the period (in dollars per share)	$ 0.00
Granted (in dollars per share)	$ 33.59
Nonvested at the end of the period (in dollars per share)	$ 33.59
Restricted stock
Nonvested RSUs, RSUs with a Market Condition, Restricted Stock and Restricted Stock with a Market Condition, Number of Shares
Nonvested at the beginning of the period (in shares)	119,500
Vested (in shares)	(20,833)
Nonvested at the end of the period (in shares)	98,667
Nonvested RSUs, RSUs with a Market Condition, Restricted Stock and Restricted Stock with a Market Condition, Weighted Average Grant Date Fair Value
Nonvested at the beginning of the period (in dollars per share)	$ 22.47
Vested (in dollars per share)	$ 17.49
Nonvested at the end of the period (in dollars per share)	$ 23.53
Restricted stock with a market condition
Nonvested RSUs, RSUs with a Market Condition, Restricted Stock and Restricted Stock with a Market Condition, Number of Shares
Nonvested at the beginning of the period (in shares)	62,500
Vested (in shares)	(62,500)
Nonvested at the end of the period (in shares)	0
Nonvested RSUs, RSUs with a Market Condition, Restricted Stock and Restricted Stock with a Market Condition, Weighted Average Grant Date Fair Value
Nonvested at the beginning of the period (in dollars per share)	$ 13.93
Vested (in dollars per share)	$ 13.93
Nonvested at the end of the period (in dollars per share)	$ 0.00

INCOME TAXES (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Income Tax Disclosure [Abstract]
Income tax benefit (expense)	$ 1	$ (20)
Effective tax rates (as a percent)	0.00%	7.90%

CONTINGENCIES (Details) (USD $)			0 Months Ended			0 Months Ended		12 Months Ended		0 Months Ended
CONTINGENCIES (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013	May 25, 2007 Violation of various laws and breach of contracts and covenants complaint	Oct. 14, 2011 Unfavorable regulatory action regulator	Mar. 31, 2014 Unfavorable regulatory action	May 07, 2014 Unfavorable regulatory action Subsequent Event [Member] regulator	Mar. 31, 2014 Lijkel Dijkstra v. Harry Carenbauer, Home Loan Center, Inc	Dec. 31, 2013 Boschma v. Home Loan Center, Inc.	Mar. 31, 2014 Boschma v. Home Loan Center, Inc.	Sep. 08, 2010 Lending Tree v. Zillow, Inc. patent	Mar. 31, 2014 Lending Tree v. Zillow, Inc.	Mar. 12, 2014 Lending Tree v. Zillow, Inc. patent
Contingencies
Accrued litigation liability	$ 500,000	$ 500,000
Litigation settlement, gross								450,000
Range of possible loss, minimum					500,000		600,000				0
Range of possible loss, maximum					6,500,000		1,950,000				9,700,000
Amount of reserve for contingencies					500,000		600,000		435,000
Amount of insurance recoverable receivable							$ 500,000
Number of patents alleged infringement upon, maximum										2
Number of patents found not infringed upon												2
Number of total complaints filed			8
Number of complaints dismissed by federal and state courts			7
Number of Joining Regulators				34		0

