Aoxing Pharmaceutical (AOXG) 10-Q 14 Nov 13 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Sep. 30, 2013	Nov. 14, 2013
Document and Entity Information	'	'
Entity Registrant Name	'AOXING PHARMACEUTICAL COMPANY, INC.	'
Document Type	'10-Q	'
Document Period End Date	30-Sep-13	'
Amendment Flag	'false	'
Entity Central Index Key	'0001060426	'
Current Fiscal Year End Date	'--06-30	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Current Reporting Status	'Yes	'
Entity Voluntary Filers	'No	'
Entity Well-known Seasoned Issuer	'No	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'
Entity Common Stock, Shares Outstanding	'	49,694,822

CONSOLIDATED_BALANCE_SHEETS

CONSOLIDATED BALANCE SHEETS (USD $)	Sep. 30, 2013	Jun. 30, 2013
CURRENT ASSETS:	'	'
Cash and cash equivalents	$1,543,502	$4,007,823
Accounts receivable, net of allowance for doubtful accounts of $733,044 and $663,983, respectively	3,706,090	2,842,703
Inventories, net	2,306,578	2,621,878
Prepaid expenses and other current assets	2,385,518	2,419,790
TOTAL CURRENT ASSETS	9,941,688	11,892,194
LONG-TERM ASSETS:	'	'
Property and equipment, net of accumulated depreciation	26,855,746	26,941,778
Other intangible assets, net	594,374	606,643
Investment in joint venture	262,597	292,265
TOTAL LONG-TERM ASSETS	27,712,717	27,840,686
TOTAL ASSETS	37,654,405	39,732,880
CURRENT LIABILITIES:	'	'
Short-term borrowings	3,332,575	3,312,757
Accounts payable	3,416,240	3,412,344
Loan payable - bank	18,499,854	8,467,729
Current portion of loan payable - related parties	2,284,540	2,101,998
Current portion of loan payable - other	1,364,326	'
Accrued expenses and other current liabilities	4,732,902	4,408,676
TOTAL CURRENT LIABILITIES	33,630,437	21,703,504
LONG-TERM LIABILITIES:	'	'
Loan payable - related parties	1,351,582	1,561,013
Loan payable - others	47,662	1,403,591
Long-term bank loan	'	10,116,027
Deferred income	367,396	365,211
TOTAL LONG-TERM LIABILITIES	1,766,640	13,445,842
Stockholder's Equity	'	'
Common stock, par value $0.001, 100,000,000 shares authorized, 49,814,822 shares issued and outstanding on September 30, 2013 and June 30, 2013	49,815	49,815
Additional paid in capital	58,300,806	58,296,906
Accumulated deficit	-57,868,984	-55,633,998
Accumulated other comprehensive income	2,976,671	2,956,846
TOTAL SHAREHOLDERS' EQUITY OF THE COMPANY	3,458,308	5,669,569
NONCONTROLLING INTEREST IN SUBSIDIARIES	-1,200,980	-1,086,035
TOTAL EQUITY	2,257,328	4,583,534
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$37,654,405	$39,732,880

CONSOLIDATED_BALANCE_SHEETS_PA

CONSOLIDATED BALANCE SHEETS PARENTHETICAL (USD $)	Sep. 30, 2013	Jun. 30, 2013
CONSOLIDATED BALANCE SHEETS	'	'
Allowance for doubtful accounts	$733,044	$663,983
Common stock par value	$0.00	$0.00
Common stock shares authorized	100,000,000	100,000,000
Common stock shares issued	49,814,822	49,814,822
Common stock shares outstanding	49,814,822	49,814,822

CONSOLIDATED_STATEMENTS_OF_OPE

CONSOLIDATED STATEMENTS OF OPERATIONS AND OTHER COMPREHENSIVE INCOME (LOSS) (USD $)	3 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Revenue	'	'
SALES	$3,577,108	$2,604,764
COST OF SALES	2,014,663	1,014,245
GROSS PROFIT	1,562,445	1,590,519
OPERATING EXPENSES:	'	'
Research and development expense	177,941	129,555
General and administrative expenses	830,050	610,871
Selling expenses	1,617,989	608,671
Depreciation and amortization	181,426	153,944
TOTAL OPERATING EXPENSES	2,807,406	1,503,041
INCOME (LOSS) FROM OPERATIONS	-1,244,961	87,478
OTHER EXPENSE:	'	'
Interest expense, net of interest income	-1,074,690	-512,789
Equity in loss of joint venture, net of tax	-31,323	-23,205
TOTAL OTHER EXPENSE	-1,106,013	-535,994
LOSS BEFORE INCOME TAX	-2,350,974	-448,516
Income tax	'	'
NET LOSS	-2,350,974	-448,516
Net loss attributed to non-controlling interest in subsidiaries	-115,988	-15,181
LOSS ATTRIBUTABLE TO SHAREHOLDERS OF THE COMPANY	-2,234,986	-433,335
OTHER COMPREHENSIVE INCOME :	'	'
Foreign currency translation adjustment	20,870	-48,715
COMPREHENSIVE LOSS	-2,214,116	-482,050
Other comprehensive income(loss) attributable to non-controlling interest	1,043	-2,436
COMPREHENSIVE LOSS ATTRIBUTABLE TO THE COMPANY	($2,215,159)	($479,614)
BASIC AND DILUTED LOSS PER COMMON SHARE	($0.04)	($0.01)
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING	49,814,822	49,615,013

