Who says the Eclipse work is complete? I certainly don't see that in the filing. Here's what they say re deferrals:
In prior years, research and development contract revenue on long-term projects is recognized on the percentage of completion method if reasonable estimate of the costs and revenues can be determined for each of the milestones; otherwise, the revenues are recognized when the product or services have been delivered. Funds received in advance of meeting the criteria for revenue recognition are deferred and are recorded as revenue as they are earned. If the costs we incur on a contract are expected to exceed the anticipated revenue we will record the loss in the period in which the facts that give rise to the revision becomes known.
It seems obvious (for the 3 mos ended 9/30/03) that the project is ongoing, since an additional $30K in deferred NRE fees were reported for the period.
Always tell the truth. Then you'll never have to remember what you said the last time.