SEGMENT INFORMATION (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2014 segment	Mar. 31, 2013
SEGMENT INFORMATION
Number of reportable operating segments	1
Revenue	$ 40,036	$ 28,080
Cost of revenue (exclusive of depreciation shown separately below)	1,665	1,356
Selling and marketing expense	27,449	17,255
General and administrative expense	6,133	6,556
Product development	1,932	1,205
Depreciation	755	885
Amortization of intangibles	28	43
Restructuring and severance	202	(2)
Litigation settlements and contingencies	7,707	1,028
Total costs and expenses	45,871	28,326
Operating income (loss)	(5,835)	(246)
Adjustments to reconcile to Adjusted EBITDA:
Amortization of intangibles	28	43
Depreciation	755	885
Restructuring and severance	202	(2)
Loss (gain) on disposal of assets	8	25
Non-cash compensation	1,616	1,433
Discretionary cash bonus		920
Litigation settlements and contingencies	7,707	1,028
Adjusted EBITDA	4,481	4,086
Adjustments to reconcile to Income before taxes:
Operating income (loss)	(5,835)	(246)
Interest expense	0	(7)
Loss before income taxes	(5,835)	(253)
Lending
SEGMENT INFORMATION
Revenue	36,928	25,673
Cost of revenue (exclusive of depreciation shown separately below)	1,545	1,156
Selling and marketing expense	25,619	15,160
General and administrative expense	1,246	978
Product development	1,623	950
Depreciation	363	374
Amortization of intangibles	0	0
Restructuring and severance	148	0
Litigation settlements and contingencies	0	0
Total costs and expenses	30,544	18,618
Operating income (loss)	6,384	7,055
Adjustments to reconcile to Adjusted EBITDA:
Amortization of intangibles	0	0
Depreciation	363	374
Restructuring and severance	148	0
Loss (gain) on disposal of assets	0	0
Non-cash compensation	599	413
Discretionary cash bonus		0
Litigation settlements and contingencies	0	0
Adjusted EBITDA	7,494	7,842
Adjustments to reconcile to Income before taxes:
Operating income (loss)	6,384	7,055
Other
SEGMENT INFORMATION
Revenue	3,108	2,407
Cost of revenue (exclusive of depreciation shown separately below)	120	173
Selling and marketing expense	1,830	2,095
General and administrative expense	782	511
Product development	309	255
Depreciation	293	417
Amortization of intangibles	28	43
Restructuring and severance	15	0
Litigation settlements and contingencies	0	0
Total costs and expenses	3,377	3,494
Operating income (loss)	(269)	(1,087)
Adjustments to reconcile to Adjusted EBITDA:
Amortization of intangibles	28	43
Depreciation	293	417
Restructuring and severance	15	0
Loss (gain) on disposal of assets	8	0
Non-cash compensation	265	142
Discretionary cash bonus		0
Litigation settlements and contingencies	0	0
Adjusted EBITDA	340	(485)
Adjustments to reconcile to Income before taxes:
Operating income (loss)	(269)	(1,087)
Corporate
SEGMENT INFORMATION
Revenue	0	0
Cost of revenue (exclusive of depreciation shown separately below)	0	27
Selling and marketing expense	0	0
General and administrative expense	4,105	5,067
Product development	0	0
Depreciation	99	94
Amortization of intangibles	0	0
Restructuring and severance	39	(2)
Litigation settlements and contingencies	7,707	1,028
Total costs and expenses	11,950	6,214
Operating income (loss)	(11,950)	(6,214)
Adjustments to reconcile to Adjusted EBITDA:
Amortization of intangibles	0	0
Depreciation	99	94
Restructuring and severance	39	(2)
Loss (gain) on disposal of assets	0	25
Non-cash compensation	752	878
Discretionary cash bonus		920
Litigation settlements and contingencies	7,707	1,028
Adjusted EBITDA	(3,353)	(3,271)
Adjustments to reconcile to Income before taxes:
Operating income (loss)	$ (11,950)	$ (6,214)

RESTRUCTURING EXPENSE (Details) (USD $)			3 Months Ended
RESTRUCTURING EXPENSE (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2014 Continuing Lease Obligations
Changes in restructuring expenses
December 31, 2013			$ 462,000
Restructuring expense			4,000
Payments			(74,000)
March 31, 2014			392,000
Restructuring liabilities
Restructuring liabilities included in accrued expense and other current liabilities	289,000	284,000
Restructuring liabilities included in other non-current liabilities	$ 100,000	$ 200,000

- Definition

Amount of expenses associated with exit or disposal activities pursuant to an authorized plan. Includes, but is not limited to, one-time termination benefits, termination of an operating lease or other contract, consolidating or closing facilities, and relocating employees, and termination benefits associated with an ongoing benefit arrangement. Excludes expenses associated with special or contractual termination benefits, a discontinued operation or an asset retirement obligation.