CONSOLIDATED_STATEMENTS_OF_CAS

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	3 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
OPERATING ACTIVITIES:	'	'
Net loss	($2,350,974)	($448,516)
Depreciation and amortization	273,808	274,951
Bad debts	64,897	50,586
Common stock issued for services	3,900	98,633
Equity in loss of joint venture, net of tax	31,323	23,205
Changes in operating assets and liabilities:	'	'
Change in accounts receivable	-908,790	7,811
Change in inventories	330,011	134,331
Change in prepaid expenses and other current assets	48,677	-280,874
Change in accounts payable	-16,467	-67,207
Change in accrued expenses and other current liabilities	297,317	-351,588
NET CASH USED IN OPERATING ACTIVITIES	-2,226,298	-558,668
INVESTING ACTIVITIES:	'	'
Acquisition of property and equipment	-11,475	-69,209
NET CASH USED IN INVESTING ACTIVITIES	-11,475	-69,209
FINANCING ACTIVITIES:	'	'
Repayment of bank loan	-194,504	-3,948,636
Proceeds from bank loan	'	7,107,545
Repayment of loans from related party	-48,626	'
NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES	-243,130	3,158,909
EFFECT OF EXCHANGE RATE ON CASH	16,582	-9,465
INCREASE (DECREASE) IN CASH	-2,464,321	2,521,567
CASH - BEGINNING OF PERIOD	4,007,823	3,682,743
CASH - END OF PERIOD	1,543,502	6,204,310
Supplemental disclosures of cash flow information:	'	'
Cash paid for interest	939,511	497,057
Cash paid for income taxes	'	'

1_Business_Description

1 Business Description	3 Months Ended
	Sep. 30, 2013
Notes	'
1 Business Description	'
	1              BASIS OF PRESENTATION
	The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information and pursuant to the requirements for reporting on Form 10-Q. Accordingly, they do not include all the information and footnotes required by accounting principles generally accepted in the United States of America for annual financial statements. However, the information included in these interim financial statements reflects all adjustments (consisting solely of normal recurring adjustments) which are, in the opinion of management, necessary for the fair presentation of the consolidated financial position and the consolidated results of operations. Results shown for interim periods are not necessarily indicative of the results to be obtained for a full year. The consolidated balance sheet as of June 30, 2013 was derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year 2013. These interim financial statements should be read in conjunction with that report.
	For further information, refer to the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2013 filed on October 15, 2013.

2_Business_Description_and_Sig

2 Business Description and Significant Accounting Policies	3 Months Ended
	Sep. 30, 2013
Notes	'
2 Business Description and Significant Accounting Policies	'
	2              BUSINESS DESCRIPTION AND SIGNIFICANT ACCOUNTING POLICIES
	Aoxing Pharmaceutical Co., Inc. (“the Company” or “AoxingPharma”) is a specialty pharmaceutical company specializing in research, development, manufacturing and distribution of a variety of narcotic, pain-management, and addiction treatment pharmaceutical products.
	As of September 30, 2013, the Company had one operating subsidiary: Hebei Aoxing Pharmaceutical Co., Inc. (“Hebei”), which is organized under the laws of the People’s Republic of China (“PRC”).  As of September 30, 2013, the Company owned 95% of the issued and outstanding common stock of Hebei.
	Since 2002, Hebei has been engaged in developing narcotic, pain management, and addiction treatment pharmaceutical products, building its facilities and obtaining the requisite licenses from the Chinese Government.  Headquartered in Shijiazhuang City, the pharmaceutical capital of China, outside of Beijing, Hebei now has China's largest and the most advanced manufacturing facility for highly regulated narcotic medicines, addressing a very under-served and fast-growing market in China. Its facility is one of the few GMP facilities licensed for manufacturing narcotics medicines. The Company is working closely with the Chinese government and SFDA to assure the strictly regulated availability to medical professionals throughout China of its narcotic drugs and pain medicines.
	In April, 2008, Hebei completed the acquisition of 100% of the registered capital of Lerentang (“LRT”).  LRT was engaged in the manufacture and distribution of Chinese traditional medicines focusing on pain management related therapeutics within China.  By 2011 the manufacturing operations of LRT had been completely integrated into Hebei.  Currently over 80% of the Company’s revenues derive from one herbal extraction, obtained from the acquisition of LRT, which is used to alleviate oral/dental and bone pain.
	Investment in Joint Venture (“JV”)
	On April 26, 2010, AoxingPharma and Johnson Matthey Plc (‘JM”) entered into an agreement to establish a joint venture focused on research, development, manufacturing and marketing of active pharmaceutical ingredients for narcotics and neurological drugs for the China market. The joint venture represents a significant new opportunity for both companies to expand their business in the rapidly growing pharmaceutical market in China.  Under the terms of the agreement, Macfarlan Smith Ltd, a wholly owned subsidiary of Johnson Matthey Plc, headquartered in the United Kingdom, will contribute technology expertise and capital to the joint venture. Hebei will contribute capital, fixed assets and related active pharmaceutical ingredients manufacturing licenses. The joint venture company is called HebeiAoxing API Pharmaceutical Company, Ltd. (“API”).  HebeiAoxing has a 51% stake in API, while Macfarlan Smith (Hong Kong) Ltd (a wholly owned subsidiary of JM) holds 49%. Each company has equal representation on the board of directors that will oversee a management team responsible for corporate strategies and operations.  The new joint venture is located on the Hebeicampus in XinleCity, 200 kilometers southwest of Beijing.  On March 10, 2010, the joint venture obtained a business license from the City Industry & Commercial Administrative Bureau. The Company accounts for its investment in the Joint Venture under the equity method of accounting.
	Use of estimates in the preparation of financial statements
	The preparation of the consolidated financial statements in conformity with generally accepted accounting principles in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. Significant estimates reflected in the consolidated financial statements include, but are not limited to, the recoverability of the carrying amount and estimated useful lives of long-lived assets, allowance for accounts receivable, realizable values for inventories, valuation allowance of deferred tax assets, purchase price allocation of its acquisitions and share-based compensation expenses. Management makes these estimates using the best information available at the time the estimates are made; however, actual results when ultimately realized could differ significantly from those estimates.
	Impairment of long lived assets
	In accordance with the provisions of ASC Topic 360-10-5, “Impairment or Disposal of Long-Lived Assets,” all long-lived assets such as property, plant and equipment, land use rights and intangible assets held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable.  For assets that are to be held and used, impairment is recognized when the estimated undiscounted cash flows associated with the asset or group of assets is less than their carrying value. If impairment exists, an adjustment is made to write the asset down to its fair value, and a loss is recorded as the difference between the carrying value and fair value.  Fair values are determined based on quoted market values, discounted cash flows or internal and external appraisals, as applicable.  Assets to be disposed of are carried at the lower of carrying value or estimated net realizable value.
	Fair value measurement
	The Company has adopted ASC Topic 820, Fair Value Measurement and Disclosure, which defines fair value, establishes a framework for measuring fair value in GAAP, and expands disclosures about fair value measurements. It does not require any new fair value measurements, but provides guidance on how to measure fair value by providing a fair value hierarchy used to classify the source of the information. It establishes a three-level valuation hierarchy of valuation techniques based on observable and unobservable inputs, which may be used to measure fair value and include the following:
	Level 1 - Quoted prices in active markets for identical assets or liabilities.
	Level 2 - Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
	Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
	Classification within the hierarchy is determined based on the lowest level of input that is significant to the fair value measurement.
	The carrying amount of cash and cash equivalents, accounts receivable, inventories, prepaid expenses and other current assets, accounts payable and accrued expenses are reasonable estimates of their fair value because of the short term nature of these items and classified within Level 1 of the fair value Hierarchy.
	As of September 30, 2013, the Company does not have any assets or liabilities that are measured on a recurring basis at fair value. The Company’s short-term borrowings, loans payable, related party notes payable and unrelated party notes payable that are considered Level 2 financial instruments measured at fair value on a non-recurring basis as of September 30, 2013.
	The Company does not have any level 3 financial instruments. The Company uses the discounted cash flow approach when determining fair values of its non-recurring fair value measurements when required. We determine the fair value of our goodwill for purposes of comparing to the carrying value on at least an annual basis. Our goodwill would be adjusted to fair value if it is deemed to be impaired. Certain unobservable units for these assets are offered quotes, lack of marketability, long-term revenue growth rates and discounts rates. For Level 3 measurements, significant increases or decreases in long-term growth rates or discount rates in isolation or in combination could result in a significantly lower or higher fair value measurement.
	Recent accounting pronouncements
	The Company has reviewed all recently issued, but not yet effective, accounting pronouncements and does not believe the future adoption of any such pronouncements may be expected to cause a material impact on its financial condition or the results of its operations.
	In January 2013, the FASB issued ASU 2013-01, Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities, which clarified that the scope of ASU 2011-11, Disclosures about Offsetting Assets and Liabilities, would apply to derivatives including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are either offset in accordance with Section 210-20-45 or Section 815-10-45 or are subject to a master netting arrangement or similar agreement. This ASU is effective for fiscal years, and interim periods within those years, beginning on or after January 1, 2013. Retrospective presentation for all comparative periods presented is required. The adoption of ASU 2013-01 is not expected to have material impact on the Company’s consolidated financial statements.
	In February 2013, the Financial Accounting Standards Board issued ASU 2013-02, Comprehensive Income: Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income (“ASU 2013-02”). ASU 2013-02 does not change the current requirements for reporting net income or other comprehensive income in financial statements. However, it requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under U.S. GAAP to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under U.S. GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under U.S. GAAP that provide additional detail about those amounts. ASU 2013-02 is effective prospectively for reporting periods beginning after December 15, 2012 for public entities. Early adoption is permitted. The Company does not expect that the adoption of ASU 2013-02 will have a material impact on its consolidated financial statements.

