Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Mark Schappel - The Benchmark Co.
Mark Schappel - The Benchmark Co.
Daniel, with respect to your customers and bankruptcies, is it fair to assume that they’re in the automotive sector?
Daniel Lender
Actually it’s across a couple of different verticals Mark, and if mention there’s some in the U.S., but there’s some actually one in Europe and another one in Asia.
Mark Schappel - The Benchmark Co.
Could you give us any details on what sectors exactly?
Daniel Lender
One is automotive, I believe the one is in industrial and don’t recall what the third one is.
Mark Schappel - The Benchmark Co.
With respect to the six On Demand deals in the quarter, were they all for the enterprise ERP solution or were some of them for the supply chain visualization product?
Pam Lopker
Because you asked last time, Mark at this time I focused just on the enterprise solution. So there are six enterprise solutions and basically end-to-end product capabilities. So finance distribution manufacturing, the whole suite of enterprise application is fit that particular vertical.
Mark Schappel - The Benchmark Co.
Moving onto expenses here, but G&A was up a little more than normal. I know you some bad debt expense in there. Was there anything else that was in there as well?
Daniel Lender
The other thing that I mentioned, our professional fees, Mark, were unusually high this quarter. So those should comedown next quarter by at least $500,000.
Mark Schappel - The Benchmark Co.
So it’s fair to assume that G&A should get back on a normal track then?
Daniel Lender
Yes.
Operator
Your next question comes from Joe Delcaar - Cowen & Co.
Joe Delcaar - Cowen & Co.
So I got a several question, is the services revenue for next quarter expected to be more inline with 1Q than with 2Q, given that should be just like a one-time shift due to the move from the cash accounting?
Daniel Lender
It should be probably somewhere in between, Joe.
Joe Delcaar - Cowen & Co.
You’d mentioned that severance expense for this quarter was $1.5 million, correct?
Daniel Lender
Yes.
Joe Delcaar - Cowen & Co.
Would you be so kind to give us an update on the status of that joint venture that you guys had mentioned in the past and sort of its impact on R&D and when we can expect that impact on R&D?
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