Marine Products (MPX) 10-K 28 Feb 17 2016 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2016	Feb. 17, 2017	Jun. 30, 2016
Document and Entity Information [Abstract]
Entity Registrant Name	MARINE PRODUCTS CORP
Entity Central Index Key	1,129,155
Trading Symbol	mpx
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Well-Known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding		34,957,356
Entity Public Float			$ 93,651,340
Document Type	10-K
Document Period End Date	Dec. 31, 2016
Amendment Flag	false
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	FY

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
ASSETS
Cash and cash equivalents	$ 2,619	$ 7,986
Marketable securities	4,109	7,825
Accounts receivable, net	1,087	1,256
Inventories	42,488	32,638
Income taxes receivable	29	820
Prepaid expenses and other current assets	1,823	2,119
Current assets	52,155	52,644
Property, plant and equipment, net	13,334	12,761
Goodwill	3,308	3,308
Other intangibles, net	465	465
Marketable securities	5,221	27,129
Deferred income taxes	5,278	4,338
Other assets	8,766	10,032
Total assets	88,527	110,677
Liabilities
Accounts payable	5,163	3,681
Accrued expenses and other liabilities	12,239	10,117
Current liabilities	17,402	13,798
Pension liabilities	5,614	6,590
Other long-term liabilities	66	77
Total liabilities	23,082	20,465
Commitments and contingencies (Note 9)
Stockholders' Equity
Preferred stock, $0.10 par value, 1,000,000 shares authorized, none issued
Common stock, $0.10 par value, 74,000,000 shares authorized, issued and outstanding - 34,855,082 shares in 2016, 38,111,625 shares in 2015	3,486	3,811
Capital in excess of par value		3,879
Retained earnings	64,141	84,423
Accumulated other comprehensive loss	(2,182)	(1,901)
Total stockholders' equity	65,445	90,212
Total liabilities and stockholders' equity	$ 88,527	$ 110,677

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parentheticals) - $ / shares	Dec. 31, 2016	Dec. 31, 2015
Statement Of Financial Position [Abstract]
Preferred stock, par value (in dollar per share)	$ 0.10	$ 0.10
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Common stock, par value (in dollar per share)	$ 0.10	$ 0.10
Common stock, shares authorized	74,000,000	74,000,000
Common stock, shares issued	34,855,082	38,111,625
Common stock, shares outstanding	34,855,082	38,111,625

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income Statement
Net sales	$ 241,330	$ 207,061	$ 171,050
Cost of goods sold	190,863	163,261	138,379
Gross profit	50,467	43,800	32,671
Selling, general and administrative expenses	27,415	23,249	20,665
Operating income	23,052	20,551	12,006
Interest income	355	420	521
Income before income taxes	23,407	20,971	12,527
Income tax provision	6,662	6,665	3,613
Net income	$ 16,745	$ 14,306	$ 8,914
EARNINGS PER SHARE
Basic (in dollars per share)	$ 0.44	$ 0.39	$ 0.24
Diluted (in dollars per share)	0.44	0.39	0.24
Dividends paid per share (in dollars per share)	$ 0.24	$ 0.20	$ 0.16

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Statement Of Income and Comprehensive Income
Net income	$ 16,745	$ 14,306	$ 8,914
Other comprehensive income, net of taxes:
Pension adjustment	(252)	125	(1,034)
Unrealized loss on securities, net of reclassification adjustments	(29)	(57)	(82)
Comprehensive income	$ 16,464	$ 14,374	$ 7,798

