Air Industries (AIRI) 10-Q 13 Nov 13 2013 Q3 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	9 Months Ended
	Sep. 30, 2013	Nov. 09, 2013
Document And Entity Information	'	'
Entity Registrant Name	'AIR INDUSTRIES GROUP, INC.	'
Entity Central Index Key	'0001009891	'
Document Type	'10-Q	'
Document Period End Date	30-Sep-13	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Is Entity a Well-known Seasoned Issuer?	'No	'
Is Entity a Voluntary Filer?	'No	'
Is Entity's Reporting Status Current?	'Yes	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	0
Document Fiscal Period Focus	'Q3	'
Document Fiscal Year Focus	'2013	'

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (USD $)	Sep. 30, 2013	Dec. 31, 2012
ASSETS	'	'
Cash and Cash Equivalents	$771,000	$490,000
Accounts Receivable, Net of Allowance for Doubtful Accounts of $987,000 and $705,000	10,548,000	11,631,000
Inventory	28,135,000	26,739,000
Prepaid Expenses and Other Current Assets	186,000	546,000
Deposits - Customers	8,000	133,000
Total Current Assets	39,648,000	39,539,000
Property and Equipment, net	5,652,000	5,883,000
Capitalized Engineering Costs - net of Accumulated Amortization of $3,766,000 and $3,449,000	801,000	802,000
Deferred Financing Costs, net, deposit and other assets	591,000	590,000
Intangible Assets, net	5,017,000	5,889,000
Deferred Tax Asset	1,625,000	'
Goodwill	453,000	453,000
TOTAL ASSETS	53,787,000	53,156,000
LIABILITIES AND STOCKHOLDERS' EQUITY	'	'
Notes Payable and Capitalized Lease Obligations - Current Portion	19,626,000	19,211,000
Accounts Payable and Accrued Expenses	7,222,000	7,077,000
Lease Impairment - Current	75,000	85,000
Deferred Gain on Sale - Current Portion	38,000	38,000
Dividends Payable	716,000	'
Income Taxes Payable	1,199,000	1,448,000
Total Current Liabilities	28,876,000	27,859,000
Notes Payable and Capitalized Lease Obligation - Net of Current Portion	2,661,000	4,640,000
Lease Impairment - Net of Current Portion	72,000	127,000
Deferred Gain on Sale - Net of Current Portion	456,000	485,000
Deferred Rent	1,113,000	1,057,000
TOTAL LIABILITIES	33,178,000	34,168,000
Stockholders' Equity	'	'
Preferred Stock Par Value $.001 - Authorized 8,003,716 shares Designated as Series "A" Convertible Preferred - $.001 par Value	'	'
Designated as Series "B" Convertible Preferred - $.001 Par Value, 4,000,000 Shares Authorized, 0 shares issued and outstanding as of September 30, 2013 and December 31, 2012, respectively; Liquidation Value, $ 0	'	'
Common Stock - $.001 Par 20,000,000 Shares Authorized, 5,711,093 and 5,711,093 Shares Issued and Outstanding as of September 30, 2013 and December 31, 2012, respectively	6,000	6,000
Additional Paid-In Capital	36,495,000	37,913,000
Accumulated Deficit	-15,892,000	-18,931,000
TOTAL STOCKHOLDERS' EQUITY	20,609,000	18,988,000
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$53,787,000	$53,156,000

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets (Parenthetical) (USD $)	Sep. 30, 2013	Dec. 31, 2012
ASSETS	'	'
Allowance for Doubtful Accounts	$987,000	$705,000
Accumulated Amortization	3,766,000	3,449,000
Stockholders Equity	'	'
Preferred Stock par value	$0.00	$0.00
Preferred Stock Authorized	8,003,716	8,003,716
Series A Convertible Preferred Stock par Value	$0.00	$0.00
Series A Convertible Preferred Stock Authorized	1,000	1,000
Series A Convertible Preferred Stock Issued	0	0
Series A Convertible Preferred Stock Outstanding	0	0
Series B Convertible Preferred Stock par Value	$0.00	$0.00
Series B Convertible Preferred Stock Authorized	4,000,000	4,000,000
Series B Convertible Preferred Stock Issued	0	0
Series B Convertible Preferred Stock Outstanding	0	0
Liquidation value	$0	$0
Common Stock par value	$0.00	$0.00
Common Stock Authorized	20,000,000	20,000,000
Common Stock Issued	5,711,093	5,711,093
Common Stock Outstanding	5,711,093	5,711,093

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Income (Unaudited) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
DepositForNewPropertyAndEquipment	'	'	'	'
Net Sales	$16,052,000	$15,558,000	$45,016,000	$46,835,000
Cost of Sales	12,309,000	11,724,000	33,996,000	36,295,000
Gross Profit	3,743,000	3,834,000	11,020,000	10,540,000
Operating Expenses	2,712,000	2,379,000	7,733,000	6,190,000
Income from Operations	1,031,000	1,455,000	3,287,000	4,350,000
Interest and financing costs	-281,000	-452,000	-1,027,000	-1,422,000
Other (expense) income, net	-11,000	-2,000	-97,000	-137,000
Income before provision for income taxes	739,000	1,001,000	2,163,000	2,791,000
(Benefit from) Provision for income taxes	-1,795,000	387,000	-876,000	1,036,000
Net income	$2,534,000	$614,000	$3,039,000	$1,755,000
Income per share - basic	$0.44	$0.11	$0.53	$0.40
Income per share - diluted	$0.43	$0.11	$0.52	$0.40
Weighted average shares outstanding - basic	5,711,093	5,706,510	5,711,093	4,334,570
Weighted average shares outstanding - diluted	5,854,015	5,790,555	5,828,037	4,407,356

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $)	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
CASH FLOWS FROM OPERATING ACTIVITIES	'	'
Net Income	$3,039,000	$1,755,000
Adjustments to Reconcile Net Income to Net Cash provided by Operating Activities	'	'
Depreciation of property and equipment	1,242,000	1,097,000
Amortization of intangible assets	872,000	402,000
Amortization of capitalized engineering costs	316,000	340,000
Bad debt expense	275,000	64,000
Non-cash compensation expense	15,000	88,000
Amortization of deferred financing costs	46,000	42,000
Gain on sale of real estate	-28,000	-28,000
Deferred Income Taxes	-1,625,000	'
Adjustments to Lease Impairment	'	53,000
Changes in Assets and Liabilities (Increase) Decrease in Operating Assets:	'	'
Accounts Receivable	807,000	-1,307,000
Inventory	-1,295,000	454,000
Prepaid Expenses and Other Current Assets	359,000	83,000
Deposits	125,000	-11,000
Other Assets	-37,000	-3,000
Increase (Decrease) in Operating Liabilities:	'	'
Accounts payable and accrued expenses	-362,000	-1,219,000
Deferred Rent	56,000	71,000
Income Taxes payable	-249,000	973,000
NET CASH PROVIDED BY OPERATING ACTIVITIES	3,556,000	2,885,000
CASH FLOWS FROM INVESTING ACTIVITIES	'	'
Cash paid for acquisition	-468,000	-11,600,000
Capitalized engineering costs	-316,000	-209,000
Purchase of property and equipment	-136,000	-471,000
Deposit for new property and equipment	'	-81,000
NET CASH USED IN INVESTING ACTIVITIES	-920,000	-12,361,000
CASH FLOWS FROM FINANCING ACTIVITIES	'	'
Proceeds from Private Placement	'	7,115,000
Payment of Issuance costs for Private Placement	'	-587,000
Notes payable - Sellers	-479,000	-447,000
Capital lease obligations	-899,000	-426,000
Notes payable-Jr. Subordinated Debt	'	-115,000
Notes payable - Revolver	1,164,000	2,950,000
Proceeds from note payable - Term Loan	'	3,900,000
Payments of notes payable - Term Loan	-1,350,000	-2,273,000
Cash paid for deferred financing costs	-10,000	-20,000
Payments related to Lease Impairment	-65,000	-78,000
Dividends Paid	-716,000	'
NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES	-2,355,000	10,019,000
NET INCREASE IN CASH AND CASH EQUIVALENTS	281,000	543,000
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	490,000	577,000
CASH AND CASH EQUIVALENTS AT END OF PERIOD	771,000	1,120,000
Supplemental cash flow information:	'	'
Cash paid during the year for interest	1,061,000	64,000
Supplemental schedule of non-cash investing and financing activities	'	'
Junior Subordinated Note Converted to Common Stock	'	5,204,000
Dividends payable	716,000	'
Purchase of substantially all assets of Nassau Tool Works, Inc and assumption of liabilities in the acquisition as follows:	'	'
Fair Value of Tangible Assets acquired	'	7,941,000
Intangible assets, subject to amortization	'	4,975,000
Goodwill	'	162,000
Liabilities assumed	'	-660,000
Due to Seller of Old Nassau Tool	'	-518,000
Common Stock	'	-300,000
Cash paid for acquisition	468,000	11,600,000
Purchase of certain assets of Decimal Industries, Inc	'	'
Fair Value of Tangible Assets acquired	975,000	'
Due to Sellers of Decimal Industries	-507,000	'
Cash paid for acquisition	$468,000	'

FORMATION_AND_BASIS_OF_PRESENT

FORMATION AND BASIS OF PRESENTATION	9 Months Ended
	Sep. 30, 2013
Formation And Basis Of Presentation	'
Note 1. FORMATION AND BASIS OF PRESENTATION	'
	Organization
	On August 30, 2013, Air Industries Group, Inc. (“Air Industries Delaware”) changed its state of incorporation from Delaware to Nevada as a result of a merger with and into its recently formed wholly-owned subsidiary, Air Industries Group, a Nevada corporation (“Air Industries Nevada” or “AIRI”) and the surviving entity, pursuant to an Agreement and Plan of Merger. The reincorporation was approved by the stockholders of Air Industries Delaware at its 2013 Annual Meeting of Stockholders. Air Industries Nevada is deemed to be the successor.
	The accompanying consolidated financial statements presented are those of AIRI, and its wholly-owned subsidiaries: Air Industries Machining Corporation (“AIM”), Welding Metallurgy, Inc. ("WMI") and Nassau Tool Works, Inc. (“NTW”) (together, the “Company”).

