Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2017 | Nov. 01, 2017 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Entity Registrant Name | CTI INDUSTRIES CORP | |
Entity Central Index Key | 1,042,187 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Trading Symbol | CTIB | |
Entity Common Stock, Shares Outstanding | 3,525,227 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Sep. 30, 2017 | Dec. 31, 2016 |
Current assets: | ||
Cash and cash equivalents (VIE $3,000 and $51,000, respectively) | $ 324,712 | $ 563,043 |
Accounts receivable, (less allowance for doubtful accounts of $127,000 and $137,000, respectively) (VIE $29,000 and $6,000, respectively) | 9,481,084 | 14,838,978 |
Inventories, net (VIE $611,000 and $719,000, respectively) | 19,348,108 | 18,348,011 |
Prepaid expenses (VIE $39,000 and $18,000, respectively) | 665,437 | 678,689 |
Other current assets (VIE $200 and $0, respectively) | 675,821 | 530,669 |
Total current assets | 30,495,162 | 34,959,390 |
Property, plant and equipment: | ||
Machinery and equipment (VIE $0 and $0, respectively) | 26,892,832 | 26,348,443 |
Building | 3,387,323 | 3,379,636 |
Office furniture and equipment (VIE $260,000 and $154,000, respectively) | 3,277,226 | 3,597,158 |
Intellectual property | 752,044 | 482,088 |
Land | 250,000 | 250,000 |
Leasehold improvements | 415,549 | 395,603 |
Fixtures and equipment at customer locations | 3,302,868 | 3,302,868 |
Projects under construction | 102,477 | 493,859 |
Property, Plant and Equipment, Gross | 38,380,319 | 38,249,655 |
Less : accumulated depreciation and amortization (VIE $35,000 and $29,000, respectively) | (33,416,436) | (32,938,267) |
Total property, plant and equipment, net | 4,963,883 | 5,311,388 |
Other assets: | ||
Goodwill (VIE $440,000 and $440,000, respectively) | 1,473,176 | 1,473,176 |
Net deferred income tax asset | 2,023,781 | 1,696,690 |
Other assets (due from related party $50,000 and $47,000, respectively) | 408,428 | 473,095 |
Total other assets | 3,905,385 | 3,642,961 |
TOTAL ASSETS | 39,364,430 | 43,913,739 |
Current liabilities: | ||
Checks written in excess of bank balance | 518,076 | 1,688,675 |
Trade payables (VIE $156,000 and $92,000, respectively) | 6,101,567 | 5,861,932 |
Line of credit (VIE $356,000 and $408,000, respectively) | 8,567,174 | 11,263,531 |
Notes payable - current portion (net discount of $0 and $113,000, respectively) (VIE $0 and $0, respectively) | 7,445,091 | 1,709,220 |
Notes payable officers - current portion | 0 | 180,000 |
Notes payable affiliates - current portion | 10,109 | 8,141 |
Capital Lease - current portion | 14,283 | 40,660 |
Accrued liabilities (VIE $147,000 and $140,000, respectively) | 2,934,652 | 3,127,425 |
Total current liabilities | 25,590,952 | 23,879,584 |
Long-term liabilities: | ||
Notes payable - affiliates | 213,669 | 218,858 |
Notes payable, net of current portion (net discount of $0 and $0, respectively) (VIE $196,000 and $301,000, respectively) | 195,722 | 5,301,491 |
Notes payable - officers, subordinated | 1,490,332 | 1,416,138 |
Capital Lease | 0 | 4,690 |
Deferred gain (non current) | 251,372 | 297,521 |
Total long-term debt, net of current portion | 2,151,095 | 7,238,698 |
Warrants Payable | 0 | 817,880 |
Total long-term liabilities | 2,151,095 | 8,056,578 |
CTI Industries Corporation stockholders' equity: | ||
Preferred Stock - no par value, 3,000,000 shares authorized, 0 shares issued and outstanding | 0 | |
Common stock - no par value, 15,000,000 shares authorized, 3,568,885 shares issued and 3,525,227 shares outstanding | 13,898,494 | 13,898,494 |
Paid-in-capital | 2,230,145 | 2,250,235 |
Accumulated earnings | 1,580,967 | 2,323,326 |
Accumulated other comprehensive loss | (5,100,978) | (5,593,878) |
Less: Treasury stock, 43,658 shares | (160,784) | (160,784) |
Total CTI Industries Corporation stockholders' equity | 12,447,844 | 12,717,393 |
Non controlling interest | (825,461) | (739,816) |
Total Equity | 11,622,383 | 11,977,577 |
TOTAL LIABILITIES AND EQUITY | $ 39,364,430 | $ 43,913,739 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets [Parenthetical] - USD ($) | Sep. 30, 2017 | Dec. 31, 2016 |
Cash and cash equivalents | $ 324,712 | $ 563,043 |
Allowance for doubtful accounts | 127,000 | 137,000 |
Inventory, Net | 19,348,108 | 18,348,011 |
Prepaid expenses | 665,437 | 678,689 |
Other current assets | 675,821 | 530,669 |
Machinery and equipment | 26,892,832 | 26,348,443 |
Office Furniture and Equipment | 3,277,226 | 3,597,158 |
Goodwill | 1,473,176 | 1,473,176 |
Due from related party | 50,000 | 47,000 |
Trade payables | 6,101,567 | 5,861,932 |
Line of Credit, Current | 8,567,174 | 11,263,531 |
Notes Payable, net of current portion, net discount | 0 | 113,000 |
Accrued liabilities | 2,934,652 | 3,127,425 |
Notes Payable, net of non current portion, net discount | $ 0 | $ 0 |
Preferred Stock, Par or Stated Value Per Share (in dollars per share) | $ 0 | $ 0 |
Preferred Stock, shares authorized (in shares) | 3,000,000 | 3,000,000 |
Preferred Stock, shares issued (in shares) | 0 | 0 |
Preferred Stock, shares outstanding (in shares) | 0 | 0 |
Common Stock, Par or Stated Value Per Share (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 15,000,000 | 15,000,000 |
Common stock, shares issued (in shares) | 3,568,885 | 3,568,885 |
Common stock, shares outstanding (in shares) | 3,525,227 | 3,525,227 |
Treasury Stock, Shares (in shares) | 43,658 | 43,658 |
Variable Interest Entity, Primary Beneficiary [Member] | ||
Cash and cash equivalents | $ 3,000 | $ 51,000 |
Allowance for doubtful accounts | 29,000 | 6,000 |
Inventory, Net | 611,000 | 719,000 |
Prepaid expenses | 39,000 | 18,000 |
Other current assets | 200 | 0 |
Machinery and equipment | 0 | 0 |
Office Furniture and Equipment | 260,000 | 154,000 |
Accumulated depreciation and amortization | 35,000 | 29,000 |
Goodwill | 440,000 | 440,000 |
Trade payables | 156,000 | 92,000 |
Line of Credit, Current | 356,000 | 408,000 |
Notes Payable, net of current portion, net discount | 0 | 0 |
Accrued liabilities | 147,000 | 140,000 |
Notes Payable, net of non current portion, net discount | $ 196,000 | $ 301,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Income - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Net Sales | $ 13,225,954 | $ 13,476,157 | $ 41,397,288 | $ 42,831,655 |
Cost of Sales | 10,039,044 | 10,064,066 | 31,475,520 | 31,661,039 |
Gross profit | 3,186,910 | 3,412,091 | 9,921,768 | 11,170,616 |
Operating expenses: | ||||
General and administrative | 1,923,315 | 1,808,299 | 5,691,186 | 5,470,523 |
Selling | 861,856 | 977,928 | 2,771,150 | 3,162,083 |
Advertising and marketing | 454,927 | 581,143 | 1,548,709 | 1,643,852 |
Gain on sale of assets | (27,426) | (27,700) | (119,127) | (27,700) |
Other operating income | 0 | 0 | (1,416) | 0 |
Total operating expenses | 3,212,672 | 3,339,670 | 9,890,502 | 10,248,758 |
(Loss) Income from operations | (25,762) | 72,421 | 31,266 | 921,858 |
Other (expense) income: | ||||
Interest expense | (367,391) | (358,643) | (1,100,038) | (1,074,295) |
Change in fair value of warrants | (3,809) | 47,617 | 19,999 | (179,261) |
Foreign currency loss | (11,430) | 9,663 | (92,382) | 77,341 |
Total other expense, net | (382,630) | (301,363) | (1,172,421) | (1,176,215) |
Net (loss) before taxes | (408,392) | (228,942) | (1,141,155) | (254,357) |
Income tax expense | (125,678) | (28,655) | (313,151) | (16,804) |
Net (loss) | (282,714) | (200,287) | (828,004) | (237,553) |
Less: Net (loss) income attributable to noncontrolling interest | (8,014) | (19,812) | (85,645) | 19,089 |