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Common Stock	Capital in Excess of Par Value	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Total
Balance at Dec. 31, 2013	$ 3,810	$ 3,583	$ 74,943	$ (853)	$ 81,483
Balance (in shares) at Dec. 31, 2013	38,095,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock issued for stock incentive plans, net	$ 25	1,729			1,754
Stock issued for stock incentive plans, net (in shares)	260,000
Stock purchased and retired	$ (22)	(1,759)			(1,781)
Stock purchased and retired (in shares)	(224,000)
Net income			8,914		8,914
Pension adjustment, net of taxes				(1,034)	(1,034)
Unrealized loss on securities, net of taxes and reclassification adjustments				(82)	(82)
Excess tax benefits for share-based payments		342			342
Dividends declared			(6,102)		(6,102)
Balance at Dec. 31, 2014	$ 3,813	3,895	77,755	(1,969)	83,494
Balance (in shares) at Dec. 31, 2014	38,131,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock issued for stock incentive plans, net	$ 32	1,953			1,985
Stock issued for stock incentive plans, net (in shares)	317,000
Stock purchased and retired	$ (34)	(2,225)			(2,259)
Stock purchased and retired (in shares)	(336,000)
Net income			14,306		14,306
Pension adjustment, net of taxes				125	125
Unrealized loss on securities, net of taxes and reclassification adjustments				(57)	(57)
Excess tax benefits for share-based payments		256			256
Dividends declared			(7,638)		(7,638)
Balance at Dec. 31, 2015	$ 3,811	3,879	84,423	(1,901)	$ 90,212
Balance (in shares) at Dec. 31, 2015	38,112,000				38,111,625
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock issued for stock incentive plans, net	$ 37	2,511			$ 2,548
Stock issued for stock incentive plans, net (in shares)	369,000
Stock purchased and retired	$ (362)	(6,550)	(27,825)		(34,737)
Stock purchased and retired (in shares)	(3,626,000)
Net income			16,745		16,745
Pension adjustment, net of taxes				(252)	(252)
Unrealized loss on securities, net of taxes and reclassification adjustments				(29)	(29)
Excess tax benefits for share-based payments		$ 160			160
Dividends declared			(9,202)		(9,202)
Balance at Dec. 31, 2016	$ 3,486		$ 64,141	$ (2,182)	$ 65,445
Balance (in shares) at Dec. 31, 2016	34,855,000				34,855,082

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
OPERATING ACTIVITIES
Net income	$ 16,745	$ 14,306	$ 8,914
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation expense	1,382	1,013	712
(Gain) loss on sale of equipment and property	(103)	(12)	31
Amortization of premium related to marketable securities	1,152	1,059	1,210
Stock-based compensation expense	2,624	1,993	1,754
Excess tax benefits for share-based payments	(160)	(256)	(342)
Deferred income tax (benefit) provision	(862)	1,309	(805)
(Increase) decrease in assets:
Accounts receivable	169	1,113	(348)
Inventories	(9,850)	(3,819)	40
Prepaid expenses and other current assets	296	(413)	133
Income taxes receivable	791	(441)	911
Other non-current assets	1,266	(139)	790
Increase (decrease) in liabilities:
Accounts payable	1,482	104	(1,992)
Other accrued expenses	2,282	486	638
Other long-term liabilities	(1,377)	(259)	(990)
Net cash provided by operating activities	15,837	16,044	10,656
INVESTING ACTIVITIES
Capital expenditures	(1,940)	(3,878)	(451)
Proceeds from sale of assets	88	6	1,083
Investment in joint venture			(2,554)
Sales and maturities of marketable securities	52,519	17,659	20,085
Purchases of marketable securities	(28,092)	(16,276)	(22,320)
Net cash provided by (used for) investing activities	22,575	(2,489)	(4,157)
FINANCING ACTIVITIES
Payment of dividends	(9,202)	(7,638)	(6,102)
Cash paid for common stock purchased and retired	(34,737)	(2,259)	(1,781)
Excess tax benefits for share-based payments	160	256	342
Net cash used for financing activities	(43,779)	(9,641)	(7,541)
Net (decrease) increase in cash and cash equivalents	(5,367)	3,914	(1,042)
Cash and cash equivalents at beginning of year	7,986	4,072	5,114
Cash and cash equivalents at end of year	$ 2,619	$ 7,986	$ 4,072

