Broadwind (BWEN) 10-Q 4 May 18 2018 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2018	Apr. 27, 2018
Document and Entity Information
Entity Registrant Name	BROADWIND ENERGY, INC.
Entity Central Index Key	1,120,370
Document Type	10-Q
Document Period End Date	Mar. 31, 2018
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		15,377,019
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q1

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
CURRENT ASSETS:
Cash and cash equivalents	$ 26	$ 78
Accounts receivable, net	15,925	13,644
Inventories, net	22,294	19,279
Prepaid expenses and other current assets	1,819	1,798
Current assets held for sale	579	580
Total current assets	40,643	35,379
LONG-TERM ASSETS:
Property and equipment, net	53,707	55,693
Goodwill	4,993	4,993
Other intangible assets, net	15,607	16,078
Other assets	195	207
TOTAL ASSETS	115,145	112,350
CURRENT LIABILITIES:
Line of credit, NMTC and other notes payable	18,028	14,138
Current maturities of long-term debt	114	114
Current portions of capital lease obligations	771	762
Accounts payable	13,905	11,756
Accrued liabilities	6,046	4,393
Customer deposits	9,988	9,791
Current liabilities held for sale	29	30
Total current liabilities	48,881	40,984
LONG-TERM LIABILITIES:
Long-term debt, net of current maturities	1,523	797
Long-term capital lease obligations, net of current portions	745	941
Other	2,333	3,557
Total long-term liabilities	4,601	5,295
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS’ EQUITY:
Preferred stock, $0.001 par value; 10,000,000 shares authorized; no shares issued or outstanding
Common stock, $0.001 par value; 30,000,000 shares authorized; 15,650,956 and 15,480,299 shares issued as of March 31, 2018, and December 31, 2017, respectively	16	15
Treasury stock, at cost, 273,937 shares as of March 31, 2018 and December 31, 2017	(1,842)	(1,842)
Additional paid-in capital	380,434	380,005
Accumulated deficit	(316,945)	(312,107)
Total stockholders’ equity	61,663	66,071
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$ 115,145	$ 112,350

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Mar. 31, 2018	Dec. 31, 2017
CONDENSED CONSOLIDATED BALANCE SHEETS
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	30,000,000	30,000,000
Common stock, shares issued	15,650,956	15,480,299
Treasury stock, common shares	273,937	273,937

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Revenues	$ 29,967	$ 56,060
Cost of sales	29,984	49,686
Restructuring	115
Gross (loss) profit	(132)	6,374
OPERATING EXPENSES:
Selling, general and administrative	3,898	4,420
Intangible amortization	471	351
Restructuring	36
Total operating expenses	4,405	4,771
Operating (loss) income	(4,537)	1,603
OTHER INCOME, net:
Interest expense, net	(298)	(139)
Other, net	(3)
Total other expense, net	(301)	(139)
Net (loss) income before benefit for income taxes	(4,838)	1,464
Benefit for income taxes	(27)	(5,018)
(LOSS) INCOME FROM CONTINUING OPERATIONS	(4,811)	6,482
LOSS FROM DISCONTINUED OPERATIONS	(27)	(155)
NET (LOSS) INCOME	$ (4,838)	$ 6,327
NET (LOSS) INCOME PER COMMON SHARE—BASIC:
(Loss) income from continuing operations (in dollars per share)	$ (0.32)	$ 0.43
Loss from discontinued operations (in dollars per share)	0	(0.01)
Net (loss) income (in dollars per share)	$ (0.32)	$ 0.42
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING-BASIC (in shares)	15,257,234	14,929,358
NET (LOSS) INCOME PER COMMON SHARE-DILUTED:
(Loss) income from continuing operations (in dollars per share)	$ (0.32)	$ 0.43
Loss from discontinued operations (in dollars per share)	0	(0.01)
Net (loss) income (in dollars per share)	$ (0.32)	$ 0.42
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING-DILUTED (in shares)	15,257,234	15,194,942

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY - USD ($) $ in Thousands	Common Stock	Treasury Stock	Additional Paid-in Capital	Accumulated Deficit	Total
Balance at Dec. 31, 2016	$ 15	$ (1,842)	$ 378,876	$ (308,466)	$ 68,583
Balance (in shares) at Dec. 31, 2016	15,175,767	(273,937)
Increase (Decrease) in Stockholders' Equity
Stock issued for restricted stock (in shares)	190,482
Stock issued under defined contribution 401(k) retirement savings plan			316		316
Stock issued under defined contribution 401(k) retirement savings plan (in shares)	114,050
Share-based compensation			813		813
Net loss				(3,641)	(3,641)
Balance at Dec. 31, 2017	$ 15	$ (1,842)	380,005	(312,107)	$ 66,071
Balance (in shares) at Dec. 31, 2017	15,480,299	(273,937)			15,480,299
Increase (Decrease) in Stockholders' Equity
Stock issued for restricted stock	$ 1				$ 1
Stock issued for restricted stock (in shares)	96,534
Stock issued under defined contribution 401(k) retirement savings plan			167		167
Stock issued under defined contribution 401(k) retirement savings plan (in shares)	74,123
Share-based compensation			262		262
Net loss				(4,838)	(4,838)
Balance at Mar. 31, 2018	$ 16	$ (1,842)	$ 380,434	$ (316,945)	$ 61,663
Balance (in shares) at Mar. 31, 2018	15,650,956	(273,937)			15,650,956

CONDENSED CONSOLIDATED STATEME6

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:
Net (loss) income	$ (4,838)	$ 6,327
Loss from discontinued operations	(27)	(155)
(Loss) income from continuing operations	(4,811)	6,482
Adjustments to reconcile net cash used in operating activities:
Depreciation and amortization expense	2,357	2,101
Deferred income taxes	(27)	(5,050)
Stock-based compensation	262	222
Allowance for doubtful accounts	(15)	8
Common stock issued under defined contribution 401(k) plan	167
Gain on disposal of assets		(2)
Changes in operating assets and liabilities, net of acquisition:
Accounts receivable	(2,266)	(9,037)
Inventories	(2,577)	382
Prepaid expenses and other current assets	21	423
Accounts payable	2,956	2,883
Accrued liabilities	1,653	(2,356)
Customer deposits	197	(4,440)
Other non-current assets and liabilities	(1,210)	239
Net cash used in operating activities of continuing operations	(3,293)	(8,145)
CASH FLOWS FROM INVESTING ACTIVITIES:
Cash paid in acquisition		(16,659)
Sales of available for sale securities		2,221
Maturities of available for sale securities		950
Purchases of property and equipment	(229)	(3,261)
Proceeds from disposals of property and equipment		2
Net cash used in investing activities of continuing operations	(229)	(16,747)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from line of credit	32,886	51,852
Payments on line of credit	(29,202)	(45,358)
Principal payments on capital leases	(187)	(114)
Net cash provided by financing activities of continuing operations	3,497	6,380
DISCONTINUED OPERATIONS:
Operating cash flows	(27)	74
Financing cash flows	0	(109)
Net cash used in discontinued operations	(27)	(35)
Add: Cash balance of discontinued operations, beginning of period		2
NET DECREASE IN CASH, CASH EQUIVALENTS, AND RESTRICTED CASH	(52)	(18,545)
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH beginning of the period	78	18,800
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH end of the period	26	255
Supplemental cash flow information:
Interest paid	233	77
Income taxes paid		3
Non-cash activities:
Issuance of restricted stock grants	$ 262	222
Contingent consideration related to business acquisition		2,944
Red Wolf acquisition:
Assets acquired		27,157
Liabilities assumed		$ 7,554

BASIS OF PRESENTATION

BASIS OF PRESENTATION	3 Months Ended
	Mar. 31, 2018
BASIS OF PRESENTATION
BASIS OF PRESENTATION	NOTE 1 — BASIS OF PRESENTATION The unaudited condensed consolidated financial statements presented herein include the accounts of Broadwind Energy, Inc. (the “Company”) and its wholly-owned subsidiaries Broadwind Towers, Inc. (“Broadwind Towers”), Brad Foote Gear Works, Inc. (“Brad Foote”), and Red Wolf Company, LLC (“Red Wolf”). See the discussion of the Red Wolf acquisition in Note 17 “Business Combinations” of these condensed consolidated financial statements. All intercompany transactions and balances have been eliminated. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, the financial statements do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, all adjustments, including normal recurring accruals, considered necessary for a fair presentation have been included. Operating results for the three months ended March 31, 2018 are not necessarily indicative of the results that may be expected for the twelve months ending December 31, 2018. The December 31, 2017 condensed consolidated balance sheet was derived from audited financial statements, but does not include all disclosures required by GAAP. This financial information should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017. In February 2017, the Company acquired Red Wolf and formed the Process Systems segment. Consequently, the Company has revised its segment presentation to include three reportable operating segments: Towers and Heavy Fabrications, Gearing and Process Systems. All current results have been presented to reflect this change. See Note 14, “Segment Reporting” of these condensed consolidated financial statements for further discussion of reportable segments. There have been no material changes in the Company’s significant accounting policies during the three months ended March 31, 2018 as compared to the significant accounting policies described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017. Company Description Through its subsidiaries, the Company provides technologically advanced high-value products to energy, mining and infrastructure sector customers, primarily in the United States of America (the “U.S.”). The Company’s most significant presence is within the U.S. wind energy industry, which accounted for 52% of the Company’s revenue during the first three months of 2018. The Company has diversified its operations to provide precision gearing, specialty fabrications, kitting and assemblies of industrial systems to a broad range of industrial customers for oil and gas (“O&G”), mining, steel, and other industrial applications. Please refer to Note 18, “Restructuring” of these condensed consolidated financial statements for the discussion of the restructuring plan which the Company initiated in the current year quarter. The Company has incurred a total of approximately $151 of net costs in the first quarter of 2018 to implement this restructuring plan. Liquidity The Company meets its short term liquidity needs through cash generated from operations, its available cash balances, the Credit Facility (as defined below), additional equipment financing, and access to the public or private debt equity markets, including the option to raise capital under Broadwind Form S-3 (as discussed below). See Note 8, “Debt and Credit Agreements” of these condensed consolidated financial statements for a complete description of the Credit Facility and the Company’s other debt. Total debt and capital lease obligations at March 31, 2018 totaled $21,181, which includes current outstanding debt and capital leases totaling $18,913. The current outstanding debt includes $14,239 outstanding under the Company’s revolving line of credit and $2,600 related to the New Market Tax Credit Transaction (the “NMTC Transaction”). See Note 16 “New Markets Tax Credit Transaction” of these condensed consolidated financial statements for a complete description of the NMTC Transaction. On August 11, 2017, the Company filed a “shelf” registration statement on Form S-3, which was declared effective by the Securities and Exchange Commission (the “SEC”) on October 10, 2017. This shelf registration statement, which includes a base prospectus, allows the Company at any time to offer any combination of securities described in the prospectus in one or more offerings. Unless otherwise specified in the prospectus supplement accompanying the base prospectus, the Company would use the net proceeds from the sale of any securities offered pursuant to the shelf registration statement for general corporate purposes. The Company anticipates that current cash resources, amounts available under the Credit Facility, cash to be generated from operations, and any potential proceeds from the sale of Company securities under the Form S-3 will be adequate to meet the Company’s liquidity needs for at least the next twelve months. If assumptions regarding the Company’s production, sales and subsequent collections from certain of the Company’s large customers, as well as customer deposits and revenues generated from new customer orders, are materially inconsistent with management’s expectations, the Company may in the future encounter cash flow and liquidity issues. If the Company’s operational performance deteriorates significantly, it may be unable to comply with existing financial covenants, and could lose access to the Credit Facility. This could limit the Company’s operational flexibility, require a delay in making planned investments and/or require the Company to seek additional equity or debt financing. Any additional equity financing, if available, may be dilutive to stockholders, and additional debt financing, if available, would likely require new financial covenants or impose other restrictions on the Company. While the Company believes that it will continue to have sufficient cash available to operate its businesses and to meet its financial obligations and debt covenants, there can be no assurances that its operations will generate sufficient cash, or that credit facilities will be available in an amount sufficient to enable the Company to meet these financial obligations. Management’s Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent liabilities as of the date of the financial statements and reported amounts of revenues and expenses during the reported period. Significant estimates, among others, include revenue recognition, future tax rates, inventory reserves, warranty reserves, impairment of long-lived assets, allowance for doubtful accounts, workers’ compensation reserves, and health insurance reserves. Although these estimates are based upon management’s best knowledge of current events and actions that the Company may undertake in the future, actual results could differ from these estimates.