ACQUISITION

ACQUISITION	9 Months Ended
	Sep. 30, 2013
Business Combinations [Abstract]	'
Note 2. ACQUISITION	'
	On July 1, 2013 the Company acquired certain assets including production equipment, inventory and intangible assets of Decimal Industries, Inc. (“Decimal”).  The acquisition (“Decimal Transaction”) was made by the Company, and Decimal has become a division of WMI. Decimal is a long established Long Island based manufacturer of precision welded and brazed aerospace chassis and other components housing avionics, radars and other electronic devices in aircraft and naval vessels. Decimal’s customers include major aerospace contractors.
	The acquisition of Decimal was accounted for under FASB ASC 805, “Business Combinations”. The purchase price of the assets was $975,000, which included inventory of approximately $665,000 valued at a percentage of completion including anticipated profit on sale and certain fixed assets with an approximate value of $310,000. The purchase price was paid as follows: $315,000 in cash at closing with the balance payable in eight equal monthly installments without interest in the amount of $76,667 commencing in August 2013, with a final payment in the amount of $46,766. The two owners of Decimal have become employees of the Company and are under contract until June 2018. As part of the transaction, the facility of Decimal has been leased for 12 months until June 2014. It is the Company’s intention to combine and relocate the operations of Decimal into WMI’s facility in Hauppauge. At September 30, 2013, $506,667 was owed to the sellers of Decimal and is included in accounts payable and accrued expenses on the consolidated balance sheet.
	On November 6, 2013, the Company acquired all of the common stock of Miller Stuart, Inc. (“Miller Stuart”) for $25,000, which was due at the date of closing, and the net value of the accounts receivable, which are due at the beginning of December 2013.  Miller Stuart is a manufacturer of aerospace components whose customers include major aircraft manufacturers and the US Military. Miller Stuart specializes in electromechanical systems, harness and cable assemblies, electronic equipment and printed circuit boards.
	The acquisition of Miller Stuart will be accounted for under FASB ASC 805, “Business Combinations”. The purchase price allocation has not yet been completed.

SUMMARY_OF_SIGNIFICANT_ACCOUNT

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Sep. 30, 2013
Summary Of Significant Accounting Policies	'
Note 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	'
	Principal Business Activity
	The Company through its AIM subsidiary is primarily engaged in manufacturing aircraft structural parts, and assemblies for prime defense contractors in the aerospace industry in the United States. WMI is a specialty welding and products provider whose significant customers include the world's largest aircraft manufacturers, subcontractors, and original equipment manufacturers. NTW is a manufacturer of aerospace components, principally landing gear for F-16 and F-18 fighter aircraft.  The Company's customers consist mainly of publicly- traded companies in the aerospace industry.
	Inventory Valuation
	Inventory at September 30, 2013 and 2012 was computed based on a “gross profit” method.
	The Company valued inventory at December 31, 2012 at the lower of cost on a first-in-first-out basis or market.
	Credit and Concentration Risks
	There were three customers that represented 58.9% and 59.0% of total sales for the three months ended September 30, 2013 and 2012, respectively. This is set forth in the table below.
	Customer				Percentage of Sales
					2013				2012
					(Unaudited)				(Unaudited)
		1				26.7				25
		2				21.6				22.7
		3				10.6				11.3
	There were three customers that represented 58.7% and two customers that represented 59.3% of total sales for the nine months ended September 30, 2013 and 2012, respectively.  This is set forth in the table below.
	Customer				Percentage of Sales
					2013				2012
					(Unaudited)				(Unaudited)
		1				27.5				30.9
		2				19.1				28.3
		3				12.1				*
	* Customer was less than 10% of sales for the nine months ended September 30, 2012
	There were three customers that represented 59.8% and 54.6% of gross accounts receivable at September 30, 2013 and December 31, 2012, respectively. This is set forth in the table below.
	Customer				Percentage of Receivables
					September				December
					2013				2012
					(Unaudited)
		1				27.6				10.7
		2				20.3				18.6
		3				11.9				25.3
	The Company has occasionally maintained balances in its bank accounts that were in excess of the FDIC limit.  The Company has not experienced any losses on these accounts.
	AIM has several sole-source suppliers of various parts that are used in one or more of its products. If any of these sole source suppliers were to go out of business or be unable to provide it parts for any reason, AIM would be required to develop new suppliers or to re-engineer its products, or both, which could delay shipment of products and have a material adverse effect on its operating results.
	Earnings per share
	Basic earnings per share is computed by dividing the net income applicable to common stockholders by the weighted-average number of shares of common stock outstanding for the period. Potentially dilutive shares, using the treasury stock method, are included in the diluted per-share calculation for all periods when the effect of their inclusion is dilutive.
	The following is a reconciliation of the denominators of basic and diluted earnings per share computations:
			Three Months Ended								Nine Months Ended
			September 30,								September 30,
			2013				2012				2013		2012
			(Unaudited)				(Unaudited)				(Unaudited)		(Unaudited)
	Weighted average shares outstanding used to compute basic earning per share			5,711,093				5,706,510				5,711,093		4,334,570
	Effect of dilutive stock options and warrants			142,922				84,045				116,944		72,786
	Weighted average shares outstanding and dilutive securities used to compute dilutive earnings per share			5,854,015				5,790,555				5,828,037		4,407,356
	The following securities have been excluded from the calculation for the three and nine months ended September 30, 2013 and 2012, as their effect would be anti-dilutive:
			Septenber 30,				Septenber 30,
			2013				2012
			(Unaudited)				(Unaudited)
	Stock Options			17,048				15,548
	Warrants			-				250
				17,048				15,798
	Stock-Based Compensation
	The Company accounts for stock-based compensation in accordance with FASB ASC 718, "Compensation – Stock Compensation." Under the fair value recognition provision of the ASC, stock-based compensation cost is estimated at the grant date based on the fair value of the award. The Company estimates the fair value of stock options and warrants granted using the Black-Scholes-Merton option pricing model. Stock-based compensation amounted to $9,000 and $45,000 for the three months ending September 30, 2013 and 2012, respectively, and $15,000 and $88,000 for the nine months ending September 30, 2013 and 2012, respectively and was included in operating expenses on the accompanying Condensed Consolidated Statement of Income.
	Goodwill
	Goodwill represents the excess of the acquisition cost of businesses over the fair value of the identifiable net assets acquired. The goodwill amount of $453,000 relates to the acquisition of WMI ($291,000) and NTW Acquisition ($162,000). Goodwill is not amortized, but is tested at least annually for impairment, or if circumstances occur that more likely than not will reduce the fair value of the reporting unit below its carrying amount.
	The Company has determined that there has been no impairment of goodwill at September 30, 2013 and December 31, 2012.
	Recently Issued Accounting Pronouncements
	Effective January 1, 2013, the Company adopted Accounting Standards Update (“ASU”) 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income” (ASU 2013-02).   ASU 2013-02 requires the disclosure of amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present either on the face of the statement of operations or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required to be reclassified to net income in its entirety in the same reporting period. For amounts not reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures that provide additional detail about those amounts. This guidance is effective prospectively for the Company for annual and interim periods beginning January 1, 2013. The adoption of ASU 2013-02 did not have a material effect on the Company’s financial position, results of operations or cash flows.
	On July 18, 2013, the FASB issued Accounting Standards Update No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” (“ASU 2013-11”).  ASU 2013-11 is expected to reduce diversity in practice by providing guidance on the presentation of unrecognized tax benefits and will better reflect the manner in which an entity would settle at the reporting date any additional income taxes that would result from the disallowance of a tax position when net operating loss carryforwards, similar tax losses, or tax credit carryforwards exist. The amendments in this update should be applied prospectively for annual and interim periods beginning after December 15, 2013.  The Company is currently evaluating the impact of its pending adoption of ASU 2013-11 on its consolidated financial statements.
	The Company does not believe that any other recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the accompanying financial statements.
	Reclassifications
	Certain account balances in 2012 have been reclassified to conform with the current period presentation.
	Subsequent Events
	Management has evaluated subsequent events through the date of this filing.

