RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS (Tables)

9 Months Ended

Sep. 30, 2013

RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS

Schedule of the unaudited restated condensed consolidated balance sheet

The unaudited restated condensed consolidated balance sheet as of September 30, 2013 is presented below (in thousands, except per share data):

	September 30, 2013
	As Previously Reported			Restatement Adjustments			Restated
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	22,826		$	—		$	22,826
Short-term investments	867			—			867
Restricted cash	331			—			331
Accounts receivable, net of allowance for doubtful accounts of $179 and $453 as of September 30, 2013 and December 31, 2012, respectively	21,927			(150		)	21,777
Inventories, net	32,625			231			32,856
Prepaid expenses and other current assets	2,532			—			2,532
Assets held for sale	2,152			—			2,152
Total current assets	83,260			81			83,341
Property and equipment, net	72,761			—			72,761
Intangible assets, net	6,014			—			6,014
Other assets	2,194			—			2,194
TOTAL ASSETS	$	164,229		$	81		$	164,310

LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Lines of credit and notes payable	$	—		$	—		$	—
Current maturities of long-term debt	342			—			342
Current portions of capital lease obligations	1,308			—			1,308
Accounts payable	29,063			(938		)	28,125
Accrued liabilities	6,961			69			7,030
Customer deposits	21,482			—			21,482
Liabilities held for sale	—			—			—
Total current liabilities	59,156			(869		)	58,287

LONG-TERM LIABILITIES:
Long-term debt, net of current maturities	2,757			—			2,757
Long-term capital lease obligations, net of current portions	1,431			—			1,431
Other	3,342			—			3,342
Total long-term liabilities	7,530			—			7,530

COMMITMENTS AND CONTINGENCIES

STOCKHOLDERS’ EQUITY:
Preferred stock, $0.001 par value; 10,000,000 shares authorized; no shares issued or outstanding	—			—			—
Common stock, $0.001 par value; 30,000,000 shares authorized; 14,563,228 and 14,197,792 shares issued and outstanding as of September 30, 2013 and December 31, 2012, respectively	15			—			15
Additional paid-in capital	375,542			—			375,542
Accumulated deficit	(278,014		)	950			(277,064		)
Total stockholders’ equity	97,543			950			98,493
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	164,229		$	81		$	164,310

Schedule of the unaudited restated condensed quarterly consolidated statement of operations

The unaudited restated condensed quarterly consolidated statement of operations for the three months ended September 30, 2013 is presented below (in thousands, except per share data):

	Three Months Ended September 30,
	As Previously Reported			Restatement Adjustments			Restated

Revenues	$	62,436		$	(1,574	)	$	60,862
Cost of sales	56,783			(1,636		)	55,147
Restructuring	1,097			—			1,097
Gross profit	4,556			62			4,618

OPERATING EXPENSES:
Selling, general and administrative	5,247			(31		)	5,216
Intangible amortization	111			—			111
Regulatory settlement	1,500			—			1,500
Restructuring	79			—			79
Total operating expenses	6,937			(31		)	6,906
Operating loss	(2,381		)	93			(2,288		)

OTHER INCOME (EXPENSE) , net:
Interest expense, net	(177		)	—			(177		)
Other, net	(4		)	—			(4		)
(Loss) gain on sale of assets and restructuring	(1		)	—			(1		)
Total other income (expense), net	(182		)	—			(182		)

Net loss from continuing operations before provision for income taxes	(2,563		)	93			(2,470		)
Provision (benefit) for income taxes	28			—			28
LOSS FROM CONTINUING OPERATIONS	(2,591		)	93			(2,498		)
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAX	100			—			100
NET LOSS	$	(2,491	)	$	93		$	(2,398	)

NET LOSS PER COMMON SHARE - BASIC AND DILUTED:
Loss from continuing operations	$	(0.18	)	$	(0.00	)	$	(0.18	)
Loss from discontinued operations	0.01			—			0.01
Net loss	$	(0.17	)	$	(0.00	)	$	(0.17	)

WEIGHTED AVERAGE COMMON SHARES OUTSTANDING - Basic and diluted	14,525						14,525

