Note 10—Major Customers

The Company's customers operate in industries that are, to a varying extent, subject to rapid technological change, vigorous competition and short product life cycles. Developments adverse to the electronics industry, the Company's customers or their products could impact the Company's overall credit risk.

The Company extends credit based on evaluation of its customers' financial condition and generally does not require collateral or other security from its customers and would incur a loss equal to the carrying value of the accounts receivable if its customer failed to perform according to the terms of the credit arrangement.

Sales to the ten largest customers represented 53%, 47% and 52% of total sales for 2011, 2010 and 2009, respectively. Sales to our largest customer were as follows for the indicated periods:


	Year ended December 31,
(in thousands)	2011		2010		2009

International Business Machines Corporation	$	319,411	$	*	$	*
Oneida Nation Electronics, Inc.	$	*	$	*	$	290,236

* amount is less than 10% of total

In 2009, Oneida Nation Electronics, Inc. supported International Business Machines Corporation in the computers and related products for business enterprises industry. In 2010, the combined product sales to these two customers totaled $300.9 million but no one customer's sales exceeded 10% of total sales.