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Note 9 - Intangible Assets | 12 Months Ended
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Jun. 30, 2013
Disclosure Text Block [Abstract] |
Intangible Assets Disclosure [Text Block] | NOTE 9 – INTANGIBLE ASSETS Intangible assets consisted of the following:
|  | As of June 30, 2013 |  |  | As of June 30, 2012 |
Product licenses |  | $ | 44,837,558 |  |  | $ | 42,072,045 |
Customer lists |  |  | 6,052,377 |  |  |  | 6,052,377 |
Technology |  |  | 242,702 |  |  |  | 242,702 |
|  |  | 51,132,637 |  |  |  | 48,367,124 |
Accumulated amortization |  |  | (21,679,983 | ) |  |  | (19,864,141 | )
Intangible assets, net |  | $ | 29,452,654 |  |  | $ | 28,502,983 |
(A) | Product Licenses
Product licenses include internally-developed original license issues, renewals, enhancements, copyrights, trademarks, and trade names. Product licenses include unamortized software development and enhancement costs of $22,088,020. Product licenses are being amortized on a straight-line basis over their respective lives, which is currently a weighted average of approximately 8 years. Amortization expense for the years ended June 30, 2013 and 2012 was $1,905,008 and $1,536,819, respectively.
(B) | Customer Lists
On October 31, 2008, the Company entered into an agreement to purchase the rights to the customer list of Ciena Solutions, LLC, a California limited liability company (“Ciena”). Under the terms of the agreement, the total consideration for these rights included an initial payment of $350,000 (plus interest of $2,963), and deferred consideration to be paid in cash and the Company’s common stock based on the operational results of Ciena, and certain other factors, over a four-year fiscal period. Each fiscal period is measured from July 1 to June 30 with fiscal period one being the period from July 1, 2008 to June 30, 2009. No other assets or liabilities were acquired by the Company as a result of this transaction. As a result of operational losses of Ciena in the first three fiscal periods, 2009, 2010 and 2011, respectively, the first three annual deferred consideration installment payments were determined to be zero. On October 4, 2011, the Company entered into an agreement to acquire a UK based company “Virtual Leasing Services Limited” through one of its subsidiaries. As a result of this acquisition, the Company recorded $248,320 of an existing customer list. Customer lists are being amortized based on a straight-line basis, which approximates the anticipated rate of attrition, which is currently a weighted average of approximately 5 years. Amortization expense for the years ended June 30, 2013 and 2012 was $120,804 and $145,808, respectively.
(C) | Technology
On October 4, 2011, the Company entered into an agreement to acquire a UK based company, Virtual Leasing Services Limited, through one of its subsidiaries. As a result of this acquisition, the Company recorded $242,702 of existing technology. Technology assets are being amortized on a straight-line basis over their respective lives, which is currently a weighted average of approximately 5 years. Amortization expense for the years ended June 30, 2013 and 2012 was $49,075 and $36,405, respectively.
(D) | Future Amortization
Estimated amortization expense of intangible assets over the next five years is as follows:
Year ended: |  |  |
June 30, 2014 |  |  | 1,871,509 |
June 30, 2015 |  |  | 1,483,795 |
June 30, 2016 |  |  | 989,890 |
June 30, 2017 |  |  | 776,539 |
June 30, 2018 |  |  | 746,068 |
Thereafter |  |  | 23,584,853 |

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- Definition The entire disclosure for all or part of the information related to intangible assets. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=26713463&loc=d3e16323-109275 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=26713463&loc=d3e16373-109275 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=26713463&loc=d3e16265-109275 + Details
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