3_Going_Concern

3 Going Concern	3 Months Ended
	Sep. 30, 2013
Notes	'
3 Going Concern	'
	3              GOING CONCERN
	The Company incurred a net loss of $2,350,974 and had $2,226,298 negative cash flow from operations during the three months ended September 30, 2013. As of September 30, 2013, the Company’s current liabilities exceeded its current assets by $23,688,749. The Company had cash and cash equivalents of $1,543,502 as of September 30, 2013. The Company’s ability to continue as a going concern is dependent on many events outside of its direct control, including, among other things, the amount of working capital that the Company has available. The Company’s inability to generate operating cash flows to meet its obligations due to the uncertainty of achieving operating profitability on an annual basis as well as the uncertainty of raising required financing on reasonable terms, among other factors, raises substantial doubt as to the Company’s ability to continue as a going concern. The accompanying consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.
	The management of the Company has taken a number of actions and will continue to address this situation in order to restore the Company to a sound financial position with an appropriate business strategy going forward. During the year ended June 30, 2013, the Company was able to obtain long-term bank loans from Beijing International Trust Co., Ltd and use these funds to repay short-term notes. The long-term loans carry higher interest rates, but have terms of two years, providing the Company with more financial flexibility. Subsequent to the period ended September 30, 2013, the Company extended the short term borrowing of $3.2 million from Shijiazhuang Construction Investment Corporation for another 12 months. The loan was originally due on November 3, 2013 and the new due date is November 11, 2014.  In addition, the Company terminated the advertising contracts with five television stations at the end of September 2013 in an effort to reduce operating expense. The Company believes the advertising effort during calendar year 2013 has sufficiently increased awareness of the Company’s brand and market demand for its core products, which will sustain healthy revenue growth for fiscal year 2014. The Company has planned several new product launches for the fiscal year 2015, which will generate additional revenue and improve cash flows. The Company also believes it will have continued support from related parties and the ability to continue to roll over short-term debt. All these factors, together, provide adequate resources to fund ongoing operations for the foreseeable future.
	However, if the Company’s short-term cash flows decrease significantly and the Company is unable to pay its short-term liabilities, the Company’s business, financial condition and results of operations could be materially affected. If future sales do not meet our forecasts, we may be required to fund operations by raising additional capital or seek external financing. As such, our ability to achieve our business plan is primarily dependent upon our ability to grow our planned level of operations and/or obtain sufficient additional capital at acceptable costs. With respect to these objectives, we cannot provide any assurance that we will succeed. If events or circumstances occur such that we are unable to or do not meet our operating plan as expected and/or do not secure additional financing, we may be required to significantly curtail or cease operations.