REVENUES

REVENUES	3 Months Ended
	Mar. 31, 2018
REVENUES
REVENUES	NOTE 2 — REVENUES On January 1, 2018, the Company adopted Accounting Standards Updates (“ASU”) 2014-09 and 2015-14, Revenue from Contracts with Customers (Topic 606), using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606 while prior period amounts are not adjusted and continue to be reported in accordance with the Company’s historical accounting under Topic 605. Based on the Company’s contract evaluation, the Company determined there was no need to record any changes to the opening retained earnings due to the impact of adopting Topic 606. The adoption of Topic 606 did not have a material impact on the Company’s condensed consolidated financial statements. Revenues are recognized when control of the promised goods is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods. The following table presents the Company’s revenues disaggregated by revenue source for the three months ended March 31, 2018 and 2017: Three Months Ended March 31, 2018 2017 (1) Towers and Heavy Fabrications $ 16,785 $ 48,895 Process Systems 4,377 3,294 Gearing 8,805 3,871 Consolidated $ 29,967 $ 56,060 (1) As noted above, prior period amounts have not been adjusted under the modified retrospective method. Revenue within the Company’s Gearing and Process Systems segments is recognized at a point in time, typically when control of the promised goods or services is transferred to its customers in an amount that reflects the consideration it expects to be entitled to in exchange for those goods or services. A performance obligation is a promise in a contract to transfer a distinct product or service to the customer. The Company measures revenue based on the consideration specified in the purchase order and revenue is recognized when the performance obligations are satisfied. If applicable, the transaction price of a contract is allocated to each distinct performance obligation and recognized as revenue when or as the customer receives the benefit of the performance obligation. In most instances within the Company’s Towers and Heavy Fabrications segment, products are sold under terms included in bill and hold sales arrangements that result in different timing for revenue recognition. The Company recognizes revenue under these arrangements only when the buyer requests the arrangement, the ordered goods are segregated from inventory and not available to fill other orders, the goods must be currently be ready for physical transfer to the customer, and the Company cannot have the ability to use the product or to direct it to another customer. Assuming these required revenue recognition criteria are met, revenue is recognized upon completion of product manufacture and customer acceptance. The Company generally expenses sales commissions when incurred because the amortization period would have been one year or less. These costs are recorded within selling, general and administrative expenses. Customer deposits, deferred revenue and other receipts are deferred and recognized when the revenue is realized and earned. Cash payments to customers are classified as reductions of revenue in the Company’s statement of operations. The Company does not disclose the value of the unsatisfied performance obligations for contracts with an original expected length of one year or less and contracts for which the Company recognizes revenue which the Company has the right to invoice for goods completed.

EARNINGS PER SHARE

EARNINGS PER SHARE	3 Months Ended
	Mar. 31, 2018
EARNINGS PER SHARE
EARNINGS PER SHARE	NOTE 3 — EARNINGS PER SHARE The following table presents a reconciliation of basic and diluted earnings per share for the three months ended March 31, 2018 and 2017, as follows: Three Months Ended March 31, 2018 2017 Basic earnings per share calculation: Net (loss) income $ (4,838) $ 6,327 Weighted average number of common shares outstanding 15,257,234 14,929,358 Basic net (loss) income per share $ (0.32) $ 0.42 Diluted earnings per share calculation: Net (loss) income $ (4,838) $ 6,327 Weighted average number of common shares outstanding 15,257,234 14,929,358 Common stock equivalents: Stock options and non-vested stock awards (1) — 265,584 Weighted average number of common shares outstanding 15,257,234 15,194,942 Diluted net (loss) income per share $ (0.32) $ 0.42 (1) Stock options and RSUs granted and outstanding of 893,004 as of March 31, 2018 are excluded from the computation of diluted earnings due to the anti dilutive effect as a result of the Company’s net loss for the three months ended March 31, 2018.

DISCONTINUED OPERATIONS

DISCONTINUED OPERATIONS	3 Months Ended
	Mar. 31, 2018
DISCONTINUED OPERATIONS
DISCONTINUED OPERATIONS	NOTE 4 — DISCONTINUED OPERATIONS The Company’s former Services segment had substantial continued operating losses for several years, due to operating issues and an increasingly competitive environment due in part to increased in-sourcing of service functions by customers. In July 2015, the Company’s Board of Directors (the “Board”) directed management to evaluate potential strategic alternatives with respect to the Services segment. In September 2015, the Board authorized management to sell substantially all of the assets of the Services segment to one or more third-party purchasers, and thereafter to liquidate or otherwise dispose of any such assets remaining unsold. The divestiture was substantially completed in December 2015. Results of Discontinued Operations Results of operations for the Services segment, which are reflected as discontinued operations in the Company’s condensed consolidated statements of operations for the three months ended March 31, 2018 and 2017, were as follows: Three Months Ended March 31, 2018 2017 Revenues $ — $ 68 Cost of sales (25) (65) Selling, general and administrative (2) (7) Impairment of held for sale assets and liabilities and gain on sale of assets — (151) Loss from discontinued operations $ (27) $ (155) Assets and Liabilities Held for Sale Services assets and liabilities classified as held for sale in the Company’s condensed consolidated balance sheets as of March 31, 2018 and December 31, 2017 include the following: March 31, December 31, 2018 2017 Assets: Accounts receivable, net $ 10 $ 11 Inventories, net 9 9 Assets Held For Sale Related To Discontinued Operations 19 20 Impairment of discontinued assets held for sale — — Total Assets Held For Sale Related To Discontinued Operations $ 19 $ 20 Liabilities: Accrued liabilities $ 27 $ 27 Customer deposits and other current obligations 2 3 Total Liabilities Held For Sale Related To Discontinued Operations $ 29 $ 30

INVENTORIES

INVENTORIES	3 Months Ended
	Mar. 31, 2018
INVENTORIES
INVENTORIES	NOTE 5 — INVENTORIES The components of inventories as of March 31, 2018 and December 31, 2017 are summarized as follows: March 31, December 31, 2018 2017 Raw materials $ 12,955 $ 11,945 Work-in-process 7,665 6,305 Finished goods 4,442 3,538 25,062 21,788 Less: Reserve for excess and obsolete inventory (2,768) (2,509) Net inventories $ 22,294 $ 19,279

GOODWILL AND OTHER INTANGIBLE A

GOODWILL AND OTHER INTANGIBLE ASSETS	3 Months Ended
	Mar. 31, 2018
GOODWILL AND OTHER INTANGIBLE ASSETS
GOODWILL AND OTHER INTANGIBLE ASSETS	NOTE 6 — GOODWILL AND OTHER INTANGIBLE ASSETS Goodwill represents the excess of the purchase price over the fair value of assets acquired, including identifiable intangibles and liabilities as part of the Company’s acquisition of Red Wolf. Goodwill is not amortized but is tested annually for impairment. The Company added $4,993 of goodwill as a result of the Red Wolf acquisition, which is included in the Process Systems segment. See Note 14, “Segment Reporting” of these condensed consolidated financial statements for further discussion of the Company’s segments. Other intangible assets represent the fair value assigned to definite-lived assets such as trade names and customer relationships as part of the Company’s acquisition of Brad Foote completed in 2007 as well as the noncompetition agreements, trade names and customer relationships that were part of the Company’s acquisition of Red Wolf in 2017. See Note 17, “Business Combinations” of these condensed consolidated financial statements for further discussion of the Red Wolf acquisition. Other intangible assets are amortized on a straight-line basis over their estimated useful lives, with a remaining life range from 5 to 10 years. The Company tests other intangible assets for impairment when events or circumstances indicate that the carrying value of these assets may not be recoverable. During the first quarter of 2018 and 2017, the Company continued to identify triggering events associated with the Gearing segment’s current period operating loss combined with its history of continued operating losses. As a result, the Company evaluated the recoverability of certain of its long-lived assets associated with the Gearing segment. Based upon the Company’s most recent impairment assessments, the Company utilized third-party appraisals and other estimates of the fair value of the Gearing asset group. The Company assumed that the assets would be exchanged in an orderly transaction between market participants and would represent the highest and best use of these assets. Based on the analysis, the Company determined that no impairment to this asset group was indicated as of March 31, 2018 and December 31, 2017. As of March 31, 2018 and December 31, 2017, the cost basis, accumulated amortization and net book value of intangible assets were as follows: March 31, 2018 December 31, 2017 Remaining Remaining Weighted Weighted Net Average Net Average Cost Accumulated Book Amortization Cost Accumulated Book Amortization Basis Amortization Value Period Basis Amortization Value Period Goodwill and other intangible assets: Goodwill $ 4,993 $ — $ 4,993 $ 4,993 $ — $ 4,993 Noncompete agreements 170 (33) 137 4.8 170 (26) 144 Customer relationships 15,979 (5,336) 10,643 7.0 15,979 (4,992) 10,987 8.0 Trade names 9,099 (4,272) 4,827 9.9 9,099 (4,152) 4,947 10.5 Other intangible assets $ 25,248 $ (9,641) $ 15,607 6.7 $ 25,248 $ (9,170) $ 16,078 8.8 As of March 31, 2018, estimated future amortization expense is as follows: 2018 $ 1,413 2019 1,884 2020 1,884 2021 1,884 2022 1,884 2023 and thereafter 6,658 Total $ 15,607

ACCRUED LIABILITIES

ACCRUED LIABILITIES	3 Months Ended
	Mar. 31, 2018
ACCRUED LIABILITIES
ACCRUED LIABILITIES	NOTE 7 — ACCRUED LIABILITIES Accrued liabilities as of March 31, 2018 and December 31, 2017 consisted of the following: March 31, December 31, 2018 2017 Accrued payroll and benefits $ 2,007 $ 1,797 Accrued property taxes 294 144 Income taxes payable 99 77 Accrued professional fees 64 40 Accrued warranty liability 583 581 Accrued self-insurance reserve 736 812 Accrued contingent consideration 1,140 — Accrued other 1,123 942 Total accrued liabilities $ 6,046 $ 4,393