Net loss attributable to CTI Industries Corporation | (274,700) | (180,475) | (742,359) | (256,642) |
Other Comprehensive Income (Loss) | ||||
Foreign currency adjustment | (260,469) | (236,133) | 492,900 | (840,144) |
Comprehensive Income (Loss) | $ (535,169) | $ (416,608) | $ (249,459) | $ (1,096,786) |
Basic loss per common share | $ (0.08) | $ (0.05) | $ (0.20) | $ (0.07) |
Diluted loss per common share | $ (0.08) | $ (0.05) | $ (0.20) | $ (0.07) |
Weighted average number of shares and equivalent shares of common stock outstanding: | ||||
Basic | 3,641,439 | 3,541,582 | 3,641,439 | 3,541,582 |
Diluted | 3,641,439 | 3,714,239 | 3,789,081 | 3,703,732 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Cash Flows - USD ($) | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Cash flows from operating activities: | ||
Net (loss) income | $ (828,004) | $ (237,553) |
Adjustment to reconcile net income to cash provided by operating activities: | ||
Depreciation and amortization | 1,163,736 | 1,153,688 |
Amortization of debt discount | 112,622 | 125,689 |
Change in fair value of warrants | (19,999) | 179,261 |
Stock based compensation | 0 | 28,719 |
Amortization of deferred gain on sale/leaseback | (84,759) | (27,700) |
Provision for losses on accounts receivable | (20,882) | 28,685 |
Provision for losses on inventories | 94,518 | (31,259) |
Deferred income taxes | (409,621) | (170,653) |
Change in assets and liabilities: | ||
Accounts receivable | 5,864,010 | 807,687 |
Inventories | (324,813) | (5,597,774) |
Prepaid expenses and other assets | 16,362 | (77,839) |
Trade payables | (60,770) | 3,461,400 |
Accrued liabilities | (272,183) | 102,981 |
Net cash provided by (used in) operating activities | 5,230,217 | (254,668) |
Cash flows from investing activities: | ||
Proceeds from equipment sale-leaseback | 0 | 783,134 |
Cash used in investment in subsidiary | 0 | (87,500) |
Purchases of property, plant and equipment | (735,567) | (555,961) |
Net cash (used in) provided by investing activities | (735,567) | 139,673 |
Cash flows from financing activities: | ||
Change in checks written in excess of bank balance | (1,170,599) | 31,560 |
Net change in revolving line of credit | (2,758,809) | (590,594) |
Proceeds from issuance of long-term debt | 0 | 1,180,000 |
Repayment of long-term debt (related parties $0 and $0) | (466,638) | (652,903) |
Proceeds from issuance of stock | 0 | 638,324 |
Cash paid for deferred financing fees | (20,298) | 0 |
Contributions received by Variable Interest Entity | 0 | 288,750 |
Redemption of Variable Interest Entity members | 0 | (455,000) |
Net cash (used in) provided by financing activities | (4,416,344) | 440,137 |
Effect of exchange rate changes on cash | (316,637) | (47,666) |
Net decrease in cash and cash equivalents | (238,331) | 277,476 |
Cash and cash equivalents at beginning of period | 563,043 | 346,404 |
Cash and cash equivalents at end of period | 324,712 | 623,880 |
Supplemental disclosure of cash flow information: | ||
Cash payments for interest | 934,057 | 910,414 |
Cash payments for taxes | 300,000 | 0 |
Supplemental Disclosure of non-cash investing and financing activity | ||
Exchange of Note Payable for Warrants | 797,881 | 0 |
Property, Plant & Equipment acquisitions funded by liabilities | 19,580 | 35,012 |
Contributed Capital to Clever Container | ||
Stock | 0 | 122,500 |
Debt | 0 | 43,750 |
Accounts Receivable | $ 0 | $ 183,750 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows [Parenthetical] - USD ($) | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Repayment of related party debt | $ 0 | $ 0 |
Condensed Consolidated Earnings
Condensed Consolidated Earnings per Share - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Average shares outstanding: (Basic) | ||||
Weighted average number of common shares outstanding | 3,641,439 | 3,541,582 | 3,641,439 | 3,541,582 |
Net loss: | ||||
Net loss attributable to CTI Industries Corporation | $ (274,700) | $ (180,475) | $ (742,359) | $ (256,642) |
Per share amount | $ (0.08) | $ (0.05) | $ (0.20) | $ (0.07) |
Average shares outstanding: (Diluted) | ||||
Weighted average number of common shares outstanding | 3,641,439 | 3,541,582 | 3,641,439 | 3,541,582 |
Effect of dilutive shares | 0 | 172,657 | 147,642 | 162,150 |
Weighted average number of shares and equivalent shares of common stock outstanding | 3,641,439 | 3,714,239 | 3,789,081 | 3,703,732 |
Net loss: | ||||
Net loss attributable to CTI Industries Corporation | $ (274,700) | $ (180,475) | $ (742,359) | $ (256,642) |
Per share amount | $ (0.08) | $ (0.05) | $ (0.20) | $ (0.07) |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2017 | |
Organization, Consolidation and Presentation Of Financial Statements [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | Note 1 - Basis of Presentation The accompanying condensed (a) consolidated balance sheet as of December 31, 2016, which has been derived from audited consolidated financial statements, and (b) the unaudited interim condensed consolidated financial statements have been prepared and, in the opinion of management, contain all the adjustments (consisting of those of a normal recurring nature) considered necessary to present fairly the consolidated financial position and the consolidated statements of comprehensive income and consolidated cash flows for the periods presented in conformity with generally accepted accounting principles for interim consolidated financial information and the instructions to Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by accounting principles generally accepted in the United States of America. Operating results for the three months ended September 30, 2017 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2017. It is suggested that these condensed consolidated financial statements be read in conjunction with the consolidated financial statements and notes thereto included in the Company's annual report on Form 10-K for the fiscal year ended December 31, 2016. The condensed consolidated financial statements include the accounts of CTI Industries Corporation and its wholly-owned subsidiaries, CTI Balloons Limited and CTI Supply, Inc., its majority-owned subsidiaries, Flexo Universal, S. de R.L. de C.V. and CTI Europe gmbH, as well as the accounts of Venture Leasing S. A. de R. L., Venture Leasing L.L.C and Clever Container Company, L.L.C. (the “Company”). The last three entities have been consolidated as variable interest entities. All significant intercompany transactions and accounts have been eliminated in consolidation. The Company (i) designs, manufactures and distributes balloon products throughout the world, (ii) operates systems for the production, lamination, coating and printing of films used for food packaging and other commercial uses and for conversion of films to flexible packaging containers and other products, and (iii) distributes vacuum sealing products and home organization products in the United States. The determination of whether or not to consolidate a variable interest entity under U.S. GAAP requires a significant amount of judgment concerning the degree of control over an entity by its holders of variable interest. To make these judgments, management has conducted an analysis of the relationship of the holders of variable interest to each other, the design of the entity, the expected operations of the entity, which holder of variable interests is most “closely associated” to the entity and which holder of variable interests is the primary beneficiary