v2.3.0.15
Discontinued Operations
3 Months Ended
Sep. 30, 2011
Discontinued Operations [Abstract] 
Discontinued Operations

Note 3 – Discontinued Operations

In July 2011, the Company announced that it is seeking the sale of Ovonic Battery Company, Inc., (“OBC”), which conducts our battery technology licensing and materials manufacturing activities and comprises substantially all of the business of our Ovonic Materials Division, in order to focus on our United Solar Ovonic business activities. OBC is a consolidated subsidiary in which we have a 93.6% equity interest with the balance owned by Honda Motor Company, Ltd. (3.2%) and Sanoh Industrial Co., Ltd. (3.2%).

On September 12, 2011, we completed the sale of the net assets of our Ovonic Hydrogen Storage operations of the Ovonic Materials Division and recorded a gain of $0.6 million related to the sale which has been included in the income from discontinued operations in the Company’s Statements of Operations for the three month period ended September 30, 2011.

The operating results and financial position of the Ovonic Materials Division, which have been presented as discontinued operations, are as follows:

 

                 
   

Three Months Ended

September 30,

  
    2011     2010  
    (in thousands)  
     

Royalties

   $ 1,806     $ 2,115  

Other revenue

     524       946  
   

 

 

    

 

 

  

Total revenue

     2,330       3,061  
     

Operating Expenses

     1,580       1,237  

Gain on sale of Ovonic Hydrogen Storage operations

     589       —    
   

 

 

    

 

 

  

Income from discontinued operations, net of tax

   $ 1,339     $ 1,824  
   

 

 

    

 

 

  

 

                 
    September 30,     June 30,  
    2011     2011  
    (in thousands)  

Assets of discontinued operations

                

Accounts receivable

   $ 3,401     $ 4,733  

Inventory

     809       878  

Other current assets

     —         28  
   

 

 

    

 

 

  

Total Current Assets

     4,210       5,639  

Property, plant and equipment, net

     311       570  
   

 

 

    

 

 

  

Total Assets

   $ 4,521     $ 6,209  
   

 

 

    

 

 

  

Liabilities of discontinued operations

                

Current liabilities

   $ 1,121     $ 1,300  

Deferred patent license fees

     2,143       2,381  

Other liabilities

     222       222  
   

 

 

    

 

 

  

Total Liabilities

   $ 3,486     $ 3,903