Annual report pursuant to Section 13 and 15(d)

Information Concerning Industry Segments And Major Customers

v2.4.0.6
Information Concerning Industry Segments And Major Customers
 12 Months Ended
Dec. 31, 2011
Information Concerning Industry Segments And Major Customers [Abstract]  
Information Concerning Industry Segments And Major Customers

NOTE 11- INFORMATION CONCERNING INDUSTRY SEGMENTS AND MAJOR CUSTOMERS

The Company classifies its businesses into four segments: Suttle, which manufactures U.S. standard modular connecting and wiring devices for voice and data communications; Transition Networks, which designs and markets data transmission, computer network and media conversion products and print servers; JDL Technologies, (JDL), which provides IT services; and Austin Taylor which manufactures British standard telephone equipment and equipment enclosures for the U.K and international markets. Non-allocated corporate general and administrative expenses are categorized as "Other" in the Company's segment reporting. Management has chosen to organize the enterprise and disclose reportable segments based on products and services. There are no material intersegment revenues.

Suttle products are sold principally to U.S. customers. Suttle operates manufacturing facilities in the U.S. and Costa Rica. Net long-lived assets held in foreign countries were approximately $831,000 and $506,000 at December 31, 2011 and 2010, respectively. Transition Networks manufactures its products in the United States and makes sales in both the U.S. and international markets. JDL Technologies operates in the U.S. and makes sales in the U.S. Austin Taylor operates a manufacturing facility in the U.K. and makes sales in the U.K. and internationally. Consolidated sales to U.S. customers were approximately 85%, 81% and 82% of sales from continuing operations in 2011, 2010 and 2009 respectively. In 2011, sales to one of Transition Networks' customers accounted for 22.8% of consolidated sales. In 2010, sales to two of Transition Networks' customers accounted for 15.1% and 12.0% of consolidated sales and one of JDL Technologies' customers accounted for 10.3% of consolidated sales. In 2009, sales to one of Transition Networks' customers accounted for 16.7% of consolidated sales and one of Suttle's customers accounted for 12.2% of consolidated sales.

Information concerning the Company's operations in the various segments for the twelve-month periods ended December 31, 2011, 2010 and 2009 is as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Suttle

 

Transition
Networks

 

JDL
Technologies

 

Austin
Taylor

 

 

Other

 

 

Total

 

2011

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales

 

$

36,636,915

 

$

91,450,014

 

$

12,400,553

 

$

3,287,569

 

$

—

 

$

143,775,051

 

Cost of sales

 

 

27,365,489

 

 

46,825,149

 

 

7,262,006

 

 

3,427,280

 

 

—

 

 

84,879,924

 

 

 

Gross profit

 

 

9,271,426

 

 

44,624,865

 

 

5,138,547

 

 

(139,711

)

 

—

 

 

58,895,127

 

Selling, general and administrative expenses

 

 

6,897,672

 

 

23,730,729

 

 

1,982,353

 

 

1,320,094

 

 

6,177,373

 

 

40,108,221

 

Impairment

 

 

1,271,986

 

 

 

 

 

—

 

 

—

 

 

 

 

 

1,271,986

 

 

 

Operating income (loss)

 

$

1,101,768

 

$

20,894,136

 

$

3,156,194

 

$

(1,459,805

)

$

(6,177,373

)

$

17,514,920

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

$

906,004

 

$

755,789

 

$

106,622

 

$

40,252

 

$

292,068

 

$

2,100,735

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital expenditures

 

$

935,030

 

$

1,028,941

 

$

51,789

 

$

—

 

$

740,231

 

$

2,755,991

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assets

 

$

25,512,978

 

$

33,589,083

 

$

1,844,572

 

$

2,401,323

 

$

53,310,960

 

$

116,658,916

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Suttle

 

Transition
Networks

 

JDL
Technologies

 

Austin
Taylor

 

 

Other

 

 

Total

 

2010

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales

 

$

36,561,669

 

$

67,782,482

 

$

12,712,244

 

$

3,015,915

 

$

—

 

$

120,072,310

 

Cost of sales

 

 

26,880,667

 

 

31,826,169

 

 

7,132,263

 

 

3,032,579

 

 

—

 

 

68,871,678

 

 

 

Gross profit

 

 

9,681,002

 

 

35,956,313

 

 

5,579,981

 

 

(16,664

)

 

—

 

 

51,200,632

 

Selling, general and administrative expenses

 

 

6,638,163

 

 

21,459,214

 

 

1,470,086

 

 

1,084,345

 

 

4,934,440

 

 

35,586,248

 

Impairment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

—

 

 

 

Operating income (loss)

 

$

3,042,839

 

$

14,497,099

 

$

4,109,895

 

$

(1,101,009

)

$

(4,934,440

)

$

15,614,384

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

$

830,986

 

$

604,873

 

$

102,850

 

$

25,194

 

$

294,978

 

$

1,858,881

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital expenditures

 

$

741,820

 

$

680,819

 

$

197,784

 

$

9,854

 

$

164,145

 

$

1,794,422

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assets

 

$

19,357,569

 

$

32,383,709

 

$

3,493,717

 

$

2,406,939

 

$

51,428,293

 

$

109,070,227

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Suttle

 

Transition
Networks

 

JDL
Technologies

 

Austin
Taylor

 

 

Other

 

 

Total

 

2009

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales

 

$

42,866,947

 

$

55,098,346

 

$

8,765,415

 

$

3,061,499

 

$

—

 

$

109,792,207

 

Cost of sales

 

 

33,095,673

 

 

25,768,865

 

 

6,011,918

 

 

3,067,101

 

 

—

 

 

67,943,557

 

 

 

Gross profit

 

 

9,771,274

 

 

29,329,481

 

 

2,753,497

 

 

(5,602

)

 

—

 

 

41,848,650

 

Selling, general and administrative expenses

 

 

6,054,170

 

 

19,371,120

 

 

1,298,790

 

 

1,012,194

 

 

3,697,823

 

 

31,434,097

 

Impairment

 

 

 

 

 

 

 

 

 

 

 

196,020

 

 

 

 

 

196,020

 

 

 

Operating income (loss)

 

$

3,717,104

 

$

9,958,361

 

$

1,454,707

 

$

(1,213,816

)

$

(3,697,823

)

$

10,218,533

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

$

651,407

 

$

579,816

 

$

155,744

 

$

76,495

 

$

234,859

 

$

1,698,321

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital expenditures

 

$

2,667,916

 

$

355,129

 

$

37,026

 

$

114,153

 

$

63,334

 

$

3,237,558

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assets

 

$

21,110,624

 

$

29,640,360

 

$

1,548,930

 

$

4,044,746

 

$

46,569,034

 

$

102,913,694