ACCOUNTS_RECEIVABLE

ACCOUNTS RECEIVABLE	9 Months Ended
	Sep. 30, 2013
Notes to Financial Statements	'
Note 4. ACCOUNTS RECEIVABLE	'
	The components of accounts receivable are detailed as follows:
		September 30,			December 31,
		2013			2012
		(Unaudited)
	Accounts Receivable Gross	$	11,535,000		$	12,336,000
	Allowance for Doubtful Accounts		(987,000	)		(705,000	)
	Accounts Receivable Net	$	10,548,000		$	11,631,000

PROPERTY_AND_EQUIPMENT

PROPERTY AND EQUIPMENT	9 Months Ended
	Sep. 30, 2013
Property And Equipment	'
Note 5. PROPERTY AND EQUIPMENT	'
	The components of property and equipment at September 30, 2013 and December 31, 2012 consisted of the following:
		September 30,			December 31,
		2013			2012
		(Unaudited)
	Machinery and Equipment	$	6,200,000		$	5,801,000		5 - 8 years
	Capital Lease Machinery and Equipment		4,503,000			4,503,000		5 - 8 years
	Tools and Instruments		4,567,000			3,968,000		1.5 - 7 years
	Automotive Equipment		55,000			55,000		5 years
	Furniture and Fixtures		232,000			232,000		5 - 8 years
	Leasehold Improvements		612,000			612,000		Term of Lease
	Computers and Software		331,000			318,000		4-6 years
	Total Property and Equipment		16,500,000			15,489,000
	Less: Accumulated Depreciation		(10,848,000	)		(9,606,000	)
	Property and Equipment, net	$	5,652,000		$	5,883,000
	Depreciation expense for the three months ended September 30, 2013 and 2012 was approximately $441,000 and $413,000, respectively.  Depreciation expense for the nine months ended September 30, 2013 and 2012 was approximately $1,242,000 and $1,097,000, respectively.

INTANGIBLE_ASSETS

INTANGIBLE ASSETS	9 Months Ended
	Sep. 30, 2013
Intangible Assets	'
Note 6. INTANGIBLE ASSETS	'
	The components of intangible assets consisted of the following:
		September 30,			December 31,
		2013			2012
		(Unaudited)
	Customer Relationships	$	5,815,000		$	5,815,000		5 to 14 years
	Trade Names		770,000			770,000		20 years
	Technical Know-how		660,000			660,000		10 years
	Non-Compete		50,000			50,000		5 years
	Professional Certifications		15,000			15,000		.25 to 2 years
	Total Intangible Assets		7,310,000			7,310,000
	Less: Accumulated Amortization		(2,293,000	)		(1,421,000	)
	Intangible Assets, net	$	5,017,000		$	5,889,000
	Amortization expense for the three months ended September 30, 2013 and 2012 was approximately $290,000 and $318,000, respectively.  Amortization expense for the nine months ended September 30, 2013 and 2012 was approximately $872,000 and $402,000, respectively.

NOTES_PAYABLE_AND_CAPITAL_LEAS

NOTES PAYABLE AND CAPITAL LEASE OBLIGATIONS	9 Months Ended
	Sep. 30, 2013
Notes Payable And Capital Lease Obligations	'
Note 7. NOTES PAYABLE AND CAPITAL LEASE OBLIGATIONS	'
	Notes payable and capital lease obligations consist of the following:
			September 30,			December 31,
			2013			2012
			(Unaudited)
	Revolving credit note payable to PNC Bank N.A. ("PNC") and
	secured by substantially all assets		$	16,831,000		$	15,667,000
	Term loan, PNC			2,398,000			3,748,000
	Capital lease obligations			1,161,000			2,060,000
	Notes payable to sellers of WMI			897,000			1,376,000
	Junior subordinated notes			1,000,000			1,000,000
	Subtotal			22,287,000			23,851,000
	Less:  Current portion of notes and capital obligations			(19,626,000	)		(19,211,000	)
	Notes payable and capital lease obligations, net of current portion		$	2,661,000		$	4,640,000
	PNC Bank N.A. ("PNC")
	On June 27, 2013, the Company entered into an Amended and Restated Revolving Credit, Term Loan, and Security Agreement with PNC (the “Loan Facility”), secured by substantially all of its assets.  The Company paid an amendment fee of $10,000.  The Loan Facility now provides for maximum borrowings of $20,847,604 consisting of the following:
	(i)	a $18,000,000 revolving credit note (includes inventory sub-limit of $12,500,000); and
	(ii)	a $2,847,604 term loan.
	The assets acquired from Decimal are now part of the collateral securing amounts due under the Loan Facility.
	Under the terms of the Loan Facility the revolving credit note now bears interest at (a) the sum of the Alternate Base Rate plus three quarters of one percent (0.75%) with respect to Domestic Rate Loans and (b) the greater of the sum of the Eurodollar Rate plus two and three quarters of one percent (2.75%) with respect of Eurodollar Rate Loans.   Prior to the amendment the revolving credit note bore interest at (a) the sum of PNC's base commercial lending rate as published from time to time ("PNC Rate") plus 2.00% and (b) the greater of the sum of the Eurodollar rate plus 3.5%.  The revolving credit note had an interest rate of 4.0 % and 5.50% per annum at September 30, 2013 and December 31, 2012, respectively, and an outstanding balance of $16,381,000 and $15,667,000, respectively. The maturity date of the revolving credit note is November 30, 2016.
	Each day, the Company's cash collections are swept directly by the bank to reduce the balance owed under the revolving credit note and the Company then borrows according to a borrowing base. As such, the Company generally has no cash on hand. Because the revolving credit note contains a subjective acceleration clause which could permit PNC to require repayment prior to maturity, the balance owed under the revolving credit note is classified with the current portion of notes and capital lease obligations.
	Under the terms of the Loan Facility, the maturity date of the term loan is the first business day (as defined) of January 2015. The term loan now bears interest equal to (a) the sum of the Alternate Base Rate plus one and three quarters of one percent (1.75%) with respect to Domestic Rate Loans or (b) the sum of the Eurodollar Rate plus three and one half of one percent (3.50%) with respect to Eurodollar Rate Loans. Prior to the amendment the term loan bore interest, at the option of the Company equal to (a) the greater of (i) the sum of the PNC Rate plus 6.5% and (ii) 11.5%, with respect to Domestic Rate Loans or (b) the greater of (i) the sum of the Eurodollar Rate plus 8.5% and (ii) 10.5%, with respect to Eurodollar Rate Loans.  Repayment under the term loan shall consist of 19 consecutive monthly principal installments, the first 18 of which will be in the amount of $150,000 commencing on the first business day of July 2013, with the 19th and final payment of any unpaid balance of principal and interest payable on the first business day of January 2015.  Additionally, upon a request from PNC no later than the last day of any applicable fiscal quarter, there is a prepayment equal to 50% of Excess Cash Flow (as defined) for each fiscal quarter commencing with the fiscal quarter ended June 30, 2013 (formerly September 30, 2012), payable upon the delivery of the financial statements for such fiscal period to PNC, but no later than 45 days after the end of the fiscal quarter.   PNC did not make such a request for the quarter ended September 30, 2013,   At September 30, 2013 and December 31, 2012, the balance due under the term loan was $2,398,000 and $3,748,000, respectively.
	To the extent that the Company disposes of collateral used to secure the Loan Facility, other than inventory, the Company must promptly repay the draws on the credit facility in an amount equal to the net proceeds of such sale.
	The terms of the Loan Facility require that, among other things, the Company maintain a specified Fixed Charge Coverage Ratio.  In addition, the Company is limited in the amount of Capital Expenditures it can make. The Company is also limited to the amount of Dividends it can pay its shareholders as defined in the Loan Facility.  As of both September 30, 2013 and December 31, 2012, the Company was in compliance with all terms of the Loan Facility.
	The Company's receivables are payable directly into a lockbox controlled by PNC (subject to the terms of the Loan Facility). PNC may use some elements of subjective business judgment in determining whether a material adverse change has occurred in the Company's condition, results of operations, assets, business, properties or prospects allowing it to demand repayment of the Loan Facility.
	As of September 30, 2013 the future minimum principal payments for the term loan are as follows:
	For the twelve months ending		Amount
	30-Sep-14		$	1,800,000
	30-Sep-15			598,000
	PNC Term Loan Payable			2,398,000
	Less: Current portion			(1,800,000	)
	Long-term portion		$	598,000
	Interest expense related to the Loan Facilities amounted to approximately $197,000 and $314,000 for the three months ended September 30, 2013 and 2012, respectively, and $737,000 and $723,000 for the nine months ended September 30, 2013 and 2012, respectively.
	On July16, 2012, the Company entered into the 18th amendment to its Loan Facility with PNC.  This amendment allowed for the repayment of $115,000 of its Junior Subordinated Notes (see discussion below).
	Capital Leases Payable – Equipment
	The Company is committed under several capital leases for manufacturing and computer equipment. All leases have bargain purchase options exercisable at the termination of each lease. Capital lease obligations totaled $1,161,000 and $2,060,000 as of September 30, 2013 and December 31, 2012, respectively, with various interest rates ranging from 7.0% to 9.5%.
	As of September 30, 2013, the aggregate future minimum lease payments, including imputed interest, with remaining terms of greater than one year are as follows:
	For the twelve months ending		Amount
	30-Sep-14		$	397,000
	30-Sep-15			397,000
	30-Sep-16			345,000
	30-Sep-17			189,000
	Total future minimum lease payments			1,328,000
	Less: imputed interest			(167,000	)
	Less: current portion			(316,000	)
	Total Long Term Portion		$	845,000
	On July 1, 2013, the Company satisfied approximately $454,000 of capital leases that had maturities of less than one year remaining. As a result of this satisfaction PNC now has the first lien on the equipment that was previously leased under the capital leases.
	Notes Payable – Sellers of WMI
	As of September 30, 2013 and December 31, 2012, the balance owed to the sellers of WMI is:
			September 30,			December 31,
			2013			2012
			(Unaudited)
	Former Welding Stockholders		$	897,000		$	1,376,000
	Less:  Current Portion			(679,000	)		(644,000	)
	Total long-term portion		$	218,000		$	732,000
	In connection with the acquisition of WMI on August 24, 2007, the Company incurred a note payable (“Note”) to the former stockholders of WMI.   The obligation under the Note is subordinate to the Company’s indebtedness to PNC.
	The Note and payment terms were adjusted and/or amended several times.  On October 1, 2010, the Company entered into a letter agreement with the former stockholders of WMI making the new balance of the note $2,397,967.  Payments on the note began on October 1, 2010.  It was further agreed that payments would be made according to the following schedule: equal monthly installments of $40,000 on the first business day of each month until December 31, 2011, followed by equal monthly installments of $60,000 on the first business day of each month commencing on January 1, 2012 and continuing until the entire principal amount of the obligation is paid in full, which is estimated to be in January 2015.  Interest shall accrue at the rate of 7% per annum, and each payment will first apply to interest and then to principal.  At September 30, 2013 and December 31, 2012, the balance owed under the note was $897,000 and $1,376,000, respectively.
	As of September 30, 2013, the future minimum payments for the note payable to the former stockholders of WMI are as follows:
	For the twelve months ending		Amount
	30-Sep-14		$	679,000
	30-Sep-15			218,000
	Former WMI Stockholders  Notes Payable			897,000
	Less: Current portion			(679,000	)
	Long-term portion		$	218,000
Interest expense related to notes payable to the former stockholders of WMI was $17,000 and $29,000 for the three months ended September 30, 2013 and 2012, respectively and $61,000 and $93,000 for the nine months ended September 30, 2013 and 2012 respectively.
Junior Subordinated Notes
In 2008 and 2009, the Company sold in a series of private placements to accredited investors $5,990,000 of principal amount in Junior Subordinated Notes. The notes bear interest at the rate of 1% per month (or 12% per annum).
In connection with the offering of the Company's Junior Subordinated Notes, the Company issued to Taglich Brothers, Inc. ("Taglich Brothers"), as placement agent, a Junior Subordinated Note in the principal amount of $510,000. The terms of the note issued to Taglich Brothers are identical to the notes. In connection with the amounts raised in 2009, the Company issued to Taglich Brothers a Junior Subordinated Note on the same terms as the Junior Subordinated Notes referred to above for commission of $44,500.
In conjunction with the Private Placement of our common stock to raise money for the NTW Acquisition, the Company solicited the holders of our Junior Subordinated Notes to convert their notes to Common Stock at a price of $6.00 per share. On June 29, 2012, the Company issued 867,461 shares of its Common Stock in exchange for approximately $5,204,000 of its Junior Subordinated Notes. On July 26, 2012, the Company repaid $115,000 of our Junior Subordinated Notes along with the accrued interest thereon of approximately $1,000.
The due dates of the remaining Junior Subordinated Notes were extended from November 18, 2013 to mature on November 30, 2016 and are subordinated to the Company's obligations to PNC.
The balance owed on the Junior Subordinated Notes at September 30, 2013 and December 31, 2012 amounted to $1,000,000.
Interest expense on the Junior Subordinated Notes amounted to $30,000 and $30,000 for the three months ended September 30, 2013 and 2012, respectively, and $90,000 and $409,000 for the nine months ended September 30, 2013 and 2012, respectively.

