Major Customers and Concentrations of Credit Risk

We provide proprietary products and services to the Department of Defense and various United States Government agencies, and most of the aerospace and aircraft manufacturers who receive contracts directly from the U.S. Government as an original equipment manufacturer (“prime manufacturers”). In addition, we also service technology-driven markets in the industrial, natural resources and medical and other end-use markets. As a result, we have significant net sales to certain customers. Sales to Boeing and Raytheon Company (“Raytheon”) were approximately ten percent or greater of total net sales for 2013. Accounts receivable were diversified over a number of different commercial, military and space programs and were made by both operating segments. Net sales to our top ten customers, including Boeing and Raytheon, represented the following percentages of total net sales:



	Years Ended December 31,
	2013		2012		2011
Boeing	18	%	17	%	19	%
Raytheon	10	%	7	%	9	%
Top ten customers	57	%	54	%	58	%

Boeing and Raytheon represented the following percentages of total accounts receivable:

In 2013, 2012 and 2011, sales to foreign customers worldwide, based upon the location of the customer, were $66.0 million, $52.1 million and $50.9 million, respectively. We have manufacturing facilities in Thailand and Mexico. The amounts of revenues, profitability and identifiable long-lived assets attributable to foreign sales activity were not material when compared with the revenue, profitability and identifiable assets attributed to United States domestic operations during 2013, 2012 and 2011. We had no sales to a foreign country greater than 3% of total sales in 2013, 2012 and 2011. We are not subject to any significant foreign currency risks since all sales are made in United States dollars.

December 31,