Note 20 - Restatement of Financial Statements

9 Months Ended

Sep. 30, 2014

Accounting Changes and Error Corrections [Abstract]

Accounting Changes and Error Corrections [Text Block]

20. Restatement of Financial Statements

We determined that we inappropriately recognized revenue related to the sale of a solar project in the U.S. for the three-month period ended September 30, 2014 resulting from inadvertent misapplication of U.S. GAAP in analyzing the related construction contract with respect to the project by using the percentage-of-completion method of accounting, which should be accounted for under the rules of real estate accounting and the related revenue should be recognized using full accrual method when we do not retain a substantial continuing involvement with the property. As we had not been released from substantial continuing involvement as of September 30, 2014, no revenue arising out of the sale of this project could be recognized in accordance with the full accrual rule under U.S. GAAP. Therefore, we restated our consolidated balance sheet as of September 30, 2014 and consolidated statements of operations, comprehensive loss, and cash flows for the three-month and nine-month periods ended September 30, 2014 to reflect correction of the foregoing error as follows:

Balance Sheet as of September 30, 2014

	As Filed			Effect of Restatement			Restated
Costs and estimated earnings in excess of billings on uncompleted contracts		22,705			(4,005	)		18,700
Construction in progress		-			3,429			3,429
Total assets		112,856			(576	)		112,280
Accumulated deficit		(65,951	)		(576	)		(66,527	)
Total stockholders’ equity		51,674			(576	)		51,098

Statement of Operations for the Three Months Ended September 30, 2014

	As Filed			Effect of Restatement			Restated
Net sales		26,651			(4,005	)		22,646
Cost of goods sold		21,209			(3,429	)		17,780
Gross profit		5,442			(576	)		4,866
Net loss		(7,707	)		(576	)		(8,283	)
Comprehensive loss		(7,705	)		(576	)		(8,281	)
Net loss per common share:
Basic and Diluted		(0.02	)		-			(0.02	)

Statement of Operations for the Nine Months Ended September 30, 2014

	As Filed			Effect of Restatement			Restated
Net sales		36,593			(4,005	)		32,588
Cost of goods sold		30,393			(3,429	)		26,964
Gross profit		6,200			(576	)		5,624
Net loss		(9,877	)		(576	)		(10,453	)
Comprehensive loss		(10,023	)		(576	)		(10,599	)
Net loss per common share:
Basic and Diluted		(0.04	)		-			(0.04	)

Statement of Cash Flows for the Nine Months Ended September 30, 2014

	As Filed			Effect of Restatement			Restated
Net cash from operating activities:
Net loss		(9,877	)		(576	)		(10,453	)
Adjustments to reconcile net loss to net cash used in operating activities
Depreciation		781			-			781
Amortization		429			-			429
Stock-based compensation expense		208			-			208
Loss on extinguishment of convertible bonds		8,907			-			8,907
Non-cash interest expense		1,406			-			1,406
Change in fair value of derivative liability		(310	)		-			(310	)
Bad debt expense		-			-			-
Loss on sales of fixed assets		-			-			-
Changes in deferred taxes		-			-			-
Provision for losses on contracts		-			-			-
Operating income from solar system subject to financing obligation		(760	)		-			(760	)
Other non-cash activity		14			-			14
Changes in operating assets and liabilities:
Accounts receivable		2,395			-			2,395
Accounts receivable, related party		-			-			-
Notes receivable		-			-			-
Costs and estimated earnings in excess of billing on uncompleted contracts		(22,705	)		4,005			(18,700	)
Construction in progress		(4,163	)		-			(4,163	)
Inventories		(2,696	)		-			(2,696	)
Construction in progress, current		-			(3,429	)		(3,429	)
Prepaid expenses and other assets		479			-			479
Accounts payable		7,440			-			7,440
Accounts payable, related party		(12,537	)		-			(12,537	)
Income taxes payable		911			-			911
Billings in excess of costs and estimated earnings on uncompleted contracts		(862	)		-			(862	)
Billings in excess of costs and estimated earnings on uncompleted contracts, related party		-			-			-
Accrued liabilities and other liabilities		220			-			220
Net cash from operating activities		(30,720	)		-			(30,720	)
Net cash from investing activities		(354	)		-			(354	)
Net cash from financing activities		42,735			-			42,735
Effect of exchange rate changes on cash		97			-			97
Increase in cash and cash equivalents		11,758			-			11,758
Cash and cash equivalents at beginning of period		1,031			-			1,031
Cash and cash equivalents at end of period		12,789			-			12,789