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RELATED PARTY TRANSACTIONS
12 Months Ended
Mar. 31, 2013
Related Party Transactions [Abstract]  
Related Party Transactions Disclosure Excluding Due To Or From [Text Block]
NOTE 15 – RELATED PARTY TRANSACTIONS
 
TRADE
Approximately 32% of our karaoke products in Fiscal 2013 were produced by factories owned by the Starlight Group and we anticipate that approximately 33% of our karaoke products will be manufactured by the Starlight Group in Fiscal 2014. Starlight International has verbally agreed to manufacture our karaoke products without requiring prepayment from us and will instead assume the cost of manufacturing the products until such time as we are paid by the customers who are purchasing those products from us.
 
During Fiscal 2013 and 2012 we sold approximately $1,813,000 and $1,686,000, respectively of product to Star Light Electronics Company, Ltd. (“Star Light”) a related company, for direct shipment to Cosmo Communications of Canada, Ltd (“Cosmo”), another related company, at discounted pricing granted to major distributors. In addition, we sold an additional $419,000 in Fiscal 2013 and $87,000 in Fiscal 2012 of product to Cosmo from our California warehouse facility. The average gross profit margin on sales to Cosmo yielded 14.4% and 8.8%, respectively. We also sold approximately $0 in Fiscal 2013 and $289,000 in Fiscal 2012 to Cosmo Communications HK, Ltd. who is also a related company. Cosmo was our primary distributor of the Company’s product to Canada in Fiscal 2013 and Fiscal 2012 and will continue in this role for Fiscal 2014.
 
 During Fiscal 2013 and 2012 we purchased products from Starlight Consumer Electronics USA, Inc, (“Starlight USA) an indirect wholly-owned subsidiary of Starlight International of approximately $4,961,000 and $5,750,000, respectively. In Fiscal 2013 and Fiscal 2012, we also purchased products from Star Fair Electronics Co., Ltd. (“Star Fair”) of approximately $3,061,000 and $923,000, respectively, Starlight R&D, Ltd (“Starlight R&D”) of approximately $21,000 and $9,000, respectively, Cosmo USA of approximately of $305,000 and $23,000, respectively and Cosmo of approximately $0 and $137,000, respectively. All of these companies were indirectly wholly-owned subsidiaries of Starlight International. During the fiscal years ended March 31, 2013 and 2012 we received charges for repair defective products from Star Fair in the amount of approximately $39,000 and $0, respectively and Starlight Marketing Development Ltd. (an indirect wholly-owned subsidiary of Starlight International) of approximately $0 and $115,000, respectively. In connection with the import of these products to our California warehouse we paid inbound freight charges during the fiscal years ended March 31, 2013 and 2012 to Starlight USA of approximately $54,000 and $248,000, respectively and to Starlight R&D, Ltd of approximately $229,000 and $0, respectively.
 
During the fiscal years ended March 31, 2013 and 2012, we paid $96,000 to Star Light as reimbursement for engineering and quality control services performed on our behalf in China. During the fiscal years ended March 31, 2013 and 2012, we received $60,000 from Starlight USA as reimbursement for customer support services performed by us on behalf of Starlight USA. These expense reimbursements were included in general and administrative expense on our consolidated statements of operations .
 
As of April 1, 2012 Star Light began charging interest on the current year intercompany trade payables that were past due at a rate of 4.5% per annum. For fiscal years ended March 31, 2013 and March 31, 2012, the Company paid interest expense to Star Light in the amounts of $7,294 and $0, respectively.
 
On July 1, 2012, SMC-L entered into a service and logistics agreement with Starlight Consumer Electronics (USA), Inc. (“Starlight USA”), an indirect wholly-owned subsidiary of Starlight International, Cosmo USA, Inc. (“Cosmo USA”) and Starlight Electronics USA, Inc. (“Starlight Electronics USA”) to provide logistics, fulfillment, and warehousing services for Starlight USA, Cosmo USA and Starlight Electronic USA’s domestic sales. For these services, Starlight USA, Cosmo USA and Starlight Electronics USA have agreed to pay the Company annual service fees totaling approximately $435,000 payable monthly beginning July 1, 2012. The Company received approximately $399,000 and $0 in service fees from these affiliates during Fiscal 2013 and Fiscal 2012, respectively under this agreement. This agreement terminates on April 30, 2013 at which time another annual agreement is expected to be signed for approximately the same amount.
 
On August 1, 2011, SMC-L entered into a service and logistics agreement with affiliates Starlight USA, Starlight Electronics USA and Cosmo USA to provide logistics, fulfillment, and warehousing services for the affiliates’ domestic sales. The Company received approximately $250,000 and $665,000 in service fees from these affiliates during Fiscal 2013 and 2012, respectively under this agreement. This agreement terminated on June 30, 2012.
 
On August 12010, our subsidiary SMC-L entered into a service and logistics agreement with Starlight USA, and Cosmo USA to provide logistics, fulfillment, and warehousing services for Starlight USA and Cosmo USA’s domestic sales. For these services, Starlight USA and Cosmo USA agreed to pay us an annual service fee of approximately $1,000,000 payable monthly beginning August 1, 2010. This agreement generated approximately $0 for Fiscal 2013 and approximately $331,000 in fees for Fiscal 2012. This agreement terminated on July 31, 2011.