STOCKHOLDERS_EQUITY

STOCKHOLDERS' EQUITY	9 Months Ended
	Sep. 30, 2013
Stockholders' Equity	'
Note 8. STOCKHOLDERS' EQUITY	'
	Common Stock Issuances
	During June and July of 2012, the Company issued 1,185,851 shares of its Common Stock in a Private Placement to Accredited Investors. The Company received $6,528,000 net of commissions and expenses. The placement agent, Taglich Brothers, received commissions in the amount of approximately $569,000, along with 12,000 shares of common stock, and Warrants to purchase approximately 119,000 shares of Common Stock at $6.30. The Company also paid approximately $18,000 of legal fees on behalf of Taglich Brothers.
	There were no shares issued during the three and nine months ended September 30, 2013.
	On October 28, 2013, the Company sold 133,000 shares of its common stock for $7.50 a share for gross proceeds of $997,500.  The Company reserves the right to pay Taglich Brothers a placement agent fee in connection with the sale in an amount not to exceed $20,000.
	Dividends
	On March 11, 2013, the Board of Directors approved and the Company announced a quarterly dividend of $0.0625 per common share paid on April 1, 2013 to all shareholders of record as of the close of business on March 15, 2013.  The approximate amount of the dividend was $358,000.
	On June 20, 2013, the Board of Directors approved and the Company announced a quarterly dividend of $0.0625 per common share paid on July 5, 2013 to all shareholders of record as of the close of business on July 1, 2013.  The approximate amount of the dividend was $358,000.
	On September 17, 2013, the Board of Directors approved and the Company announced a quarterly dividend of $0.125 per common share paid on October 15, 2013 to all shareholders of record as of the close of business on September 30, 2013.  The approximate amount of the dividend was $716,000.
	Dividends for the three and nine months ended September 30, 2013 amounted to $716,000 and $1,432,000, respectively. There were no dividends for the three and nine months ended September 30, 2012.
	Stock Options
	On June 3, 2013, the Board of Directors adopted the Company’s 2013 Equity Incentive Plan (“2013 Plan”).  The 2013 plan is virtually identical to and is intended to replace, the Company’s 2010 Equity Incentive Plan. The proposal to approve the 2013 Plan was approved by the affirmative vote of the Company’s stockholders on July 29, 2013.
	Derivative Liability
	In connection with the issuances of equity instruments or debt, the Company may issue options or warrants to purchase common stock. In certain circumstances, these options or warrants may be classified as liabilities, rather than as equity. In addition, the equity instrument or debt may contain embedded derivative instruments, such as conversion options or listing requirements, which in certain circumstances may be required to be bifurcated from the associated host instrument and accounted for separately as a derivative liability instrument. The Company accounts for derivative liability instruments under the provisions of FASB ASC 815, “Derivatives and Hedging.”
	In connection with the private placement to raise money for the NTW Acquisition, the Company issued warrants to Taglich Brothers.  Such warrants contain “cashless exercise” provisions.  As a result, the value of the warrants has to be recognized as a liability.  In addition, the Company would be required to revalue the derivative liability at the end of each reporting period with the change in value reported on the statement of operations.  The Company did not account for the derivative liability in its financial statements as it was determined to not be material.

CONTINGENCIES

CONTINGENCIES	9 Months Ended
	Sep. 30, 2013
Federal AMT	'
Note 9. CONTINGENCIES	'
	Litigation
	Sigma Metals, Inc. (“Sigma”):  Several former vendors to Sigma, a former subsidiary of the Company, had commenced legal action against Sigma seeking to recover amounts owed to them. All of these have settled except for one vendor that is still deciding whether to commence litigation seeking the recovery of approximately $71,000.  Settlement discussions have commenced with this vendor but there is not yet a definitive resolution.