required to consolidate the entity. Upon the occurrence of certain events, management reviews and reconsiders its previous conclusion regarding the status of an entity as a variable interest entity. There are three entities that have been consolidated as variable interest entities. In preparing condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, management makes estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amount of revenue and expenses during the reporting period in the condensed consolidated financial statements and accompanying notes. Actual results may differ from those estimates. The Company’s significant estimates include reserves for doubtful accounts, reserves for the lower of cost or market of inventory, reserves for deferred tax assets and recovery value of goodwill. Basic earnings per share is computed by dividing net income by the weighted average number of shares of common stock outstanding during each period. Diluted earnings per share is computed by dividing the net income by the weighted average number of shares of common stock and equivalents (stock options and warrants), unless anti-dilutive, during each period. As of September 30, 2017 and 2016, shares to be issued upon the exercise of options and warrants aggregated 205,144 288,048 281,819 0 178,350 0 Significant Accounting Policies: The Company’s significant accounting policies are summarized in Note 2 of the Company’s consolidated financial statements for the year ended December 31, 2016. There were no significant changes to these accounting policies during the three and nine months ended September 30, 2017. Certain 2016 amounts have been reclassified to conform to the 2017 presentation. (See footnote regarding ASU 2015-17.) In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In 2014, the FASB issued guidance on revenue recognition, which provides for a single five-step model to be applied to all revenue contracts with customers. The guidance also requires additional financial statement disclosures that will enable users to understand the nature, amount, timing and uncertainty of revenue and cash flows relating to customer contracts. The guidance provides an option to use either a retrospective approach or a cumulative effect adjustment approach to implement the guidance. In 2015, the FASB issued a deferral of the effective date of the guidance to 2018, with early adoption permitted in 2017. In 2016, the FASB issued final amendments clarifying the implementation guidance for principal versus agent considerations, identifying performance obligations and the accounting of intellectual property licenses. In addition, the FASB introduced practical expedients related to disclosures of remaining performance obligations, as well as other amendments to guidance on collectibility, non-cash consideration and the presentation of sales and other similar taxes. We are currently evaluating the impact of this guidance on our financial statements and the timing of adoption, and have not yet selected a transition approach. In November 2015, the FASB issued ASU 2015-17, Balance Sheet Classification of Deferred Taxes 779,000 773,000 In February 2016, the FASB issued ASU 2016-02, Leases ( On August 26, 2016, the FASB issued Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic 230) |
Liquidity and Going Concern
Liquidity and Going Concern | 9 Months Ended |
Sep. 30, 2017 | |
Liquidity and Going Concern [Abstract] | |
Liquidity and Going Concern [Text Block] | Note 2 Liquidity and Going Concern The Company’s primary sources of liquidity are cash and cash equivalents as well as availability under the Credit Agreement with BMO Harris. The Company has historically used availability under this revolving credit facility to fund operations. For the nine months ended September 30, 2017, the Company generated net cash from operating activities in the amount of $ 5,230,000 275,000 742,000 Assuming a continuation of the revolving credit under the Credit Agreement, the Company has forecast a profit for the fourth quarter of the year, which is expected to generate sufficient cash flow for the Company to meet its current obligations. As of September 30, 2017, the Company was in compliance with all of the financial covenants under the Credit Agreement with Harris Bank and the Note and Warrant Purchase Agreement with BMO Private Equity (U.S.), Inc. (“BMO Private Equity”). As of September 30, 2017, the Company had total borrowings outstanding under the Credit Agreement with BMO Harris of $ 9,852,000 8,211,000 1,641,000 5,965,000 The obligations of the Credit Agreement to BMO Harris were to mature on July 17, 2017. The obligations of the Note and Warrant Purchase Agreement among the Company and BMO Equity are to mature on January 18, 2018. By Amendment to the Credit Agreement dated July 18, 2017, BMO Harris agreed to extend the maturity date of the agreement to October 18, 2017. BMO Equity consented to this extension in exchange for a fee and for the right to exercise at any time its put of warrants issued to it under the Note and Warrant Purchase Agreement. The extension provides retention by the Company of a consultant to advise as to planning, forecasting, cost management and financing. On August 17, 2017, BMO Equity exercised its put on the warrants and the Company issued to BMO Equity a Warrant Conversion Note in the amount of $ 797,881 On October 17, 2017, the Company and BMO Harris entered into Amendment No. 11 to the Credit Agreement in which (i) the Company acknowledged its indebtedness to the Bank for a Mortgage Loan balance in the amount of $ 1,664,456 8,211,467 November 30, 2017 1,000,000 5,000,000 815,139 150,139 On October 19, 2017, the Company delivered to the Bank and to BMO Equity an executed non-binding Preliminary Memorandum of Terms and Conditions (“Preliminary Term Sheet”) from a financing institution providing for an aggregate of up to $ 24,000,000 Management’s Plans. Management is engaged in efforts to obtain re-financing of its obligations to BMO Harris and BMO Private Equity, is in accordance with the Preliminary Term Sheet and is engaged in a diligence and loan documentation process. While no assurance can be given that the re-financing will be completed, management has a reasonable expectation that both the re-financing will be completed and that the Company will continue as a going concern. Management is also engaged in efforts to implement cost and operational improvements and to fulfill strong order flow in order to achieve profitable operations for the fourth quarter. |
Stock-Based Compensation; Chang
Stock-Based Compensation; Changes in Equity | 9 Months Ended |
