RECEIVABLES

12 Months Ended

Dec. 31, 2019

Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]

4. RECEIVABLES

Receivables include current notes, amounts billed to customers, claims, other receivables, and unbilled revenue on long-term contracts, which consists of amounts recognized as sales but not billed. Substantially all amounts of unbilled receivables are expected to be billed and collected in the subsequent year. An immaterial amount of unbilled receivables are subject to retainage provisions. The amount of claims and unapproved change orders within our receivables balances are immaterial.

Credit risk is diversified due to the large number of entities comprising the Corporation’s customer base and their geographic dispersion. The Corporation is either a prime contractor or subcontractor to various agencies of the U.S. Government. Revenues derived directly and indirectly from government sources (primarily the U.S. Government) were 43% and 40% of total net sales in 2019 and 2018, respectively. Total receivables due from government sources (primarily the U.S Government) were $343.5 million and $329.1 million as of December 31, 2019 and 2018, respectively. Government (primarily the U.S. Government) unbilled receivables, net of progress payments, were $195.7 million and $180.0 million as of December 31, 2019 and 2018, respectively.

The composition of receivables as of December 31 is as follows:


(In thousands)	2019		2018
Billed receivables:
Trade and other receivables	$	418,968	$	390,306
Less: Allowance for doubtful accounts	(8,733)		(7,436)
Net billed receivables	410,235		382,870
Unbilled receivables:
Recoverable costs and estimated earnings not billed	231,067		225,810
Less: Progress payments applied	(9,108)		(14,925)
Net unbilled receivables	221,959		210,885
Receivables, net	$	632,194	$	593,755