INCOME_TAXES

INCOME TAXES	9 Months Ended
	Sep. 30, 2013
Income Taxes	'
Note 10. INCOME TAXES	'
	The provision for income taxes as at September 30, are set forth below:
		2013			2012
		(Unaudited)			(Unaudited)
	Current
	Federal	$	922,000		$	778,000
	State		277,000			258,000
	Prior year overaccruals
	Federal		(206,000	)		-
	State		(244,000	)		-
	Total Expense		749,000			1,036,000
	Deferred Tax Benefit		(1,625,000	)		-
	Net (Benefit) Expense for Income Taxes	$	(876,000	)	$	1,036,000
	The components of net deferred tax assets as of September 30, 2013 and December 31 2012 are set forth below:
		September 30,			December 31,
		2013			2012
		(Unaudited)
	Deferred tax assets:
	Capital loss carry forwards	$	1,088,000		$	1,088,000
	Section 1231 loss carry forward		4,000			86,000
	Bad debts		395,000			282,000
	Stock based compensation - options and restricted stock		512,000			506,000
	Capitalized engineering costs		483,000			447,000
	Account payable, accrued expenses and reserves		9,000			9,000
	Deferred rent		445,000			423,000
	Amortization - NTW Transaction		312,000			138,000
	Inventory - 263A adjustment		785,000			569,000
	Lease Impairment		59,000			85,000
	Deferred gain on sale of real estate		198,000			209,000
	Total deferred tax assets before valuation allowance		4,290,000			3,842,000
	Valuation allowance		(1,092,000	)		(2,269,000	)
	Total deferred tax assets after valuation allowance		3,198,000			1,573,000
	Deferred tax liabilities:
	Property and equipment		(1,044,000	)		(997,000	)
	Goodwill - NTW Transaction		(4,000	)		-
	Amortization - Welding Transaction		(525,000	)		(576,000	)
	Total Deferred Tax Liability		(1,573,000	)		(1,573,000	)
	Net deferred tax asset	$	1,625,000		$	-
	During the three and nine months ended September 30, 2013, the Company determined that it no longer needed to provide a valuation allowance on the net deferred tax assets except for the capital loss and section 1231 loss carryforwards.  This was based upon the fact that management believes that the realizability of the net deferred tax assets is more likely than not to be realized.  The valuation allowance at September 30, 2013 and December 31, 2012 was $1,092,000 and $2,269,000, respectively.
	The Company has a capital loss carry forward from the sale of Sigma of $2,719,000 which will expire in fiscal 2015.

SEGMENT_REPORTING

SEGMENT REPORTING	9 Months Ended
	Sep. 30, 2013
Notes to Financial Statements	'
Note 10. SEGMENT REPORTING	'
	In accordance with FASB ASC 280, “Segment Reporting” the Company discloses financial and descriptive information about its reportable operating segments. Operating segments are components of an enterprise about which separate financial information is available and regularly evaluated by the chief operating decision maker in deciding how to allocate resources and in assessing performance.
	The Company is operating in three segments. AIM manufactures components and subassemblies for the defense and aerospace industry.  NTW is a manufacturer of aerospace components, principally landing gear for F-16 and F-18 fighter aircraft. The financial information of NTW is only included as of the date of acquisition (June 20, 2012). WMI provides specialty welding services and metal fabrications to the defense and commercial aerospace industry. While each of these segments service the same industries and a similar customer base, we evaluate the performance of each segment separately in deciding how to allocate resources and in accessing profitability.
	Beginning on January 1, 2013, the Company began to allocate all of the corporate selling and general and administrative costs of AIRI to each of its three subsidiaries. For 2013, these are allocated 50% to AIM and 25% to each of WMI and NTW. For 2012, such costs have been reclassified to reflect an allocation of AIRI corporate costs to its subsidiaries. These were reclassified 75% to AIM and 25% to WMI during the first six months of 2012 and 50% to AIM and 25% each to each of WMI and NTW beginning with the three months ended September 30, 2012 (NTW was acquired on June 20, 2012).
	Financial information about the Company's operating segments for the three months ended September 30, 2013 and 2012 are as follows:
	Three Months Ended September 30,
		2013			2012
		(Unaudited)			(Unaudited)
	AIM
	Net Sales	$	9,863,000		$	9,587,000
	Gross Profit		1,926,000			1,788,000
	Pre Tax Income		949,000			809,000
	Assets		25,336,000			23,946,000
	WMI
	Net Sales		3,800,000			2,891,000
	Gross Profit		953,000			850,000
	Pre Tax Income		(126,000	)		47,000
	Assets		10,334,000			8,986,000
	NTW
	Net Sales		2,389,000			3,080,000
	Gross Profit		864,000			1,196,000
	Pre Tax Income		25,000			406,000
	Assets		13,005,000			13,863,000
	Corporate
	Net Sales		-			-
	Gross Profit		-			-
	Pre Tax Loss		(109,000	)		(261,000	)
	Assets		9,964,000			15,478,000
	Consolidated
	Net Sales		16,052,000			15,558,000
	Gross Profit		3,743,000			3,834,000
	Pre Tax Income		739,000			1,001,000
	Provision for Taxes		(1,795,000	)		387,000
	Net Income		2,534,000			614,000
	Elimination of Assets		(4,852,000	)		(12,082,000	)
	Assets		53,787,000			50,191,000
	Financial information about the Company's operating segments for the nine months ended September 30, 2013 and 2012 are as follows:
	Nine Months Ended September 30,
		2013			2012
		(Unaudited)			(Unaudited)
	AIM
	Net Sales	$	25,528,000		$	33,314,000
	Gross Profit		4,986,000			6,227,000
	Pre Tax Income		2,037,000			2,516,000
	Assets		25,336,000			23,946,000
	WMI
	Net Sales		10,246,000			9,929,000
	Gross Profit		2,694,000			2,919,000
	Pre Tax Income		(131,000	)		705,000
	Assets		10,334,000			8,986,000
	NTW
	Net Sales		9,242,000			3,592,000
	Gross Profit		3,340,000			1,394,000
	Pre Tax Income		746,000			562,000
	Assets		13,005,000			13,863,000
	Corporate
	Net Sales		-			-
	Gross Profit		-			-
	Pre Tax Loss		(489,000	)		(992,000	)
	Assets		9,964,000			15,478,000
	Consolidated
	Net Sales		45,016,000			46,835,000
	Gross Profit		11,020,000			10,540,000
	Pre Tax Income		2,163,000			2,791,000
Provision for Taxes		(876,000	)		1,036,000
Net Income		3,039,000			1,755,000
Elimination of Assets		(4,852,000	)		(12,082,000	)
Assets		53,787,000			50,191,000

SUMMARY_OF_SIGNIFICANT_ACCOUNT1

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Sep. 30, 2013
Summary Of Significant Accounting Policies Policies	'
Principal Business Activity	'
	The Company through its AIM subsidiary is primarily engaged in manufacturing aircraft structural parts, and assemblies for prime defense contractors in the aerospace industry in the United States. WMI is a specialty welding and products provider whose significant customers include the world's largest aircraft manufacturers, subcontractors, and original equipment manufacturers. NTW is a manufacturer of aerospace components, principally landing gear for F-16 and F-18 fighter aircraft.  The Company's customers consist mainly of publicly- traded companies in the aerospace industry.
Inventory Valuation	'
	Inventory at September 30, 2013 and 2012 was computed based on a “gross profit” method.
	The Company valued inventory at December 31, 2012 at the lower of cost on a first-in-first-out basis or market.
Credit and Concentration Risks	'
	There were three customers that represented 58.9% and 59.0% of total sales for the three months ended September 30, 2013 and 2012, respectively. This is set forth in the table below.
	Customer				Percentage of Sales
					2013				2012
					(Unaudited)				(Unaudited)
		1				26.7				25
		2				21.6				22.7
		3				10.6				11.3
	There were three customers that represented 58.7% and two customers that represented 59.3% of total sales for the nine months ended September 30, 2013 and 2012, respectively.  This is set forth in the table below.
	Customer				Percentage of Sales
					2013				2012
					(Unaudited)				(Unaudited)
		1				27.5				30.9
		2				19.1				28.3
		3				12.1				*
	* Customer was less than 10% of sales for the nine months ended September 30, 2012
	There were three customers that represented 59.8% and 54.6% of gross accounts receivable at September 30, 2013 and December 31, 2012, respectively. This is set forth in the table below.
	Customer				Percentage of Receivables
					September				December
					2013				2012
					(Unaudited)
		1				27.6				10.7
		2				20.3				18.6
		3				11.9				25.3
	The Company has occasionally maintained balances in its bank accounts that were in excess of the FDIC limit.  The Company has not experienced any losses on these accounts.
	AIM has several sole-source suppliers of various parts that are used in one or more of its products. If any of these sole source suppliers were to go out of business or be unable to provide it parts for any reason, AIM would be required to develop new suppliers or to re-engineer its products, or both, which could delay shipment of products and have a material adverse effect on its operating results.
Earnings per share	'
	Basic earnings per share is computed by dividing the net income applicable to common stockholders by the weighted-average number of shares of common stock outstanding for the period. Potentially dilutive shares, using the treasury stock method, are included in the diluted per-share calculation for all periods when the effect of their inclusion is dilutive.
	The following is a reconciliation of the denominators of basic and diluted earnings per share computations:
			Three Months Ended								Nine Months Ended
			September 30,								September 30,
			2013				2012				2013		2012
			(Unaudited)				(Unaudited)				(Unaudited)		(Unaudited)
	Weighted average shares outstanding used to compute basic earning per share			5,711,093				5,706,510				5,711,093		4,334,570
	Effect of dilutive stock options and warrants			142,922				84,045				116,944		72,786
	Weighted average shares outstanding and dilutive securities used to compute dilutive earnings per share			5,854,015				5,790,555				5,828,037		4,407,356
	The following securities have been excluded from the calculation for the three and nine months ended September 30, 2013 and 2012, as their effect would be anti-dilutive:
			Septenber 30,				Septenber 30,
			2013				2012
			(Unaudited)				(Unaudited)
	Stock Options			17,048				15,548
	Warrants			-				250
				17,048				15,798
Stock-Based Compensation	'
	The Company accounts for stock-based compensation in accordance with FASB ASC 718, "Compensation – Stock Compensation." Under the fair value recognition provision of the ASC, stock-based compensation cost is estimated at the grant date based on the fair value of the award. The Company estimates the fair value of stock options and warrants granted using the Black-Scholes-Merton option pricing model. Stock-based compensation amounted to $9,000 and $45,000 for the three months ending September 30, 2013 and 2012, respectively, and $15,000 and $88,000 for the nine months ending September 30, 2013 and 2012, respectively and was included in operating expenses on the accompanying Condensed Consolidated Statement of Income.
Goodwill	'
	Goodwill represents the excess of the acquisition cost of businesses over the fair value of the identifiable net assets acquired. The goodwill amount of $453,000 relates to the acquisition of WMI ($291,000) and NTW Acquisition ($162,000). Goodwill is not amortized, but is tested at least annually for impairment, or if circumstances occur that more likely than not will reduce the fair value of the reporting unit below its carrying amount.
	The Company has determined that there has been no impairment of goodwill at September 30, 2013 and December 31, 2012.
Recently Issued Accounting Pronouncements	'
	Effective January 1, 2013, the Company adopted Accounting Standards Update (“ASU”) 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income” (ASU 2013-02).   ASU 2013-02 requires the disclosure of amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present either on the face of the statement of operations or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required to be reclassified to net income in its entirety in the same reporting period. For amounts not reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures that provide additional detail about those amounts. This guidance is effective prospectively for the Company for annual and interim periods beginning January 1, 2013. The adoption of ASU 2013-02 did not have a material effect on the Company’s financial position, results of operations or cash flows.
	On July 18, 2013, the FASB issued Accounting Standards Update No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” (“ASU 2013-11”).  ASU 2013-11 is expected to reduce diversity in practice by providing guidance on the presentation of unrecognized tax benefits and will better reflect the manner in which an entity would settle at the reporting date any additional income taxes that would result from the disallowance of a tax position when net operating loss carryforwards, similar tax losses, or tax credit carryforwards exist. The amendments in this update should be applied prospectively for annual and interim periods beginning after December 15, 2013.  The Company is currently evaluating the impact of its pending adoption of ASU 2013-11 on its consolidated financial statements.
	The Company does not believe that any other recently issued, but not yet effective, accounting standards if currently adopted would have a material effect on the accompanying financial statements.
Reclassifications	'
	Certain account balances in 2012 have been reclassified to conform with the current period presentation.
Subsequent Events	'
	Management has evaluated subsequent events through the date of this filing.

