CONCENTRATION OF RISK

9 Months Ended

Sep. 30, 2014



13.	CONCENTRATION OF RISK:

Included in technology development and support revenue in the accompanying statement of operations is $0 and $143,000 for the three months ended September 30, 2014 and 2013, respectively, and $117,000 and $1.0 million for the nine months ended September 30, 2014 and 2013, respectively, of revenue which was derived from contracts with United States government agencies. Revenues derived from contracts with United States government agencies represented less than 1% of the consolidated revenue for all periods presented.

Revenues and accounts receivable from the Company's largest non-government customers were as follows (in thousands):



	% of Revenues for the three months ended September 30,		% of Revenues for the nine months ended September 30,		Accounts Receivable as of
Customer	2014	2013	2014	2013	September 30, 2014
A	37%	47%	49%	59%	$	8,792
B	31%	9%	22%	9%	$	8,855
C	18%	34%	21%	24%	$	2,915

Revenues from outside of North America represented nearly 100% and 99% of the consolidated revenue for the three months ended September 30, 2014 and 2013, respectively, and nearly 100% and 99% of the consolidated revenue for the nine months ended September 30, 2014 and 2013, respectively. Revenues by geographic area are as follows (in thousands):



	Three Months Ended September 30,				Nine Months Ended September 30,
Country	2014		2013		2014		2013
United States	$	118	$	269	448		1,353
South Korea	22,511		18,707		94,729		66,509
Japan	8,579		13,160		33,541		28,257
Other	1,684		690		6,139		1,042
All foreign locations	32,774		32,557		134,409		95,808
Total revenue	$	32,892	$	32,826	$	134,857	$	97,161

The Company attributes revenue to different geographic areas on the basis of the location of the customer.

Long-lived assets (net), by geographic area are as follows (in thousands):



	September 30, 2014		December 31, 2013
United States	$	17,685	$	14,660
Other	175		233
Total long-lived assets	$	17,860	$	14,893

Substantially all chemical materials were purchased from one supplier. See Note 7.

- 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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