| Segment Information |
NOTE 9 – SEGMENT INFORMATION
The Company classifies its businesses into three segments as follows:
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·
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Suttle manufactures and markets copper and fiber connectivity systems, enclosure systems, xDSL filters and splitters, and active technologies for voice, data and video communications;
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·
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Transition Networks manufactures network interface devices (NIDs), media converters, network interface cards (NICs), Ethernet switches and other connectivity products that offer the ability to affordably integrate the benefits of fiber optics into any data network; and
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·
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JDL Technologies provides technology solutions including virtualization, managed services, wired and wireless network design and implementation services, and converged infrastructure configuration and deployment.
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Our 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 our products and services. There are no material inter-segment revenues.
Information concerning the Company’s continuing operations in the various segments for the three and six-month periods ended June 30, 2013 and 2012 is as follows:
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Transition
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JDL
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Suttle
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Networks
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Technologies
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Other
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Total
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Three Months Ended June 30, 2013
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Sales
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$
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13,852,329
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$
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10,461,771
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$
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7,622,502
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$
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-
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$
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31,936,602
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Cost of sales
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9,990,159
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4,786,724
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5,631,402
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-
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20,408,285
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Gross profit
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3,862,170
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5,675,047
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1,991,100
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-
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11,528,317
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Selling, general and
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administrative expenses
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2,608,738
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5,062,853
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587,021
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702,855
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8,961,467
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Operating income (loss)
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$
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1,253,432
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$
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612,194
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$
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1,404,079
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$
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(702,855)
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$
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2,566,850
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Depreciation and amortization
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$
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223,449
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$
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187,840
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$
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14,045
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$
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147,527
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$
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572,861
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Capital expenditures
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$
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274,380
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$
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369,621
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$
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-
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$
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183,451
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$
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827,452
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Assets
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$
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27,557,698
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$
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32,332,555
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$
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18,835,913
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$
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31,285,653
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$
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110,011,819
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Transition
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JDL
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Suttle
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Networks
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Technologies
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Other
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Total
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Three Months Ended June 30, 2012
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Sales
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$
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10,347,556
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$
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14,029,507
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$
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1,184,195
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$
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-
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$
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25,561,258
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Cost of sales
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7,850,557
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6,228,019
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826,799
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-
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14,905,375
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Gross profit
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2,496,999
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7,801,488
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|
357,396
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-
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10,655,883
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Selling, general and
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administrative expenses
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2,205,227
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5,569,837
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529,147
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994,070
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9,298,281
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Operating income (loss)
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$
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291,772
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$
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2,231,651
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$
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(171,751)
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$
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(994,070)
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$
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1,357,602
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Depreciation and amortization
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$
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239,636
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$
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199,059
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$
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27,836
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$
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73,032
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$
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539,563
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Capital expenditures
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$
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262,689
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$
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77,193
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$
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4,595
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$
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187,881
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$
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532,358
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Assets
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$
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28,333,064
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$
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35,613,341
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$
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2,356,158
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$
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47,014,305
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$
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113,316,868
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Transition
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JDL
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Suttle
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Networks
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Technologies
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Other
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Total
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Six Months Ended June 30, 2013
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Sales
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$
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26,264,517
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$
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21,274,892
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$
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11,849,924
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$
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-
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$
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59,389,333
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Cost of sales
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19,086,842
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9,879,015
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9,119,232
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-
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38,085,089
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Gross profit
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7,177,675
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11,395,877
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2,730,692
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-
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21,304,244
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Selling, general and
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administrative expenses
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4,966,678
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10,558,032
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1,146,153
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1,695,753
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18,366,616
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Operating income (loss)
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$
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2,210,997
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$
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837,845
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$
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1,584,539
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$
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(1,695,753)
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$
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2,937,628
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Depreciation and amortization
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$
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440,198
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$
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367,706
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$
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28,492
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$
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222,258
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$
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1,058,654
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Capital expenditures
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$
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438,782
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$
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500,975
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$
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15,361
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$
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351,463
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$
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1,306,581
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Transition
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JDL
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Suttle
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Networks
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Technologies
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Other
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Total
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Six Months Ended June 30, 2012
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Sales
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$
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20,924,860
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$
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26,967,699
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$
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1,912,620
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$
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-
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$
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49,805,179
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Cost of sales
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15,526,519
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12,356,855
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1,317,295
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-
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29,200,669
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Gross profit
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5,398,341
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14,610,844
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|
595,325
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-
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20,604,510
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Selling, general and
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administrative expenses
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4,573,668
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11,192,074
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1,114,115
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2,236,606
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19,116,463
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Operating income (loss)
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$
|
824,673
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$
|
3,418,770
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$
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(518,790)
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$
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(2,236,606)
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$
|
1,488,047
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Depreciation and amortization
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$
|
483,661
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$
|
440,496
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$
|
54,927
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$
|
145,170
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$
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1,124,254
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Capital expenditures
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$
|
665,588
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$
|
159,645
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$
|
14,691
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$
|
373,534
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$
|
1,213,458
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