SIGNIFICANT ACCOUNTING POLICIES

SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2016
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES	NOTE 1: SIGNIFICANT ACCOUNTING POLICIES Basis of Consolidation and Presentation The consolidated financial statements included herein may not necessarily be indicative of the future results of operations, financial position and cash flows of Marine Products. The Company has only one reportable segment — its Powerboat Manufacturing business. The Company’s results of operations and its financial condition are not significantly reliant upon any single customer or product model. No single dealer accounted for more than 10 percent of net sales during 2016, 2015 or 2014. Net sales to the Company’s international dealers were approximately $21 million in 2016, $22 million in 2015, and $26 million in 2014. Nature of Operations Common Stock Preferred Stock Share Repurchases Dividend Use of Estimates in the Preparation of Financial Statements Sales Recognition Deferred Revenue Shipping and Handling Charges Advertising Sales Incentives and Discounts Cash and Cash Equivalents Marketable Securities Management determines the appropriate classification of debt securities at the time of purchase and re-evaluates such designations as of each balance sheet date. Debt securities are classified as available-for-sale because the Company does not have the intent to hold the securities to maturity. Available-for-sale securities are stated at their fair values, with the unrealized gains and losses, net of taxes, reported as a separate component of stockholders’ equity. The cost of securities sold is based on the specific identification method. Realized gains and losses, declines in value judged to be other than temporary, interest and dividends on available-for-sale securities are included in interest income. Net realized (losses) gains on marketable securities totaled ($39,000) in 2016, $45,000 in 2015, and $57,000 in 2014. Of the total (losses) gains realized, reclassification from other comprehensive income totaled approximately ($39,000) in 2016, $45,000 in 2015, and $57,000 in 2014. Gross unrealized gains on marketable securities totaled $4,000 as of December 31, 2016 and $26,000 as of December 31, 2015. Gross unrealized losses on marketable securities totaled $53,000 as of December 31, 2016 and $29,000 as of December 31, 2015. The amortized cost basis, fair value and net unrealized loss of the available-for-sale securities are as follows: December 31, 2016 2015 Type of Securities Amortized Fair Net Amortized Fair Net (in thousands) Municipal Obligations $ 9,379 $ 9,330 $ (49 ) $ 30,996 $ 30,996 $ — Corporate Obligations — — — 3,961 3,958 (3 ) Total $ 9,379 $ 9,330 $ (49 ) $ 34,957 $ 34,954 $ (3 ) Municipal debt obligations consist primarily of municipal notes rated AA- or higher ranging in maturity from less than one year to over 10 years. Investments with remaining maturities of less than 12 months are considered to be current marketable securities. Investments with remaining maturities greater than 12 months are considered to be non-current marketable securities. The Company’s non-current marketable securities as of December 31, 2016 are scheduled to mature between 2018 and 2038. Accounts Receivable Inventories Property, Plant and Equipment Goodwill and Other Intangibles Investments Warranty Costs (in thousands) 2016 2015 Balance at beginning of year $ 3,405 $ 3,836 Less: Payments made during the year (2,856 ) (1,653 ) Add: Warranty provision for the current year 3,527 2,074 Changes to warranty provision for prior years 553 (852 ) Balance at end of year $ 4,629 $ 3,405 Insurance Accruals Research and Development Costs Repurchase Obligations Income Taxes Stock-Based Compensation Earnings per Share Basic and diluted earnings per share are computed by dividing net income by the weighted average number of shares outstanding during the respective periods. In addition, the Company has periodically issued share-based payment awards that contain non-forfeitable rights to dividends and are therefore considered participating securities. Restricted shares of common stock (participating securities) outstanding and a reconciliation of weighted average shares outstanding is as follows: (In thousands) 2016 2015 2014 Net income available for stockholders $ 16,745 $ 14,306 $ 8,914 Less: Adjustments for earnings attributable to participating securities (535 ) (464 ) (283 ) Net income used in calculating earnings per share $ 16,210 $ 13,842 $ 8,631 Weighted average shares outstanding (including participating securities) 37,857 36,955 36,937 Adjustment for participating securities (1,224 ) (1,252 ) (1,246 ) Shares used in calculating basic earnings per share 36,633 35,703 35,691 Dilutive effect of stock based awards — 192 291 Shares used in calculating diluted earnings per share 36,633 35,895 35,982 Fair Value of Financial Instruments Concentration of Suppliers Reclassification . Recent Accounting Pronouncements During the year ended December 31, 2016, the FASB issued the following Accounting Standards Updates (ASUs): Recently Adopted Accounting Pronouncements: · Accounting Standards Update (ASU) No. 2015-16, Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments. The amendments eliminate the requirement to retrospectively account for adjustments made to provisional amounts recognized in a business combination. djustments to provisional amounts that are identified during the measurement period required to be recognized in the reporting period in which the adjustments are determined and calculated as if the accounting had been completed at the acquisition date and either disclosed on the face of the income statement or in the notes by each