content_image/162001.jpg content_image/162008.jpg content_image/162007.jpg
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Due to a refinement of certain estimates made in the initial purchase price allocation, the Fixed assets, Customer list and Goodwill amounts noted above, were adjusted by approximately ($24,000), ($260,000) and $284,000, respectively, during the year ended December 31, 2013. 

With respect to the acquisition of selected assets of pAC, the Company acquired gross accounts receivable of $1,405,000, of which it deemed $30,000 to be uncollectible. It therefore recorded the accounts receivable at its fair market value of $1,375,000. With respect to the non-compete and customer list intangible assets acquired from pAC, the weighted average amortization period is five years. no residual balance is anticipated for any of the intangible assets. 

Consideration for the net assets acquired included a note payable to the sellers in the amount of $800,000. the note was paid in October 2014. the note was discounted to reflect imputed interest at 2% and a probability of payment of 95% and 90% for 2013 and 2012, respectively. 

the goodwill recorded of $841,000 approximates the amount of goodwill the Company expects to deduct for tax purposes. the goodwill reflects the excess of consideration to be paid over the fair value of the net assets acquired, and represents the value of the workforce as well as synergies expected to be realized. 

the Consolidated statement of Operations for the year ended December 31, 2013 includes the following operating results for pAC (in thousands): 

<img src='content_image/162008.jpg'>

the following table contains the unaudited pro forma condensed consolidated statement of operations for the year ended December 31, 2012, as if the pAC acquisition had occurred at the beginning of 2012 (in thousands): 

<img src='content_image/162007.jpg'>

the above unaudited pro forma information is presented for illustrative purposes only and may not be indicative of the results of operations that would have actually occurred had the pAC acquisition occurred as presented. In addition, future results may vary significantly from the results reflected in such pro forma information. 

## (19) Segment data 

the Company has historically reported two segments, Component products and packaging. However, the Company has been undergoing a shift in the way the business is managed and the way information is used by the Chief Operating Decision Maker (the “CODM”), who is the Chief executive Officer, to consider risks and opportunities and to make decisions and review performance as further described below. In late 2013 and into 2014 the Company committed to changes to the Company’s operations including plant consolidations, consolidation of the Company’s sales force, and other strategic initiatives, to coincide with the Company’s change in operating strategy to maximize capacity in each plant and enhance customer service across markets. By the end of the third quarter of 2014, many of those initiatives were complete and the Company determined that the existing segment aggregation of Component products and packaging was no longer consistent with how the business is structured and reviewed by the CODM. this is primarily because the Company has numerous manufacturing processes that are duplicated through its plants allowing it to move workload based on available capacity and proximity to customers. the CODM evaluates consolidated financial information to manage the business. As a 

