Deconsolidation of Former French Subsidiary (TAAG) (Tables)

6 Months Ended

Dec. 31, 2014

The carrying amounts of the major classes of assets and liabilities associated with discontinued operations as of June 30, 2014 were as follows:

Assets
Current assets:
Cash and cash equivalents	$	191,259
Accounts receivable:
Trade receivables, net of allowance		746,685
Due from factor		116,762
Inventory		192,245
Prepaid expenses and other current assets		234,232
Total current assets of discontinued operations		1,481,183

Other assets:
Property and equipment, net of accumulated depreciation		418,460
Deposits and other assets		453,752
Total non-current assets of discontinued operations		872,212
Total assets of discontinued operations	$	2,353,395

Liabilities
Current liabilities:
Accounts payable and accrued expenses	$	2,960,378
Capital lease obligations, current		324,802
Notes payable, current		11,601
Deferred revenue		158,359
Other liability		143,304
Total current liabilities of discontinued operations		3,598,444

Long term liabilities:
Capital lease obligations, long term		113,415
Total long term liabilities of discontinued operations		113,415
Total liabilities of discontinued operations	$	3,711,859

Revenue and expenses from discontinued operations were as follows:

	Three Months Ended				Six Months Ended
	December 31,				December 31,
	2014		2013		2014		2013

Revenue	$	-	$	2,271,186	$	1,164,314	$	4,199,522
Cost of revenue		-		1,366,330		849,174		2,487,393
Gross profit		-		904,856		315,140		1,712,129

Operating expenses:
Selling, general and administrative		-		802,687		660,500		1,574,403
Depreciation and amortization		-		70,194		44,027		139,994
Total operating expenses		-		872,881		704,527		1,714,397
Income (loss) from discontinued operations before other income (expenses)		-		31,975		(389,387)		(2,268)

Other income (expenses):
Interest expense		-		(10,927)		(5,957)		(22,581)

Income (loss) from discontinued operations	$	-	$	21,048	$	(395,344)	$	(24,849)