Concentration of Credit Risk

9 Months Ended

Sep. 30, 2014

Concentration Risk Disclosure [Text Block]

Note 7 - Concentration of Credit Risk

Concentration of credit risk with respect to trade accounts receivable is generally limited due to the large number of entities comprising the Company's customer base. The Company performs ongoing credit evaluations and provides an allowance for potential credit losses against the portion of accounts receivable which is estimated to be uncollectible. Such losses have historically been within management's expectations. During the three months ended September 30, 2014 and 2013, there were two and three customers whose purchases represented more than 10% of the Company’s consolidated net sales, respectively. During the nine months ended September 30, 2014 and 2013, there were two customers whose purchases represented more than 10% of the Company’s consolidated net sales, respectively. Sales to these customers for the three and nine months ended September 30, 2014 and 2013 are as follows:

	Three Months Ended				Three Months Ended
	September 30, 2014				September 30, 2013
			% of Net				% of Net
Customer	Net Sales		Sales		Net Sales		Sales
Customer A	$	3,369,000	23.1	%	$	3,002,000	20.7	%
Customer B	$	2,420,000	16.6	%	$	1,977,000	13.7	%
Customer C		N/A	N/A		$	1,884,000	13.0	%

	Nine Months Ended				Nine Months Ended
	September 30, 2014				September 30, 2013
			% of Net				% of Net
Customer	Net Sales		Sales		Net Sales		Sales
Customer A	$	11,299,000	26.5	%	$	11,412,000		27.9	%
Customer B	$	5,583,000	13.1	%	$	4,658,000		11.4	%

As of September 30, 2014, the total amounts owed to the Company by these customers were approximately $2,089,000 or 18.8%, and $2,430,000 or 21.9%, of the Company’s consolidated net accounts receivable, respectively. The amounts owed at September 30, 2013 by these customers were approximately $1,286,000 or 13.6%, $1,915,000 or 20.3%, and $1,054,000 or 11.2% of the Company’s consolidated net accounts receivable.

- Definition

The entire disclosure for any concentrations existing at the date of the financial statements that make an entity vulnerable to a reasonably possible, near-term, severe impact. This disclosure informs financial statement users about the general nature of the risk associated with the concentration, and may indicate the percentage of concentration risk as of the balance sheet date.

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