Note 14 – Major Customers

For the three months ended September 30, 2016, two customers each generated more than 10% of the Company’s product revenue. In aggregate, sales to these customers accounted for 74% of the Company’s product revenue. As of September 30, 2016, the amount due from these two customers was $669,437.

For the nine months ended September 30, 2016, three customers each generated more than 10% of the Company’s product revenue. In aggregate, sales to these customers accounted for 80% of the Company’s product revenue. As of September 30, 2016, the amount due from these three customers was $675,838. This concentration makes the Company vulnerable to a near-term severe impact should the relationships be terminated.

For the three months ended September 30, 2015, two customers each generated more than 10% of the Company’s product revenue. In aggregate, sales to these customers accounted for 54% of the Company’s product revenue.

For the nine months ended September 30, 2015, two customers each generated more than 10% of the Company’s product revenue. In aggregate, sales to these customers accounted for 65% of the Company’s product revenue. As of September 30, 2015, the amount due from these two customers was $397,589.