Enom 2015 Annual Report Download - page 60

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Inflation Risk
We do not believe that inflation has had a material effect on our business, financial condition or results of
operations. If our costs were to become subject to significant inflationary pressures, we may not be able to fully offset
such higher costs through price increases. Our inability or failure to do so could harm our business, financial condition
and results of operations.
Concentrations of Credit Risk
As of December 31, 2015, our cash and cash equivalents were maintained primarily with six major U.S. financial
institutions and three foreign banks. We also maintained cash balances with three Internet payment processors. Deposits
with these institutions at times exceed the federally insured limits, which potentially subject us to concentration of credit
risk. Historically, we have not experienced any losses related to these balances and believe that there is minimal risk of
expected future losses. However, there can be no assurance that there will not be losses on these deposits.
Advertising network partners that accounted for more than 10% of our consolidated accounts receivable balance
were as follows:
Year ended December 31,
2015
2014
Google, Inc. ..........................................................
26
%
42
%
Item 8. Financial Statements and Supplementary Data
The consolidated financial statements and supplementary data required by Item 8 are contained in Item 7 and
Item 15 of this Annual Report on Form 10-K and are incorporated herein by reference.
Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
None.
Item 9A. Controls and Procedures
Definition and Limitations of Disclosure Controls and Procedures.
Our disclosure controls and procedures (as such term is defined in Rule 13a-15(e) under the Exchange Act) are
designed to reasonably ensure that information required to be disclosed in our reports filed or submitted under the
Exchange Act is (i) recorded, processed, summarized, and reported within the time periods specified in the SEC’s rules
and forms and (ii) accumulated and communicated to management, including our principal executive officer and
principal financial officer, as appropriate, to allow timely decisions regarding required disclosures. A control system, no
matter how well designed and operated, can provide only reasonable assurance that it will detect or uncover failures
within the Company to disclose material information otherwise required to be set forth in our periodic reports. Inherent
limitations to any system of disclosure controls and procedures include, but are not limited to, the possibility of human
error and the circumvention or overriding of such controls by one or more persons. In addition, we have designed our
system of controls based on certain assumptions, which we believe are reasonable, about the likelihood of future events,
and our system of controls may therefore not achieve its desired objectives under all possible future events.
Evaluation of Disclosure Controls and Procedures.
Our management, with the participation of our Chief Executive Officer and our Chief Financial Officer, has
evaluated the effectiveness of our disclosure controls and procedures at December 31, 2015, the end of the period
covered by this report. Based on this evaluation, the principal executive officer and principal financial officer concluded
that, at December 31, 2015, our disclosure controls and procedures were effective to provide reasonable assurance that