Concentrations of Risk and Major Customers	12 Months Ended
Feb. 28, 2014
Concentrations of Risk and Major Customers	Note 12. Concentrations of Risk and Major Customers Financial instruments, which potentially subject the Company to concentrations of credit risk, consist principally of cash and accounts receivable. At times, such cash in banks are in excess of the FDIC insurance limit. The Company sells to a variety of domestic and international customers on an open-unsecured account basis, in certain cases requiring letters of credit. These customers principally operate in the medical, military, and avionics industries. The Company had direct and indirect net sales to the U.S. government, primarily the Department of Defense for training and simulation programs, which comprised approximately 28% and 31% of consolidated net sales in fiscal 2014 and 2013, respectively. Sales to foreign customers were 10% and 12% of consolidated net sales in fiscal 2014 and 2013, respectively. The Company had two customers who comprised more than 10% of the Company’s sales in FY 2014, Lockheed Martin (20.7%) and Diversified Systems, Inc (10.1%). The accounts are in good standing with the Company. The Company attempts to minimize credit risk by reviewing all customers’ credit history before extending credit, by monitoring customers’ credit exposure on a daily basis and requiring letters of credit for certain sales. The Company establishes an allowance for doubtful accounts based upon factors surrounding the credit risk of specific customers, historical trends and other information.

Concentrations of Risk and Major Customers

12 Months Ended

Feb. 28, 2014

Concentrations of Risk and Major Customers

Note 12. Concentrations of Risk and Major Customers

Financial instruments, which potentially subject the Company to concentrations of credit risk, consist principally of cash and accounts receivable. At times, such cash in banks are in excess of the FDIC insurance limit.

The Company sells to a variety of domestic and international customers on an open-unsecured account basis, in certain cases requiring letters of credit. These customers principally operate in the medical, military, and avionics industries. The Company had direct and indirect net sales to the U.S. government, primarily the Department of Defense for training and simulation programs, which comprised approximately 28% and 31% of consolidated net sales in fiscal 2014 and 2013, respectively. Sales to foreign customers were 10% and 12% of consolidated net sales in fiscal 2014 and 2013, respectively. The Company had two customers who comprised more than 10% of the Company’s sales in FY 2014, Lockheed Martin (20.7%) and Diversified Systems, Inc (10.1%). The accounts are in good standing with the Company.

The Company attempts to minimize credit risk by reviewing all customers’ credit history before extending credit, by monitoring customers’ credit exposure on a daily basis and requiring letters of credit for certain sales. The Company establishes an allowance for doubtful accounts based upon factors surrounding the credit risk of specific customers, historical trends and other information.

- Definition

The entire disclosure for any concentrations existing at the date of the financial statements that make an entity vulnerable to a reasonably possible, near-term, severe impact. This disclosure informs financial statement users about the general nature of the risk associated with the concentration, and may indicate the percentage of concentration risk as of the balance sheet date.

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