Sep. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Note 3 - Stock-Based Compensation; Changes in Equity The Company has adopted Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 718 which requires all share-based payments to employees, including grants of employee stock options, to be recognized in the condensed consolidated financial statements based on their grant-date fair values. The Company has applied the Black-Scholes model to value stock-based awards and issued warrants related to notes payable. That model incorporates various assumptions in the valuation of stock-based awards relating to the risk-free rate of interest to be applied, the estimated dividend yield and expected volatility of our common stock. The risk-free rate of interest is the related U.S. Treasury yield curve for periods within the expected term of the option at the time of grant. The dividend yield on our common stock is estimated to be 0 The Company’s net loss for the three months ended September 30, 2017 and 2016 includes approximately $ 2,000 5,000 12,000 29,000 13,000 2,000 7,000 3,000 1,000 As of September 30, 2017, the Company had three stock-based compensation plans pursuant to which stock options were, or may be, granted. The Plans provide for the award of options, which may either be incentive stock options (“ISOs”) within the meaning of Section 422A of the Internal Revenue Code of 1986, as amended (the “Code”) or non-qualified options (“NQOs”) which are not subject to special tax treatment under the Code, as well as for stock grants. On April 10, 2009, the Board of Directors approved for adoption, and on June 5, 2009, the shareholders of the Corporation approved, a 2009 Stock Incentive Plan (“2009 Plan”). The 2009 Plan authorizes the issuance of up to 250,000 Company (including cancelled shares reissued under the plan.) As of September 30, 2017, options for 250,000 143,094 Weighted Weighted Shares Average Average Aggregate under Exercise Remaining Intrinsic Option Price Contractual Life Value Balance at December 31, 2016 143,094 $ 5.22 2.9 $ 89,494 Granted - - - - Cancelled/Expired 14,625 5.14 - - Exercised - - - - Outstanding at September 30, 2017 128,469 $ 5.23 1.3 $ 0 Exercisable at September 30, 2017 100,788 $ 5.21 0.8 $ 0 On July 17, 2012, the Company entered into a Note and Warrant Purchase Agreement with BMO Private Equity (U.S.), Inc. (“BMO Equity”) pursuant to which (i) BMO Equity advanced to the Company the sum of $ 5 4 140,048 0.01 11.5 On July 29, 2016, the Company and certain accredited investors entered into a Securities Purchase Agreement wherein the investors purchased 152,850 6.00 7.00 76,675 7.00 In addition to the Purchase Agreement, the Company and each of the investors entered into a Registration Rights Agreement pursuant to which the Company agreed to file a Registration Statement with the SEC to register the common stock sold to the investors. Shares Weighted Weighted Aggregate Balance at December 31, 2016 216,723 $ 2.48 4.49 $ 817,880 Granted - - - - Cancelled - - - - Exercised 140,048 0.01 - $ 642,820 Outstanding at September 30, 2017 76,675 $ 7.00 1.8 $ - Exercisable at September 30, 2017 76,675 $ 7.00 1.8 $ - Options Outstanding Options Vested Options by Weighted Remain. Intrinsic Weighted Remain. Grant Date Shares Avg. Life Val Shares Avg. Life Intrinsic Val Dec 2005 - - - - - - - - Dec 2010 - - - - - - - - Jan 2011 - - - - - - - - Nov 2012 79,000 $ 5.17 0.2 $ 0 79,000 $ 5.17 0.2 $ 0 Nov 2013 5,000 $ 5.75 1.1 $ 0 4,000 $ 5.75 1.1 $ 0 Dec 2015 44,469 $ 5.29 3.3 $ 0 17,788 $ 5.27 3.3 $ 0 TOTAL 128,469 $ 5.23 1.3 $ 0 100,788 $ 5.21 0.8 $ 0 The aggregate intrinsic value in the tables above represents the total pre-tax intrinsic value (the difference between the closing price of the Company’s common stock on the last trading day of the quarter ended September 30, 2017 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all the holders exercised their options on September 30, 2017. |
Legal Proceedings
Legal Proceedings | 9 Months Ended |
Sep. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | Note 4 - Legal Proceedings The Company is party to certain claims or actions arising in the normal course of business. The ultimate outcome of these matters is unknown but, in the opinion of management, the resolution of these matters is not expected to have a significant effect on the future financial position or results of operations of the Company. |
Other Comprehensive Income
Other Comprehensive Income | 9 Months Ended |
Sep. 30, 2017 | |
Stockholders' Equity Note [Abstract] | |
Comprehensive Income (Loss) Note [Text Block] | Note 5 - Other Comprehensive Income In the three and nine months ended September 30, 2017, the Company incurred other comprehensive loss and income of approximately ($260,000) and $ 493,000 Total Accumulated Other Foreign Currency Items Comprehensive Income Beginning balance as of January 1, 2017 $ (5,593,878) $ (5,593,878) Current period change, net of tax 492,900 492,900 Ending Balance as of September 30, 2017 (5,100,978) (5,100,978) |
Inventories, Net
Inventories, Net | 9 Months Ended |
Sep. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Inventory Disclosure [Text Block] | Note 6 - Inventories, Net December 31, 2017 2016 Raw materials $ 3,485,026 $ 3,310,310 Work in process 2,873,071 1,942,600 Finished goods 13,881,057 13,889,328 Allowance for excess quantities (891,046) (794,227) Total inventories $ 19,348,108 $ 18,348,011 |
Geographic Segment Data
Geographic Segment Data | 9 Months Ended |
Sep. 30, 2017 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | Note 7 - Geographic Segment Data Net Sales to Outside Customers Net Sales to Outside Customers For the Three Months Ended For the Nine Months Ended September 30, September 30, 2017 2016 2017 2016 United States $ 9,039,000 $ 10,392,000 $ 30,165,000 $ 33,527,000 Europe 1,261,000 761,000 3,125,000 1,927,000 Mexico 2,627,000 1,723,000 6,605,000 5,438,000 United Kingdom 299,000 600,000 1,502,000 1,940,000 $ 13,226,000 $ 13,476,000 $ 41,397,000 $ 42,832,000 Total Assets at September 30, December 31, 2017 2016 United States $ 27,689,000 $ 33,108,000 Europe 3,176,000 2,418,000 Mexico 9,020,000 7,064,000 United Kingdom 847,000 1,324,000 $ 40,732,000 $ 43,914,000 |
Concentration of Credit Risk
Concentration of Credit Risk | 9 Months Ended |
Sep. 30, 2017 | |
Risks and Uncertainties [Abstract] | |
Concentration Risk Disclosure [Text Block] | Note 8 - Concentration of Credit Risk Concentration of credit risk with respect to trade accounts receivable is generally limited due to the large number of entities comprising the Company's customer base. The Company performs ongoing credit evaluations and provides an allowance for potential credit losses against the portion of accounts receivable which is estimated to be uncollectible. Such losses have historically been within management's expectations. During the three and nine months ended September 30, 2017 and 2016, there were two customers whose purchases represented more than 10 Three Months Ended Three Months Ended September 30, 2017 September 30, 2016 % of Net % of Net Customer Net Sales Sales Net Sales Sales Customer A $ 3,195,000 24.2 % $ 3,088,000 22.9 % Customer B $ 2,283,000 17.3 % $ 3,070,000 22.8 % Nine Months Ended Nine Months Ended September 30, 2017 September 30, 2016 % of Net % of Net Customer Net Sales Sales Net Sales Sales Customer A $ 11,489,000 27.8 % $ 11,859,000 27.7 % Customer B $ 6,457,000 15.6 % $ 7,870,000 18.4 % As of September 30, 2017, the total amounts owed to the Company by these customers were approximately $ 1,491,000 19.6 1,631,000 21.5 1,411,000 13.9 2,653,000 26.1 |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions Disclosure [Text Block] | Note 9 - Related Party Transactions Stephen M. Merrick, President of the Company, is of counsel to the law firm of Vanasco Genelly and Miller PC which provides legal services to the Company. Legal fees paid by the Company to this firm for the three months ended September 30, 2017 and 2016 29,000 57,000 September 30, 2017 93,000 128,000 Interest payments have been made or accrued to John H. Schwan, Chief Executive Officer of the Company, for loans made to the Company. During the three months ended September 30, 2017 and 2016, these interest accruals totaled $24,000 and $23,000, respectively. During the nine months ended September 30, 2017 and 2016, these interest accruals totaled $ 59,000 69,000 John H. Schwan, Chief Executive Officer of the Company, through an investment entity, and Stephen M. Merrick, President of the Company, also through an investment entity own, in aggregate, a 50 669,000 924,000 192,000 28.5 |
