7. SEGMENT INFORMATION

3 Months Ended

Aug. 31, 2012

Segment Information

Segment Information

7.   SEGMENT INFORMATION

The Company operates in one reportable segment: the design, manufacture and marketing of advanced test and burn-in products to the semiconductor manufacturing industry.

The following presents information about the Company’s operations in different geographic areas (in thousands):

	United
	States		Asia		Europe		Total
Three months ended August 31, 2012:
Net sales	$	4,668	$	34	$	130	$	4,832
Property and equipment, net		369		69		1		439
Three months ended August 31, 2011:
Net sales	$	3,906	$	26	$	198	$	4,130
Property and equipment, net		745		74		8		827

The Company’s foreign operations are primarily those of its Japanese and German subsidiaries.  Substantially all of the sales of the subsidiaries are made to unaffiliated Japanese or European customers.  Net sales from outside the United States include those of Aehr Test Systems Japan K.K. and Aehr Test Systems GmbH.

Sales to the Company’s five largest customers accounted for approximately 93% and 90% of its net sales in the three months ended August 31, 2012 and 2011, respectively.  Two customers accounted for approximately 42%, and 38% of the Company’s net sales in the three months ended August 31, 2012. Two customers accounted for approximately 53% and 14% of the Company’s net sales in the three months ended August 31, 2011.  No other customers represented more than 10% of the Company's net sales for either of the three months ended August 31, 2012 and 2011.