Concentrations of Risk

3 Months Ended

Mar. 31, 2012

Concentrations of Risk

Concentrations of Risk

5.         Concentrations of Risk

The Company maintains cash balances at several banks.  Interest bearing accounts at each institution are insured by the Federal Deposit Corporation up to $250,000.  At March 31, 2012, the Company’s cash and cash equivalents in excess of the FDIC limits were $4.6 million.  The Company has not experienced any losses in such accounts and believes it is not exposed to any significant risks.

During the three months ended March 31, 2012 and 2011, 100% of our revenue was generated from the Health Sciences business.  For the three months ended March 31, 2012, revenue from four customers accounted for 23%, 19%, 12% and 11% of revenues, respectively.  For the three months ended March 31, 2011, revenue from five customers accounted for 21%, 20%, 17%, 13% and 10% of revenues, respectively.  At March 31, 2012, five major contracts constituted 83% of the trade accounts receivable, the components of which were 22%, 18%, 15%, 14% and 14%, respectively.  At December 31, 2011, three major contracts constituted 71% of the trade accounts receivable, the components of which were 43%, 18% and 10%, respectively.  No other single contract was greater than 10% of total trade accounts receivable.