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Segment Information | 12 Months Ended
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Oct. 31, 2010
Segment Reporting [Abstract] |
Segment Information | NOTE 15 - SEGMENT INFORMATION Due to the nature of our businesses, we are operating in two reportable segments, which are managed separately based upon fundamental differences in their operations. Martech, Dragon, Colmek, Tactical and Innalogic operate as contractors, and the balance of our operations is comprised of product sales. Segment operating income is total segment revenue reduced by operating expenses identifiable with the business segment. Corporate includes general corporate administrative costs. The Company evaluates performance and allocates resources based upon operating income. The accounting policies of the reportable segments are the same as those described in the summary of accounting policies. There are inter-segment sales between our engineering contracting businesses and our products businesses, which have been removed from the information shown below. The following table summarizes asset and operating balances by reportable segment.
|  | October 31, 2010 |  |  | October 31, 2009 |
|  | Contracting |  |  | Products |  |  | Corporate |  |  | Contracting |  |  | Products |  |  | Corporate |
Current assets, excl. interco. |  | $ | 2,365,546 |  |  | $ | 1,996,444 |  |  | $ | 1,324,982 |  |  | $ | 3,033,658 |  |  | $ | 2,706,461 |  |  | $ | 1,636,319 |
Property and equipment, net |  |  | 18,131 |  |  |  | 62,221 |  |  |  | 34,117 |  |  |  | 98,277 |  |  |  | 99,131 |  |  |  | 70,556 |
Deferred financing costs |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | 1,271,170 |
Goodwill |  |  | 3,037,260 |  |  |  | 369,945 |  |  |  | - |  |  |  | 3,462,224 |  |  |  | 62,315 |  |  |  | - |
Other intangible assets |  |  | 445,644 |  |  |  | - |  |  |  | 68,998 |  |  |  | 640,928 |  |  |  | - |  |  |  | 56,341 |
Total assets |  |  | 5,866,581 |  |  |  | 2,428,610 |  |  |  | 1,428,097 |  |  |  | 7,235,301 |  |  |  | 2,867,907 |  |  |  | 3,034,386 |
Current liabilities, excl. interco. |  |  | 2,791,350 |  |  |  | 2,953,940 |  |  |  | 16,854,297 |  |  |  | 3,062,818 |  |  |  | 1,253,173 |  |  |  | 3,502,967 |
Long term liabilities |  |  | - |  |  |  | 160,350 |  |  |  | - |  |  |  | - |  |  |  | 165,594 |  |  |  | 13,067,929 |
Total liabilities |  |  | 2,791,350 |  |  |  | 3,114,290 |  |  |  | 16,854,297 |  |  |  | 3,062,818 |  |  |  | 1,418,767 |  |  |  | 16,570,896 |
Capital expenditure |  |  | - |  |  |  | - |  |  |  | - |  |  |  | 7,825 |  |  |  | 32,747 |  |  |  | 7,186 |
|  | Year ended October 31, 2010 |  |  | Year ended October 31, 2009 |
Revenues |  | $ | 7,152,989 |  |  | $ | 4,352,223 |  |  | $ | 4,721 |  |  | $ | 8,355,041 |  |  | $ | 4,869,393 |  |  | $ | - |
Gross profit (loss) |  |  | 2,859,903 |  |  |  | 2,469,676 |  |  |  | 4,721 |  |  |  | 3,033,337 |  |  |  | 3,875,137 |  |  |  | - |
Research and development |  |  | - |  |  |  | 1,762,035 |  |  |  | - |  |  |  | 2,240,189 |  |  |  | 412,524 |  |  |  | - |
Selling, general & administrative |  |  | 2,918,173 |  |  |  | 2,931,157 |  |  |  | 533,268 |  |  |  | 2,493,261 |  |  |  | 1,679,450 |  |  |  | 6,824,122 |
Stock based compensation |  |  | - |  |  |  | *51,771 |  |  |  | - |  |  |  | 73,305 |  |  |  | - |  |  |  | 217,417 |
Depreciation & amortization |  |  | *316,472 |  |  |  | *66,795 |  |  |  | *33,182 |  |  |  | 311,246 |  |  |  | 98,677 |  |  |  | 279,821 |
Total operating expenses |  |  | 2,918,173 |  |  |  | 4,693,192 |  |  |  | 533,268 |  |  |  | 4,733,450 |  |  |  | 2,091,974 |  |  |  | 6,824,122 |
Operating income (loss) |  |  | (58,270 | ) |  |  | (2,223,516 | ) |  |  | (528,547 | ) |  |  | (1,700,113 | ) |  |  | 1,783,163 |  |  |  | (6,824,122 | )
Other income |  |  | 1,636 |  |  |  | 916,363 |  |  |  | 833,478 |  |  |  | 343,834 |  |  |  | (153,494 | ) |  |  | 11,408 |
Interest expense |  |  | (130,307 | ) |  |  | (91,562 | ) |  |  | (1,783,967 | ) |  |  | (184,396 | ) |  |  | (27,722 | ) |  |  | (1,634,765 | )
Amortization of deferred financing costs |  |  | - |  |  |  | - |  |  |  | (1,271,170 | ) |  |  | - |  |  |  | - |  |  |  | (242,128 | )
Impairment of investment |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | (782,595 | )
Gain on change in fair value of derivative liability |  |  | - |  |  |  | - |  |  |  | 2,557,546 |  |  |  | - |  |  |  | - |  |  |  | - |
Net income (loss) before income taxes |  | $ | (186,941 | ) |  | $ | (1,398,715 | ) |  | $ | (192,660 | ) |  | $ | (1,540,675 | ) |  | $ | 1,601,947 |  |  | $ | (9,472,202 | )
*) These amounts are included in the amounts stated for Selling, general and administrative The Company’s reportable business segments operate in two geographic locations. Those geographic locations are: * United States * Europe The Company evaluates performance and allocates resources based upon operating income. The accounting policies of the reportable segments are the same as those described in the summary of accounting policies. There are inter-segment sales which have been removed upon consolidation and for the purposes of the information shown below. Information concerning principal geographic areas is presented below according to the area where the activity is taking place for the years ended October 31, 2010 and 2009 respectively:
|  | 2010 |  |  | 2009 |
Revenues: |  |  |  |  |  |  |  |
United States |  | $ | 5,791,411 |  |  | $ | 5,939,535 |
Europe |  |  | 5,718,522 |  |  |  | 7,284,899 |
Corporate and other |  |  | - |  |  |  | - |
Total Revenues |  | $ | 11,509,933 |  |  | $ | 13,224,435 |
Assets: |  |  |  |  |  |  |  |
United States |  | $ | 4,029,742 |  |  | $ | 5,882,644 |
Europe |  |  | 5,006,304 |  |  |  | 4,220,350 |
Corporate and other |  |  | 687,242 |  |  |  | 3,034,386 |
Total Assets |  | $ | 9,723,288 |  |  | $ | 13,137,380 |

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- 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 Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8981-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9038-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8971-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8595-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8380-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8984-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9031-108599 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9054-108599 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8538-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8864-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8924-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8906-108599 + Details
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