category. The Company adopted these provisions in the first quarter of 2016 and plans to apply the provisions for all future business combinations. T · ASU No. 2015-07, Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent). · ASU No. 2014-15, Presentation of Financial Statements —Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern. inancial statements are generally prepared under the presumption that the reporting organization will continue to operate as a going concern, except in limited circumstances. This ASU provides guidance on management’s responsibility to include footnote disclosures when there is substantial doubt about the organization’s ability to continue as a going concern. The Company adopted these provisions in the first quarter of 2016 and will provide such disclosures as required if there are conditions and events that raise substantial doubt about its ability to continue as a going concern. The Recently Issued Accounting Pronouncements Not Yet Adopted: To be adopted in 2017: · ASU No. 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory. Current requirements are to measure inventory at the lower of cost or market. Market could be replacement cost, net realizable value, or net realizable value less an approximated normal profit margin. These amendments allow inventory to be measured at lower of cost or net realizable value and eliminates the market requirement. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation The amendments do not apply to inventory that is measured using last-in, first-out or the retail inventory method. The amendments will be adopted in the first quarter of 2017 and applied prospectively. The Company · ASU No. 2016-07, Investments —Equity Method and Joint Ventures (Topic 323) Simplifying the Transition to the Equity Method of Accounting. The Company · ASU No. 2016-09, Compensation —Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. he amendments simplify several aspects of the accounting for share-based payment award transactions, The Company will adopt these provisions in the first quarter of 2017 and adoption of these provisions which may result in the following - The Company will continue to estimate expected forfeitures. · ASU No. 2016-17, Consolidation (Topic 810): Interests Held through Related Parties That are under Common Control. he Company does not expect the adoption to have a material impact on its consolidated financial statements. To be adopted in 2018: REVENUE RECOGNITION: The Financial Accounting Standards Board and International Accounting Standards Board issued their converged standard on revenue recognition in May 2014. The standard provides a comprehensive, industry-neutral revenue recognition model intended to increase financial statement comparability across companies and industries and significantly reduce the complexity inherent in today's revenue recognition guidance. The various ASUs related to Revenue from Contracts with Customers (Topic 606) · ASU No. 2014-09. · ASU No. 2015-14 deferred the effective date of ASU 2014-09 for all entities by one year to the first quarter of 2018 with early application permitted. · ASU No. 2016-08, Principal versus Agent Considerations (Reporting Revenue Gross versus Net). · ASU No. 2016-10, Identifying Performance Obligations and Licensing. The amendments clarify the earlier guidance on identifying performance obligations and licensing implementation. · ASU No. 2016-11, Rescission of SEC Guidance Because of ASUs 2014-09 and 2014-16 Pursuant to Staff Announcements at the March 3, 2016 EITF Meeting. This ASU rescinds certain SEC guidance related to issues that are currently codified under various topics. · ASU No. 2016-12, Narrow-Scope Improvements and Practical Expedients. The amendments provide clarifying guidance on certain aspects of the five step process and practical expedients regarding the effect of modifications and status of completed contracts under legacy GAAP and disclosures related to the application of this guidance using the modified retrospective or retrospective transition method. · ASU No. 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers. Current Status of implementation: The Company is currently analyzing the effect of the standard across all of its revenue streams to evaluate the impact of the new standard on revenue contracts. This includes reviewing current accounting policies and practices to identify potential differences that would result from applying the requirements under the new standard. The Company plans to adopt the standard in the first quarter of 2018 using the modified retrospective method · ASU No. 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. · ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. The Company is currently evaluating the impact of adopting these provisions on its consolidated financial statements. · ASU No. 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory. · ASU No. 2016-18, Statement of Cash Flows (230): Restricted Cash. The Company is currently evaluating the impact of adopting these provisions on its consolidated financial statements. To be adopted in 2019 and later: · ASU No. 2016-02 —Leases (Topic 842). · ASU No. 2016-13, Financial Instruments —Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. he amendments require that credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration should be presented as an allowance rather than a write-down. It also allows recording of credit loss reversals in current period net income. The amendments are effective in the first quarter of 2020 with early application permitted a year earlier. The Company is currently evaluating the impact of adopting these provisions on its consolidated financial statements.

