Segment Reporting and Geographic Information (Tables)

3 Months Ended

Mar. 31, 2014

Segment Reporting [Abstract]

Reconciliation of Revenue from Segments to Consolidated

The following table summarizes revenues by segment, including intersegment revenues (in thousands):

	Three Months Ended   March 31,
	2014			2013
Network Equipment		$22,319			$20,946
Network Integration	20,053			17,982
Before intersegment adjustments	42,372			38,928
Intersegment adjustments	(54		)	(23		)
Total		$42,318			$38,905

Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas

The following table summarizes external revenue by geographic region (in thousands):

	Three months ended
	March 31,
	2014		2013
United States		$12,856		$12,125
Americas (Excluding the U.S.)	556		1,625
Europe	26,579		23,421
Asia Pacific	2,327		1,734
Total		$42,318		$38,905

Revenue from external customers attributed to Italy totaled $20.4 million and $18.1 million for the three months ended March 31, 2014 and March 31, 2013 respectively.

The following table summarizes long-lived assets, consisting of property and equipment, by geographic region (in thousands):

	March 31, 2014		December 31, 2013
Americas		$3,239		$3,326
Europe	2,119		2,194
Asia Pacific	33		35
Total		$5,391		$5,555

Reconciliation of Operating Profit (Loss) from Segments to Consolidated

The following table provides selected Statement of Operations information by business segment (in thousands):

	Three months ended
	March 31,
	2014			2013
Gross profit
Network Equipment	$	10,759		$	10,766
Network Integration	2,490			2,257
Total before intersegment adjustments	13,249			13,023
Corporate unallocated and intersegment adjustments(1)	2			4
Total	$	13,251		$	13,027
Depreciation expense
Network Equipment	$	536		$	300
Network Integration	49			53
Corporate	39			48
Total	$	624		$	401
Operating income (loss)
Network Equipment	$	(2,839	)	$	(1,119	)
Network Integration	845			691
Total before intersegment adjustments	(1,994		)	(428		)
Corporate unallocated operating loss and adjustments (1)	(1,855		)	(3,585		)
Total	$	(3,849	)	$	(4,013	)

(1) Adjustments reflect the elimination of intersegment revenue and profit in inventory.

Reconciliation of Assets and Other Reconciling Items from Segment to Consolidated

The following tables provide selected Balance Sheet and Statement of Cash Flow information by business segment (in thousands):

	Three months ended
	March 31,
	2014		2013
Additions to Fixed Assets
Network Equipment	$	239	$	922
Network Integration	33		32
Corporate	80		1
Total	$	352	$	955

	March 31, 2014		December 31, 2013
Total Assets
Network Equipment		$45,329		$48,955
Network Integration	57,495		54,625
Corporate and intersegment eliminations	22,552		24,367
Total		$125,376		$127,947