Segment Information

6 Months Ended

Jun. 30, 2013

Segment Information [Abstract]

Segment Information

NOTE 6: SEGMENT INFORMATION

The Company's segments are strategic business units that offer different products and services and are managed as UC and Telephone services. The Company evaluates the performance of the segments based upon factors such as revenue growth, expense containment, market share and operating results.

The UC segment provides enterprise hosted VoIP services, wholesale carrier services and conference services.

The Telephone segment provides telecommunications services including local, network access, long distance services, wireless, broadband, satellite TV service and directory services.

The segment results presented below are not necessarily indicative of the results of operations these segments would have achieved had they operated as stand-alone entities during the periods presented.

Segment balance sheet information as of June 30, 2013 and December 31, 2012 is set forth below:

($ in thousands)		June 30, 2013		December 31, 2012
Segment assets
Unified Communications	$	22,800	$	23,500
Telephon		18,522		19,945
Total assets	$	41,322	$	43,445

Segment statement of operations information for the three months ended June 30, 2013 and 2012 is set forth below:

						For the three months ended
				June 30, 2013							June 30, 2012
		Unified		Telephone		Consolidated			Unified		Telephone		Consolidated
		Communications							Communications
Operating Revenues	$	3,920	$	3,527	$	7,447		$	3,252	$	3,634	$	6,886
Operating Expenses
Cost of services and products		2,015		1,200		3,215			2,198		1,236		3,434
Selling, general and administrative expense		3,863		2,466		6,329			3,724		1,879		5,603
Depreciation and amortization		564		397		961			467		829		1,296
Total Operating Expenses		6,442		4,063		10,505			6,389		3,944		10,333
Operating Loss	$	(2,522	) $	(536	) $	(3,058	)	$	(3,137	) $	(310	) $	(3,447	)

Segment income statement information for the six months ended June 30, 2013 and 2012 is set forth below:

						For the six months ended
				June 30, 2013							June 30, 2012
									Unified
		Unified		Telephone		Consolidated					Telephone		Consolidated
		Communications							Communications
Operating Revenues	$	7,876	$	7,311	$	15,187		$	6,526	$	7,441	$	13,967
Operating Expenses
Cost of services and products		4,585		2,419		7,004			4,504		2,478		6,982
Selling, general and administrative expense		8,604		5,077		13,681			7,036		3,975		11,011
Depreciation and amortization		1,182		781		1,963			894		1,681		2,575
Total Operating Expenses		14,371		8,277		22,648			12,434		8,134		20,568
Operating Loss		(6,495	)	(966	)	(7,461	)		(5,908	)	(693	)	(6,601	)