Note 12 - Business Segment, Major Customers And Related Party Information

9 Months Ended

Sep. 30, 2013

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

NOTE 12. BUSINESS SEGMENT, MAJOR CUSTOMERS AND RELATED PARTY INFORMATION

Business Segment

The Company has concluded that it operates in one segment based upon the information used by its chief operating decision maker in evaluating the performance of its business and allocating resources. This single segment represents the Company’s core business, professional services primarily for government clients.

Major Customers

No individual customer accounted for more than 10% of revenue in the three and nine months ended September 30, 2013 or 2012 and no individual customer accounted for more than 10% of total contract receivables at September 30, 2013 or December 31, 2012.

Related Party

The Company has a 40% interest in HMRTech which is accounted for using the equity method.  Revenues from HMRTech for the three and nine months ended September 30, 2013 and 2012 and amounts due from HMRTech at September 30, 2013 and December 31, 2012 were immaterial.  In addition, HMRTech charged the Company $0.4 million in the three months ended September 30, 2012 relating to contract work, and $0.1 million and $1.3 million for the first nine months of 2013 and 2012, respectively.  At December 31, 2012, the Company had a related payable of $0.2 million.

During the first three quarters of 2013 and 2012, the Company received dividends from HMRTech totaling $0.1 million and $2.5 million, respectively.  Dividends received in the third quarter of 2012 of $2.4 million related to settlement of a contract claim by HMRTech.  This matter relates to the 2006 wrongful termination by the Air Force of a Consolidated Acquisition Professional Services, or CAPS, contract held by a joint venture in which DRC was a significant participant.  The Air Force paid the joint venture $6.3 million in damages.  The Company’s share of the settlement of $2.4 million was calculated net of expenses.