DEBT AND CREDIT AGREEMENTS

DEBT AND CREDIT AGREEMENTS	3 Months Ended
	Mar. 31, 2018
DEBT AND CREDIT AGREEMENTS
DEBT AND CREDIT AGREEMENTS	NOTE 8 — DEBT AND CREDIT AGREEMENTS The Company’s outstanding debt balances as of March 31, 2018 and December 31, 2017 consisted of the following: March 31, December 31, 2018 2017 Line of credit $ 14,239 $ 10,733 NMTC note payable 2,600 2,600 Other notes payable 2,256 1,146 Long-term debt 570 570 Less: Current portion (18,142) (14,252) Long-term debt, net of current maturities $ 1,523 $ 797 Credit Facility On October 26, 2016, the Company established a $20,000 three-year secured revolving line of credit (the “Credit Facility”) with CIBC Bank USA (“CIBC”), formerly known as The PrivateBank and Trust Company, which was subsequently increased to $25,000 in March of 2017 with a Second Amendment to Loan and Security Agreement and an Amended and Restated Revolving Note. Under the Credit Facility, CIBC advances funds when requested against a borrowing base consisting of up to 85% of the face value of eligible accounts receivable of the Company, up to 50% of the book value of eligible inventory of the Company and up to 50% of the appraised value of eligible machinery, equipment and certain real property up to $10,000. Borrowings under the Credit Facility bear interest at a per annum rate equal to the applicable London Interbank Offered Rate (“LIBOR”) plus a margin ranging from 2.25% to 3.00%, or the applicable base rate plus a margin ranging from 0.00% to 1.00%, both of which are based on the Company’s trailing twelve-month adjusted EBITDA (earnings before interest, taxes, depreciation, amortization, share-based payments and restructuring costs). The Company also pays an unused facility fee to CIBC equal to 0.50% per annum on the unused portion of the Credit Facility, along with other standard fees. The Credit Facility contains customary representations and warranties. It also contains a requirement that the Company, on a consolidated basis, maintain a minimum Fixed Charge Coverage Ratio Covenant, along with other customary restrictive covenants. The obligations under the Credit Facility are secured by, subject to certain exclusions, (i) a first priority security interest in all accounts receivable, inventory, equipment, cash and investment property of the Company, and (ii) a mortgage on the Company’s Abilene, Texas tower facility. On January 29, 2018, the Company executed the Third Amendment to Loan and Security Agreement waiving the Company’s non-compliance with the Fixed Charge Coverage Ratio Covenant as of December 31, 2017 and, among other changes, added new minimum EBITDA and capital expenditure covenants through June 30, 2018. The amendment also revised the Fixed Charge Coverage Ratio Covenant to be recalculated for future periods commencing with the quarter ending June 30, 2018. On May 3, 2018, the Company executed the Fourth Amendment to Loan and Security Agreement (the “Fourth Amendment”), waiving the Company’s non-compliance with the minimum EBITDA covenant through March 31, 2018. The Fourth Amendment, among other changes, amends the minimum EBITDA thresholds and adjusts the definition of EBITDA to add back certain restructuring expenses. As of March 31, 2018, there was $14,239 of outstanding indebtedness under the Credit Facility, with the ability to borrow an additional $9,861 under the Credit Facility. Other Included in Line of Credit, NMTC and other notes payable line item of the Company’s consolidated financial statements is $2,600 associated with the NMTC Transaction described further in Note 16, “New Markets Tax Credit Transaction” of these condensed consolidated financial statements. Additionally, the Company has entered into a $570 loan agreement with the Development Corporation of Abilene, of which $114 is included in Current maturities, long-term debt in the consolidated financial statements and $456 is included in Long-term debt, less current maturities. The loan is forgivable upon the Company meeting and maintaining specific employment thresholds. In addition, the Company has outstanding notes payable for capital expenditures in the amount of $2,256 and $1,146 as of March 31, 2018 and December 31, 2017, respectively, with $1,189 and $804 included in the Line of Credit, NMTC and other notes payable line item as of March 31, 2018 and December 31, 2017, respectively. The equipment purchased is utilized as collateral for the notes payable. The outstanding notes payable have the maturity dates of April 25, 2020, and February 1, 2021, and April 20, 2021.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	3 Months Ended
	Mar. 31, 2018
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS	NOTE 9 — FAIR VALUE MEASUREMENTS The Company measures its financial assets and liabilities at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., exit price) in an orderly transaction between market participants at the measurement date. Additionally, the Company is required to provide disclosure and categorize assets and liabilities measured at fair value into one of three different levels depending on the assumptions (i.e., inputs) used in the valuation. Level 1 provides the most reliable measure of fair value while Level 3 generally requires significant management judgment. Financial assets and liabilities are classified in their entirety based on the lowest level of input significant to the fair value measurement. Financial instruments are assessed quarterly to determine the appropriate classification within the fair value hierarchy. Transfers between fair value classifications are made based upon the nature and type of the observable inputs. The fair value hierarchy is defined as follows: Level 1 — Valuations are based on unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 — Valuations are based on quoted prices for similar assets or liabilities in active markets, or quoted prices in markets that are not active for which significant inputs are observable, either directly or indirectly. For the Company’s corporate and municipal bonds, the Company notes that although quoted prices are available and used to value said assets, they are traded less frequently. Level 3 — Valuations are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. Inputs reflect management’s best estimate of what market participants would use in valuing the asset or liability at the measurement date. The Company used market negotiations to value the Gearing segment’s assets. The following tables represent the fair values of the Company’s financial assets as of March 31, 2018 and December 31, 2017: March 31, 2018 Level 1 Level 2 Level 3 Total Assets measured on a nonrecurring basis: Gearing Cicero Ave. facility — — 560 560 Services assets — — 19 19 Total assets at fair value $ — $ — $ 579 $ 579 December 31, 2017 Level 1 Level 2 Level 3 Total Assets measured on a nonrecurring basis: Gearing Cicero Ave. facility — — 560 560 Services assets — — 20 20 Total assets at fair value $ — $ — $ 580 $ 580 Fair Value of Financial Instruments The carrying amounts of the Company’s financial instruments, which include cash and cash equivalents, accounts receivable, accounts payable and customer deposits, approximate their respective fair values due to the relatively short-term nature of these instruments. Based upon interest rates currently available to the Company for debt with similar terms, the carrying value of the Company’s long-term debt is approximately equal to its fair value. Assets Measured at Fair Value on a Nonrecurring Basis The fair value measurement approach for long lived assets utilizes a number of significant unobservable inputs or Level 3 assumptions. To the extent assumptions used in the Company’s evaluations are not achieved, there may be a negative effect on the valuation of these assets. The carrying value of the land and building comprising one of Brad Foote’s facilities located in Cicero, Illinois (the “Cicero Avenue Facility”) of $560 reflects the expected proceeds associated with selling this facility. During 2017, the Company reclassified the Cicero Avenue Facility as Assets Held for Sale upon completion of general site remediation activities. See Note 15 “Commitments and Contingencies” of these condensed consolidated financial statements for additional detail of the Cicero Avenue Facility. Following the Board’s approval of a plan to divest the Company’s Services segment, the Company has been able to evaluate the value of the segment’s assets on the open market; therefore, the Company has utilized this measurement to determine the fair value of the Services segment assets.

INCOME TAXES

INCOME TAXES	3 Months Ended
	Mar. 31, 2018
INCOME TAXES
INCOME TAXES	NOTE 10 — INCOME TAXES Effective tax rates differ from federal statutory income tax rates primarily due to changes in the Company’s valuation allowance, permanent differences and provisions for state and local income taxes. As of March 31, 2018, the Company has a full valuation allowance recorded against deferred tax assets. During the three months ended March 31, 2018, the Company recorded a benefit for income taxes of $27, compared to a benefit for income taxes of $5,018 during the three months ended March 31, 2017. The income tax benefit during the three months ended March 31, 2017 included an income tax benefit of $5,060 from the partial release of the valuation allowance, net of Red Wolf’s current state taxes, resulting from the consolidation of the Company’s deferred tax assets with Red Wolf’s deferred tax liabilities upon acquisition. On December 22, 2017, the U.S. government enacted comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act (the “Tax Act”). The Tax Act makes broad and complex changes to the U.S. tax code, including, but not limited to, (1) reducing the U.S. federal corporate tax rate; (2) eliminating the corporate alternative minimum tax; (3) creating a new limitation on deductible interest expense; and (4) changing rules related to uses and limitations of net operating loss carryforwards created in tax years beginning after December 31, 2017. In connection with the Tax Act, the SEC issued guidance under Staff Accounting Bulletin No. 118, Income Tax Accounting Implications of the Tax Cuts and Jobs Act (“SAB 118”) directing taxpayers to consider the impact of the U.S. legislation as “provisional” when it does not have the necessary information, prepared or analyzed in reasonable detail to complete its accounting for the change in tax law. The Company files income tax returns in U.S. federal and state jurisdictions. As of March 31, 2018, open tax years in federal and some state jurisdictions date back to 1996 due to the taxing authorities’ ability to adjust operating loss carryforwards. As of December 31, 2017, the Company had net operating loss (“NOL”) carryforwards of $227,871 expiring in various years through 2037. Since the Company has no unrecognized tax benefits, they will not have an impact on the condensed consolidated financial statements as a result of the expiration of the applicable statues of limitations within the next twelve months. In addition, Section 382 of the Internal Revenue Code of 1986, as amended (the “IRC”), generally imposes an annual limitation on the amount of NOL carryforwards and associated built-in losses that may be used to offset taxable income when a corporation has undergone certain changes in stock ownership. The Company’s ability to utilize NOL carryforwards and built-in losses may be limited, under IRC Section 382 or otherwise, by the Company’s issuance of common stock or by other changes in stock ownership. Upon completion of the Company’s analysis of IRC Section 382, the Company has determined that aggregate changes in stock ownership have triggered an annual limitation on NOL carryforwards and built-in losses available for utilization. To the extent the Company’s use of NOL carryforwards and associated built-in losses is significantly limited in the future due to additional changes in stock ownership, the Company’s income could be subject to U.S. corporate income tax earlier than it would be if the Company were able to use NOL carryforwards and built-in losses without such limitation, which could result in lower profits and the loss of benefits from these attributes. In February 2013, the Board adopted a Stockholder Rights Plan, which was amended in February 2016 (as amended, the “Rights Plan”), designed to preserve the Company’s substantial tax assets associated with NOL carryforwards under IRC Section 382. The Rights Plan was subsequently ratified by the Company’s stockholders at the Company’s 2013 Annual Meeting of Stockholders. The Rights Plan was amended and extended for an additional three years on February 5, 2016, and such extension was subsequently ratified by the Company’s stockholders at the Company’s 2016 Annual Meeting of Stockholders. The Rights Plan is intended to act as a deterrent to any person or group, together with its affiliates and associates, becoming the beneficial owner of 4.9% or more of the Company’s common stock and thereby triggering a further limitation of the Company’s available NOL carryforwards. In connection with the adoption of the Rights Plan, the Board declared a non‑taxable dividend of one preferred share purchase right (a “Right”) for each outstanding share of the Company’s common stock to the Company’s stockholders of record as of the close of business on February 22, 2013. Each Right entitles its holder to purchase from the Company one one‑thousandth of a share of the Company’s Series A Junior Participating Preferred Stock at an exercise price of $9.81 per Right, subject to adjustment. As a result of the Rights Plan, any person or group that acquires beneficial ownership of 4.9% or more of the Company’s common stock without the approval of the Board would be subject to significant dilution in the ownership interest of that person or group. Stockholders who owned 4.9% or more of the outstanding shares of the Company’s common stock as of February 12, 2013 will not trigger the preferred share purchase rights unless they acquire additional shares after that date. As of March 31, 2018, the Company had no unrecognized tax benefits. The Company recognizes interest and penalties related to uncertain tax positions as income tax expense. The Company had no accrued interest and penalties as of March 31, 2018.

