COMMITMENTS AND CONTINGENCIES (Tables)

12 Months Ended

Dec. 31, 2012

COMMITMENTS AND CONTINGENCIES [Abstract]

Schedule of future minimum salary commitment

The Company has contracts with two key employees.  The contracts call for salaries presently aggregating $590,000 per year.  One contract expires in May 2013 and one contract expires in March 2016.  The following table is a schedule of future minimum salary commitments:

2013	$	422,500
2014		300,000
2015		300,000
2016		50,000

Schedule of future minimum rental commitments

The following is a schedule of future minimum rental commitments (assuming no increases):

Years ending December 31,

2013	$	246,360
2014		82,120
	$	328,480

Customer and purchase concentration risks

The following table delineates sales the Company had to customers in excess of 10% of total sales for the periods indicated:

 

									Accounts
	For the years ended								Receivable As of
	December 31, 2012				December 31, 2011				December 31, 2012		December 31, 2011
	Sales		% of Sales		Sales		% of Sales
Customer 1	$	7,778,688		32	$	7,208,712		41	$	879,089		782,300
Customer 2		10,299,216		42		4,662,607		27		1,668,156		685,692
Customer 3		*		*		1,713,390		10		596		450,000

In the table above the asterisk (*) indicates that sales to the customer did not exceed 10% for the period indicated.

The following table delineates purchases the Company had with vendors in excess of 10% of total purchases for the periods indicated.

 

Accounts

For the years ended

Payable As of

December 31, 2012

December 31, 2011

December 31, 2012

December 31, 2011

Purchases

% of Purc.

Purchases

% of Purc.

Vendor 1

$

817,293

13

*

*

$

114,895

3,380

Vendor 2

778,793

12

*

*

76,932

23,327

In the table above the asterisk (*) indicates that purchases from the vendor did not exceed 10% for the period indicated