4_Inventories_Net

4 Inventories, Net	3 Months Ended
	Sep. 30, 2013
Notes	'
4 Inventories, Net	'
	4              INVENTORIES, NET
	Inventories consist of the following:
		30-Sep-13		30-Jun-13
	Work in process	$	1,233,434	$	1,041,267
	Raw materials		472,422		509,209
	Finished goods		600,722		1,071,402
		$	2,306,578	$	2,621,878
	The allowance for obsolete inventory as of September 30, 2013 and June 30, 2013 was $388,430 and $386,120, respectively.

5_Equitymethod_Investment_in_J

5 Equity-method Investment in Joint Venture	3 Months Ended
	Sep. 30, 2013
Notes	'
5 Equity-method Investment in Joint Venture	'
	5              EQUITY-METHOD INVESTMENT IN JOINT VENTURE
	The Company account for its investment in API (see Note 2), under the equity method of accounting.
	Summarized financial information for our investment in API assuming a 100% ownership interest is as follows:
			For the Quarter		For the Year
			Ended		Ended
			30-Sep-13		30-Jun-13
	Current assets	$	7,322	$	8,964
	Noncurrent assets		831,870		844,268
	Current liabilities	$	383,242	$	338,761
	Noncurrent liabilities		-		-
	Equity	$	455,949	$	514,471
	Revenue		-		-
	General and administrative expenses	$	-61,418	$	-224,989
	Net loss	$	-61,418	$	-224,989

6_Accrued_Expenses_and_Other_C

6 Accrued Expenses and Other Current Liabilities	3 Months Ended
	Sep. 30, 2013
Notes	'
6 Accrued Expenses and Other Current Liabilities	'
	6              ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES
	Accrued expenses and taxes consist of the following:
		September 30,		June 30,
		2013			2013
	Accrued salaries and benefits	$	843,226		$	867,961
	Accrued interest		885,518			698,320
	Accrued taxes		55,252			255,275
	Deposit payable		1,418,573			429,610
	Due to employee		46,794			46,516
	Advance from customers		407,780			516,183
	Other accounts payable		694,976			711,486
	Other accrued expenses and current liabilities		380,783			883,325
		$	4,732,902		$	4,408,676

7_Loan_Payable_Bank

7 Loan Payable - Bank	3 Months Ended
	Sep. 30, 2013
Notes	'
7 Loan Payable - Bank	'
	7              LOAN PAYABLE - BANK
	Loan payable – bank consist of the following loans collateralized by assets of the company:
		September 30,		June 30,
		2013			2013
	Bank Note in the amount of 30 million RMB with Bank of Communications of China bearing an annual floating rate of  7.872%, set to be 20% higher than the interest rate of the China People Bank rate, initially made on April 29, 2011 and renewed again on April 18, 2013 for one year maturing on April 17, 2014	$	4,876,939		$	4,847,936
	Bank Note in the amount of 20 million RMB with Postal Savings Bank bearing 7.8% interest per annum, made on June 18, 2013 for one year maturing on June 17, 2014		3,251,292			3,231,958
	Bank Note in the amount of 1.2 million RMB with Beijing International Trust Co., Ltd bearing 18.0% interest per annum, made on September 24, 2012 for one year maturing on December 20, 2013		195,078			387,835
	Bank Note in the amount of 42.6 million RMB with Beijing International Trust Co., Ltd bearing 18.0% interest per annum, made on September 24, 2012 for two year maturing on September 23, 2014		6,925,253			-
	Bank Note in the amount of 20 million RMB with Beijing International Trust Co., Ltd bearing 16.5% interest per annum, made on December 20, 2012 for maturing on September 21, 2014		3,251,292			-
		$	18,499,854		$	8,467,729

8_Loan_Payable_Related_Parties

8 Loan Payable - Related Parties	3 Months Ended
	Sep. 30, 2013
Notes	'
8 Loan Payable - Related Parties	'
	8              LOAN PAYABLE – RELATED PARTIES
	Loan payable – related parties consists of loans from shareholders, officers, and other related parties, bearing interest at an average rate of 15.96% and 15.88% per annum as of September 30, 2013 and June 30, 2013 respectively. Loans will mature as follows:
		September 30,		June 30,
		2013		2013
	Within one year		2,284,540		$2,101,998
	1 – 2 years		1,351,582		1,561,013
	2 – 3 years		-		-
	Total		3,636,122		3,663,011
	Less current portion		-2,284,540		-2,101,998
			1,351,582		$1,561,013

9_Loan_Payable_Other

9 Loan Payable - Other	3 Months Ended
	Sep. 30, 2013
Notes	'
9 Loan Payable - Other	'
	9              LOAN PAYABLE – OTHER
	Loan payable – other consists of loans from unrelated third-parties, bearing interest at an average rate of 17.86% per annum as of September 30, 2013 and June 30, 2013. Loans will mature as following:
		September 30,		June 30,
		2013		2013
	Within one year		1,364,326		$      -
	1 – 2 years		47,662		1,403,591
	2 – 3 years		-		-
	Total		1,411,988		1,403,591
	Less current portion		-1,364,326		-
			47,662		$1,403,591

10_Long_Term_Bank_Loan

10 Long Term Bank Loan	3 Months Ended
	Sep. 30, 2013
Notes	'
10 Long Term Bank Loan	'
	10           LONG TERM BANK LOAN
	On September 24, 2012, the Company entered into a loan agreement with Beijing International Trust Co., Ltd and obtained a loan of RMB45 million (approximately $7.3 million) with a term of two years. This loan requires interest only payments every quarter on the 20th of March, June, September and December. This loan bears 18.0% interest per annum.  The loan matures on September 23, 2014 and the Company must repay 15%, 15% and 50% of the original loan balance 20 days, 10 days and 5 days, respectively, before the maturity date. The loan also requires two initial repayments of RMB1.2 million (approximately $0.4 million) each on July 20, 2013 and December 20, 2013. As of September 30, 2013, the entire loan balance is classified as short term bank loan .
	On December 20, 2012, the Company obtained an additional loan of RMB20 million (approximately $3.3 million) from Beijing International Trust Co., Ltd with a 16.5% interest per annum that will mature on September 21, 2014. This loan interest payment is due quarterly on the 21st of March, June, September and December. As of September 30, 2013, this loan is classified as short term bank loan.

