SEGMENT REPORTING

3 Months Ended

Jun. 30, 2011

SEGMENT REPORTING [Abstract]

SEGMENT REPORTING

15. SEGMENT REPORTING

We manage our business segments on the basis of the products and services offered. Our reportable segments consist of our technology sales business segment and our financing business segment. The technology sales business segment sells information technology equipment and software and related services primarily to corporate customers on a nationwide basis. The technology sales business segment also provides Internet-based business-to-business supply chain management solutions for information technology and other operating resources. The financing business segment offers lease-financing solutions to corporations and governmental entities nationwide. We evaluate segment performance on the basis of total revenue, segment earnings and earnings before provision for income taxes.

Both segments utilize our proprietary software and services within the organization. Sales and services and related costs of our software are included in the technology sales business segment. Our reportable segment information is as follows (in thousands):

	Three months ended June 30, 2011						Three months ended June 30, 2010
	Technology Sales Business Segment		Financing Business Segment		Total		Technology Sales Business Segment		Financing Business Segment		Total
Sales of product and services	$	201,966	$	-	$	201,966	$	175,610	$	-	$	175,610
Lease revenues		-		7,434		7,434		-		10,429		10,429
Fee and other income		1,909		235		2,144		2,201		777		2,978
Total revenues		203,875		7,669		211,544		177,811		11,206		189,017
Cost of sales		173,319		-		173,319		150,839		-		150,839
Direct lease costs		-		2,096		2,096		-		2,834		2,834
Professional and other fees		2,075		350		2,425		3,235		292		3,527
Salaries and Benefits		20,663		2,343		23,006		17,141		2,909		20,050
General and administrative expenses		3,767		266		4,033		2,818		327		3,145
Segment earnings		4,051		2,614		6,665		3,778		4,844		8,622
Interest and financing costs		20		362		382		23		763		786
Earnings before provision for income taxes	$	4,031	$	2,252	$	6,283	$	3,755	$	4,081	$	7,836
Assets	$	203,819	$	190,975	$	394,794	$	191,187	$	195,047	$	386,234

Included in the technology sales business segment above are inter-segment accounts payable of $41.7 million and $37.5 million as of June 30, 2011 and 2010, respectively. Included in the financing business segment above are inter-segment accounts receivable of $41.7 million and $37.5 million as of June 30, 2011 and 2010, respectively.

Our technology sales business segment sells products to our financing business segment.  For the three months ended June 30, 2011, we eliminated revenue of $0.3 million, in our technology sales business segment as a result of these intersegment transactions.  For the three months ended June 30, 2010, we eliminated revenue of $0.8 million, in our technology sales business segment as a result of these intersegment transactions.