Accounts Receivable - Net

12 Months Ended

Mar. 31, 2014

Accounts Receivable - Net [Abstract]

Accounts Receivable - Net

6. Accounts Receivable — Net

Included in accounts receivable — net are significant offset accounts related to customer allowances earned (see Note 14), customer payment discrepancies, returned goods authorizations (“RGA”) issued for in-transit unit returns, estimated future credits to be provided for Used Cores returned by the customers (see Note 2) and potential bad debts. Due to the forward looking nature and the different aging periods of certain estimated offset accounts, they may not, at any point in time, directly relate to the balances in the accounts receivable—trade account.

Accounts receivable — net is comprised of the following at March 31:

	2014			2013
Accounts receivable — trade	$	58,766,000		$	40,686,000
Allowance for bad debts		(854,000	)		(1,019,000	)
Customer allowances earned		(9,088,000	)		(11,160,000	)
Customer payment discrepancies		(577,000	)		(514,000	)
Customer returns RGA issued		(5,809,000	)		(4,966,000	)
Customer core returns accruals		(20,155,000	)		(19,338,000	)
Less: total accounts receivable offset accounts		(36,483,000	)		(36,997,000	)
Total accounts receivable — net	$	22,283,000		$	3,689,000

As of May 31, 2013, $4,377,000 of accounts receivable at the discontinued subsidiary was deconsolidated from the consolidated financial statements of the Company (see Note 3).

Warranty Returns

The Company allows its customers to return goods to the Company that their end-user customers have returned to them, whether the returned item is or is not defective (warranty returns). The Company accrues an estimate of its exposure to warranty returns based on a historical analysis of the level of this type of return as a percentage of total unit sales. Amounts charged to expense for these warranty returns are considered in arriving at the Company’s net sales. At March 31, 2014 and 2013, the warranty return accrual of $2,407,000 and $1,807,000, respectively, on the credits to be issued for the returns received was included under the customer returns RGA issued in the above table and the warranty return estimate of $5,632,000 and $4,398,000, respectively, was included in customer finished goods returns accrual (see Note 2) in the consolidated balance sheets.

Change in the Company’s warranty return accrual is as follows at March 31:

	2014			2013
Balance at beginning of period	$	6,205,000		$	4,426,000
Charged to expense		56,284,000			48,948,000
Amounts processed		(54,450,000	)		(47,169,000	)
Balance at end of period	$	8,039,000		$	6,205,000

As of May 31, 2013, $5,642,000 of warranty return accrual at the discontinued subsidiary was deconsolidated from the consolidated financial statements of the Company (see Note 3).