Information About Major Customers

12 Months Ended

Jun. 30, 2014

Information About Major Customers [Abstract]

Information About Major Customers

4.Information About Major Customers

The Company’s sales efforts are led by account managers who develop a close consultative selling relationship with the Company’s customers.  The Company’s principal customers have historically been automotive manufacturing companies that the Company either sells to directly or through manufacturing line builders, system integrators or original equipment manufacturers.  The Company’s products are typically purchased for installation in connection with retooling programs undertaken by these companies.  Because sales are dependent on the timing of customers’ retooling programs, sales by customer vary significantly from year to year, as do the Company’s largest customers. 

For the fiscal years 2014, 2013 and 2012, approximately 43%, 46% and 51%, respectively, of net sales were derived from the Company’s four largest automotive end user customers.  The Company also sells to manufacturing line builders, system integrators or assembly equipment manufacturers, who in turn sell to the Company’s automotive customers.  For the fiscal years 2014, 2013 and 2012, approximately 16%, 7% and 13%, respectively, of net sales were to manufacturing line builders, system integrators and original equipment manufacturers for the benefit of the same four largest automotive end user customers in each respective year.  During the fiscal year ended June 30, 2014, direct sales to Volkswagen Group accounted for approximately 30% of the Company’s total net sales.  At June 30, 2014, accounts receivable from Volkswagen Group totaled approximately $4.7 million.