Derivative Instruments; Fair Va
Derivative Instruments; Fair Value | 9 Months Ended |
Sep. 30, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Fair Value [Text Block] | Note 10 - Derivative Instruments; Fair Value Amount as of Description 9/30/2017 Level 1 Level 2 Level 3 Warrant Liability $ - - $ - - $ - - $ - - Amount as of Description 12/31/2016 Level 1 Level 2 Level 3 Warrant Liability $ 818,000 - $ 818,000 - $ 818,000 $ 818,000 |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | Note 11 Subsequent Events On November 9, 2017, the Company and S.C. Johnson & Son Inc. entered into a Fourth Amendment to the Trademark License Agreement among them dated December, 2011, extending the term of the Trademark License Agreement to December 31, 2019. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Principles of consolidation and nature of operations: The condensed consolidated financial statements include the accounts of CTI Industries Corporation and its wholly-owned subsidiaries, CTI Balloons Limited and CTI Supply, Inc., its majority-owned subsidiaries, Flexo Universal, S. de R.L. de C.V. and CTI Europe gmbH, as well as the accounts of Venture Leasing S. A. de R. L., Venture Leasing L.L.C and Clever Container Company, L.L.C. (the “Company”). The last three entities have been consolidated as variable interest entities. All significant intercompany transactions and accounts have been eliminated in consolidation. The Company (i) designs, manufactures and distributes balloon products throughout the world, (ii) operates systems for the production, lamination, coating and printing of films used for food packaging and other commercial uses and for conversion of films to flexible packaging containers and other products, and (iii) distributes vacuum sealing products and home organization products in the United States. |
Consolidation, Variable Interest Entity, Policy [Policy Text Block] | Variable Interest Entities (“VIE’s”): The determination of whether or not to consolidate a variable interest entity under U.S. GAAP requires a significant amount of judgment concerning the degree of control over an entity by its holders of variable interest. To make these judgments, management has conducted an analysis of the relationship of the holders of variable interest to each other, the design of the entity, the expected operations of the entity, which holder of variable interests is most “closely associated” to the entity and which holder of variable interests is the primary beneficiary required to consolidate the entity. Upon the occurrence of certain events, management reviews and reconsiders its previous conclusion regarding the status of an entity as a variable interest entity. There are three entities that have been consolidated as variable interest entities. |
Use of Estimates, Policy [Policy Text Block] | Use of estimates: In preparing condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, management makes estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amount of revenue and expenses during the reporting period in the condensed consolidated financial statements and accompanying notes. Actual results may differ from those estimates. The Company’s significant estimates include reserves for doubtful accounts, reserves for the lower of cost or market of inventory, reserves for deferred tax assets and recovery value of goodwill. |
Earnings Per Share, Policy [Policy Text Block] | Earnings per share: Basic earnings per share is computed by dividing net income by the weighted average number of shares of common stock outstanding during each period. Diluted earnings per share is computed by dividing the net income by the weighted average number of shares of common stock and equivalents (stock options and warrants), unless anti-dilutive, during each period. As of September 30, 2017 and 2016, shares to be issued upon the exercise of options and warrants aggregated 205,144 288,048 281,819 0 178,350 0 |
Reclassification, Policy [Policy Text Block] | Reclassification: Certain 2016 amounts have been reclassified to conform to the 2017 presentation. (See footnote regarding ASU 2015-17.) |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements: In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In 2014, the FASB issued guidance on revenue recognition, which provides for a single five-step model to be applied to all revenue contracts with customers. The guidance also requires additional financial statement disclosures that will enable users to understand the nature, amount, timing and uncertainty of revenue and cash flows relating to customer contracts. The guidance provides an option to use either a retrospective approach or a cumulative effect adjustment approach to implement the guidance. In 2015, the FASB issued a deferral of the effective date of the guidance to 2018, with early adoption permitted in 2017. In 2016, the FASB issued final amendments clarifying the implementation guidance for principal versus agent considerations, identifying performance obligations and the accounting of intellectual property licenses. In addition, the FASB introduced practical expedients related to disclosures of remaining performance obligations, as well as other amendments to guidance on collectibility, non-cash consideration and the presentation of sales and other similar taxes. We are currently evaluating the impact of this guidance on our financial statements and the timing of adoption, and have not yet selected a transition approach. In November 2015, the FASB issued ASU 2015-17, Balance Sheet Classification of Deferred Taxes 779,000 773,000 In February 2016, the FASB issued ASU 2016-02, Leases ( On August 26, 2016, the FASB issued Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic 230) |
Stock-Based Compensation; Cha20
Stock-Based Compensation; Changes in Equity (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | A summary of the Company’s stock option activity and related information is as follows: Weighted Weighted Shares Average Average Aggregate under Exercise Remaining Intrinsic Option Price Contractual Life Value Balance at December 31, 2016 143,094 $ 5.22 2.9 $ 89,494 Granted - - - - Cancelled/Expired 14,625 5.14 - - Exercised - - - - Outstanding at September 30, 2017 128,469 $ 5.23 1.3 $ 0 Exercisable at September 30, 2017 100,788 $ 5.21 0.8 $ 0 |
Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block] | A summary of the Company’s stock warrant activity and related information is as follows: Shares Weighted Weighted Aggregate Balance at December 31, 2016 216,723 $ 2.48 4.49 $ 817,880 Granted - - - - Cancelled - - - - Exercised 140,048 0.01 - $ 642,820 Outstanding at September 30, 2017 76,675 $ 7.00 1.8 $ - Exercisable at September 30, 2017 76,675 $ 7.00 1.8 $ - |
Schedule Of Share Based Compensation Arrangement By Share Based Payment Award Options Vested Outstanding By Grant Date [Table Text Block] | A summary of the Company’s stock option activity by grant date as of September 30, 2017 is as follows: Options Outstanding Options Vested Options by Weighted Remain. Intrinsic Weighted Remain. Grant Date Shares Avg. Life Val Shares Avg. Life Intrinsic Val Dec 2005 - - - - - - - - Dec 2010 - - - - - - - - Jan 2011 - - - - - - - - Nov 2012 79,000 $ 5.17 0.2 $ 0 79,000 $ 5.17 0.2 $ 0 Nov 2013 5,000 $ 5.75 1.1 $ 0 4,000 $ 5.75 1.1 $ 0 Dec 2015 44,469 $ 5.29 3.3 $ 0 17,788 $ 5.27 3.3 $ 0 TOTAL 128,469 $ 5.23 1.3 $ 0 100,788 $ 5.21 0.8 $ 0 |