SUMMARY_OF_SIGNIFICANT_ACCOUNT2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	9 Months Ended
	Sep. 30, 2013
Summary Of Significant Accounting Policies Tables	'
Credit and Concentration Risks	'
	There were three customers that represented 58.9% and 59.0% of total sales for the three months ended September 30, 2013 and 2012, respectively. This is set forth in the table below.
	Customer				Percentage of Sales
					2013				2012
					(Unaudited)				(Unaudited)
		1				26.7				25
		2				21.6				22.7
		3				10.6				11.3
	There were three customers that represented 58.7% and two customers that represented 59.3% of total sales for the nine months ended September 30, 2013 and 2012, respectively.  This is set forth in the table below.
	Customer				Percentage of Sales
					2013				2012
					(Unaudited)				(Unaudited)
		1				27.5				30.9
		2				19.1				28.3
		3				12.1				*
	* Customer was less than 10% of sales for the nine months ended September 30, 2012
	There were three customers that represented 59.8% and 54.6% of gross accounts receivable at September 30, 2013 and December 31, 2012, respectively. This is set forth in the table below.
	Customer				Percentage of Receivables
					September				December
					2013				2012
					(Unaudited)
		1				27.6				10.7
		2				20.3				18.6
		3				11.9				25.3
Earnings per share	'
	The following is a reconciliation of the denominators of basic and diluted earnings per share computations:
			Three Months Ended								Nine Months Ended
			September 30,								September 30,
			2013				2012				2013		2012
			(Unaudited)				(Unaudited)				(Unaudited)		(Unaudited)
	Weighted average shares outstanding used to compute basic earning per share			5,711,093				5,706,510				5,711,093		4,334,570
	Effect of dilutive stock options and warrants			142,922				84,045				116,944		72,786
	Weighted average shares outstanding and dilutive securities used to compute dilutive earnings per share			5,854,015				5,790,555				5,828,037		4,407,356
Anti-dilutive Securities	'
	The following securities have been excluded from the calculation for the three and nine months ended September 30, 2013 and 2012, as their effect would be anti-dilutive:
			Septenber 30,				Septenber 30,
			2013				2012
			(Unaudited)				(Unaudited)
	Stock Options			17,048				15,548
	Warrants			-				250
				17,048				15,798

ACCOUNTS_RECEIVABLE_Tables

ACCOUNTS RECEIVABLE (Tables)	9 Months Ended
	Sep. 30, 2013
Notes to Financial Statements	'
Components of accounts receivable	'
	The components of accounts receivable are detailed as follows:
		September 30,			December 31,
		2013			2012
		(Unaudited)
	Accounts Receivable Gross	$	11,535,000		$	12,336,000
	Allowance for Doubtful Accounts		(987,000	)		(705,000	)
	Accounts Receivable Net	$	10,548,000		$	11,631,000

PROPERTY_AND_EQUIPMENT_Tables

PROPERTY AND EQUIPMENT (Tables)	9 Months Ended
	Sep. 30, 2013
Property And Equipment Tables	'
Property and equipment	'
	The components of property and equipment at September 30, 2013 and December 31, 2012 consisted of the following:
		September 30,			December 31,
		2013			2012
		(Unaudited)
	Machinery and Equipment	$	6,200,000		$	5,801,000		5 - 8 years
	Capital Lease Machinery and Equipment		4,503,000			4,503,000		5 - 8 years
	Tools and Instruments		4,567,000			3,968,000		1.5 - 7 years
	Automotive Equipment		55,000			55,000		5 years
	Furniture and Fixtures		232,000			232,000		5 - 8 years
	Leasehold Improvements		612,000			612,000		Term of Lease
	Computers and Software		331,000			318,000		4-6 years
	Total Property and Equipment		16,500,000			15,489,000
	Less: Accumulated Depreciation		(10,848,000	)		(9,606,000	)
	Property and Equipment, net	$	5,652,000		$	5,883,000

INTANGIBLE_ASSETS_Tables

INTANGIBLE ASSETS (Tables)	9 Months Ended
	Sep. 30, 2013
Intangible Assets Tables	'
Intangible assets	'
	The components of intangible assets consisted of the following:
		September 30,			December 31,
		2013			2012
		(Unaudited)
	Customer Relationships	$	5,815,000		$	5,815,000		5 to 14 years
	Trade Names		770,000			770,000		20 years
	Technical Know-how		660,000			660,000		10 years
	Non-Compete		50,000			50,000		5 years
	Professional Certifications		15,000			15,000		.25 to 2 years
	Total Intangible Assets		7,310,000			7,310,000
	Less: Accumulated Amortization		(2,293,000	)		(1,421,000	)
	Intangible Assets, net	$	5,017,000		$	5,889,000

NOTES_PAYABLE_AND_CAPITAL_LEAS1

NOTES PAYABLE AND CAPITAL LEASE OBLIGATIONS (Tables)	9 Months Ended
	Sep. 30, 2013
Notes Payable And Capital Lease Obligations Tables	'
Notes payable and capital lease obligations	'
	Notes payable and capital lease obligations consist of the following:
		September 30,			December 31,
		2013			2012
		(Unaudited)
	Revolving credit note payable to PNC Bank N.A. ("PNC") and
	secured by substantially all assets	$	16,831,000		$	15,667,000
	Term loan, PNC		2,398,000			3,748,000
	Capital lease obligations		1,161,000			2,060,000
	Notes payable to sellers of WMI		897,000			1,376,000
	Junior subordinated notes		1,000,000			1,000,000
	Subtotal		22,287,000			23,851,000
	Less:  Current portion of notes and capital obligations		(19,626,000	)		(19,211,000	)
	Notes payable and capital lease obligations, net of current portion	$	2,661,000		$	4,640,000
Future minimum principal payments for term loan	'
	As of September 30, 2013 the future minimum principal payments for the term loan are as follows:
	For the twelve months ending	Amount
	30-Sep-14	$	1,800,000
	30-Sep-15		598,000
	PNC Term Loan Payable		2,398,000
	Less: Current portion		(1,800,000	)
	Long-term portion	$	598,000
Future minimum lease payments, including imputed interest	'
	As of September 30, 2013, the aggregate future minimum lease payments, including imputed interest, with remaining terms of greater than one year are as follows:
	For the twelve months ending	Amount
	30-Sep-14	$	397,000
	30-Sep-15		397,000
	30-Sep-16		345,000
	30-Sep-17		189,000
	Total future minimum lease payments		1,328,000
	Less: imputed interest		(167,000	)
	Less: current portion		(316,000	)
	Total Long Term Portion	$	845,000
Notes Payable - Sellers	'
	As of September 30, 2013 and December 31, 2012, the balance owed to the sellers of WMI is:
		September 30,			December 31,
		2013			2012
		(Unaudited)
	Former Welding Stockholders	$	897,000		$	1,376,000
	Less:  Current Portion		(679,000	)		(644,000	)
	Total long-term portion	$	218,000		$	732,000
Future minimum payments for the note payable to the former stockholders of Welding	'
	As of September 30, 2013, the future minimum payments for the note payable to the former stockholders of WMI are as follows:
	For the twelve months ending	Amount
	30-Sep-14	$	679,000
	30-Sep-15		218,000
	Former WMI Stockholders  Notes Payable		897,000
	Less: Current portion		(679,000	)
	Long-term portion	$	218,000