11_Issuance_of_Common_Stock

11 Issuance of Common Stock	3 Months Ended
	Sep. 30, 2013
Notes	'
11 Issuance of Common Stock	'
	11           Issuance of Common Stock
	No issuance of common stock occurred during the three months ended September 30, 2013.

12_Taxes

12 Taxes	3 Months Ended
	Sep. 30, 2013
Notes	'
12 Taxes	'
	12           TAXES
	The Company’s Chinese subsidiaries are governed by the Income Tax Law of the People’s Republic of China concerning private-run enterprises, which are generally   subject to tax at a statutory rate of 25% on income reported in the statutory financial statements after appropriate tax adjustments.
	The reconciliation of income tax at the U.S. statutory rate to the Company’s effective tax rate is as follows:
		For the Quarter ended September 30,
		2013		2012
	Tax at U.S. Statutory rate	$	-822,841	$	-156,981
	Tax rate difference between China and U.S.		-276,425		32,918
	Change in Valuation Allowance		1,099,266		124,063
	Effective tax rate	$	-	$	-
	The provisions of income taxes (credit) are summarized as follows:
		For the Quarter ended September 30,
		2013			2012
	Current	$	-		$	-
	Deferred - U.S.		-9,557			-50,716
	Deferred - China		-1,089,709			-73,347
	Valuation allowance - U.S.		9,557			50,716
	Valuation allowance - China.		1,089,709			73,347
	Total	$	-		$	-
	The deferred tax assets are substantially related to loss carry forwards for the past 5 years under Chinese tax law.  The Company determined a full valuation allowance was necessary as of September 30, 2012 and 2013.

13_Concentrations

13 Concentrations	3 Months Ended
	Sep. 30, 2013
Notes	'
13 Concentrations	'
	13           CONCENTRATIONS
	Sales to three major customers accounted for 7%, 6% and 5% of total sales for the three months ended September 30, 2013. Sales to three major customers accounted for 18%, 17% and 14% of total sales for the three months ended September 30, 2012. As of September 30, 2013, no customer accounted for more than 2% of Company’s accounts receivable balance. As of September 30, 2012, one major customers accounted for 17% of Company’s accounts receivable balance.
	Sales of two products represented approximately 93% and 3% of total sales for the three months ended September 30, 2013. Sales of two products represented approximately 92% and 3% of total sales for the three months ended September 30, 2012.

14_Subsequent_Events

14 Subsequent Events	3 Months Ended
	Sep. 30, 2013
Notes	'
14 Subsequent Events	'
	14           SUBSEQUENT EVENTS
	In accordance with ASC 855, “Subsequent Events”, the Company has evaluated subsequent events that have occurred through the date of issuance of these financial statements and has determined that there was no other material event that occurred after the date of the balance sheets included in this report.

2_Business_Description_and_Sig1

2 Business Description and Significant Accounting Policies: Investment in Joint Venture ("JV") (Policies)	3 Months Ended
	Sep. 30, 2013
Policies	'
Investment in Joint Venture ("JV")	'
	Investment in Joint Venture (“JV”)
	On April 26, 2010, AoxingPharma and Johnson Matthey Plc (‘JM”) entered into an agreement to establish a joint venture focused on research, development, manufacturing and marketing of active pharmaceutical ingredients for narcotics and neurological drugs for the China market. The joint venture represents a significant new opportunity for both companies to expand their business in the rapidly growing pharmaceutical market in China.  Under the terms of the agreement, Macfarlan Smith Ltd, a wholly owned subsidiary of Johnson Matthey Plc, headquartered in the United Kingdom, will contribute technology expertise and capital to the joint venture. Hebei will contribute capital, fixed assets and related active pharmaceutical ingredients manufacturing licenses. The joint venture company is called HebeiAoxing API Pharmaceutical Company, Ltd. (“API”).  HebeiAoxing has a 51% stake in API, while Macfarlan Smith (Hong Kong) Ltd (a wholly owned subsidiary of JM) holds 49%. Each company has equal representation on the board of directors that will oversee a management team responsible for corporate strategies and operations.  The new joint venture is located on the Hebeicampus in XinleCity, 200 kilometers southwest of Beijing.  On March 10, 2010, the joint venture obtained a business license from the City Industry & Commercial Administrative Bureau. The Company accounts for its investment in the Joint Venture under the equity method of accounting.

2_Business_Description_and_Sig2

2 Business Description and Significant Accounting Policies: Use of Estimates in The Preparation of Financial Statements (Policies)	3 Months Ended
	Sep. 30, 2013
Policies	'
Use of Estimates in The Preparation of Financial Statements	'
	Use of estimates in the preparation of financial statements
	The preparation of the consolidated financial statements in conformity with generally accepted accounting principles in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. Significant estimates reflected in the consolidated financial statements include, but are not limited to, the recoverability of the carrying amount and estimated useful lives of long-lived assets, allowance for accounts receivable, realizable values for inventories, valuation allowance of deferred tax assets, purchase price allocation of its acquisitions and share-based compensation expenses. Management makes these estimates using the best information available at the time the estimates are made; however, actual results when ultimately realized could differ significantly from those estimates.