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION	3 Months Ended
	Mar. 31, 2018
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION	NOTE 11 — SHARE-BASED COMPENSATION Overview of Share-Based Compensation Plans 2007 Equity Incentive Plan The Company has granted incentive stock options and other equity awards pursuant to the Amended and Restated Broadwind Energy, Inc. 2007 Equity Incentive Plan (the “2007 EIP”), which was approved by the Board in October 2007 and by the Company’s stockholders in June 2008. The 2007 EIP has been amended periodically since its original approval. The 2007 EIP reserved 691,051 shares of the Company’s common stock for grants to officers, directors, employees, consultants and advisors upon whose efforts the success of the Company and its affiliates depends to a large degree. As of March 31, 2018, the Company had reserved 28,483 shares for issuance upon the exercise of stock options outstanding and no shares for issuance upon the vesting of restricted stock unit (“RSU”) awards outstanding. As of March 31, 2018, 253,659 shares of common stock reserved for stock options and RSU awards under the 2007 EIP had been issued in the form of common stock. 2012 Equity Incentive Plan The Company has granted incentive stock options and other equity awards pursuant to the Broadwind Energy, Inc. 2012 Equity Incentive Plan (the “2012 EIP”), which was approved by the Board in March 2012 and by the Company’s stockholders in May 2012. The 2012 EIP reserved 1,200,000 shares of the Company’s common stock for grants to officers, directors, employees, consultants and advisors upon whose efforts the success of the Company and its affiliates will depend to a large degree. As of March 31, 2018, the Company had reserved 37,205 shares for issuance upon the exercise of stock options outstanding and no shares for issuance upon the vesting of RSU awards outstanding. As of March 31, 2018, 635,089 shares of common stock reserved for stock options and RSU awards under the 2012 EIP had been issued in the form of common stock. 2015 Equity Incentive Plan The Company has granted equity awards pursuant to the Broadwind Energy, Inc. 2015 Equity Incentive Plan (the “2015 EIP,” and together with the 2007 EIP and the 2012 EIP, the “Equity Incentive Plans”), which was approved by the Board in February 2015 and by the Company’s stockholders in April 2015. The purposes of the Equity Incentive Plans are to (a) align the interests of the Company’s stockholders and recipients of awards under the Equity Incentive Plans by increasing the proprietary interest of such recipients in the Company’s growth and success; (b) advance the interests of the Company by attracting and retaining officers, other employees, non-employee directors and independent contractors; and (c) motivate such persons to act in the long-term best interests of the Company and its stockholders. Under the Equity Incentive Plans, the Company may grant (i) non-qualified stock options; (ii) “incentive stock options” (within the meaning of IRC Section 422); (iii) stock appreciation rights; (iv) restricted stock and RSUs; and (v) performance awards. The 2015 EIP reserves 1,100,000 shares of the Company’s common stock for grants to officers, directors, employees, consultants and advisors upon whose efforts the success of the Company and its affiliates will depend to a large degree. As of March 31, 2018, the Company had reserved 827,316 shares for issuance upon the vesting of RSU awards outstanding. As of March 31, 2018, 283,491 shares of common stock reserved for RSU awards under the 2015 EIP had been issued in the form of common stock. Stock Options. The exercise price of stock options granted under the Equity Incentive Plans is equal to the closing price of the Company’s common stock on the date of grant. Stock options generally become exercisable on the anniversary of the grant date, with vesting terms that may range from one to five years from the date of grant. Additionally, stock options expire ten years after the date of grant. The fair value of stock options granted is expensed ratably over their vesting term. Restricted Stock Units (RSUs). The granting of RSUs is provided for under the Equity Incentive Plans. RSUs generally vest on the anniversary of the grant date, with vesting terms that may range from one to five years from the date of grant. The fair value of each RSU granted is equal to the closing price of the Company’s common stock on the date of grant and is generally expensed ratably over the vesting term of the RSU award. The following table summarizes stock option activity during the three months ended March 31, 2018 under the Equity Incentive Plans, as follows: Weighted Average Options Exercise Price Outstanding as of December 31, 2017 67,188 $ 24.65 Expired (1,500) $ 128.50 Outstanding as of March 31, 2018 65,688 $ 22.28 Exercisable as of March 31, 2018 65,688 $ 22.28 The following table summarizes RSU activity during the three months ended March 31, 2018 under the Equity Incentive Plans, as follows: Weighted Average Number of Grant-Date Fair Value Shares Per Share Unvested as of December 31, 2017 512,142 $ 4.57 Granted 453,204 $ 2.39 Vested (122,262) $ 3.83 Forfeited (15,768) $ 4.63 Unvested as of March 31, 2018 827,316 $ 3.48 The fair value of each stock option award is estimated on the date of grant using the Black-Scholes option pricing model. The determination of the fair value of each stock option is affected by the Company’s stock price on the date of grant, as well as assumptions regarding a number of highly complex and subjective variables. These variables include, but are not limited to, the expected volatility of the price of the Company’s stock over the expected life of the awards and actual and projected stock option exercise behavior. No stock options were granted during the three months ended March 31, 2018. The Company utilized a forfeiture rate of 25% during the three months ended March 31, 2018 and 2017 for estimating the forfeitures of equity compensation granted. The following table summarizes share-based compensation expense included in the Company’s condensed consolidated statements of operations for the three months ended March 31, 2018 and 2017, as follows: Three Months Ended March 31, 2018 2017 Share-based compensation expense: Cost of sales $ 22 $ 30 Selling, general and administrative 240 192 Income tax benefit (1) — — Net effect of share-based compensation expense on net income $ 262 $ 222 Reduction in earnings per share: Basic earnings per share $ 0.02 $ 0.01 Diluted earnings per share $ 0.02 $ 0.01 (1) Income tax benefit is not illustrated because the Company is currently in a full tax valuation allowance position and an actual income tax benefit was not realized for the three months ended March 31, 2018 and 2017. The result of the income (loss) situation creates a timing difference, resulting in a deferred tax asset, which is fully reserved for in the Company’s valuation allowance. As of March 31, 2018, the Company estimates that pre-tax compensation expense for all unvested share-based awards, including both stock options and RSUs, in the amount of approximately $1,645 will be recognized through 2020. The Company expects to satisfy the exercise of stock options and future distribution of shares of restricted stock by issuing new shares of common stock.

LEGAL PROCEEDINGS

LEGAL PROCEEDINGS	3 Months Ended
	Mar. 31, 2018
LEGAL PROCEEDINGS
LEGAL PROCEEDINGS	NOTE 12 — LEGAL PROCEEDINGS The Company is party to a variety of legal proceedings that arise in the normal course of its business. While the results of these legal proceedings cannot be predicted with certainty, management believes that the final outcome of these proceedings will not have a material adverse effect, individually or in the aggregate, on the Company’s results of operations, financial condition or cash flows. Due to the inherent uncertainty of litigation, there can be no assurance that the resolution of any particular claim or proceeding would not have a material adverse effect on the Company’s results of operations, financial condition or cash flows. It is possible that if one or more of such matters were decided against the Company, the effects could be material to the Company’s results of operations in the period in which the Company would be required to record or adjust the related liability and could also be material to the Company’s financial condition and cash flows in the periods the Company would be required to pay such liability.

RECENT ACCOUNTING PRONOUNCEMENT

RECENT ACCOUNTING PRONOUNCEMENTS	3 Months Ended
	Mar. 31, 2018
RECENT ACCOUNTING PRONOUNCEMENTS
RECENT ACCOUNTING PRONOUNCEMENTS	NOTE 13 — RECENT ACCOUNTING PRONOUNCEMENTS The Company reviews new accounting standards as issued. Although some of the accounting standards issued or effective in the current fiscal year may be applicable to it, the Company believes that none of the new standards have a significant impact on its condensed consolidated financial statements, except as discussed below. The Company is currently evaluating the impact of the new standards on its condensed consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which is intended to improve financial reporting about leasing transactions. This ASU will require organizations (“lessees”) that lease assets with lease terms of more than twelve months to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. Organizations that own the assets leased by lessees (“lessors”) will remain largely unchanged from current guidance. In addition, this ASU will require disclosures to help investors and other financial statement users better understand the amount, timing and uncertainty of cash flows arising from leases. This ASU will be effective for annual reporting periods beginning after December 15, 2018 and interim periods within those fiscal years, with early adoption permitted. The Company is currently evaluating the impact of this ASU on its condensed consolidated financial statements. In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805), which clarifies the definition of a business. The amendments in this ASU provide a screen to determine when a set (group of assets and activities) is not a business. The screen requires that when substantially all of the fair value of the gross assets acquired (or disposed of) is concentrated in a single identifiable asset or a group of similar identifiable assets, the set is not a business. This screen reduces the number of transactions that need to be further evaluated. If the screen is not met, the amendments in this ASU (1) require that to be considered a business, a set must include, at a minimum, an input and a substantive process that together significantly contribute to the ability to create output and (2) remove the evaluation of whether a market participant could replace missing elements. This ASU will be effective for annual reporting periods beginning after December 15, 2017 and interim periods within those fiscal years, with early adoption permitted under special circumstances. The adoption of this impact of this ASU had no material impact on its condensed consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other (Topic 350), which simplifies the test for goodwill impairment. To simplify the subsequent measurement of goodwill, the FASB eliminated Step 2, which compares the implied fair value of reporting unit goodwill with the carrying amount of that goodwill, from the goodwill impairment test. Under the amendments in this ASU, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. The FASB also eliminated the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment and, if it fails that qualitative test, to perform Step 2 of the goodwill impairment test. This ASU will be effective for annual reporting periods beginning after December 15, 2019 and interim periods within those fiscal years, with early adoption permitted. The Company is currently evaluating the impact of this ASU on its condensed consolidated financial statements.

SEGMENT REPORTING

SEGMENT REPORTING	3 Months Ended
	Mar. 31, 2018
SEGMENT REPORTING
SEGMENT REPORTING	NOTE 14 — SEGMENT REPORTING The Company is organized into reporting segments based on the nature of the products offered and business activities from which it earns revenues and incurs expenses for which discrete financial information is available and regularly reviewed by the Company’s chief operating decision maker. The Company’s segments and their product and service offerings are summarized below: Towers and Heavy Fabrications The Company manufactures towers for wind turbines, specifically the large and heavier wind towers that are designed for multiple megawatt (“MW”) wind turbines, as well as other specialty welded structures for mining and other industrial customers. Production facilities, located in Manitowoc, Wisconsin and Abilene, Texas, are situated in close proximity to the primary U.S. domestic wind energy and equipment manufacturing hubs. The two facilities have a combined annual tower production capacity of up to approximately 550 towers, sufficient to support turbines generating more than 1,100 MW of power. This product segment also encompasses the manufacture of heavy fabrications for mining and other industrial customers. Gearing The Company engineers, builds and remanufactures precision gears and gearing systems for O&G, wind, mining, steel and other industrial applications. The Company uses an integrated manufacturing process, which includes machining and finishing processes in Cicero, Illinois, and heat treatment processes in Neville Island, Pennsylvania. Process Systems The Company acquired Red Wolf on February 1, 2017 and as a result, aggregated its Abilene compressed natural gas (“CNG”) and heavy fabrication business with Red Wolf to form the Process Systems reportable segment. This segment provides contract manufacturing services that include build-to-spec, kitting, fabrication and inventory management for customers throughout the U.S. and in foreign countries, primarily supporting the natural gas electrical generation market. Corporate “Corporate” includes the assets and selling, general and administrative expenses of the Company’s corporate office. “Eliminations” comprises adjustments to reconcile segment results to consolidated results. Summary financial information by reportable segment for the three months ended March 31, 2018 and 2017 is as follows: Towers and Process Heavy Fabrications Gearing Systems Corporate Eliminations Consolidated For the Three Months Ended March 31, 2018 Revenues from external customers $ 16,785 $ 8,805 $ 4,377 $ — $ — $ 29,967 Operating (loss) (1,504) (626) (893) (1,514) — (4,537) Depreciation and amortization 1,256 590 451 60 — 2,357 Capital expenditures — 220 — 9 — 229 Towers and Process Heavy Fabrications Gearing Systems Corporate Eliminations Consolidated For the Three Months Ended March 31, 2017 Revenues from external customers $ 48,895 $ 3,871 $ 3,294 $ — $ — $ 56,060 Operating profit (loss) 5,849 (1,531) (822) (1,893) — 1,603 Depreciation and amortization 1,091 626 334 50 — 2,101 Capital expenditures 2,660 200 272 129 — 3,261 Total Assets as of March 31, December 31, Segments: 2018 2017 Towers and Heavy Fabrications $ 36,422 $ 27,958 Gearing 34,832 37,456 Process Systems 23,940 26,442 Assets held for sale 579 580 Corporate 252,183 249,326 Eliminations (232,811) (229,412) $ 115,145 $ 112,350