Other Comprehensive Income (Tab
Other Comprehensive Income (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following table sets forth the accumulated balance of other comprehensive income and each component. Total Accumulated Other Foreign Currency Items Comprehensive Income Beginning balance as of January 1, 2017 $ (5,593,878) $ (5,593,878) Current period change, net of tax 492,900 492,900 Ending Balance as of September 30, 2017 (5,100,978) (5,100,978) |
Inventories, Net (Tables)
Inventories, Net (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current [Table Text Block] | December 31, 2017 2016 Raw materials $ 3,485,026 $ 3,310,310 Work in process 2,873,071 1,942,600 Finished goods 13,881,057 13,889,328 Allowance for excess quantities (891,046) (794,227) Total inventories $ 19,348,108 $ 18,348,011 |
Geographic Segment Data (Tables
Geographic Segment Data (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | The Company has determined that it operates primarily in one business segment that designs, manufactures and distributes film and film related products for use in packaging, storage and novelty balloon products. The Company operates in foreign and domestic regions. Information about the Company's operations by geographic area is as follows: Net Sales to Outside Customers Net Sales to Outside Customers For the Three Months Ended For the Nine Months Ended September 30, September 30, 2017 2016 2017 2016 United States $ 9,039,000 $ 10,392,000 $ 30,165,000 $ 33,527,000 Europe 1,261,000 761,000 3,125,000 1,927,000 Mexico 2,627,000 1,723,000 6,605,000 5,438,000 United Kingdom 299,000 600,000 1,502,000 1,940,000 $ 13,226,000 $ 13,476,000 $ 41,397,000 $ 42,832,000 Total Assets at September 30, December 31, 2017 2016 United States $ 27,689,000 $ 33,108,000 Europe 3,176,000 2,418,000 Mexico 9,020,000 7,064,000 United Kingdom 847,000 1,324,000 $ 40,732,000 $ 43,914,000 |
Concentration of Credit Risk (T
Concentration of Credit Risk (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Risks and Uncertainties [Abstract] | |
Schedules of Concentration of Risk, by Risk Factor [Table Text Block] | Sales to these customers for the three months ended September 30, 2017 and 2016 are as follows: Three Months Ended Three Months Ended September 30, 2017 September 30, 2016 % of Net % of Net Customer Net Sales Sales Net Sales Sales Customer A $ 3,195,000 24.2 % $ 3,088,000 22.9 % Customer B $ 2,283,000 17.3 % $ 3,070,000 22.8 % Nine Months Ended Nine Months Ended September 30, 2017 September 30, 2016 % of Net % of Net Customer Net Sales Sales Net Sales Sales Customer A $ 11,489,000 27.8 % $ 11,859,000 27.7 % Customer B $ 6,457,000 15.6 % $ 7,870,000 18.4 % |
Derivative Instruments; Fair 25
Derivative Instruments; Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | The following tables represents information about the Company’s assets and liabilities measured at fair value on a recurring basis as of September 30, 2017 and December 31, 2016, and indicate the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value: Amount as of Description 9/30/2017 Level 1 Level 2 Level 3 Warrant Liability $ - - $ - - $ - - $ - - Amount as of Description 12/31/2016 Level 1 Level 2 Level 3 Warrant Liability $ 818,000 - $ 818,000 - $ 818,000 $ 818,000 |
Basis of Presentation (Details
Basis of Presentation (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Shares To Be Issued Upon Exercise Of Options And Warrant | 205,144 | 288,048 | 205,144 | 288,048 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 281,819 | 0 | 178,350 | 0 | |
Accounting Standards Update 2015-17 [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | $ 779,000 | $ 779,000 | $ 773,000 |
Liquidity and Going Concern (De
Liquidity and Going Concern (Details Textual) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 9 Months Ended | ||||||||
Nov. 30, 2017 | Oct. 17, 2017 | Aug. 17, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Sep. 30, 2016 | Jun. 30, 2017 | Sep. 30, 2017 | Sep. 30, 2016 | Oct. 19, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net Cash Provided by (Used in) Operating Activities | $ 5,230,217 | $ (254,668) | ||||||||||
Net Income (Loss) Attributable To Parent | $ (274,700) | $ (526,000) | $ (180,475) | $ (468,000) | (742,359) | (256,642) | ||||||
Cash and Cash Equivalents, at Carrying Value | 324,712 | $ 623,880 | 324,712 | 623,880 | $ 563,043 | $ 346,404 | ||||||
Line of Credit, Current | 8,567,174 | 8,567,174 | $ 11,263,531 | |||||||||
Notes Issued | 797,881 | 0 | ||||||||||
Proceeds From (Repayments Of) Bank Overdrafts | (1,170,599) | $ 31,560 | ||||||||||
Warrant Conversion Note [Member] | ||||||||||||
Notes Issued | $ 797,881 | |||||||||||
Debt Instrument, Maturity Date | Jan. 18, 2018 | |||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 11.50% | |||||||||||
BMO Harris Bank [Member] | ||||||||||||
Line of Credit, Current | 9,852,000 | 9,852,000 | ||||||||||
BMO Harris Bank [Member] | Subsequent Event [Member] | ||||||||||||
Loans Payable to Bank, Current | $ 1,664,456 | |||||||||||
Debt Instrument, Maturity Date | Nov. 30, 2017 | |||||||||||
Proceeds From (Repayments Of) Bank Overdrafts | $ 1,000,000 | |||||||||||
Revolving Credit Facility [Member] | BMO Harris Bank [Member] | Subsequent Event [Member] | ||||||||||||
Line of Credit, Current | $ 8,211,467 | |||||||||||
Mortgages [Member] | ||||||||||||
Long-term Debt, Gross | 1,641,000 | 1,641,000 | ||||||||||
Subordinated Debt [Member] | ||||||||||||
Proceeds from Issuance of Debt | $ 5,000,000 | |||||||||||
Notes Payable to Banks [Member] | ||||||||||||
Subordinated Debt, Current | $ 8,211,000 | $ 8,211,000 | ||||||||||
Notes Payable to Banks [Member] | Subsequent Event [Member] | ||||||||||||
Notes Issued | 815,139 | |||||||||||
Subordinated Debt, Current | 5,000,000 | |||||||||||
Secured Debt [Member] | Subsequent Event [Member] | Maximum [Member] | ||||||||||||
Interest Payable | $ 150,139 | |||||||||||
Debt Instrument, Face Amount | $ 24,000,000 |
Stock-Based Compensation; Cha28
Stock-Based Compensation; Changes in Equity (Details) - USD ($) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2017 | Dec. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Shares, Outstanding at the end of period (in shares) | 128,469 | |
Shares under Option, Exercisable (in shares) | 100,788 | |
Weighted Average Exercise Price, Outstanding at the end of period (in dollars per share) | $ 5.23 | |
Weighted Average Exercise Price, Exercisable (in dollars per share) | $ 5.21 | |
Weighted Average Remaining Contractual Life, Outstanding (in years) | 1 year 3 months 18 days | |
Weighted Average Remaining Contractual Life, Exercisable (in years) | 9 months 18 days | |
Aggregate Intrinsic Value Outstanding (in dollars) | $ 0 | |
Aggregate Intrinsic Value, Exercisable (in dollars) | $ 0 | |
Employee Stock Option [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Shares, Outstanding, beginning of period (in shares) | 143,094 | |
Shares under Option, Granted (in shares) | 0 | |
Shares under Option, Cancelled (in shares) | 14,625 | |
Shares under Option, Exercised (in shares) | 0 | |
Shares, Outstanding at the end of period (in shares) | 128,469 | 143,094 |
Shares under Option, Exercisable (in shares) | 100,788 | |
Weighted Average Exercise Price, Outstanding, beginning of period (in dollars per share) | $ 5.22 | |
Weighted Average Exercise Price, Granted (in dollars per share) | 0 | |
