Annual report pursuant to Section 13 and 15(d)

CONCENTRATIONS OF REVENUES AND CREDIT RISK

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CONCENTRATIONS OF REVENUES AND CREDIT RISK
12 Months Ended
Dec. 31, 2019
Risks and Uncertainties [Abstract]  
CONCENTRATIONS OF REVENUES AND CREDIT RISK
CONCENTRATIONS OF REVENUES AND CREDIT RISK
We sell our products and services to companies in the chemical, plastics, and petroleum industries. We perform periodic credit evaluations of our customers and generally do not require collateral from our customers. For the years ended December 31, 2019, 2018, and 2017, one customer accounted for 15.0%, 13.5%, and 16.8%, respectively, of consolidated revenue. The associated accounts receivable balances for this customer, ExxonMobil and their affiliates, were approximately $4.9 million and $11.0 million at December 31, 2019 and 2018, respectively. The carrying amount of accounts receivable approximates fair value at December 31, 2019 and 2018.
Accounts receivable serves as collateral for our amended and restated loan agreement with a domestic bank (see Note 13).
We market our products in many foreign jurisdictions. For the years ended December 31, 2019, 2018, and 2017, revenue in foreign jurisdictions accounted for approximately 21.9%, 25.5%, and 22.0% of consolidated revenue, respectively.
SHR utilizes one major supplier to purchase all our feedstock supply. The feedstock is a commodity product commonly available from other suppliers if needed. At December 31, 2019, and 2018, we owed the supplier approximately $4.5 million and $4.7 million, respectively, for feedstock purchases.
We hold our cash with various financial institutions that are insured by the Federal Deposit Insurance Corporation up to $250,000. At times during the year, cash balances may exceed this limit. We have not experienced any losses in such accounts and do not believe we are exposed to any significant risk of loss related to cash.