COMMITMENTS AND CONTINGENCIES

12 Months Ended

Mar. 31, 2026

COMMITMENTS AND CONTINGENCIES.

COMMITMENTS AND CONTINGENCIES

NOTE 15 – COMMITMENTS AND CONTINGENCIES

Legal Proceedings

In accordance with the accounting standard for contingencies, we record a liability when management believes that it is both probable that a liability has been incurred, and we can reasonably estimate the amount of the loss. Generally, the loss is recorded for the amount we expect to resolve the liability. We review and adjust any provisions quarterly to reflect the effect of negotiations, settlements, rulings, and advice. There are no recorded provisions for litigation matters as of March 31, 2026 and 2025.

Employment Agreements

We have employment agreements with each of our executive officers. Such agreements provide for minimum salary levels, adjusted annually, and incentive bonuses that are payable if specified company goals are attained. The aggregate commitment at March 31, 2026 for future executive salaries was $615.

Purchase Commitments

As of March 31, 2026, we had $2,805 in outstanding purchase obligations, which primarily consisted of contractual commitments to purchase new materials and supplies expected to be used over the next twelve months. We also had $13,247 in purchase obligations outstanding for the purchase of machinery and equipment under an arrangement with a certain customer as described above in Note 13 – Noncurrent liabilities. The company will be reimbursed in full by the customer for all purchases.

Retirement Benefits

The Company has two defined contributions and savings plans that cover substantially all employees who have completed 90 days of service. The Company contributed the following amounts to the plan during the fiscal years ended:

	March 31, 2026		March 31, 2025
Company contributions	$	90	$	84