INCOME_TAXES_Tables

INCOME TAXES (Tables)	9 Months Ended
	Sep. 30, 2013
Disclosure14.IncomeTaxesTablesAbstract	'
Provision for income	'
	The provision for income taxes as at September 30, are set forth below:
		2013			2012
		(Unaudited)			(Unaudited)
	Current
	Federal	$	922,000		$	778,000
	State		277,000			258,000
	Prior year overaccruals
	Federal		(206,000	)		-
	State		(244,000	)		-
	Total Expense		749,000			1,036,000
	Deferred Tax Benefit		(1,625,000	)		-
	Net (Benefit) Expense for Income Taxes	$	(876,000	)	$	1,036,000
Deferred tax assets	'
	The components of net deferred tax assets as of September 30, 2013 and December 31 2012 are set forth below:
		September 30,			December 31,
		2013			2012
		(Unaudited)
	Deferred tax assets:
	Capital loss carry forwards	$	1,088,000		$	1,088,000
	Section 1231 loss carry forward		4,000			86,000
	Bad debts		395,000			282,000
	Stock based compensation - options and restricted stock		512,000			506,000
	Capitalized engineering costs		483,000			447,000
	Account payable, accrued expenses and reserves		9,000			9,000
	Deferred rent		445,000			423,000
	Amortization - NTW Transaction		312,000			138,000
	Inventory - 263A adjustment		785,000			569,000
	Lease Impairment		59,000			85,000
	Deferred gain on sale of real estate		198,000			209,000
	Total deferred tax assets before valuation allowance		4,290,000			3,842,000
	Valuation allowance		(1,092,000	)		(2,269,000	)
	Total deferred tax assets after valuation allowance		3,198,000			1,573,000
	Deferred tax liabilities:
	Property and equipment		(1,044,000	)		(997,000	)
	Goodwill - NTW Transaction		(4,000	)		-
	Amortization - Welding Transaction		(525,000	)		(576,000	)
	Total Deferred Tax Liability		(1,573,000	)		(1,573,000	)
	Net deferred tax asset	$	1,625,000		$	-

SEGMENT_REPORTING_Tables

SEGMENT REPORTING (Tables)	9 Months Ended
	Sep. 30, 2013
Segment Reporting Tables	'
Operating segments	'
	Financial information about the Company's operating segments for the three months ended September 30, 2013 and 2012 are as follows:
	Three Months Ended September 30,
		2013			2012
		(Unaudited)			(Unaudited)
	AIM
	Net Sales	$	9,863,000		$	9,587,000
	Gross Profit		1,926,000			1,788,000
	Pre Tax Income		949,000			809,000
	Assets		25,336,000			23,946,000
	WMI
	Net Sales		3,800,000			2,891,000
	Gross Profit		953,000			850,000
	Pre Tax Income		(126,000	)		47,000
	Assets		10,334,000			8,986,000
	NTW
	Net Sales		2,389,000			3,080,000
	Gross Profit		864,000			1,196,000
	Pre Tax Income		25,000			406,000
	Assets		13,005,000			13,863,000
	Corporate
	Net Sales		-			-
	Gross Profit		-			-
	Pre Tax Loss		(109,000	)		(261,000	)
	Assets		9,964,000			15,478,000
	Consolidated
	Net Sales		16,052,000			15,558,000
	Gross Profit		3,743,000			3,834,000
	Pre Tax Income		739,000			1,001,000
	Provision for Taxes		(1,795,000	)		387,000
	Net Income		2,534,000			614,000
	Elimination of Assets		(4,852,000	)		(12,082,000	)
	Assets		53,787,000			50,191,000
	Financial information about the Company's operating segments for the nine months ended September 30, 2013 and 2012 are as follows:
	Nine Months Ended September 30,
		2013			2012
		(Unaudited)			(Unaudited)
	AIM
	Net Sales	$	25,528,000		$	33,314,000
	Gross Profit		4,986,000			6,227,000
	Pre Tax Income		2,037,000			2,516,000
	Assets		25,336,000			23,946,000
	WMI
	Net Sales		10,246,000			9,929,000
	Gross Profit		2,694,000			2,919,000
	Pre Tax Income		(131,000	)		705,000
	Assets		10,334,000			8,986,000
	NTW
	Net Sales		9,242,000			3,592,000
	Gross Profit		3,340,000			1,394,000
	Pre Tax Income		746,000			562,000
	Assets		13,005,000			13,863,000
	Corporate
	Net Sales		-			-
	Gross Profit		-			-
	Pre Tax Loss		(489,000	)		(992,000	)
	Assets		9,964,000			15,478,000
	Consolidated
	Net Sales		45,016,000			46,835,000
	Gross Profit		11,020,000			10,540,000
	Pre Tax Income		2,163,000			2,791,000
	Provision for Taxes		(876,000	)		1,036,000
	Net Income		3,039,000			1,755,000
	Elimination of Assets		(4,852,000	)		(12,082,000	)
Assets		53,787,000			50,191,000

SUMMARY_OF_SIGNIFICANT_ACCOUNT3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Summary Of Significant Accounting Policies Details	'	'	'	'
Customer 1	2750.00%	3090.00%	2670.00%	2500.00%
Customer 2	1910.00%	2830.00%	2160.00%	2270.00%
Customer 3	1210.00%	'	1060.00%	1130.00%

SUMMARY_OF_SIGNIFICANT_ACCOUNT4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 1)	Sep. 30, 2013	Dec. 31, 2012
Summary Of Significant Accounting Policies Details 1	'	'
Customer 1	2760.00%	1070.00%
Customer 2	2030.00%	1860.00%
Customer 3	1190.00%	2530.00%

SUMMARY_OF_SIGNIFICANT_ACCOUNT5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 2)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Summary Of Significant Accounting Policies Details 2	'	'	'	'
Weighted average shares outstanding used to compute basic earning per share	5,711,093	5,706,510	5,711,093	4,334,570
Effect of dilutive stock options and warrants	142,922	84,045	116,944	72,786
Weighted average shares outstanding and dilutive securities used to compute dilutive earnings per share	5,854,015	5,790,555	5,828,037	4,407,356

SUMMARY_OF_SIGNIFICANT_ACCOUNT6

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 3)	Sep. 30, 2013	Sep. 30, 2012
Summary Of Significant Accounting Policies Details 3	'	'
Stock Options	17,048	15,548
Warrants	'	250
Anti dilutive Securities	17,048	15,798

SUMMARY_OF_SIGNIFICANT_ACCOUNT7

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
Summary Of Significant Accounting Policies Details Narrative	'	'	'	'	'
Customer Sales	58.90%	59.00%	58.70%	59.30%	'
customers gross accounts receivables	59.80%	'	59.80%	'	54.60%
Stock-based compensation	$9,000	$45,000	$15,000	$88,000	'

ACCOUNTS_RECEIVABLE_Details

ACCOUNTS RECEIVABLE (Details) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Receivables [Abstract]	'	'
Accounts Receivable Gross	$11,535,000	$12,336,000
Allowance for Doubtful Accounts	-987,000	-705,000
Accounts Receivable Net	$10,548,000	$11,631,000

PROPERTY_AND_EQUIPMENT_Details

PROPERTY AND EQUIPMENT (Details) (USD $)	9 Months Ended
	Sep. 30, 2013	Dec. 31, 2012
Property and Equipment, net	$5,652,000	$5,883,000
Machinery and Equipment	'	'
Total Property and Equipment	6,200,000	5,801,000
Machinery and Equipment | Minimum	'	'
Property Plant And Equipment Useful Life	'5 years	'
Machinery and Equipment | Maximum	'	'
Property Plant And Equipment Useful Life	'8 years	'
Capital Lease Machinery and Equipment	'	'
Total Property and Equipment	4,503,000	4,503,000
Capital Lease Machinery and Equipment | Minimum	'	'
Property Plant And Equipment Useful Life	'5 years	'
Capital Lease Machinery and Equipment | Maximum	'	'
Property Plant And Equipment Useful Life	'8 years	'
Tools and Instruments	'	'
Total Property and Equipment	4,567,000	3,968,000
Tools and Instruments | Minimum	'	'
Property Plant And Equipment Useful Life	'1 year 6 months	'
Tools and Instruments | Maximum	'	'
Property Plant And Equipment Useful Life	'7 years	'
Automotive Equipment	'	'
Total Property and Equipment	55,000	55,000
Property Plant And Equipment Useful Life	'5 years	'
Furniture and Fixtures	'	'
Total Property and Equipment	232,000	232,000
Furniture and Fixtures | Minimum	'	'
Property Plant And Equipment Useful Life	'5 years	'
Furniture and Fixtures | Maximum	'	'
Property Plant And Equipment Useful Life	'8 years	'
Leasehold Improvements	'	'
Total Property and Equipment	612,000	612,000
Computers and Software	'	'
Total Property and Equipment	$331,000	$318,000
Computers and Software | Minimum	'	'
Property Plant And Equipment Useful Life	'4 years	'
Computers and Software | Maximum	'	'
Property Plant And Equipment Useful Life	'6 years	'

