ORANGE 21 INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Thousands, except number of shares and per share amounts)
December 31,
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2010 2009
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Assets
Current assets
Cash $ 263 $ 654
Accounts receivable, net 4,173 5,886
Inventories, net 8,902 7,759
Prepaid expenses and other current assets 618 1,036
Income taxes receivable 14 56
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Total current assets 13,970 15,391
Property and equipment, net 957 4,892
Intangible assets, net of accumulated amortization
of $631 and $714 at December 31, 2010 and 2009,
respectively 122 296
Other long-term assets 50 92
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Total assets $ 15,099 $ 20,671
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Liabilities and Stockholders' Equity
Current liabilities
Lines of credit $ 2,235 $ 3,750
Current portion of capital leases 27 395
Current portion of notes payable 13 723
Accounts payable 1,693 5,431
Accrued expenses and other liabilities 3,007 3,350
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Total current liabilities 6,975 13,649
Capitalized leases, less current portion 38 812
Notes payable, less current portion 61 308
Note payable to stockholder 7,000 -
Deferred income taxes - 404
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Total liabilities 14,074 15,173
Stockholders' equity
Preferred stock: par value $0.0001; 5,000,000
authorized; none issued - -
Common stock: par value $0.0001; 100,000,000
shares authorized; 11,980,934 and 11,903,943
shares issued and outstanding at December 31,
2010 and 2009, respectively 1 1
Additional paid-in capital 40,972 40,515
Accumulated other comprehensive income 551 874
Accumulated deficit (40,499) (35,892)
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Total stockholders' equity 1,025 5,498
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Total liabilities and stockholders' equity $ 15,099 $ 20,671
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ORANGE 21 INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Thousands, except per share amounts)
Year Ended
December 31,
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2010 2009
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Net sales $ 34,987 $ 34,238
Cost of sales 18,235 20,399
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Gross profit 16,752 13,839
Operating expenses:
Sales and marketing 9,272 7,330
General and administrative 7,471 7,614
Shipping and warehousing 1,103 1,040
Research and development 1,539 1,145
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Total operating expenses 19,385 17,129
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Loss from operations (2,633) (3,290)
Other income (expense):
Interest expense (606) (310)
Foreign currency transaction gain 141 330
Other income (expense) 84 (36)
Loss on deconsolidation of LEM (1,441) -
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Total other expense (1,822) (16)
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Loss before provision for income taxes (4,455) (3,306)
Income tax provision 152 101
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Net loss $ (4,607)$ (3,407)
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Net loss per share of Common Stock
Basic $ (0.39)$ (0.30)
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Diluted $ (0.39)$ (0.30)
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Shares used in computing net loss per share of
Common Stock
Basic 11,956 11,444
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Diluted 11,956 11,444
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Contact Information: Contact: Orange 21 Inc. A. Stone Douglass Chief Executive Officer 760-804-8420 Fax: 760-804-8442 www.orangetwentyone.com