2_Business_Description_and_Sig3

2 Business Description and Significant Accounting Policies: Impairment of Long Lived Assets (Policies)	3 Months Ended
	Sep. 30, 2013
Policies	'
Impairment of Long Lived Assets	'
	Impairment of long lived assets
	In accordance with the provisions of ASC Topic 360-10-5, “Impairment or Disposal of Long-Lived Assets,” all long-lived assets such as property, plant and equipment, land use rights and intangible assets held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable.  For assets that are to be held and used, impairment is recognized when the estimated undiscounted cash flows associated with the asset or group of assets is less than their carrying value. If impairment exists, an adjustment is made to write the asset down to its fair value, and a loss is recorded as the difference between the carrying value and fair value.  Fair values are determined based on quoted market values, discounted cash flows or internal and external appraisals, as applicable.  Assets to be disposed of are carried at the lower of carrying value or estimated net realizable value.

2_Business_Description_and_Sig4

2 Business Description and Significant Accounting Policies: Fair Value Measurement (Policies)	3 Months Ended
	Sep. 30, 2013
Policies	'
Fair Value Measurement	'
	Fair value measurement
	The Company has adopted ASC Topic 820, Fair Value Measurement and Disclosure, which defines fair value, establishes a framework for measuring fair value in GAAP, and expands disclosures about fair value measurements. It does not require any new fair value measurements, but provides guidance on how to measure fair value by providing a fair value hierarchy used to classify the source of the information. It establishes a three-level valuation hierarchy of valuation techniques based on observable and unobservable inputs, which may be used to measure fair value and include the following:
	Level 1 - Quoted prices in active markets for identical assets or liabilities.
	Level 2 - Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
	Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
	Classification within the hierarchy is determined based on the lowest level of input that is significant to the fair value measurement.
	The carrying amount of cash and cash equivalents, accounts receivable, inventories, prepaid expenses and other current assets, accounts payable and accrued expenses are reasonable estimates of their fair value because of the short term nature of these items and classified within Level 1 of the fair value Hierarchy.
	As of September 30, 2013, the Company does not have any assets or liabilities that are measured on a recurring basis at fair value. The Company’s short-term borrowings, loans payable, related party notes payable and unrelated party notes payable that are considered Level 2 financial instruments measured at fair value on a non-recurring basis as of September 30, 2013.
	The Company does not have any level 3 financial instruments. The Company uses the discounted cash flow approach when determining fair values of its non-recurring fair value measurements when required. We determine the fair value of our goodwill for purposes of comparing to the carrying value on at least an annual basis. Our goodwill would be adjusted to fair value if it is deemed to be impaired. Certain unobservable units for these assets are offered quotes, lack of marketability, long-term revenue growth rates and discounts rates. For Level 3 measurements, significant increases or decreases in long-term growth rates or discount rates in isolation or in combination could result in a significantly lower or higher fair value measurement.

2_Business_Description_and_Sig5

2 Business Description and Significant Accounting Policies: Recent Accounting Pronouncements (Policies)	3 Months Ended
	Sep. 30, 2013
Policies	'
Recent Accounting Pronouncements	'
	Recent accounting pronouncements
	The Company has reviewed all recently issued, but not yet effective, accounting pronouncements and does not believe the future adoption of any such pronouncements may be expected to cause a material impact on its financial condition or the results of its operations.
	In January 2013, the FASB issued ASU 2013-01, Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities, which clarified that the scope of ASU 2011-11, Disclosures about Offsetting Assets and Liabilities, would apply to derivatives including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are either offset in accordance with Section 210-20-45 or Section 815-10-45 or are subject to a master netting arrangement or similar agreement. This ASU is effective for fiscal years, and interim periods within those years, beginning on or after January 1, 2013. Retrospective presentation for all comparative periods presented is required. The adoption of ASU 2013-01 is not expected to have material impact on the Company’s consolidated financial statements.
	In February 2013, the Financial Accounting Standards Board issued ASU 2013-02, Comprehensive Income: Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income (“ASU 2013-02”). ASU 2013-02 does not change the current requirements for reporting net income or other comprehensive income in financial statements. However, it requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under U.S. GAAP to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under U.S. GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under U.S. GAAP that provide additional detail about those amounts. ASU 2013-02 is effective prospectively for reporting periods beginning after December 15, 2012 for public entities. Early adoption is permitted. The Company does not expect that the adoption of ASU 2013-02 will have a material impact on its consolidated financial statements.

4_Inventories_Net_Schedule_of_

4 Inventories, Net: Schedule of Inventory (Tables)	3 Months Ended
	Sep. 30, 2013
Tables/Schedules	'
Schedule of Inventory	'
		30-Sep-13		30-Jun-13
	Work in process	$	1,233,434	$	1,041,267
	Raw materials		472,422		509,209
	Finished goods		600,722		1,071,402
		$	2,306,578	$	2,621,878

5_Equitymethod_Investment_in_J1

5 Equity-method Investment in Joint Venture: Equity Method Investments (Tables)	3 Months Ended
	Sep. 30, 2013
Tables/Schedules	'
Equity Method Investments	'
			For the Quarter		For the Year
			Ended		Ended
			30-Sep-13		30-Jun-13
	Current assets	$	7,322	$	8,964
	Noncurrent assets		831,870		844,268
	Current liabilities	$	383,242	$	338,761
	Noncurrent liabilities		-		-
	Equity	$	455,949	$	514,471
	Revenue		-		-
	General and administrative expenses	$	-61,418	$	-224,989
	Net loss	$	-61,418	$	-224,989

6_Accrued_Expenses_and_Other_C1

6 Accrued Expenses and Other Current Liabilities: Schedule of Accounts Payable and Accrued Liabilities (Tables)	3 Months Ended
	Sep. 30, 2013
Tables/Schedules	'
Schedule of Accounts Payable and Accrued Liabilities	'
		September 30,		June 30,
		2013			2013
	Accrued salaries and benefits	$	843,226		$	867,961
	Accrued interest		885,518			698,320
	Accrued taxes		55,252			255,275
	Deposit payable		1,418,573			429,610
	Due to employee		46,794			46,516
	Advance from customers		407,780			516,183
	Other accounts payable		694,976			711,486
	Other accrued expenses and current liabilities		380,783			883,325
		$	4,732,902		$	4,408,676

