Concentrations of Risk and Major Customers	12 Months Ended
Feb. 29, 2016
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, accounts receivable and investments. 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 49% and 41% of consolidated net sales in fiscal 2016 and 2015, respectively. Sales to foreign customers were 19% and 15% of consolidated net sales in fiscal 2016 and 2015, respectively. The Company had two customers who comprised more than 10% of the Company’s sales in fiscal year 2016, Lockheed Martin (35%) and Flight Safety (10.1%). The Company had one account who comprised more than 10% in fiscal 2015, Lockheed Martin (27%). 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. 29, 2016

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, accounts receivable and investments. 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 49% and 41% of consolidated net sales in fiscal 2016 and 2015, respectively. Sales to foreign customers were 19% and 15% of consolidated net sales in fiscal 2016 and 2015, respectively. The Company had two customers who comprised more than 10% of the Company’s sales in fiscal year 2016, Lockheed Martin (35%) and Flight Safety (10.1%). The Company had one account who comprised more than 10% in fiscal 2015, Lockheed Martin (27%). 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.