Business Segments and Customer Information

6 Months Ended

Jun. 30, 2015

Business Segments and Customer Information [Abstract]

Business Segments and Customer Information

(6) Business Segments and Customer Information

Business Segments

Management of our business operations is conducted under four reportable operating segments:

Supply Chain Management Group – Our Supply Chain Management Group supplies vehicle parts primarily through a Managed Inventory Program ("MIP") and direct sales to the United States Postal Service ("USPS") and to other clients.

Aviation Group - Our Aviation Group, formed in January 2015 when we completed the Aviation Acquisition, provides MRO services, parts supply and distribution, and supply chain solutions for business aviation and regional jet aircraft engines and engine accessories.

Federal Services Group - Our Federal Services Group, which represents the consolidation in the beginning of 2015 of our former International and Federal groups, provides engineering, industrial, logistics, foreign military sales, and legacy equipment sustainment services to the United States Department of Defense (" DoD") and other government agencies.

IT, Energy and Management Consulting Group – Our IT, Energy and Management Consulting Group provides technical and consulting services primarily to various DoD and civilian government agencies.

These segments operate under separate management teams and financial information is produced for each segment.  The entities within each of the Federal Services Group and IT, Energy and Management Consulting Group reportable segments meet the aggregation of operating segments criteria as defined by the accounting standard for segment reporting.  We evaluate segment performance based on consolidated revenues and operating income. Net sales of our business segments exclude intersegment sales as these activities are eliminated in consolidation.

Our segment information for the three- and six-months ended June 30, 2015 and 2014 is as follows (in thousands):

	Three months						Six months
	2015			2014			2015			2014
Revenues:
Supply Chain Management Group	$	47,872		$	42,313		$	94,114		$	82,936
Aviation Group		31,904			-			54,668			-
Federal Services Group		37,742			49,931			75,534			113,202
IT, Energy and Management Consulting Group		13,608			15,718			27,601			31,233
Total revenues	$	131,126		$	107,962		$	251,917		$	227,371
Operating income:
Supply Chain Management Group	$	8,681		$	7,697		$	16,987		$	15,518
Aviation Group		2,604			-			4,717			-
Federal Services Group		(356	)		1,646			(623	)		4,364
IT, Energy and Management Consulting Group		1,488			1,832			2,703			3,285
Corporate/unallocated expenses		(921	)		(472	)		(1,604	)		(1,107	)
Operating income	$	11,496		$	10,703		$	22,180		$	22,060

	June 30,		December 31,
	2015		2014
Total assets:
Supply Chain Management Group	$	190,372	$	192,720
Aviation Group		272,890		-
Federal Services Group		33,823		36,225
IT, Energy and Management Consulting Group		49,633		49,790
Corporate		85,312		76,595
Total assets	$	632,030	$	355,330

Customer Information

Our revenue by customer is as follows (in thousands):

	Three months ended June 30,								Six months ended June 30,
	2015		%		2014		%		2015		%		2014		%
Source of Revenues
U.S. Navy	$	22,607		17.2	$	24,142		22.4	$	44,004		17.4	$	48,756		21.5
Army/Army Reserve		18,557		14.2		28,026		26.0		37,728		15.0		61,724		27.1
U.S. Air Force		924		0.7		809		0.7		1,714		0.7		1,605		0.7
Total - DoD		42,088		32.1		52,977		49.1		83,446		33.1		112,085		49.3
U.S. Postal Service		45,339		34.5		41,263		38.2		89,519		35.5		80,592		35.4
Department of Energy		4,662		3.6		4,923		4.5		9,106		3.6		9,549		4.2
Department of Treasury		572		0.4		573		0.5		987		0.4		8,931		3.9
Other government		4,801		3.7		7,288		6.8		11,224		4.5		14,467		6.4
Total – Federal civilian agencies		55,374		42.2		54,047		50.0		110,836		44.0		113,539		49.9
Commercial Aviation		31,904		24.3		-		-		54,668		21.7		-		-
Other commercial		1,760		1.4		938		0.9		2,967		1.2		1,747		0.8
Commercial		33,664		25.7		938		0.9		57,635		22.9		1,747		0.8
Total	$	131,126		100	$	107,962		100	$	251,917		100	$	227,371		100