7_Loan_Payable_Bank_Schedule_o

7 Loan Payable - Bank: Schedule of Long-term Debt Instruments (Tables)	3 Months Ended
	Sep. 30, 2013
Tables/Schedules	'
Schedule of Long-term Debt Instruments	'
		September 30,		June 30,
		2013			2013
	Bank Note in the amount of 30 million RMB with Bank of Communications of China bearing an annual floating rate of  7.872%, set to be 20% higher than the interest rate of the China People Bank rate, initially made on April 29, 2011 and renewed again on April 18, 2013 for one year maturing on April 17, 2014	$	4,876,939		$	4,847,936
	Bank Note in the amount of 20 million RMB with Postal Savings Bank bearing 7.8% interest per annum, made on June 18, 2013 for one year maturing on June 17, 2014		3,251,292			3,231,958
	Bank Note in the amount of 1.2 million RMB with Beijing International Trust Co., Ltd bearing 18.0% interest per annum, made on September 24, 2012 for one year maturing on December 20, 2013		195,078			387,835
	Bank Note in the amount of 42.6 million RMB with Beijing International Trust Co., Ltd bearing 18.0% interest per annum, made on September 24, 2012 for two year maturing on September 23, 2014		6,925,253			-
	Bank Note in the amount of 20 million RMB with Beijing International Trust Co., Ltd bearing 16.5% interest per annum, made on December 20, 2012 for maturing on September 21, 2014		3,251,292			-
		$	18,499,854		$	8,467,729

8_Loan_Payable_Related_Parties1

8 Loan Payable - Related Parties: Schedule of Related Party Transactions (Tables)	3 Months Ended
	Sep. 30, 2013
Tables/Schedules	'
Schedule of Related Party Transactions	'
		September 30,		June 30,
		2013		2013
	Within one year		2,284,540		$2,101,998
	1 – 2 years		1,351,582		1,561,013
	2 – 3 years		-		-
	Total		3,636,122		3,663,011
	Less current portion		-2,284,540		-2,101,998
			1,351,582		$1,561,013

9_Loan_Payable_Other_Schedule_

9 Loan Payable - Other: Schedule of Debt - Other (Tables)	3 Months Ended
	Sep. 30, 2013
Tables/Schedules	'
Schedule of Debt - Other	'
		September 30,		June 30,
		2013		2013
	Within one year		1,364,326		$      -
	1 – 2 years		47,662		1,403,591
	2 – 3 years		-		-
	Total		1,411,988		1,403,591
	Less current portion		-1,364,326		-
			47,662		$1,403,591

12_Taxes_Schedule_of_Effective

12 Taxes: Schedule of Effective Income Tax Rate Reconciliation (Tables)	3 Months Ended
	Sep. 30, 2013
Tables/Schedules	'
Schedule of Effective Income Tax Rate Reconciliation	'
		For the Quarter ended September 30,
		2013		2012
	Tax at U.S. Statutory rate	$	-822,841	$	-156,981
	Tax rate difference between China and U.S.		-276,425		32,918
	Change in Valuation Allowance		1,099,266		124,063
	Effective tax rate	$	-	$	-

12_Taxes_Schedule_of_Component

12 Taxes: Schedule of Components of Income Tax Expense (Benefit) (Tables)	3 Months Ended
	Sep. 30, 2013
Tables/Schedules	'
Schedule of Components of Income Tax Expense (Benefit)	'
		For the Quarter ended September 30,
		2013		2012
	Current	$	-	$	-
	Deferred - U.S.		-9,557		-50,716
	Deferred - China		-1,089,709		-73,347
	Valuation allowance - U.S.		9,557		50,716
	Valuation allowance - China.		1,089,709		73,347
	Total	$	-	$	-

2_Business_Description_and_Sig6

2 Business Description and Significant Accounting Policies (Details)	3 Months Ended
	Sep. 30, 2013
Details	'
Concentration Risk, Percentage	80.00%

3_Going_Concern_Details

3 Going Concern (Details) (USD $)	3 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Details	'	'
Net loss	$2,350,974	$448,516
NET CASH USED IN OPERATING ACTIVITIES	2,226,298	558,668
Working Capital Deficit	$23,688,749	'

4_Inventories_Net_Schedule_of_1

4 Inventories, Net: Schedule of Inventory (Details) (USD $)	Sep. 30, 2013	Jun. 30, 2013
Details	'	'
Inventory, Work in Process, Gross	$1,233,434	$1,041,267
Inventory, Raw Materials, Gross	472,422	509,209
Inventory, Finished Goods, Gross	600,722	1,071,402
Inventories, net	$2,306,578	$2,621,878

4_Inventories_Net_Details

4 Inventories, Net (Details) (USD $)	Sep. 30, 2013	Jun. 30, 2013
Details	'	'
Inventory Valuation Reserves	$388,430	$386,120

5_Equitymethod_Investment_in_J2

5 Equity-method Investment in Joint Venture: Equity Method Investments (Details) (USD $)	3 Months Ended	12 Months Ended
	Sep. 30, 2013	Jun. 30, 2013
Details	'	'
Equity Method Investment, Summarized Financial Information, Current Assets	$7,322	$8,964
Equity Method Investment, Summarized Financial Information, Noncurrent Assets	831,870	844,268
Equity Method Investment, Summarized Financial Information, Current Liabilities	383,242	338,761
Equity Method Investment Summarized Financial Information, Equity	455,949	514,471
Equity Method Investment, Summarized Financial Information, Cost of Sales	-61,418	-224,989
Equity Method Investment, Summarized Financial Information, Gross Profit (Loss)	($61,418)	($224,989)