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Mar. 31, 2018
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	NOTE 15 — COMMITMENTS AND CONTINGENCIES Environmental Compliance and Remediation Liabilities The Company’s operations and products are subject to a variety of environmental laws and regulations in the jurisdictions in which the Company operates and sells products governing, among other things, air emissions, wastewater discharges, the use, handling and disposal of hazardous materials, soil and groundwater contamination, employee health and safety, and product content, performance and packaging. Certain environmental laws may impose the entire cost or a portion of the cost of investigating and cleaning up a contaminated site, regardless of fault, upon any one or more of a number of parties, including the current or previous owners or operators of the site. These environmental laws also impose liability on any person who arranges for the disposal or treatment of hazardous substances at a contaminated site. Third parties may also make claims against owners or operators of sites and users of disposal sites for personal injuries and property damage associated with releases of hazardous substances from those sites. In connection with the Company’s previous restructuring initiatives, during the third quarter of 2012, the Company identified a liability associated with the planned sale of the Cicero Avenue Facility. The liability was associated with environmental remediation costs that were identified while preparing the site for sale. During 2013, the Company applied for and was accepted into the Illinois Environmental Protection Agency (the “IEPA”) voluntary site remediation program. In the first quarter of 2014, the Company completed a comprehensive review of remedial options for the Cicero Avenue Facility and selected a preferred remediation technology. As part of the voluntary site remediation program, the Company submitted a plan to the IEPA for approval to conduct a pilot study to test the effectiveness of the selected remediation technology. In the fourth quarter of 2017, the Company remediated the Cicero Avenue Facility to a point that requires the known future use to complete the final remediation steps and is currently in active negotiations to dispose of the property. As of March 31, 2018 and December 31, 2017, the accrual balance associated with this matter totaled $0. Warranty Liability The Company provides warranty terms that range from one to five years for various products supplied by the Company. In certain contracts, the Company has recourse provisions for items that would enable recovery from third parties for amounts paid to customers under warranty provisions. As of March 31, 2018 and 2017, estimated product warranty liability was $583 and $601, respectively, and is recorded within accrued liabilities in the Company’s condensed consolidated balance sheets. The changes in the carrying amount of the Company’s total product warranty liability for the three months ended March 31, 2018 and 2017 were as follows: For the Three Months Ended March 31, 2018 2017 Balance, beginning of period $ 581 $ 671 Addition to (reduction of) warranty reserve 5 (44) Warranty claims (3) (26) Balance, end of period $ 583 $ 601 Allowance for Doubtful Accounts Based upon past experience and judgment, the Company establishes an allowance for doubtful accounts with respect to accounts receivable. The Company’s standard allowance estimation methodology considers a number of factors that, based on its collections experience, the Company believes will have an impact on its credit risk and the collectability of its accounts receivable. These factors include individual customer circumstances, history with the Company, the length of the time period during which the account receivable has been past due and other relevant criteria. The Company monitors its collections and write-off experience to assess whether or not adjustments to its allowance estimates are necessary. Changes in trends in any of the factors that the Company believes may impact the collectability of its accounts receivable, as noted above, or modifications to its credit standards, collection practices and other related policies may impact the Company’s allowance for doubtful accounts and its financial results. The activity in the accounts receivable allowance liability for the three months ended March 31, 2018 and 2017 consisted of the following: For the Three Months Ended March 31, 2018 2017 Balance at beginning of period $ 225 $ 145 Bad debt expense (15) 8 Balance at end of period $ 210 $ 153 Collateral In select instances, the Company has pledged specific inventory and machinery and equipment assets to serve as collateral on related payable or financing obligations. Liquidated Damages In certain customer contracts, the Company has agreed to pay liquidated damages in the event of qualifying delivery or production delays. These damages are typically limited to a specific percentage of the value of the product in question and/or are dependent on actual losses sustained by the customer. The Company does not believe that this potential exposure will have a material adverse effect on the Company’s consolidated financial position or results of operations. There was no reserve for liquidated damages as of March 31, 2018 or December 31, 2017. Workers’ Compensation Reserves At the beginning of the third quarter of 2013, the Company began to self-insure for its workers’ compensation liabilities, including reserves for self-retained losses. Historical loss experience combined with actuarial evaluation methods and the application of risk transfer programs are used to determine required workers’ compensation reserves. The Company takes into account claims incurred but not reported when determining its workers’ compensation reserves. Although the ultimate outcome of these matters may exceed the amounts recorded and additional losses may be incurred, the Company does not believe that any additional potential exposure for such liabilities will have a material adverse effect on the Company’s consolidated financial position or results of operations. Although the Company entered into a guaranteed cost program at the beginning of the third quarter of 2016, the Company maintained a liability for the trailing claims from the self-insured policy. As of March 31, 2018, the Company had $736 accrued for self-insured workers’ compensation liabilities. Other As of December 31, 2017, approximately 24% of the Company’s employees were covered by two collective bargaining agreements with local unions at Brad Foote’s Cicero, Illinois and Neville Island, Pennsylvania locations. The current three-year collective bargaining agreement with the Neville Island union is expected to remain in effect through October 2022. The collective bargaining agreement with the Cicero union expired in February 2018; the parties are currently negotiating a new collective bargaining agreement. See Note 16, “New Markets Tax Credit Transaction” of these condensed consolidated financial statements for a discussion of a strategic financing transaction, the NMTC Transaction, which originally related to the Company’s drivetrain service center in Abilene, Texas (the “Abilene Gearbox Facility”), and was amended in August 2015 to also include the activities of the Company’s heavy industries business conducted at the same location in Abilene, Texas (the “Abilene Heavy Industries Facility”). The Abilene Gearbox Facility focused on servicing the growing installed base of MW wind turbines as they come off warranty and, to a limited extent, industrial gearboxes requiring precision repair and testing. The Abilene Heavy Industries Facility focuses on heavy fabrications and assembly for industries including those related to compressed natural gas distribution. Pursuant to the NMTC Transaction, the gross loan and investment in the Abilene Heavy Industries Facility and the Abilene Gearbox Facility of $10,000 is expected to generate $3,900 in tax credits over a period of seven years, which the NMTC Transaction makes available to Capital One, National Association (“Capital One”). The Abilene Heavy Industries Facility and/or the Abilene Gearbox Facility must operate and remain in compliance with the terms and conditions of the NMTC Transaction during the seven-year compliance period ending in the third quarter of 2018, or the Company may be liable for the recapture of $3,900 in tax credits to which Capital One is otherwise entitled. The Company does not anticipate any credit recaptures will be required in connection with the NMTC Transaction.

NEW MARKETS TAX CREDIT TRANSACT

NEW MARKETS TAX CREDIT TRANSACTION	3 Months Ended
	Mar. 31, 2018
NEW MARKETS TAX CREDIT TRANSACTION
NEW MARKETS TAX CREDIT TRANSACTION	NOTE 16 — NEW MARKETS TAX CREDIT TRANSACTION On July 20, 2011, the Company executed the NMTC Transaction, which was amended on August 24, 2015, involving the following third parties: AMCREF Fund VII, LLC (“AMCREF”), a registered community development entity; COCRF Investor VIII, LLC (“COCRF”); and Capital One. The NMTC Transaction allows the Company to receive below market interest rate funds through the federal New Markets Tax Credit (“NMTC”) program. The Company received $2,280 in proceeds from the NMTC Transaction. The NMTC Transaction qualifies under the NMTC program and includes a gross loan from AMCREF to the Company’s wholly-owned subsidiary Broadwind Services, LLC in the principal amount of $10,000, with a term of fifteen years and interest payable at the rate of 1.4% per annum, largely offset by a gross loan in the principal amount of $7,720 from the Company to COCRF, with a term of fifteen years and interest payable at the rate of 2.5% per annum. The August 2015 amendment did not change the financial terms of the NMTC Transaction, but did add the activities and assets of the Abilene Heavy Industries Facility to the NMTC Transaction and allow for the possible sale of the Abilene Gearbox Facility assets, provided that the proceeds of such sale are re-invested in the Abilene Heavy Industries Facility. The NMTC regulations permit taxpayers to claim credits against their federal income taxes for qualified investments in the equity of community development entities. The NMTC Transaction could generate $3,900 in tax credits, which the Company has made available under the structure by passing them through to Capital One. The proceeds have been applied to the Company’s investment in the Abilene Gearbox Facility assets and associated operating costs and in the assets of the Abilene Heavy Industries Facility, as permitted under the amended NMTC Transaction. The Abilene Heavy Industries Facility and/or the Abilene Gearbox Facility must operate and remain in compliance with various regulations and restrictions through the third quarter of 2018, the end of the seven year compliance period, to comply with the terms of the NMTC Transaction, or the Company may be liable under its indemnification agreement with Capital One for the recapture of tax credits. In the event the Company does not comply with these regulations and restrictions, the NMTC program tax credits may be subject to 100% recapture for a period of seven years as provided in the IRC. The Company does not anticipate that any tax credit recapture events will occur or that it will be required to make any payments to Capital One under the indemnification agreement. The Capital One contribution, including a loan origination payment of $320, has been included as other assets in the Company’s condensed consolidated balance sheet as of March 31, 2018. The NMTC Transaction includes a put/call provision whereby the Company may be obligated or entitled to repurchase Capital One’s interest in the third quarter of 2018. Capital One may exercise an option to put its investment to the Company and receive $130 from the Company at that time. If Capital One does not exercise its put option, the Company can exercise a call option at the then fair market value of the call. The Company expects that Capital One will exercise the put option at the end of the tax credit recapture period. The Capital One contribution, other than the amount allocated to the put obligation, will be recognized as income only after the put/call is exercised and when Capital One has no ongoing interest. However, there is no legal obligation for Capital One to exercise the put, and the Company has attributed only an insignificant value to the put option included in this transaction structure. The Company has determined that two pass‑through financing entities created under the NMTC Transaction structure are variable interest entities (“VIEs”). The ongoing activities of the VIEs—collecting and remitting interest and fees and complying with NMTC program requirements—were considered in the initial design of the NMTC Transaction and are not expected to significantly affect economic performance throughout the life of the VIEs. In making this determination, management also considered the contractual arrangements that obligate the Company to deliver tax benefits and provide various other guarantees under the NMTC Transaction structure, Capital One’s lack of a material interest in the underlying economics of the project, and the fact that the Company is obligated to absorb losses of the VIEs. The Company has concluded that it is required to consolidate the VIEs because the Company has both (i) the power to direct those matters that most significantly impact the activities of each VIE, and (ii) the obligation to absorb losses or the right to receive benefits of each VIE. The $262 of issue costs paid to third parties in connection with the NMTC Transaction are recorded as prepaid expenses, and are being amortized over the expected seven year term of the NMTC arrangement. Capital One’s net contribution of $2,600 is included in Line of Credit, NMTC and Other Notes Payable in the condensed consolidated balance sheet. Incremental costs to maintain the transaction structure during the compliance period will be recognized as they are incurred.

BUSINESS COMBINATIONS

BUSINESS COMBINATIONS	3 Months Ended
	Mar. 31, 2018
BUSINESS COMBINATIONS
BUSINESS COMBINATIONS	NOTE 17 — BUSINESS COMBINATIONS Overview On January 30, 2017, the Company announced that it had agreed upon the material terms to acquire Red Wolf, a Sanford, North Carolina-based, privately held fabricator, kitter and assembler of industrial systems primarily supporting the global gas turbine market, for approximately $18,983, subject to certain adjustments. The transaction closed on February 1, 2017, and Red Wolf is being operated as a wholly-owned subsidiary of the Company. Accounting for the Transaction The Company accounts for acquisitions in accordance with guidance found in ASC 805, Business Combinations. The guidance requires consideration given, including contingent consideration, assets acquired and liabilities assumed to be valued at their fair market values at the acquisition date. The guidance further provides that: (1) in-process research and development will be recorded at fair value as an indefinite-lived intangible asset; (2) acquisition costs will generally be expensed as incurred, (3) restructuring costs associated with a business combination will generally be expensed subsequent to the acquisition date; and (4) changes in deferred tax asset valuation allowances and income tax uncertainties after the acquisition date generally will affect income tax expense. ASC 805 requires that any excess of purchase price over fair value of assets acquired, including identifiable intangibles and liabilities assumed, be recognized as goodwill. Red Wolf’s results are included in the Company’s results from the acquisition date of February 1, 2017. The purchase price of the transaction totaled $18,983 net of working capital adjustments that occurred after the acquisition date. The purchase price includes $16,449 which was paid in cash and $2,534 which was the expected value of contingent future earn-out payments. The contingent consideration arrangement requires the Company to pay the former owners of Red Wolf a payout if Red Wolf achieves a targeted profitability benchmark. The potential undiscounted amount of all future payments that the Company could have been required to make under the contingent consideration arrangement was between $0 and $9,900. Annual earn-out payments may not exceed $4,950. The fair value of the contingent consideration arrangement of $2,534 was estimated by using a Monte Carlo simulation. Key assumptions include a short-term weighted average cost of capital of 15% and historical volatility of public company comparables. During the third quarter of 2017, the Company released $1,394 of this contingency into operating income because management determined that Red Wolf’s full-year financial performance during the first year of ownership by the Company was unlikely to meet the threshold required to pay the first installment of the contingent earn-out. As of March 31, 2018, the final contingent earn-out liability, which depends on the financial performance during the second ownership year, is estimated at $1,140 and is included in accrued liabilities. Based on information currently known, the Company believes that the remaining contingency is applicable. The Company’s allocation of the $18,983 purchase price to Red Wolf’s tangible and identifiable intangible assets acquired and liabilities assumed, based on their estimated fair values as of February 1, 2017, is included in the table below. Goodwill is recorded based on the amount by which the purchase price exceeds the fair value of the net assets acquired and is not deductible for tax purposes. The measurement period adjustments were a result of changes in the fair value of the contingent consideration arrangement and adjustments to working capital accounts. The purchase price allocation was finalized at December 31, 2017. The decrease in goodwill from March 31, 2017 is due to opening balance sheet changes noted in the table below. The purchase price allocation as of March 31, 2017 and December 31, 2017 is as follows (in thousands): Allocation as of 3/31/2017 Measurement Period Adjustments Allocation as of 12/31/2017 Assets acquired and liabilities assumed: Cash and cash equivalents $ 63 $ (63) $ - Receivables 2,796 (96) 2,700 Inventories 4,998 179 5,177 Property and equipment 462 - 462 Noncompete agreements 170 - 170 Customer relationships 12,000 - 12,000 Trade names 1,100 - 1,100 Goodwill 5,568 (575) 4,993 Accounts payable (1,354) 2 (1,352) Accrued expenses (809) (67) (876) Deferred tax liabilities (5,391) - (5,391) Total purchase price $ 19,603 $ (620) $ 18,983 The allocation of the purchase price is based on valuations performed to determine the fair value of such assets and liabilities as of the acquisition date. The acquired noncompete agreements, customer relationships, and trade names have weighted average amortization periods of 6.0 years, 9.0 years, and 14.0 years, respectively and the total weighted average life of the acquired intangible assets is 9.4 years. Goodwill from this transaction has been allocated to the Company’s Process Systems segment.