Weighted Average Exercise Price, Cancelled (in dollars per share) | 5.14 | |
Weighted Average Exercise Price, Exercised (in dollars per share) | 0 | |
Weighted Average Exercise Price, Outstanding at the end of period (in dollars per share) | 5.23 | $ 5.22 |
Weighted Average Exercise Price, Exercisable (in dollars per share) | $ 5.21 | |
Weighted Average Remaining Contractual Life, Outstanding (in years) | 1 year 3 months 18 days | 2 years 10 months 24 days |
Weighted Average Remaining Contractual Life, Exercisable (in years) | 9 months 18 days | |
Aggregate Intrinsic Value Outstanding (in dollars) | $ 0 | $ 89,494 |
Aggregate Intrinsic Value, Exercisable (in dollars) | $ 0 |
Stock-Based Compensation; Cha29
Stock-Based Compensation; Changes in Equity (Details 1) - USD ($) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2017 | Dec. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Shares, Outstanding at the end of period (in shares) | 128,469 | |
Shares under Warrant, Exercisable (in shares) | 100,788 | |
Weighted Average Exercise Price, Outstanding at the end of period (in dollars per share) | $ 5.23 | |
Weighted Average Exercise Price, Exercisable (in dollars per share) | $ 5.21 | |
Weighted Average Remaining Contractual Life, Outstanding (in years) | 1 year 3 months 18 days | |
Weighted Average Remaining Contractual Life, Exercisable (in years) | 9 months 18 days | |
Aggregate Intrinsic Value Outstanding (in dollars) | $ 0 | |
Aggregate Intrinsic Value, Exercisable (in dollars) | $ 0 | |
Warrant [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Shares, Outstanding, beginning of period (in shares) | 216,723 | |
Shares under Warrant, Granted (in shares) | 0 | |
Shares under Warrant, Cancelled (in shares) | 0 | |
Shares under Warrant, Exercised (in shares) | 140,048 | |
Shares, Outstanding at the end of period (in shares) | 76,675 | 216,723 |
Shares under Warrant, Exercisable (in shares) | 76,675 | |
Weighted Average Exercise Price, Outstanding, beginning of period (in dollars per share) | $ 2.48 | |
Weighted Average Exercise Price, Granted (in dollars per share) | 0 | |
Weighted Average Exercise Price, Cancelled (in dollars per share) | 0 | |
Weighted Average Exercise Price, Exercised (in dollars per share) | 0.01 | |
Weighted Average Exercise Price, Outstanding at the end of period (in dollars per share) | 7 | $ 2.48 |
Weighted Average Exercise Price, Exercisable (in dollars per share) | $ 7 | |
Weighted Average Remaining Contractual Life, Outstanding (in years) | 1 year 9 months 18 days | 4 years 5 months 26 days |
Weighted Average Remaining Contractual Life, Exercisable (in years) | 1 year 9 months 18 days | |
Aggregate Intrinsic Value, Exercised (in dollars) | $ 642,820 | |
Aggregate Intrinsic Value Outstanding (in dollars) | 0 | $ 817,880 |
Aggregate Intrinsic Value, Exercisable (in dollars) | $ 0 |
Stock-Based Compensation; Cha30
Stock-Based Compensation; Changes in Equity (Details 2) | 9 Months Ended |
Sep. 30, 2017USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares, Options Outstanding (in shares) | shares | 128,469 |
Weighted Average, Options Outstanding (in dollars per share) | $ / shares | $ 5.23 |
Remaining Life, Options Outstanding | 1 year 3 months 18 days |
Intrinsic Value, Options Outstanding (in dollars) | $ | $ 0 |
Shares, Options Vested (in shares) | shares | 100,788 |
Weighted Average, Options Vested (in dollars per share) | $ / shares | $ 5.21 |
Remaining Life, Option Vested | 9 months 18 days |
Intrinsic Value, Options Vested (in dollars) | $ | $ 0 |
Stock Options By Grant Date Dec 2005 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares, Options Outstanding (in shares) | shares | 0 |
Weighted Average, Options Outstanding (in dollars per share) | $ / shares | $ 0 |
Remaining Life, Options Outstanding | 0 years |
Intrinsic Value, Options Outstanding (in dollars) | $ | $ 0 |
Shares, Options Vested (in shares) | shares | 0 |
Weighted Average, Options Vested (in dollars per share) | $ / shares | $ 0 |
Remaining Life, Option Vested | 0 years |
Intrinsic Value, Options Vested (in dollars) | $ | $ 0 |
Stock Options By Grant Date Dec 2010 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares, Options Outstanding (in shares) | shares | 0 |
Weighted Average, Options Outstanding (in dollars per share) | $ / shares | $ 0 |
Remaining Life, Options Outstanding | 0 years |
Intrinsic Value, Options Outstanding (in dollars) | $ | $ 0 |
Shares, Options Vested (in shares) | shares | 0 |
Weighted Average, Options Vested (in dollars per share) | $ / shares | $ 0 |
Remaining Life, Option Vested | 0 years |
Intrinsic Value, Options Vested (in dollars) | $ | $ 0 |
Stock Options By Grant Date Jan 2011 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares, Options Outstanding (in shares) | shares | 0 |
Weighted Average, Options Outstanding (in dollars per share) | $ / shares | $ 0 |
Remaining Life, Options Outstanding | 0 years |
Intrinsic Value, Options Outstanding (in dollars) | $ | $ 0 |
Shares, Options Vested (in shares) | shares | 0 |
Weighted Average, Options Vested (in dollars per share) | $ / shares | $ 0 |
Remaining Life, Option Vested | 0 years |
Intrinsic Value, Options Vested (in dollars) | $ | $ 0 |
Stock Options By Grant Date Nov 2012 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares, Options Outstanding (in shares) | shares | 79,000 |
Weighted Average, Options Outstanding (in dollars per share) | $ / shares | $ 5.17 |
Remaining Life, Options Outstanding | 2 months 12 days |
Intrinsic Value, Options Outstanding (in dollars) | $ | $ 0 |
Shares, Options Vested (in shares) | shares | 79,000 |
Weighted Average, Options Vested (in dollars per share) | $ / shares | $ 5.17 |
Remaining Life, Option Vested | 2 months 12 days |
Intrinsic Value, Options Vested (in dollars) | $ | $ 0 |
Stock Options By Grant Date Nov 2013 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares, Options Outstanding (in shares) | shares | 5,000 |
Weighted Average, Options Outstanding (in dollars per share) | $ / shares | $ 5.75 |
Remaining Life, Options Outstanding | 1 year 1 month 6 days |
Intrinsic Value, Options Outstanding (in dollars) | $ | $ 0 |
Shares, Options Vested (in shares) | shares | 4,000 |
Weighted Average, Options Vested (in dollars per share) | $ / shares | $ 5.75 |
Remaining Life, Option Vested | 1 year 1 month 6 days |
Intrinsic Value, Options Vested (in dollars) | $ | $ 0 |
Stock Options By Grant Date Dec 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares, Options Outstanding (in shares) | shares | 44,469 |
Weighted Average, Options Outstanding (in dollars per share) | $ / shares | $ 5.29 |
Remaining Life, Options Outstanding | 3 years 3 months 18 days |
Intrinsic Value, Options Outstanding (in dollars) | $ | $ 0 |
Shares, Options Vested (in shares) | shares | 17,788 |
Weighted Average, Options Vested (in dollars per share) | $ / shares | $ 5.27 |
Remaining Life, Option Vested | 3 years 3 months 18 days |
Intrinsic Value, Options Vested (in dollars) | $ | $ 0 |
Stock-Based Compensation; Cha31
Stock-Based Compensation; Changes in Equity (Details Textual) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Jul. 29, 2016 | Jul. 17, 2012 | Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Apr. 10, 2009 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 0.00% | ||||||
Share-Based Compensation | $ 0 | $ 28,719 | |||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 13,000 | $ 13,000 | |||||
Diluted | 3,641,439 | 3,714,239 | 3,789,081 | 3,703,732 | |||
Earnings Per Share, Diluted | $ (0.08) | $ (0.05) | $ (0.20) | $ (0.07) | |||
