Note 10. Discontinued Operations

3 Months Ended

Sep. 30, 2012

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations

Discontinued Operations

BH Holdings, S.A.S

On January 12, 2012 BHH initiated the filing of an insolvency declaration with the Tribunal de Commerce de Rennes, France ("Commercial Court").  The Commercial Court on January 18, 2012 opened the liquidation proceedings with continuation of BHH's activity for 3 months and named an administrator to manage BHH. Since Drew no longer has a controlling financial interest in BHH it was deconsolidated in the December 31, 2011 quarterly consolidated financial statements and prior period amounts are presented as discontinued operations.

The following table summarizes the results of discontinued operations of BHH for the three months ended September 30, 2012 and 2011 (in thousands):

For three months ended September 30,	2012		2011
Revenue, net	$	—	$	999
Cost of goods sold	—		407
Marketing, general and administrative	—		892
Research & development	—		—
Total Costs and expenses	—		1,299
Loss from discontinued operations	$	—	$	(300	)

Assets and liabilities of discontinued operations of BHH included in the consolidated balance sheets are summarized as follows at September 30, 2012 and June 30, 2012 (in thousands):

	September 30,			June 30,
	2012			2012
Assets	$	—		$	—
Total assets	—			—
Liabilities
Accounts payable	—			—
Accrued expenses	—			—
Accrued lease termination costs	338			338
Total liabilities	338			338
Net assets of discontinued operations	$	(338	)	$	(338	)

Discontinued operation of ECD

On October 3, 2012 the Company sold its Clinical Diagnostics Business to ERBA Diagnostics, Inc. The ECD consisted of Drew Scientific, Inc., and its wholly owned subsidiaries JAS and Drew Scientific Limited Co. The sale of this business will have a material effect on earnings in subsequent periods.

The following table summarizes the results of discontinued operations for the three months ended September 30, 2012 and 2011 (in thousands):

For the three months ended September 30,	2012		2011
Revenue, net	$	3,637	$	3,614
Cost of goods sold	2,194		2,344
Marketing, general and administrative	1,176		1,097
Research & development	76		162
Total Costs and expenses	3,446		3,603
Net income from discontinued operations	$	191	$	11

Assets and liabilities of discontinued operations of ECD included in the consolidated balance sheets are summarized as follows at September 30, 2012 and June 30, 2012 (in thousands):

	September 30,		June 30,
	2012		2012
Assets
Accounts receivable	$	1,621	$	1,555
Inventory	1,997		2,348
Other assets	112		110
Total current assets	3,730		4,013
Furniture and fixture	287		323
Non-current accounts receivable	69		69
Goodwill	93		93
Intangible assets	553		627
Total non-current assets	1,002		1,112
Total Assets	8,462		9,137
Liabilities
Accounts payable	536		691
Accrued expenses	609		589
Total liabilities	1,144		1,280
Net assets of discontinued operations	$	7,317	$	7,858