REPORTABLE SEGMENT AND GEOGRAPHICAL INFORMATION

3 Months Ended

Mar. 31, 2015

REPORTABLE SEGMENT AND GEOGRAPHICAL INFORMATION

REPORTABLE SEGMENT AND GEOGRAPHICAL INFORMATION

NOTE 14—REPORTABLE SEGMENT AND GEOGRAPHICAL INFORMATION

ASC 280-10-50 Disclosure about Segment of an Enterprise and Related Information, establishes standards for the manner in which companies report information about operating segments, products, geographic areas and major customers. The method of determining what information to report is based on the way that management organizes the operating segment within the enterprise for making operating decisions and assessing financial performance. Since the Company has one product line, sells to global customers in one industry, procures raw materials from similar vendors and expects similar long-term economic characteristics, the Company has one reporting segment and the information as to its operation is set forth below.

Adjusted EBITDA is the main metric used by the management team and the Board of Directors to plan, forecast and review the Company’s segment performance. Adjusted EBITDA represents net loss from continuing operations before interest income, income tax expense, depreciation, stock-based compensation expense, restructuring and certain non-recurring income and expenses from the results of operations.

The following tables set forth information about the Company’s operations by its reportable segment and by geographic area:

Operations by Reportable Segment

	Three Months Ended March 31,
	2015			2014
Reconciliation of Adjusted EBITDA to Net Loss from Continuing Operations
Adjusted EBITDA	$	(1,769	)	$	(2,923	)
Depreciation	(490		)	(511		)
Interest income, net	4			4
Income tax expense	(53		)	(139		)
Restructuring	(145		)	(27		)
Stock-based compensation	(153		)	(613		)
Loss on disposal of fixed assets	—			(433		)
Net Loss from Continuing Operations	$	(2,606	)	$	(4,642	)

Operations by Geographic Area

	Three Months Ended March 31,
	2015		2014
Net Sales
Spain	$	3,948	$	6,525
Malaysia	1,674		2,359
United States	44		2
China	1,197		450
Total Net Sales	$	6,863	$	9,336

Long-Lived Assets by Geographic Area

	March 31,		December 31,
	2015		2014
Long-Lived Assets
United States	$	1,510	$	583
Malaysia	8,482		8,611
Spain	6,966		7,997
China	3,243		3,004
Total Long-Lived Assets	$	20,201	$	20,195

Foreign sales are based on the country in which the sales originate. Net sales to two of the Company’s major customers that exceeded 10% of the Company’s consolidated net sales for the three months ended March 31, 2015 was $3,272. Net sales to two of the Company’s major customers that exceeded 10% of the Company’s consolidated net sales for the three months ended March 31, 2014 was $5,367.

Accounts receivable from the two customers amounted to $8,345 and accounts receivable from one customers amounted to $6,334 as of March 31, 2015 and December 31, 2014, respectively.