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BANK COVENANT VIOLATION | 12 Months Ended
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Jun. 30, 2012
Bank Covenant Violation |
Note 24. BANK COVENANT VIOLATION (In Thousands) | The Company’s Singapore subsidiary provided for the doubtful debts on the loan granted to one of the subsidiaries, resulting in a decrease in net worth by an amount of approximately $0.3 lower than the loan covenant required by the financial institution. Hence, the Company did not satisfy the loan covenant. The bank has the option to recall the loan; however, management is in discussion with the financial institution for a waiver. A waiver has not been obtained as at the date of this report. The loan was already recorded as a current liability, as it matures within 12 months.

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