Accounts Receivable

12 Months Ended

Sep. 30, 2012

Receivables [Abstract]

Accounts Receivable

Accounts Receivable

The components of accounts receivable consisted of the following:

(in thousands)	As of			As of
	September 30, 2012			September 30, 2011
Accounts receivable	$	33,893		$	33,938
Accounts receivable – unbilled	6,325			4,269
Accounts receivable, gross	40,218			38,207
Allowance for doubtful accounts	(3,279		)	(3,332		)
Accounts receivable, net	$	36,939		$	34,875

Unbilled accounts receivable represents revenue recognized but not yet billed as of the period ended. Billings on contracts using the percentage-of-completion method usually occur upon completion of predetermined contract milestones or other contract terms, such as customer approval. The allowance for doubtful accounts is based on the age of receivables and a specific identification of receivables considered at risk of collection.

As of September 30, 2012 and 2011, we had $6.3 million and $3.3 million, respectively, of accounts receivable recorded using the percentage of completion method. Of these amounts, $1.9 million was invoiced and $4.4 million was unbilled as of September 30, 2012 and $1.3 million was invoiced and $2.0 million was unbilled as of September 30, 2011.

During the three months ended March 2011, we entered into an accounts receivable settlement agreement related to a large fixed-priced international solar power system contract that was accounted for using the percentage-of-completion method. Based upon the terms of the settlement agreement, we reclassified a net accounts receivable balance of approximately $2.0 million from a current receivable account to a long-term receivable account within other non-current assets, leaving approximately $0.2 million as a current receivable which was paid in October 2011. The reclass consisted of a billed receivable balance of $5.8 million, unbilled receivable balance of $1.5 million, along with an allowance for doubtful accounts that totaled $5.3 million. During the three months ended June 30, 2011, we wrote off $2.9 million related to the long-term receivable that was fully reserved for.

Included in accounts receivable, net at September 30, 2012 and 2011 is $2.3 million and $0, respectively, from sales to Suncore. See Note 18 - Suncore Joint Venture for additional disclosures related to Suncore.

The following table summarizes the changes in the allowance for doubtful accounts within accounts receivable:

Allowance for Doubtful Accounts (in thousands)	For the Fiscal Years Ended September 30,
	2012			2011			2010
Balance at beginning of period	$	3,332		$	8,399		$	7,125
Provision adjustment - expense, net of recoveries	(53		)	30			2,238
Reclass of amount to a long-term receivables account	—			(5,253		)	—
Impact from foreign exchange translation adjustment	—			181			103
Write-offs - deductions against receivables	—			(25		)	(1,067		)
Balance at end of period	$	3,279		$	3,332		$	8,399

During fiscal 2010, we recorded a $2.4 million reserve on accounts receivable related to a solar power system contract that management had uncertainty with respect to its total collectability.