RESTRUCTURING

RESTRUCTURING	3 Months Ended
	Mar. 31, 2018
RESTRUCTURING
RESTRUCTURING	NOTE 18 — RESTRUCTURING During the first quarter of 2018, the Company conducted a review of its business strategies and product plans given the outlook of the industries it serves and its business environment. As a result, the Company has begun to execute a restructuring plan to rationalize its facility capacity and management structure, and to consolidate and increase the efficiencies of its Abilene operations. Management has decided to exit the CNG and Fabrication Manufacturing location in Abilene as soon as it fully complies with the requirements established as part of the NMTC agreement and consolidate these manufacturing activities into other locations. The NMTC agreement requires operations to remain at that facility until at least July 2018 and the Company expects to vacate the facility by the end of 2018. All remaining costs associated with this facility will be recorded as restructuring expenses going forward. All costs will be incurred solely within the Process Systems segment. The Company expects to incur restructuring costs associated with the restructuring plan totaling an estimated $927, of which $151 has been incurred to date. The Company anticipates annual cost savings going forward of approximately $575 in facility expenses related to the restructuring. The Company’s total net restructuring charges for the three months ended March 31, 2018, in addition to the total remaining restructuring costs, consist of the following: 2018 Remaining Actual Costs Total Cost of sales: Facility costs $ 82 $ 250 $ 332 Moving and remediation — 285 285 Salary and severance 17 — 17 Depreciation 16 241 257 Total cost of sales 115 776 891 Selling, general, and administrative expenses: Salary and severance 36 — 36 Total selling, general, and administrative expenses 36 — 36 Grand Total $ 151 $ 776 $ 927

REVENUES (Tables)

REVENUES (Tables)	3 Months Ended
	Mar. 31, 2018
REVENUES
Schedule of disaggregation of revenue	Three Months Ended March 31, 2018 2017 (1) Towers and Heavy Fabrications $ 16,785 $ 48,895 Process Systems 4,377 3,294 Gearing 8,805 3,871 Consolidated $ 29,967 $ 56,060 As noted above, prior period amounts have not been adjusted under the modified retrospective method.

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	3 Months Ended
	Mar. 31, 2018
EARNINGS PER SHARE
Reconciliation of basic and diluted earnings per share	Three Months Ended March 31, 2018 2017 Basic earnings per share calculation: Net (loss) income $ (4,838) $ 6,327 Weighted average number of common shares outstanding 15,257,234 14,929,358 Basic net (loss) income per share $ (0.32) $ 0.42 Diluted earnings per share calculation: Net (loss) income $ (4,838) $ 6,327 Weighted average number of common shares outstanding 15,257,234 14,929,358 Common stock equivalents: Stock options and non-vested stock awards (1) — 265,584 Weighted average number of common shares outstanding 15,257,234 15,194,942 Diluted net (loss) income per share $ (0.32) $ 0.42 (1) Stock options and RSUs granted and outstanding of 893,004 as of March 31, 2018 are excluded from the computation of diluted earnings due to the anti dilutive effect as a result of the Company’s net loss for the three months ended March 31, 2018.

DISCONTINUED OPERATIONS (Tables

DISCONTINUED OPERATIONS (Tables)	3 Months Ended
	Mar. 31, 2018
DISCONTINUED OPERATIONS
Schedule of assets and liabilities held for sale	Three Months Ended March 31, 2018 2017 Revenues $ — $ 68 Cost of sales (25) (65) Selling, general and administrative (2) (7) Impairment of held for sale assets and liabilities and gain on sale of assets — (151) Loss from discontinued operations $ (27) $ (155) Assets and Liabilities Held for Sale Services assets and liabilities classified as held for sale in the Company’s condensed consolidated balance sheets as of March 31, 2018 and December 31, 2017 include the following: March 31, December 31, 2018 2017 Assets: Accounts receivable, net $ 10 $ 11 Inventories, net 9 9 Assets Held For Sale Related To Discontinued Operations 19 20 Impairment of discontinued assets held for sale — — Total Assets Held For Sale Related To Discontinued Operations $ 19 $ 20 Liabilities: Accrued liabilities $ 27 $ 27 Customer deposits and other current obligations 2 3 Total Liabilities Held For Sale Related To Discontinued Operations $ 29 $ 30

INVENTORIES (Tables)

INVENTORIES (Tables)	3 Months Ended
	Mar. 31, 2018
INVENTORIES
Schedule of the components of inventories from operations	March 31, December 31, 2018 2017 Raw materials $ 12,955 $ 11,945 Work-in-process 7,665 6,305 Finished goods 4,442 3,538 25,062 21,788 Less: Reserve for excess and obsolete inventory (2,768) (2,509) Net inventories $ 22,294 $ 19,279

GOODWILL AND OTHER INTANGIBLE29

GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)	3 Months Ended
	Mar. 31, 2018
GOODWILL AND OTHER INTANGIBLE ASSETS
Schedule of Goodwill and Intangible assets	March 31, 2018 December 31, 2017 Remaining Remaining Weighted Weighted Net Average Net Average Cost Accumulated Book Amortization Cost Accumulated Book Amortization Basis Amortization Value Period Basis Amortization Value Period Goodwill and other intangible assets: Goodwill $ 4,993 $ — $ 4,993 $ 4,993 $ — $ 4,993 Noncompete agreements 170 (33) 137 4.8 170 (26) 144 Customer relationships 15,979 (5,336) 10,643 7.0 15,979 (4,992) 10,987 8.0 Trade names 9,099 (4,272) 4,827 9.9 9,099 (4,152) 4,947 10.5 Other intangible assets $ 25,248 $ (9,641) $ 15,607 6.7 $ 25,248 $ (9,170) $ 16,078 8.8
Schedule of estimated future amortization expense	As of March 31, 2018, estimated future amortization expense is as follows: 2018 $ 1,413 2019 1,884 2020 1,884 2021 1,884 2022 1,884 2023 and thereafter 6,658 Total $ 15,607

ACCRUED LIABILITIES (Tables)

ACCRUED LIABILITIES (Tables)	3 Months Ended
	Mar. 31, 2018
ACCRUED LIABILITIES
Schedule of accrued liabilities	March 31, December 31, 2018 2017 Accrued payroll and benefits $ 2,007 $ 1,797 Accrued property taxes 294 144 Income taxes payable 99 77 Accrued professional fees 64 40 Accrued warranty liability 583 581 Accrued self-insurance reserve 736 812 Accrued contingent consideration 1,140 — Accrued other 1,123 942 Total accrued liabilities $ 6,046 $ 4,393

DEBT AND CREDIT AGREEMENTS (Tab

DEBT AND CREDIT AGREEMENTS (Tables)	3 Months Ended
	Mar. 31, 2018
DEBT AND CREDIT AGREEMENTS
Schedule of outstanding debt balances	March 31, December 31, 2018 2017 Line of credit $ 14,239 $ 10,733 NMTC note payable 2,600 2,600 Other notes payable 2,256 1,146 Long-term debt 570 570 Less: Current portion (18,142) (14,252) Long-term debt, net of current maturities $ 1,523 $ 797

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	3 Months Ended
	Mar. 31, 2018
FAIR VALUE MEASUREMENTS
Schedule of the fair values of the Company's financial assets	March 31, 2018 Level 1 Level 2 Level 3 Total Assets measured on a nonrecurring basis: Gearing Cicero Ave. facility — — 560 560 Services assets — — 19 19 Total assets at fair value $ — $ — $ 579 $ 579 December 31, 2017 Level 1 Level 2 Level 3 Total Assets measured on a nonrecurring basis: Gearing Cicero Ave. facility — — 560 560 Services assets — — 20 20 Total assets at fair value $ — $ — $ 580 $ 580

SHARE-BASED COMPENSATION (Table

SHARE-BASED COMPENSATION (Tables)	3 Months Ended
	Mar. 31, 2018
SHARE-BASED COMPENSATION
Schedule of stock option activity	Weighted Average Options Exercise Price Outstanding as of December 31, 2017 67,188 $ 24.65 Expired (1,500) $ 128.50 Outstanding as of March 31, 2018 65,688 $ 22.28 Exercisable as of March 31, 2018 65,688 $ 22.28
Schedule of RSU activity	Weighted Average Number of Grant-Date Fair Value Shares Per Share Unvested as of December 31, 2017 512,142 $ 4.57 Granted 453,204 $ 2.39 Vested (122,262) $ 3.83 Forfeited (15,768) $ 4.63 Unvested as of March 31, 2018 827,316 $ 3.48
Schedule of share-based compensation expense, net of taxes withheld	Three Months Ended March 31, 2018 2017 Share-based compensation expense: Cost of sales $ 22 $ 30 Selling, general and administrative 240 192 Income tax benefit (1) — — Net effect of share-based compensation expense on net income $ 262 $ 222 Reduction in earnings per share: Basic earnings per share $ 0.02 $ 0.01 Diluted earnings per share $ 0.02 $ 0.01 (1) Income tax benefit is not illustrated because the Company is currently in a full tax valuation allowance position and an actual income tax benefit was not realized for the three months ended March 31, 2018 and 2017. The result of the income (loss) situation creates a timing difference, resulting in a deferred tax asset, which is fully reserved for in the Company’s valuation allowance.

SEGMENT REPORTING (Tables)

SEGMENT REPORTING (Tables)	3 Months Ended
	Mar. 31, 2018
SEGMENT REPORTING
Schedule of financial information by reportable segment	Towers and Process Heavy Fabrications Gearing Systems Corporate Eliminations Consolidated For the Three Months Ended March 31, 2018 Revenues from external customers $ 16,785 $ 8,805 $ 4,377 $ — $ — $ 29,967 Operating (loss) (1,504) (626) (893) (1,514) — (4,537) Depreciation and amortization 1,256 590 451 60 — 2,357 Capital expenditures — 220 — 9 — 229 Towers and Process Heavy Fabrications Gearing Systems Corporate Eliminations Consolidated For the Three Months Ended March 31, 2017 Revenues from external customers $ 48,895 $ 3,871 $ 3,294 $ — $ — $ 56,060 Operating profit (loss) 5,849 (1,531) (822) (1,893) — 1,603 Depreciation and amortization 1,091 626 334 50 — 2,101 Capital expenditures 2,660 200 272 129 — 3,261 Total Assets as of March 31, December 31, Segments: 2018 2017 Towers and Heavy Fabrications $ 36,422 $ 27,958 Gearing 34,832 37,456 Process Systems 23,940 26,442 Assets held for sale 579 580 Corporate 252,183 249,326 Eliminations (232,811) (229,412) $ 115,145 $ 112,350

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	3 Months Ended
	Mar. 31, 2018
COMMITMENTS AND CONTINGENCIES
Schedule of changes in the carrying amount of the total product warranty liability	For the Three Months Ended March 31, 2018 2017 Balance, beginning of period $ 581 $ 671 Addition to (reduction of) warranty reserve 5 (44) Warranty claims (3) (26) Balance, end of period $ 583 $ 601
Schedule of the activity in the accounts receivable allowance liability	For the Three Months Ended March 31, 2018 2017 Balance at beginning of period $ 225 $ 145 Bad debt expense (15) 8 Balance at end of period $ 210 $ 153