6_Accrued_Expenses_and_Other_C2

6 Accrued Expenses and Other Current Liabilities: Schedule of Accounts Payable and Accrued Liabilities (Details) (USD $)	Sep. 30, 2013	Jun. 30, 2013
Details	'	'
Accrued Salaries, Current	$843,226	$867,961
Accrued interest	885,518	698,320
Accrued Income Taxes, Current	55,252	255,275
Deposit Liability, Current	1,418,573	429,610
Other Employee Related Liabilities, Current	46,794	46,516
Customer Advances, Current	407,780	516,183
Accounts Payable, Other, Current	694,976	711,486
Other Accrued Liabilities, Current	380,783	883,325
Accrued expenses and other current liabilities	$4,732,902	$4,408,676

7_Loan_Payable_Bank_Schedule_o1

7 Loan Payable - Bank: Schedule of Long-term Debt Instruments (Details) (USD $)	Sep. 30, 2013		Jun. 30, 2013
LoansPayableToBankCurrent	$18,499,854		$8,467,729
Bank of Communications of China	'		'
LoansPayableToBankCurrent	4,876,939	[1]	4,847,936	[1]
Postal Savings Bank	'		'
LoansPayableToBankCurrent	3,251,292	[2]	3,231,958	[2]
Beijing International Trust Co., Ltd	'		'
LoansPayableToBankCurrent	195,078	[3]	387,835	[3]
Loans Payable to Bank Current, Loan 2	6,925,253	[4]	'
Loans Payable to Bank Current, Loan 3	$3,251,292	[5]	'
[1]	Bank Note in the amount of 30 million RMB with Bank of Communications of China bearing an annual floating rate of 7.872%, set to be 20% higher than the interest rate of the China People Bank rate, initially made on April 29, 2011 and renewed again on April 18, 2013 for one year maturing on April 17, 2014
[2]	Bank Note in the amount of 20 million RMB with Postal Savings Bank bearing an 7.8% interest per annum, made on June 18, 2013 for one year maturing on June 17, 2014
[3]	Bank Note in the amount of 1.2 million RMB with Beijing International Trust Co., Ltd bearing an 18.0% interest per annum, made on September 24, 2012 for one year maturing on December 20, 2013
[4]	Bank Note in the amount of 42.6 million RMB with Beijing International Trust Co., Ltd bearing 18.0% interest per annum, made on September 24, 2012 for two year maturing on September 23, 2014
[5]	Bank Note in the amount of 20 million RMB with Beijing International Trust Co., Ltd bearing 16.5% interest per annum, made on December 20, 2012 for maturing on September 21, 2014

8_Loan_Payable_Related_Parties2

8 Loan Payable - Related Parties (Details)	Sep. 30, 2013	Jun. 30, 2013
Details	'	'
Accounts Payable Related Parties Interest Bearing Interest Rate	15.96%	15.88%

8_Loan_Payable_Related_Parties3

8 Loan Payable - Related Parties: Schedule of Related Party Transactions (Details) (USD $)	Sep. 30, 2013	Jun. 30, 2013
Due to Related Parties	$3,636,122	$3,663,011
Current portion of loan payable - related parties	-2,284,540	-2,101,998
Loan payable - related parties	1,351,582	1,561,013
Within one year	'	'
Due to Related Parties	2,284,540	2,101,998
1-2 years	'	'
Due to Related Parties	$1,351,582	$1,561,013

9_Loan_Payable_Other_Details

9 Loan Payable - Other (Details)	Sep. 30, 2013	Jun. 30, 2013
Details	'	'
Accounts Payable, Interest-bearing, Interest Rate	17.86%	17.86%

9_Loan_Payable_Other_Schedule_1

9 Loan Payable - Other: Schedule of Debt - Other (Details) (USD $)	Sep. 30, 2013	Jun. 30, 2013
Other Loans Payable	$1,411,988	$1,403,591
Other Loans Payable, Current	-1,364,326	'
Loan payable - others	47,662	1,403,591
Within one year	'	'
Other Loans Payable	1,364,326	'
1-2 years	'	'
Other Loans Payable	$47,662	$1,403,591

12_Taxes_Schedule_of_Effective1

12 Taxes: Schedule of Effective Income Tax Rate Reconciliation (Details) (USD $)	3 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Details	'	'
Effective Income Tax Rate Reconciliation at Federal Statutory Income Tax Rate, Amount	($822,841)	($156,981)
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential, Amount	-276,425	32,918
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount	$1,099,266	$124,063

12_Taxes_Schedule_of_Component1

12 Taxes: Schedule of Components of Income Tax Expense (Benefit) (Details) (USD $)	3 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Details	'	'
Deferred Federal Income Tax Expense (Benefit)	($9,557)	($50,716)
Deferred Foreign Income Tax Expense (Benefit)	-1,089,709	-73,347
Deferred Taxes, Business Combination, Valuation Allowance, Available to Reduce Income Tax Expense	9,557	50,716
Deferred Taxes Business Combination Valuation Allowance Available To Reduce Income Tax Expense China	$1,089,709	$73,347

13_Concentrations_Details

13 Concentrations (Details)	3 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Details	'	'
Concentration Risk, Customer	'Sales to three major customers accounted for 7%, 6% and 5% of total sales for the three months ended September 30, 2013	'Sales to three major customers accounted for 18%, 17% and 14% of total sales for the three months ended September 30, 2012
Concentration Risk, Other Risk	'As of September 30, 2013, no customer accounted for more than 2% of Company’s accounts receivable balance	'As of September 30, 2012, one major customers accounted for 17% of Company’s accounts receivable balance
Concentration Risk, Product	'Sales of two products represented approximately 93% and 3% of total sales for the three months ended September 30, 2013	'Sales of two products represented approximately 92% and 3% of total sales for the three months ended September 30, 2012