RECEIVABLES:

12 Months Ended

Apr. 30, 2012

Receivables [Abstract]

Loans, Notes, Trade and Other Receivables Disclosure [Text Block]

(2)           RECEIVABLES:

Receivables consist of:	April 30,
	2012			2011
	(Thousands)
Media Services operations (maturing within one year):
Subscription Fulfillment Services	$	11,989		$	13,780
Newsstand Distribution Services, net of estimated returns		26,438			29,800
Product Services and Other		2,698			1,961
		41,125			45,541
Less allowance for doubtful accounts		(581	)		(842	)
	$	40,544		$	44,699
Real estate operations and corporate:
Mortgage notes and other receivables	$	55		$	1,057
Less allowance for doubtful accounts		-			(450	)
	$	55		$	607

The Company extends credit to various companies in its real estate and Media Services businesses that may be affected by changes in economic or other external conditions.  Financial instruments that may potentially subject the Company to a significant concentration of credit risk primarily consist of trade accounts receivable from wholesalers in the magazine distribution industry.  Approximately 53% and 46% of Media Services net accounts receivable were due from three wholesalers at April 30, 2012 and 2011.  As a result of the concentration of accounts receivable in three wholesalers, the Company could be adversely affected by adverse changes in their financial condition or other factors negatively affecting these companies.  As industry practices allow, the Company’s policy is to manage its exposure to credit risk through credit approvals and limits and, on occasion (particularly in connection with real estate sales), the taking of collateral.  The Company also provides an allowance for doubtful accounts for potential losses based upon factors surrounding the credit risk of specific customers, historical trends and other financial and non-financial information.

The real estate mortgage note receivable from land sales at April 30, 2012 bears interest at 8.50%.  Fiscal year maturities of principal on real estate receivables at April 30, 2012 were as follows: 2013 - $55,000 and none thereafter.  The net principal amount due of $607,000 as of April 30, 2011 included a receivable with a principal balance of $901,000 that was due in 2010; however, an impairment reserve of $450,000 was charged against the delinquent mortgage receivable as a result of the impairment of the underlying collateral during 2011.  During 2012, the Company reacquired the property which collateralized the mortgage note receivable upon acceptance of a deed in lieu of foreclosure.

Because the publications distributed by Kable’s Newsstand Distribution Services business are sold throughout the distribution chain on a fully-returnable basis in accordance with prevailing industry practice, the Company provides for estimated returns from wholesalers at the time the publications go on sale by charges to income that are based on historical experience and most recent sales data for publications on an issue-by-issue basis, and then simultaneously provides for estimated credits from publishers for the related returns.  The financial impact to the Company of a change in the sales estimate for magazine returns to it from its wholesalers is substantially offset by the simultaneous change in the Company’s estimate of its cost of purchases since it passes on the returns to publishers for credit.  Newsstand Distribution Services accounts receivable were net of estimated magazine returns of $69,973,000 in 2012 and $65,603,000 in 2011.

Media Services operations provide services to publishing companies owned or controlled by a major shareholder and member of the Board of Directors.  Commissions and other revenues earned on these transactions represented approximately 2% of consolidated revenues in 2012, 2011 and 2010.