Annual report pursuant to Section 13 and 15(d)

Concentration of Risk

v2.4.0.8
Concentration of Risk
 12 Months Ended
Nov. 30, 2013
Risks and Uncertainties [Abstract]  
Concentration of Risk
CONCENTRATION OF RISK
Most of the Company’s products are sold to major drug and food chains merchandisers, and wholesale beauty-aids distributors throughout the United States and Canada.
During the fiscal years ended November 30, 2013, 2012 and 2011, certain customers each accounted for more than 5% of the Company’s net sales, as follows:
 
 
 
For the Year Ended November 30,
Customer
 
2013
 
2012
 
2011
Walmart
 
43
%
 
35
%
 
36
%
Walgreen
 
13
%
 
12
%
 
13
%
CVS
 
*

 
9
%
 
7
%
Rite Aid
 
*

 
8
%
 
5
%
Foreign Sales
 
5.0
%
 
4.5
%
 
4.5
%

 
*
under 5%
The loss of any one of these customers could have a material adverse affect on the Company’s earnings and financial position.
During the fiscal years November 30, 2013, 2012 and 2011, certain products within the Company’s product lines accounted for more than 10% of the Company’s net sales as follows:
 
 
 
For the Year Ended November 30,
Category
 
2013
 
2012
 
2011
Skin Care
 
35.2
%
 
30.9
%
 
31.2
%
Dietary Supplement
 
15.5
%
 
18.3
%
 
26.0
%
Oral Care
 
26.8
%
 
20.3
%
 
21.1
%
Nail Care
 
18.0
%
 
26.6
%
 
14.5
%


The Company maintains cash balances at several banks. Non-interest bearing accounts at each institution are insured by the Federal Deposit Insurance Corporation for up to $250,000. In addition, the Company maintains accounts with two brokerage firms. The accounts contain cash and securities. Balances are insured up to $500,000 (with a limit of $100,000 for cash) by the Securities Investor Protection Corporation (SIPC). Each brokerage firm has substantial insurance beyond the $500,000 SIPC limit.