+ References+ Details

DISCONTINUED OPERATIONS (Details-Disposal Groups) (USD $)	3 Months Ended			1 Months Ended	3 Months Ended			3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013	May 31, 2013 Discover	Mar. 31, 2014 Real estate businesses	Mar. 31, 2013 Real estate businesses	Dec. 31, 2013 Real estate businesses	Mar. 31, 2014 Lending Tree Loans	Mar. 31, 2013 Lending Tree Loans	Dec. 31, 2013 Lending Tree Loans
DISCONTINUED OPERATIONS
Settlement value of indemnification claim and other miscellaneous items				$ 1,300,000
Revenue and net income (loss) of discontinued operations
Revenue					0	1,000		2,000	(1,195,000)
Income (loss) before income taxes					(16,000)	7,000		(555,000)	(2,498,000)
Income tax benefit (expense)					0	0		(3,000)	(51,000)
Gain from sale of discontinued operations, net of tax								0	98,000
Loss from discontinued operations	(574,000)	(2,444,000)			(16,000)	7,000		(558,000)	(2,451,000)
Assets and liabilities of facilities reported as discontinued operations
Current assets	527,000		521,000					527,000		521,000
Non-current assets	100,000		129,000					100,000		129,000
Current liabilities	(31,905,000)		(32,004,000)		(15,000)		(45,000)	(31,890,000)		(31,959,000)
Non-current liabilities	(306,000)		(254,000)					(306,000)		(254,000)
Net liabilities					$ (15,000)		$ (45,000)	$ (31,569,000)		$ (31,563,000)

DISCONTINUED OPERATIONS (Details - Loan Loss Reserve) (USD $)			3 Months Ended
	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2014 Lending Tree Loans Discontinued operations investor	Mar. 31, 2014 Loan loss obligations Lending Tree Loans Discontinued operations loan	Mar. 31, 2013 Loan loss obligations Lending Tree Loans Discontinued operations	Mar. 31, 2014 Loan loss obligations Lending Tree Loans Discontinued operations 2014 loan	Mar. 31, 2014 Loan loss obligations Lending Tree Loans Discontinued operations 2013 loan	Mar. 31, 2014 Loan loss obligations Lending Tree Loans Discontinued operations 2012 loan	Mar. 31, 2014 Loan loss obligations Lending Tree Loans Discontinued operations 2011 loan	Mar. 31, 2014 Loan loss obligations Lending Tree Loans Discontinued operations 2010 loan	Mar. 31, 2014 Loan loss obligations Lending Tree Loans Discontinued operations 2009 loan	Mar. 31, 2014 Loan loss obligations Lending Tree Loans Discontinued operations 2008 loan	Mar. 31, 2014 Loan loss obligations Lending Tree Loans Discontinued operations 2007 loan	Mar. 31, 2014 Loan loss obligations Lending Tree Loans Discontinued operations 2006 loan	Mar. 31, 2014 Loan loss obligations Lending Tree Loans Discontinued operations 2005 and prior years loan	Mar. 31, 2014 Discover Bank Lending Tree Loans
Loan Loss Obligations
Restricted cash and cash equivalents	$ 24,062,000	$ 26,017,000														$ 21,200,000
Loan loss reserve, at carrying value				28,543,000	28,379,000
Estimated range of remaining possible losses due to loan losses, minimum				17,000,000
Estimated range of remaining possible losses due to loan losses, maximum				31,000,000
Number of investors to whom loans are guaranteed			2
Number of loans sold				235,900		0	0	9,200	12,500	12,400	12,800	11,000	36,300	55,000	86,700
Original principal balance of loans sold				39,400,000,000		0	0	1,900,000,000	2,700,000,000	2,800,000,000	2,800,000,000	2,200,000,000	6,100,000,000	7,900,000,000	13,000,000,000
Number of loans sold with losses				499		0	0	0	1	4	5	33	160	207	89
Original principal balance of loans sold with losses				68,400,000		0	0	0	300,000	1,100,000	1,200,000	6,900,000	22,100,000	24,500,000	12,300,000
Amount of aggregate losses				29,200,000		0	0	0	100,000	100,000	200,000	2,200,000	8,200,000	13,400,000	5,000,000
Activity related to loss reserves on previously sold loans
Loan loss reserve, beginning of period				28,543,000	27,182,000
Provisions				0	1,197,000
Charge-offs to reserves					0
Loan loss reserve, end of period				$ 28,543,000	$ 28,379,000

DISCRETIONARY CASH BONUS (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013
Compensation Related Costs [Abstract]
Compensation charge related to discretionary cash bonus	$ 920