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Business Interruption Insurance
9 Months Ended
Sep. 30, 2011
Business Interruption Insurance
Note 11. Business Interruption Insurance

In September 2011, the Company had a mechanical breakdown at its railroad tie fuel processing center, whereby its normal operations were interrupted.  The Company is insured for such matters and has recorded $114,000 of estimated business interruption insurance recoveries for the month of September 2011.  The Company has accounted for the recoveries of business interruption losses in accordance with Accounting Standard Codification 225, and has recorded the accrual in revenues on the Company’s statement of operations and in accounts receivables on the Company’s balance sheet, respectively.

Also in September 2011, the Company had a fire at its railroad tie processing center which destroyed certain pieces of equipment related to the processing of its railroad ties into fuel.  The Company is fully insured for these pieces of equipment and does not expect to incur any losses related to this equipment.