Segment Reporting

12 Months Ended

Aug. 31, 2012

Segment Reporting

Segment Reporting Disclosure [Text Block]

14.           SEGMENT INFORMATION

The Company has four principal reportable segments. These reportable segments were determined based on the nature of the products offered.  Reportable segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. 

The Company evaluates performance based on several factors, of which the primary financial measure is business segment income before taxes.  The following tables show the operations of the Company's reportable segments.

Following is a summary of segmented information for the years ended August 31:

	2012		2011
Sales to unaffiliated customers:
Industrial wood products	$    7,866,469		$    8,498,680
Lawn, garden, pet and other	29,819,201		26,461,084
Seed processing and sales	5,733,323		5,197,530
Industrial tools and clamps	2,526,537		1,899,176
	$  45,945,530		$  42,056,470
Income (loss) before income taxes:
Industrial wood products	$      (109,345)		$      (350,378)
Lawn, garden, pet and other	3,437,720	*	2,882,208	*
Seed processing and sales	71,614		180,527
Industrial tools and clamps	147,859		73,218
Unallocated overhead	15,050		48,043
	$    3,562,898		$     2,833,618
Identifiable assets:
Industrial wood products	$    1,961,561		$     2,814,024
Lawn, garden, pet and other	16,632,902		16,265,811
Seed processing and sales	1,320,437		917,012
Industrial tools and clamps	514,637		586,897
Unallocated overhead	9,924		(5,900)
	$  20,439,461		$   20,577,844
Depreciation and amortization:
Industrial wood products	$           1,613		$            1,737
Lawn, garden, pet and other	220,539		236,484
Seed processing and sales	16,780		20,378
Industrial tools and clamps	5,284		2,943
	$       244,216		$        261,542
Capital expenditures:
Industrial wood products	$                   -		$                    -
Lawn, garden, pet and other	294,705		82,932
Seed processing and sales	15,465		35,775
Industrial tools and clamps	14,550		-
	324,720		$        118,707
Interest expense:
Industrial wood products	$                   -		$                    -
Lawn, garden, pet and other	-		440,726
Seed processing and sales	-		-
Industrial tools and clamps	-		-
Unallocated overhead	743		-
	$              743		$        440,726

*              For comparability purposes, this amount excludes one-time charges for litigation income of $1,443,629 and related interest of $13,467 in fiscal 2012 and litigation reserve of ($962,137) and related interest of ($440,778) in fiscal 2011.

The following table lists sales made by the Company to customers which were in excess of 10% of total sales for the years ended August 31:

	2012	2011
Sales	$  15,202,776	$  14,578,000

The Company conducts business primarily in the United States, but also has limited amounts of sales in foreign countries. The following table lists sales by country for the fiscal years ended August 31:

	2012	2011
United States	$  41,935,912	$  37,275,697
Canada	2,099,210	2,735,212
Mexico/Latin America	1,434,467	1,002,259
Europe	395,957	481,388
Asia/Pacific	79,984	527,533
Africa	-	34,381

All of the Company’s significant identifiable assets were located in the United States as of August 31, 2012 and 2011.