The unaudited restated condensed quarterly consolidated statement of operations for the nine months ended September 30, 2013 is presented below (in thousands, except per share data):

	Nine Months Ended September 30, 2013
	As Previously Reported			Restatement Adjustments			Restated

Revenues	$	159,463		$	(150	)	$	159,313
Cost of sales	147,399			(1,033		)	146,366
Restructuring	2,758			—			2,758
Gross profit	9,306			883			10,189

OPERATING EXPENSES:
Selling, general and administrative	15,788			(67		)	15,721
Intangible amortization	1,441			—			1,441
Regulatory settlement	1,500			—			1,500
Restructuring	787			—			787
Total operating expenses	19,516			(67		)	19,449
Operating loss	(10,210		)	950			(9,260		)

OTHER INCOME (EXPENSE) , net:
Interest expense, net	(795		)	—			(795		)
Other, net	511			—			511
(Loss) gain on sale of assets and restructuring	2,965			—			2,965
Total other income (expense), net	2,681			—			2,681

Net loss from continuing operations before provision for income taxes	(7,529		)	950			(6,579		)
Provision (benefit) for income taxes	64			—			64
LOSS FROM CONTINUING OPERATIONS	(7,593		)	950			(6,643		)
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAX	(110		)	—			(110		)
NET LOSS	$	(7,703	)	$	950		$	(6,753	)

NET LOSS PER COMMON SHARE - BASIC AND DILUTED:
Loss from continuing operations	$	(0.53	)	$	0.07		$	(0.46	)
Loss from discontinued operations	(0.01		)	—			(0.01		)
Net loss	$	(0.53	)	$	0.07		$	(0.47	)

WEIGHTED AVERAGE COMMON SHARES OUTSTANDING - Basic and diluted	14,405			—			14,405

Schedule of the unaudited restated condensed consolidated statement of cash flows

The unaudited restated condensed consolidated statement of cash flows for the nine months ended September 30, 2013 is presented below (in thousands):

	Nine Months Ended September 30, 2013
	As Previously Reported			Restatement Adjustments			Restated
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$	(7,703	)	$	950		$	(6,753	)

Adjustments to reconcile net cash used in operating activities:
Depreciation and amortization expense	11,412			—			11,412
Impairment charges	288			—			288
Stock-based compensation	1,438			—			1,438
Allowance for doubtful accounts	(274		)	—			(274		)
Common stock issued under defined contribution 401(k) plan	499			—			499
(Gain) loss on disposal of assets	(3,576		)	—			(3,576		)
Changes in operating assets and liabilities:				—
Accounts receivable	(1,613		)	150			(1,463		)
Inventories	(10,637		)	(231		)	(10,868		)
Prepaid expenses and other current assets	1,228			—			1,228
Accounts payable	12,337			(938		)	11,399
Accrued liabilities	1,054			69			1,123
Customer deposits	17,419			—			17,419
Other non-current assets and liabilities	(365		)	—			(365		)
Net cash provided by (used in) operating activities	21,507			—			21,507

CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from sale of logistics business and related note receivable	250			—			250
Purchases of available for sale securities	(867		)	—			(867		)
Purchases of property and equipment	(5,967		)	1,610			(4,357		)
Proceeds from disposals of property and equipment	12,533			—			12,533
(Increase) decrease in restricted cash	(1		)	—			(1		)
Net cash provided by (used in) investing activities	5,948						7,558

CASH FLOWS FROM FINANCING ACTIVITIES:
Payments on lines of credit and notes payable	(80,233		)	—			(80,233		)
Proceeds from lines of credit and notes payable	75,208			—			75,208
Proceeds from sale-leaseback transactions	—			—			—
Payments for debt issuance costs	—			—			—
Principal payments on capital leases	(120		)	(1,610		)	(1,730		)
Net cash (used in) provided by financing activities	(5,145		)				(6,755		)

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	22,310			—			22,310
CASH AND CASH EQUIVALENTS, beginning of the period	516			—			516
CASH AND CASH EQUIVALENTS, end of the period	$	22,826		$	—		$	22,826