BUSINESS COMBINATIONS (Tables)

BUSINESS COMBINATIONS (Tables)	3 Months Ended
	Mar. 31, 2018
BUSINESS COMBINATIONS
Summary of preliminary purchase price allocation based on estimated fair values of assets acquired and liabilities assumed as of the acquisition date	The purchase price allocation as of March 31, 2017 and December 31, 2017 is as follows (in thousands): Allocation as of 3/31/2017 Measurement Period Adjustments Allocation as of 12/31/2017 Assets acquired and liabilities assumed: Cash and cash equivalents $ 63 $ (63) $ - Receivables 2,796 (96) 2,700 Inventories 4,998 179 5,177 Property and equipment 462 - 462 Noncompete agreements 170 - 170 Customer relationships 12,000 - 12,000 Trade names 1,100 - 1,100 Goodwill 5,568 (575) 4,993 Accounts payable (1,354) 2 (1,352) Accrued expenses (809) (67) (876) Deferred tax liabilities (5,391) - (5,391) Total purchase price $ 19,603 $ (620) $ 18,983

RESTRUCTURING (Tables)

RESTRUCTURING (Tables)	3 Months Ended
	Mar. 31, 2018
RESTRUCTURING
Schedule of total restructuring charges incurred to date and the total expected restructuring charges	2018 Remaining Actual Costs Total Cost of sales: Facility costs $ 82 $ 250 $ 332 Moving and remediation — 285 285 Salary and severance 17 — 17 Depreciation 16 241 257 Total cost of sales 115 776 891 Selling, general, and administrative expenses: Salary and severance 36 — 36 Total selling, general, and administrative expenses 36 — 36 Grand Total $ 151 $ 776 $ 927

BASIS OF PRESENTATION (Details)

BASIS OF PRESENTATION (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018USD ($)segment
Description of Business
Number of reportable segments | segment	3
Revenue as a percentage of sales associated with new wind turbine installations	52.00%
RESTRUCTURING
Restructuring Costs	$ 151
Liquidity
Total debt and capital lease obligations	21,181
Obligation to make principal payments on outstanding debt during the next twelve months	18,913
Outstanding indebtedness under the Credit Facility	14,239
NMTC note payable	2,600
New Markets Tax Credit Transaction
Liquidity
NMTC note payable	$ 2,600

REVENUES (Details)

REVENUES (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Disaggregation of Revenue [Line Items]
Revenues	$ 29,967	$ 56,060
Revenue remaining performance obligation, practical expedient	true
Towers and Heavy Fabrications
Disaggregation of Revenue [Line Items]
Revenues	$ 16,785	48,895
Process Systems
Disaggregation of Revenue [Line Items]
Revenues	4,377	3,294
Gearing
Disaggregation of Revenue [Line Items]
Revenues	$ 8,805	$ 3,871

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
NET (LOSS) INCOME PER COMMON SHARE—BASIC:
Net (loss) income	$ (4,838)	$ 6,327	$ (3,641)
Weighted average number of common shares outstanding	15,257,234	14,929,358
Basic net (loss) income per share	$ (0.32)	$ 0.42
NET (LOSS) INCOME PER COMMON SHARE-DILUTED:
Net (loss) income	$ (4,838)	$ 6,327
Weighted average number of common shares outstanding	15,257,234	14,929,358
Common stock equivalents:
Stock options and non-vested stock awards (in shares)		265,584
Weighted average number of common shares outstanding	15,257,234	15,194,942
Diluted net (loss) income per share	$ (0.32)	$ 0.42
Stock options and restricted stock units granted and outstanding excluded from the computation of diluted earnings per share, due to the anti-dilutive effect (in shares)	893,004

DISCONTINUED OPERATIONS (Detail

DISCONTINUED OPERATIONS (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
DISCONTINUED OPERATIONS
Loss from discontinued operations	$ 27	$ 155
Results of operations, which are reflected as discontinued operations
LOSS FROM DISCONTINUED OPERATIONS	(27)	(155)
Discontinued Operations, Held-for-sale
Assets:
Accounts receivable, net	10		$ 11
Inventories, net	9		9
Assets Held For Sale Related To Discontinued Operations	19		20
Total Assets Held For Sale Related To Discontinued Operations	19		20
Liabilities:
Accrued liabilities	27		27
Customer deposits and other current obligations	2		3
Total Liabilities Held For Sale Related To Discontinued Operations	29		$ 30
Service Segment
DISCONTINUED OPERATIONS
Loss from discontinued operations	27	155
Results of operations, which are reflected as discontinued operations
Revenues		68
Cost of sales	(25)	(65)
Selling, general and administrative	(2)
Selling, general and administrative		(7)
Impairment of held for sale assets and liabilities and gain on sale of assets		(151)
LOSS FROM DISCONTINUED OPERATIONS	$ (27)	$ (155)

INVENTORIES (Details)

INVENTORIES (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
INVENTORIES
Raw materials	$ 12,955	$ 11,945
Work-in-process	7,665	6,305
Finished goods	4,442	3,538
Gross inventories	25,062	21,788
Less: Reserve for excess and obsolete inventory	(2,768)	(2,509)
Net inventories	$ 22,294	$ 19,279

GOODWILL AND OTHER INTANGIBLE43

GOODWILL AND OTHER INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2018	Dec. 31, 2017
INTANGIBLE ASSETS
Goodwill	$ 4,993	$ 4,993
Impairment of assets	0
Cost Basis	25,248	25,248
Accumulated Amortization	(9,641)	(9,170)
Net Book Value	$ 15,607	$ 16,078
Remaining Weighted Average Amortization Period	6 years 8 months 12 days	8 years 9 months 18 days
Estimated future amortization expense
2,017	$ 1,413
2,019	1,884
2,020	1,884
2,021	1,884
2,022	1,884
2023 and thereafter	6,658
Net Book Value	$ 15,607	$ 16,078
Minimum
INTANGIBLE ASSETS
Remaining Weighted Average Amortization Period	5 years
Maximum
INTANGIBLE ASSETS
Remaining Weighted Average Amortization Period	10 years
Noncompete agreements
INTANGIBLE ASSETS
Cost Basis	$ 170	170
Accumulated Amortization	(33)	(26)
Net Book Value	$ 137	$ 144
Remaining Weighted Average Amortization Period	4 years 9 months 18 days	5 years 1 month 6 days
Estimated future amortization expense
Net Book Value	$ 137	$ 144
Customer relationships
INTANGIBLE ASSETS
Cost Basis	15,979	15,979
Accumulated Amortization	(5,336)	(4,992)
Net Book Value	$ 10,643	$ 10,987
Remaining Weighted Average Amortization Period	7 years	8 years
Estimated future amortization expense
Net Book Value	$ 10,643	$ 10,987
Trade names
INTANGIBLE ASSETS
Cost Basis	9,099	9,099
Accumulated Amortization	(4,272)	(4,152)
Net Book Value	$ 4,827	$ 4,947
Remaining Weighted Average Amortization Period	9 years 10 months 24 days	10 years 6 months
Estimated future amortization expense
Net Book Value	$ 4,827	$ 4,947

ACCRUED LIABILITIES (Details)

ACCRUED LIABILITIES (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017	Mar. 31, 2017	Dec. 31, 2016
ACCRUED LIABILITIES
Accrued payroll and benefits	$ 2,007	$ 1,797
Accrued property taxes	294	144
Income taxes payable	99	77
Accrued professional fees	64	40
Accrued warranty liability	583	581	$ 601	$ 671
Accrued self-insurance reserve	736	812
Accrued contingent consideration	1,140
Accrued other	1,123	942
Total accrued liabilities	$ 6,046	$ 4,393

DEBT AND CREDIT AGREEMENTS (Det

DEBT AND CREDIT AGREEMENTS (Details) - USD ($) $ in Thousands	Oct. 26, 2016	Mar. 31, 2018	Dec. 31, 2017	Mar. 31, 2017
Credit Facilities
Line of credit		$ 14,239
Short-term Non-bank Loans and Notes Payable		2,600
Less: Current portion		(18,142)	$ (14,252)
Long-term debt, net of current maturities		1,523	797
Current borrowing capacity		9,861
Current maturities of long-term debt		114	114
New Markets Tax Credit Transaction
Credit Facilities
Short-term Non-bank Loans and Notes Payable		2,600
Capital Expenditure loan
Credit Facilities
Long-term debt		2,256	1,146
Current maturities of long-term debt		1,189	804
Development Corporation of Abilene loan
Credit Facilities
Long-term debt		570	570
Long-term debt, net of current maturities		456
Current maturities of long-term debt		114
Credit facility
Credit Facilities
Maximum borrowing capacity	$ 20,000			$ 25,000
Line of credit facilities, term of credit agreements	3 years
Maximum borrowing capacity of the face value of eligible A/R (as a percent)	85.00%
Maximum percentage of book value of inventories that may be financed	50.00%
Maximum borrowing capacity of the face value of machinery, equipment and property that may be financed	50.00%
Annual unused line fee (as a percent)	0.50%
Credit facility | Minimum
Credit Facilities
Variable rate basis	2.25%
Interest rate margin (as a percent)	0.00%
Credit facility | Maximum
Credit Facilities
Maximum borrowing capacity	$ 10,000
Variable rate basis	3.00%
Interest rate margin (as a percent)	1.00%
Line of credit
Credit Facilities
Line of credit		14,239	10,733
Term loans and notes payable | New Markets Tax Credit Transaction
Credit Facilities
Short-term Non-bank Loans and Notes Payable		$ 2,600	$ 2,600

FAIR VALUE MEASUREMENTS (Detail

FAIR VALUE MEASUREMENTS (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
FAIR VALUE MEASUREMENTS
Total assets at fair value	$ 579	$ 580
Level 3
FAIR VALUE MEASUREMENTS
Total assets at fair value	579	580
Nonrecurring | Services
FAIR VALUE MEASUREMENTS
Property plant and equipment at fair value	19	20
Nonrecurring | Gearing Cicero Ave. facility
FAIR VALUE MEASUREMENTS
Property plant and equipment at fair value	560	560
Nonrecurring | Level 3 | Services
FAIR VALUE MEASUREMENTS
Property plant and equipment at fair value	19	20
Nonrecurring | Level 3 | Gearing Cicero Ave. facility
FAIR VALUE MEASUREMENTS
Property plant and equipment at fair value	$ 560	$ 560

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
INCOME TAXES
(Benefit) provision for income taxes	$ 27	$ 5,018
Other tax expense (benefit)		$ 5,060
Operating Loss Carryforwards			$ 227,871

INCOME TAXES STOCKHOLDER RIGHTS

INCOME TAXES STOCKHOLDER RIGHTS PLAN (Details) $ / shares in Units, $ in Thousands	Feb. 05, 2016	Feb. 13, 2013$ / sharesshares	Feb. 13, 2013item$ / sharesshares	Feb. 12, 2013	Mar. 31, 2018USD ($)
Rights Plan
Unrecognized Tax Benefits					$ 0
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued					$ 0
Series A Junior Participating Preferred Stock
Rights Plan
Preservation period of tax assets	3 years
Number of rights for each outstanding share of common stock | item			1
Number of preferred share purchase rights for each outstanding share of the company's common stock | shares		0.001	0.001
Exercise price (in dollars per right) | $ / shares		$ 9.81	$ 9.81
Series A Junior Participating Preferred Stock | Minimum
Rights Plan
Threshold percentage of beneficial ownership for significant dilution of ownership interest		4.90%
Current beneficial ownership percentage that will not trigger the preferred share purchase rights unless they acquire additional shares				4.90%
Series A Junior Participating Preferred Stock | Maximum
Rights Plan
Beneficial ownership percentage of any person or group, together with its affiliates and associates			4.90%

