A.

Credit Risk - The Company maintains its cash and cash equivalents balances at various large financial institutions that, at times, may exceed federally and internationally insured limits. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk.

B.

Customers - Sales to one customer, the Southern Glazer’s Wine and Spirits of America, Inc. family of companies (“SGWS”) accounted for approximately 37.8% and 36.3% of the Company’s net sales for the three months ended September 30, 2018 and 2017, respectively. Sales to SGWS accounted for approximately 37.0% and 38.0% of the Company’s net sales for the six months ended September 30, 2018 and 2017, respectively, and approximately 38.6% and 35.9% of accounts receivable at September 30 and March 31, 2018, respectively.