PROPERTY_AND_EQUIPMENT_Details1

PROPERTY AND EQUIPMENT (Details Narrative) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Property, Plant and Equipment [Abstract]	'	'	'	'
Depreciation expense	$441,000	$413,000	$1,242,000	$1,097,000

INTANGIBLE_ASSETS_Details

INTANGIBLE ASSETS (Details) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Intangible Assets Details	'	'
Customer Relationships	$5,815,000	$5,815,000
Trade Names	770,000	770,000
Technical Know-how	660,000	660,000
Non-Compete	50,000	50,000
Professional Certifications	15,000	15,000
Total Intangible Assets	7,310,000	7,310,000
Less: Accumulated Amortization	-2,293,000	-1,421,000
Intangible Assets, net	$5,017,000	$5,889,000

INTANGIBLE_ASSETS_Details_Narr

INTANGIBLE ASSETS (Details Narrative) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Notes to Financial Statements	'	'	'	'
Amortization of the intangibles	$290,000	$318,000	$872,000	$402,000

NOTES_PAYABLE_AND_CAPITAL_LEAS2

NOTES PAYABLE AND CAPITAL LEASE OBLIGATIONS (Details) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Notes Payable And Capital Lease Obligations Details	'	'
Revolving credit notes payable to PNC Bank N.A. ("PNC") and secured by substantially all assets	$16,831,000	$15,667,000
Term loan, PNC	2,398,000	3,748,000
Capital lease obligations	1,161,000	2,060,000
Notes payable to sellers of acquired business	897,000	1,376,000
Junior subordinated notes	1,000,000	1,000,000
Subtotal	22,287,000	23,851,000
Less: Current portion of notes and capital obligations	-19,626,000	-19,211,000
Notes payable and capital lease obligations, net of current portion	$2,661,000	$4,640,000

NOTES_PAYABLE_AND_CAPITAL_LEAS3

NOTES PAYABLE AND CAPITAL LEASE OBLIGATIONS (Details 1) (USD $)	Sep. 30, 2013
Notes Payable And Capital Lease Obligations Details 1	'
30-Sep-14	$1,800,000
30-Sep-15	598,000
PNC Term Loan Payable	2,398,000
Less: Current portion	-1,800,000
Long-term portion	$598,000

NOTES_PAYABLE_AND_CAPITAL_LEAS4

NOTES PAYABLE AND CAPITAL LEASE OBLIGATIONS (Details 2) (USD $)	Sep. 30, 2013
Notes Payable And Capital Lease Obligations Details 2	'
September, 2014	$397,000
September, 2015	397,000
September, 2016	345,000
September, 2017	189,000
Total future minimum lease payments	1,328,000
Less: imputed interest	-167,000
Less: current portion	-316,000
Total Long Term Portion	$845,000

NOTES_PAYABLE_AND_CAPITAL_LEAS5

NOTES PAYABLE AND CAPITAL LEASE OBLIGATIONS (Details 3) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Notes Payable And Capital Lease Obligations Details 3	'	'
Former Welding Stockholders	$897,000	$1,376,000
Less: Current Portion	-679,000	-644,000
Total long-term portion	$218,000	$732,000

NOTES_PAYABLE_AND_CAPITAL_LEAS6

NOTES PAYABLE AND CAPITAL LEASE OBLIGATIONS (Details 4) (USD $)	Sep. 30, 2013
Future minimum payments for the note payable to the former stockholders of Welding:	'
30-Sep-14	$679,000
30-Sep-15	218,000
Former WMI Stockholders Notes Payable	897,000
Less: Current portion	-679,000
Long-term portion	$218,000

NOTES_PAYABLE_AND_CAPITAL_LEAS7

NOTES PAYABLE AND CAPITAL LEASE OBLIGATIONS (Details narrative) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
Notes to Financial Statements	'	'	'	'	'
Revolving loan interest rate	4.00%	'	4.00%	'	5.50%
Balance due under term loan	$2,398,000	'	$2,398,000	'	$3,748,000
Interest expense related to credit facilities	197,000	314,000	737,000	723,000	'
Capital lease obligations	1,161,000	'	1,161,000	'	2,060,000
Interest rate minimum	'	'	7.00%	'	'
Interest rate maximum	'	'	'	9.50%	'
Balance owed under note	897,000	'	897,000	'	1,376,000
Interest expense related to notes payable	17,000	29,000	61,000	93,000	'
Balance owed amounted to	1,000,000	'	1,000,000	'	1,000,000
Interest expense amounted to	$30,000	$30,000	$90,000	$409,000	'

INCOME_TAXES_Details

INCOME TAXES (Details) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Current	'	'	'	'
Federal	'	'	$922,000	$778,000
State	'	'	277,000	258,000
Federal	'	'	-206,000	'
State	'	'	-244,000	'
Total Expense	-1,795,000	387,000	-876,000	1,036,000
Deferred Tax Benefit	'	'	-1,625,000	'
Net (Benefit) Expense for Income Taxes	'	'	($876,000)	$1,036,000

INCOME_TAXES_Details_1

INCOME TAXES (Details 1) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Deferred tax assets:	'	'
Capital loss carry forwards	$1,088,000	$1,088,000
Bad debts	4,000	86,000
Stock based compensation - options and restricted stock	395,000	282,000
Capitalized engineering costs	512,000	506,000
Account payable, accrued expenses and reserves	483,000	447,000
Deferred rent	9,000	9,000
Amortization - NTW Transaction	445,000	423,000
Inventory - 263A adjustment	312,000	138,000
Lease Impairment	785,000	569,000
Deferred gain on sale of real estate	59,000	85,000
Section 1231 loss carryover	198,000	209,000
Total deferred tax assets before valuation allowance	4,290,000	3,842,000
Valuation allowance	-1,092,000	-2,269,000
Total deferred tax assets after valuation allowance	3,198,000	1,573,000
Deferred tax liabilities:	'	'
Property and equipment	-1,044,000	-997,000
Goodwill - NTW Transaction	-4,000	'
Amortization - Welding Transaction	-525,000	-576,000
Total Deferred Tax Liability	-1,573,000	-1,573,000
Net deferred tax asset	$1,625,000	'

INCOME_TAXES_Details_Narrative

INCOME TAXES (Details Narrative) (USD $)	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2013
			Capital Loss Carry forward
Valuation allowance	$1,092,000	$2,269,000	'
capital loss carry forward	'	'	$2,719,000
capital loss carry forward expiry date	'	'	'2015

SEGMENT_REPORTING_Details

SEGMENT REPORTING (Details) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
Gross Profit	$1,031,000	$1,455,000	$3,287,000	$4,350,000	'
Provision for Taxes	'	'	-876,000	1,036,000	'
Assets	53,787,000	'	53,787,000	'	53,156,000
AIM	'	'	'	'	'
Net Sales	9,863,000	9,587,000	25,528,000	33,314,000	'
Gross Profit	1,926,000	1,788,000	4,986,000	6,227,000	'
Pre Tax Income	949,000	809,000	2,037,000	2,516,000	'
Assets	25,336,000	23,946,000	25,336,000	23,946,000	'
WMI	'	'	'	'	'
Net Sales	3,800,000	2,891,000	10,246,000	9,929,000	'
Gross Profit	953,000	850,000	2,694,000	2,919,000	'
Pre Tax Income	-126,000	47,000	-131,000	705,000	'
Assets	10,334,000	8,986,000	10,334,000	8,986,000	'
NTW	'	'	'	'	'
Net Sales	2,389,000	3,080,000	9,242,000	3,592,000	'
Gross Profit	864,000	1,196,000	3,340,000	1,394,000	'
Pre Tax Income	25,000	406,000	746,000	562,000	'
Assets	13,005,000	13,863,000	13,005,000	13,863,000	'
Corporate	'	'	'	'	'
Net Sales	'	'	'	'	'
Gross Profit	'	'	'	'	'
Pre Tax Income	-109,000	-261,000	-489,000	-992,000	'
Assets	9,964,000	15,478,000	9,964,000	15,478,000	'
Consolidated	'	'	'	'	'
Net Sales	16,052,000	15,558,000	45,016,000	46,835,000	'
Gross Profit	3,743,000	3,834,000	11,020,000	10,540,000	'
Pre Tax Income	739,000	1,001,000	2,163,000	2,791,000	'
Provision for Taxes	-1,795,000	387,000	-876,000	1,036,000	'
Net Income	2,534,000	614,000	3,039,000	1,755,000	'
Elimination of Assets	-4,852,000	-12,082,000	-4,852,000	-12,082,000	'
Assets	$53,787,000	$50,191,000	$53,787,000	$50,191,000	'