SHARE-BASED COMPENSATION (Detai

SHARE-BASED COMPENSATION (Details)	3 Months Ended
	Mar. 31, 2018$ / sharesshares
2007 EIP
SHARE-BASED COMPENSATION
Number of shares of common stock reserved for grants	691,051
Common stock issued under share-based compensation plan	253,659
2012 EIP
SHARE-BASED COMPENSATION
Number of shares of common stock reserved for grants	1,200,000
Common stock issued under share-based compensation plan	635,089
2015 EIP
SHARE-BASED COMPENSATION
Number of shares of common stock reserved for grants	1,100,000
Common stock issued under share-based compensation plan	283,491
Stock Options
SHARE-BASED COMPENSATION
Expiration term	10 years
Summary of the stock option activity
Outstanding at the beginning of the period (in shares)	67,188
Granted (in shares)	0
Expired (in shares)	(1,500)
Outstanding at the end of the period (in shares)	65,688
Exercisable (in shares)	65,688
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share) | $ / shares	$ 24.65
Expired (in dollars per share) | $ / shares	128.50
Outstanding at the end of the period (in dollars per share) | $ / shares	22.28
Exercisable (in dollars per share) | $ / shares	$ 22.28
Stock Options | 2007 EIP
SHARE-BASED COMPENSATION
Number of shares reserved	28,483
Stock Options | 2012 EIP
SHARE-BASED COMPENSATION
Number of shares reserved	37,205
Stock Options | Minimum
SHARE-BASED COMPENSATION
Vesting term	1 year
Stock Options | Maximum
SHARE-BASED COMPENSATION
Vesting term	5 years
RSU | 2007 EIP
SHARE-BASED COMPENSATION
Number of shares reserved	0
RSU | 2015 EIP
SHARE-BASED COMPENSATION
Number of shares reserved	827,316
RSU | Minimum
SHARE-BASED COMPENSATION
Vesting term	1 year
RSU | Maximum
SHARE-BASED COMPENSATION
Vesting term	5 years

SHARE-BASED COMPENSATION INCENT

SHARE-BASED COMPENSATION INCENTIVE PLANS (Details) - $ / shares	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Weighted Average Grant-Date Fair Value Per RSU
Forfeiture rate (as percent)	25.00%	25.00%
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	0
RSU
Summary of the restricted stock unit activity
Unvested at the beginning of the period (in shares)	512,142
Granted (in shares)	453,204
Vested (in shares)	(122,262)
Forfeited (in shares)	(15,768)
Unvested at the end of the period (in shares)	827,316
Weighted Average Grant-Date Fair Value Per RSU
Unvested at the beginning of the period (in dollars per share)	$ 4.57
Granted (in dollars per share)	2.39
Vested (in dollars per share)	3.83
Forfeited (in dollars per share)	4.63
Unvested at the end of the period (in dollars per share)	$ 3.48

SHARE-BASED COMPENSATION OTHER

SHARE-BASED COMPENSATION OTHER (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Summary of share-based compensation expense
Net effect of share-based compensation expense on net loss	$ 262	$ 222
Reduction in earnings per share:
Basic earnings per share	$ 0.02	$ 0.01
Diluted earnings per share	$ 0.02	$ 0.01
Pre-tax compensation expense for all unvested share-based awards	$ 1,645
Cost of sales:
Summary of share-based compensation expense
Share-based compensation expense	22	$ 30
Selling, general and administrative
Summary of share-based compensation expense
Share-based compensation expense	$ 240	$ 192

SEGMENT REPORTING (Details)

SEGMENT REPORTING (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018USD ($)facilityitemMW	Mar. 31, 2017USD ($)	Dec. 31, 2017USD ($)
SEGMENT REPORTING
Revenues from external customers	$ 29,967	$ 56,060
Operating (loss) profit	(4,537)	1,603
Depreciation and amortization	2,357	2,101
Capital expenditures	229	3,261
Total Assets	$ 115,145		$ 112,350
Towers and Heavy Fabrications
SEGMENT REPORTING
Number of facilities | facility	2
Revenues from external customers	$ 16,785	48,895
Operating (loss) profit	(1,504)	5,849
Depreciation and amortization	$ 1,256	1,091
Capital expenditures		2,660
Towers and Heavy Fabrications | Maximum
SEGMENT REPORTING
Annual tower production capacity (in towers) | item	550
Towers and Heavy Fabrications | Minimum
SEGMENT REPORTING
Power generating capacity of turbines that towers produced annually can support (in megawatts) | MW	1,100
Process Systems
SEGMENT REPORTING
Revenues from external customers	$ 4,377	3,294
Operating (loss) profit	(893)	(822)
Depreciation and amortization	451	334
Capital expenditures		272
Total Assets	23,940		26,442
Gearing
SEGMENT REPORTING
Revenues from external customers	8,805	3,871
Operating (loss) profit	(626)	(1,531)
Depreciation and amortization	590	626
Capital expenditures	220	200
Total Assets	34,832		37,456
Corporate
SEGMENT REPORTING
Operating (loss) profit	(1,514)	(1,893)
Depreciation and amortization	60	50
Capital expenditures	9	$ 129
Eliminations
SEGMENT REPORTING
Total Assets	(232,811)		(229,412)
Operating segments
SEGMENT REPORTING
Total Assets	115,145		112,350
Operating segments | Towers and Heavy Fabrications
SEGMENT REPORTING
Total Assets	36,422		27,958
Operating segments | Assets held for sale
SEGMENT REPORTING
Total Assets	579		580
Operating segments | Corporate
SEGMENT REPORTING
Total Assets	$ 252,183		$ 249,326

COMMITMENTS AND CONTINGENCIES53

COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Environmental Compliance and Remediation Liabilities
Liability associated with environmental remediation costs	$ 0		$ 0
Changes in the carrying amount of the total product warranty liability
Balance, beginning of period	581	$ 671
Addition to (reduction of) warranty reserve	5	(44)
Warranty claims		(26)
Warranty claims	(3)
Balance, end of period	583	601
Allowance for Doubtful Accounts Receivable [Roll Forward]
Balance at beginning of period	225	145
Allowance for Doubtful Accounts Receivable, Period Increase (Decrease)	(15)	8
Balance at end of period	210	$ 153
Liquidated Damages
Reserve for liquidated damages			0
Workers' Compensation Reserves
Amount accrued for self-insured workers' compensation claims	$ 736		$ 812
Minimum
Environmental Compliance and Remediation Liabilities
Term of warranty	1 year
Maximum
Environmental Compliance and Remediation Liabilities
Term of warranty	5 years

COMMITMENTS AND CONTINGENCIES O

COMMITMENTS AND CONTINGENCIES OTHER (Details) - Total Company Employees - Coverage under collective bargaining agreements	12 Months Ended
	Dec. 31, 2017agreement
Collective bargaining agreements
Percentage of company's employees covered	24.00%
Number of agreements	2

COMMITMENTS AND CONTINGENCIES N

COMMITMENTS AND CONTINGENCIES NEW MARKETS TAX CREDIT TRANSACTION (Details) - New Markets Tax Credit Transaction - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Jul. 20, 2011
New Markets Tax Credit program
Future tax credit that can be generated	$ 3,900
Tax credit period	7 years
Period which facility must operate and be in compliance	7 years
Estimated SEC Inquiry settlement recorded	$ 3,900
Broadwind Services, LLC
New Markets Tax Credit program
Gross loan from AMCREF to Broadwind Services		$ 10,000

NEW MARKETS TAX CREDIT TRANSA56

NEW MARKETS TAX CREDIT TRANSACTION (Details) $ in Thousands	Jul. 20, 2011USD ($)	Mar. 31, 2018USD ($)item
New Markets Tax Credit Transaction
NMTC note payable		$ 2,600
New Markets Tax Credit Transaction
New Markets Tax Credit Transaction
Proceeds from transaction	$ 2,280
Gross loan in the principal amount from the Company to COCRF Investor VIII, LLC		$ 7,720
Receivable term		15 years
Interest rate (as a percent)		2.50%
Potential tax credit that can be generated under the NMTC transaction		$ 3,900
Period which facility must operate and be in compliance		7 years
Percentage of recapture to which the tax credits are subject		100.00%
Loan origination payment		$ 320
Company's obligation if Capital One exercises its option to put its investment		$ 130
Number of pass-through financing entities created under the structure that are deemed variable interest entities | item		2
Issue costs paid to third parties recorded as prepaid expenses	262
Amortization period for prepaid expenses for the NMTC arrangement		7 years
NMTC note payable		$ 2,600
Broadwind Services, LLC | New Markets Tax Credit Transaction
New Markets Tax Credit Transaction
Principal amount	$ 10,000
Debt instrument maturity term (in years)		15 years
Interest rate (as a percent)		1.40%

BUSINESS COMBINATIONS (Details)

BUSINESS COMBINATIONS (Details) - USD ($) $ in Thousands	Feb. 01, 2017	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017	Dec. 31, 2017	Sep. 30, 2017
Business Acquisition [Line Items]
Cash paid in acquisition			$ 16,659
Fair value of the contingent consideration			2,944
Consideration recorded in accrued liabilities		$ 1,140
Assets acquired and liabilities assumed:
Goodwill		$ 4,993		$ 4,993	$ 4,993
Weighted average amortization period		6 years 8 months 12 days			8 years 9 months 18 days
Noncompete agreements
Assets acquired and liabilities assumed:
Weighted average amortization period		4 years 9 months 18 days			5 years 1 month 6 days
Customer relationships
Assets acquired and liabilities assumed:
Weighted average amortization period		7 years			8 years
Trade names
Assets acquired and liabilities assumed:
Weighted average amortization period		9 years 10 months 24 days			10 years 6 months
Minimum
Assets acquired and liabilities assumed:
Weighted average amortization period		5 years
Maximum
Assets acquired and liabilities assumed:
Weighted average amortization period		10 years
Red Wolf
Business Acquisition [Line Items]
Cash paid in acquisition	$ 16,449
Fair value of the contingent consideration	2,534
Consideration recorded in accrued liabilities						$ 1,394
Consideration recorded in other long term liabilities		$ 1,140
Annual earn out payments	4,950
Discount rate		15.00%
Assets acquired and liabilities assumed:
Cash and cash equivalents			63
Adjustments-Cash and cash equivalents				(63)
Receivables			2,796	2,700	$ 2,700
Adjustments-Receivables				(96)
Inventories			4,998	5,177	5,177
Adjustments-Inventories				179
Property and equipment			462	462	462
Goodwill			5,568	4,993	4,993
Adjustments-Goodwill				(575)
Accounts payable			(1,354)	(1,352)	(1,352)
Adjustments-Accounts payable				2
Accrued expenses			(809)	(876)	(876)
Adjustments-Accrued expenses				(67)
Liabilities assumed			(5,391)	(5,391)	(5,391)
Total purchase price			19,603	18,983	18,983
Adjustments-Total purchase price				(620)
Weighted average amortization period		9 years 4 months 24 days
Red Wolf | Noncompete agreements
Assets acquired and liabilities assumed:
Intangible assets, net			170	170	170
Weighted average amortization period		6 years
Red Wolf | Customer relationships
Assets acquired and liabilities assumed:
Intangible assets, net			12,000	12,000	12,000
Weighted average amortization period		9 years
Red Wolf | Trade names
Assets acquired and liabilities assumed:
Intangible assets, net			$ 1,100	$ 1,100	$ 1,100
Weighted average amortization period		14 years
Red Wolf | Minimum
Business Acquisition [Line Items]
Fair value of the contingent consideration	0
Red Wolf | Maximum
Business Acquisition [Line Items]
Fair value of the contingent consideration	$ 9,900

RESTRUCTURING (Details)

RESTRUCTURING (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018USD ($)
RESTRUCTURING
2018 Actual	$ 151
Remaining Costs	776
Expected Cost, Total	927
Cost of sales:
RESTRUCTURING
2018 Actual	115
Remaining Costs	776
Expected Cost, Total	891
Selling, general and administrative
RESTRUCTURING
2018 Actual	36
Expected Cost, Total	36
Facility costs | Cost of sales:
RESTRUCTURING
2018 Actual	82
Remaining Costs	250
Expected Cost, Total	332
Moving and remediation | Cost of sales:
RESTRUCTURING
Remaining Costs	285
Expected Cost, Total	285
Salary and severance | Cost of sales:
RESTRUCTURING
2018 Actual	17
Expected Cost, Total	17
Salary and severance | Selling, general and administrative
RESTRUCTURING
2018 Actual	36
Expected Cost, Total	36
Depreciation | Cost of sales:
RESTRUCTURING
2018 Actual	16
Remaining Costs	241
Expected Cost, Total	257
CNG and Abilene Heavy Fabrications
RESTRUCTURING
Annual cost savings	$ 575