18 - Sale of Assets of Discontinued Operations (Tables)

12 Months Ended

Dec. 31, 2013

Discontinued Operations and Disposal Groups [Abstract]

Asset Purchase agreement

Consideration received from sale of Government assets:
Cash	$	200,000
Seller notes assumed by buyer		282,456
Note receivable from buyer**		700,000
Total consideration	$	1,182,456
Other Contingencies considerations:
3% of gross revenues on Phase II of an SBIR contract for 24 months if awarded.		–
Pay up to $100,000 for each of the next two years in the event that certain contract are rebid and funded		–
Total consideration received on sale of assets		1,182,456
Carrying value of Lattice Government assets sold (see below)		661,013
Gain (loss) on sale of Government segment assets	$	521,443
Carrying value of assets disposed of:
Goodwill and intangibles	$	842,933
Non-controlling interest		(120,133	)
Deferred tax liability		(61,787	)
	$	661,013

Services segment included in the net income (loss) from discontinued operations

	Twelve Months Ended December 31,
	2013			2012
Revenue	$	603,616		$	3,243,377
Cost of Revenue		300,033			1,901,592
Gross Profit		303,583			1,341,785
		50.3%			41.5%
Selling, general and administrative expenses		749,086			1,107,967
Amortization expense		80,448			321,792
Income (loss) from operations		(525,951	)		(87,974	)
Interest expense		(10,179	)		(134,073	)
Gain on sale of discontinue operation		521,443			–
Income (Loss) before taxes		(14,687	)		(222,047	)
Income taxes (benefit)		(32,397	)		(129,587	)
Net income (loss) from Discontinued operations	$	17,710		$	(92,460	)

The assets and liabilities to be disposed

	December 31,		December 31,
	2013		2012
	(unaudited)
Goodwill		–		690,871
Intangible assets, net		–		232,510
Note payable		–		282,456
Deferred tax liability		–		61,787
Non-controlling interest		–		120,133