Stock Issued During Period, Shares, New Issues | 152,850 | ||||||
Shares Issued, Price Per Share | $ 6 | ||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | 7 | ||||||
Allocated Share-based Compensation Expense | $ 2,000 | $ 5,000 | $ 12,000 | $ 29,000 | |||
Warrant [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 0 | ||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 7 | ||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 76,675 | ||||||
BMO Equity [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Related Party Transaction, Due from (to) Related Party | $ 5,000,000 | ||||||
Warrants Issued To Purchase Common Stock Percentage | 4.00% | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 11.50% | ||||||
Diluted | 140,048 | ||||||
Earnings Per Share, Diluted | $ 0.01 | ||||||
Stock Incentive Plan 2009 [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 250,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 250,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Number | 143,094 | 143,094 | |||||
Year 2017 [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Share-Based Compensation | $ 2,000 | ||||||
Year 2018 [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Share-Based Compensation | 7,000 | ||||||
Year 2019 [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Share-Based Compensation | 3,000 | ||||||
Year 2020 [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Share-Based Compensation | $ 1,000 |
Other Comprehensive Income (Det
Other Comprehensive Income (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Foreign Currency Items, Beginning balance | $ (5,593,878) | |||
Foreign currency translation adjustments, Net of Tax Amount | $ (260,469) | $ (236,133) | 492,900 | $ (840,144) |
Foreign Currency Items, Ending Balance | (5,100,978) | (5,100,978) | ||
Total Accumulated Other Comprehensive Income, Beginning balance | (5,593,878) | |||
Total Accumulated Other Comprehensive Income, Current period change, net of tax | 492,900 | |||
Total Accumulated Other Comprehensive Income, Ending Balance | $ (5,100,978) | $ (5,100,978) |
Other Comprehensive Income (D33
Other Comprehensive Income (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended |
Sep. 30, 2017 | Sep. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Tax | $ (260,000) | $ 493,000 |
Inventories, Net (Details)
Inventories, Net (Details) - USD ($) | Sep. 30, 2017 | Dec. 31, 2016 |
Inventory [Line Items] | ||
Raw materials | $ 3,485,026 | $ 3,310,310 |
Work in process | 2,873,071 | 1,942,600 |
Finished goods | 13,881,057 | 13,889,328 |
Allowance for excess quantities | (891,046) | (794,227) |
Total inventories | $ 19,348,108 | $ 18,348,011 |
Geographic Segment Data (Detail
Geographic Segment Data (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||||
Net Sales | $ 13,225,954 | $ 13,476,157 | $ 41,397,288 | $ 42,831,655 | |
Total Assets at | 39,364,430 | 39,364,430 | $ 43,913,739 | ||
Sales Revenue, Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Net Sales | 13,226,000 | 13,476,000 | 41,397,000 | 42,832,000 | |
Net Assets, Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total Assets at | 40,732,000 | 40,732,000 | 43,914,000 | ||
United States [Member] | Sales Revenue, Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Net Sales | 9,039,000 | 10,392,000 | 30,165,000 | 33,527,000 | |
United States [Member] | Net Assets, Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total Assets at | 27,689,000 | 27,689,000 | 33,108,000 | ||
United Kingdom [Member] | Sales Revenue, Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Net Sales | 299,000 | 600,000 | 1,502,000 | 1,940,000 | |
United Kingdom [Member] | Net Assets, Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total Assets at | 847,000 | 847,000 | 1,324,000 | ||
Europe [Member] | Sales Revenue, Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Net Sales | 1,261,000 | 761,000 | 3,125,000 | 1,927,000 | |
Europe [Member] | Net Assets, Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total Assets at | 3,176,000 | 3,176,000 | 2,418,000 | ||
Mexico [Member] | Sales Revenue, Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Net Sales | 2,627,000 | $ 1,723,000 | 6,605,000 | $ 5,438,000 | |
Mexico [Member] | Net Assets, Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total Assets at | $ 9,020,000 | $ 9,020,000 | $ 7,064,000 |
Concentration of Credit Risk (D
Concentration of Credit Risk (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net Sales | $ 13,225,954 | $ 13,476,157 | $ 41,397,288 | $ 42,831,655 |
Customer A [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net Sales | $ 3,195,000 | $ 3,088,000 | $ 11,489,000 | $ 11,859,000 |
Percentage of Net Sales | 24.20% | 22.90% | 27.80% | 27.70% |
Customer B [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net Sales | $ 2,283,000 | $ 3,070,000 | $ 6,457,000 | $ 7,870,000 |
Percentage of Net Sales | 17.30% | 22.80% | 15.60% | 18.40% |
Concentration of Credit Risk 37
Concentration of Credit Risk (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Accounts Receivable, Net, Current | $ 9,481,084 | $ 9,481,084 | $ 14,838,978 | ||
Customer A [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Concentration Risk, Percentage | 24.20% | 22.90% | 27.80% | 27.70% | |
Customer A [Member] | Accounts Receivable [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Concentration Risk, Percentage | 19.60% | 13.90% | |||
Accounts Receivable, Net, Current | $ 1,491,000 | $ 1,411,000 | $ 1,491,000 | $ 1,411,000 | |
Customer B [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Concentration Risk, Percentage | 17.30% | 22.80% | 15.60% | 18.40% | |
Customer B [Member] | Accounts Receivable [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Concentration Risk, Percentage | 21.50% | 26.10% | |||
Accounts Receivable, Net, Current | $ 1,631,000 | $ 2,653,000 | $ 1,631,000 | $ 2,653,000 | |
Two Customers [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Concentration Risk, Percentage | 10.00% |
Related Party Transactions (Det
Related Party Transactions (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Related Party Transaction [Line Items] | ||||
Legal Fees | $ 29,000 | $ 57,000 | $ 93,000 | $ 128,000 |
Noncontrolling Interest, Ownership Percentage by Parent | 50.00% | 50.00% | ||
John H Schwan [Member] | ||||
Related Party Transaction [Line Items] | ||||
Related Party Transaction, Amounts of Transaction | $ 2,016 | 29,000 | $ 59,000 | 69,000 |
Clever Container Company L.L.C [Member] | ||||
Related Party Transaction [Line Items] | ||||
Noncontrolling Interest, Ownership Percentage by Parent | 28.50% | 28.50% | ||
Revenue from Related Parties | $ 57,000 | 302,017 | $ 128,000 | 669,000 |
Accounts Receivable, Related Parties, Current | $ 924,000 | $ 192,000 | $ 924,000 | $ 192,000 |
Derivative Instruments; Fair 39
Derivative Instruments; Fair Value (Details) - USD ($) | Sep. 30, 2017 | Dec. 31, 2016 |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Warrant Liability | $ 0 | $ 818,000 |
Liabilities, Fair Value Disclosure | 0 | 818,000 |
Fair Value, Inputs, Level 1 [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Warrant Liability | 0 | 0 |
Liabilities, Fair Value Disclosure | 0 | |
Fair Value, Inputs, Level 2 [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Warrant Liability | 0 | 818,000 |
Liabilities, Fair Value Disclosure | 0 | 818,000 |
Fair Value, Inputs, Level 3 [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Warrant Liability | 0 | $ 0 |
Liabilities, Fair Value Disclosure | $ 0 |