INVENTORIES

3 Months Ended

Sep. 30, 2012

Notes to Financial Statements

Note 3- INVENTORIES

Inventories consisted of the following:

		Sept. 30,
		2012			June 30,
		(Unaudited)			2012
Raw materials	$		1,118		$	1,261
Work in progress			1,285			1,870
Finished goods			220			175
Less: provision for obsolete inventory			(898	)		(884	)
Currency translation effect			92			(98)
	$		1,817		$	2,324

 The following table represents the changes in provision for obsolete inventory:

	Sept. 30,
	2012			June 30,
	(Unaudited)			2012
Beginning	$	884		$	937
Additions charged to expenses		--			31
Usage - disposition		(3	)		(59	)
Currency translation effect		17			(25	)
Ending	$	898		$	884