ACCOUNTS RECEIVABLE

ACCOUNTS RECEIVABLE	12 Months Ended
	Dec. 31, 2016
ACCOUNTS RECEIVABLE
ACCOUNTS RECEIVABLE	NOTE 2: ACCOUNTS RECEIVABLE Accounts receivable consist of the following: December 31, 2016 2015 (in thousands) Trade receivables $ 744 $ 557 Other 368 724 Total 1,112 1,281 Less: allowance for doubtful accounts (25 ) (25 ) Net accounts receivable $ 1,087 $ 1,256 Trade receivables consist primarily of balances related to the sales of boats which are shipped pursuant to “floor-plan financing” programs with qualified lenders. Other receivables consist primarily of rebate receivables from various suppliers. Changes in the Company’s allowance for doubtful accounts are disclosed in Schedule II on page 63 of this report.

INVENTORIES

INVENTORIES	12 Months Ended
	Dec. 31, 2016
INVENTORIES
INVENTORIES	NOTE 3: INVENTORIES Inventories consist of the following: December 31, 2016 2015 (in thousands) Raw materials $ 26,106 $ 17,058 Work in process 9,007 7,562 Finished goods 7,375 8,018 Total inventories $ 42,488 $ 32,638

PROPERTY, PLANT AND EQUIPMENT

PROPERTY, PLANT AND EQUIPMENT	12 Months Ended
	Dec. 31, 2016
PROPERTY, PLANT AND EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT	NOTE 4: PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment are presented at cost, net of accumulated depreciation, and consist of the following: December 31, Estimated 2016 2015 (in thousands) Land N/A $ 878 $ 657 Buildings 7-40 18,314 17,586 Operating equipment and property 3-15 10,070 10,843 Furniture and fixtures 5-7 1,535 2,141 Vehicles 5-10 6,007 6,697 Gross property, plant and equipment 36,804 37,924 Less: accumulated depreciation (23,470 ) (25,163 ) Net property, plant and equipment $ 13,334 $ 12,761 Depreciation expense was $1,382,000 in 2016, $1,013,000 in 2015 and $712,000 in 2014.

ACCRUED EXPENSES AND OTHER LIAB

ACCRUED EXPENSES AND OTHER LIABILITIES	12 Months Ended
	Dec. 31, 2016
ACCRUED EXPENSES AND OTHER LIABILITIES
ACCRUED EXPENSES AND OTHER LIABILITIES	NOTE 5: ACCRUED EXPENSES AND OTHER LIABILITIES Accrued expenses and other liabilities consist of the following: December 31, 2016 2015 (in thousands) Accrued payroll and related expenses $ 2,381 $ 2,060 Accrued sales incentives and discounts 4,155 3,309 Accrued warranty costs 4,629 3,405 Deferred revenue 416 721 Other 658 622 Total accrued expenses and other liabilities $ 12,239 $ 10,117

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2016
INCOME TAXES
INCOME TAXES	NOTE 6: INCOME TAXES The following table lists the components of the provision for income taxes: Years ended December 31, 2016 2015 2014 (in thousands) Current provision: Federal $ 7,263 $ 5,056 $ 4,275 State 261 300 143 Deferred (benefit) provision: Federal (507 ) 1,256 (762 ) State (355 ) 53 (43 ) Total income tax provision $ 6,662 $ 6,665 $ 3,613 A reconciliation between the federal statutory rate and Marine Products’ effective tax rate is as follows: Years ended December 31, 2016 2015 2014 Federal statutory rate 35.0 % 35.0 % 35.0 % State income taxes, net of federal benefit 0.7 0.8 0.7 Research and experimentation credit (1.0 ) (1.1 ) (2.1 ) Tax-exempt interest (0.4 ) (0.4 ) (1.1 ) Tax-exempt gain on SERP assets (1.3 ) (0.1 ) (0.5 ) Manufacturing deduction (3.0 ) (2.5 ) (3.3 ) Change in valuation allowance (1.4 ) — — Other (0.1 ) — 0.1 Effective tax rate 28.5 % 31.7 % 28.8 % Significant components of the Company’s deferred tax assets and liabilities are as follows: December 31, 2016 2015 (in thousands) Deferred tax assets: Warranty costs $ 1,643 $ 1,209 Sales incentives and discounts 725 547 Stock-based compensation 1,015 1,061 Pension 1,993 2,300 Uniform capitalization 298 96 All others 489 418 State credits and NOL’s 5,129 4,967 Valuation allowance (4,525 ) (4,694 ) Total deferred tax assets 6,767 5,904 Deferred tax liabilities: Depreciation and amortization expense (1,103 ) (1,062 ) Basis differences in joint venture (386 ) (504 ) Net deferred tax assets $ 5,278 $ 4,338 Total net income tax payments were $6,546,000 in 2016, $5,797,000 in 2015, and $3,509,000 in 2014. As of December 31, 2016 the Company had net operating loss carry forwards related to state income taxes of approximately $15.5 million, and other state credits of approximately $4.5 million that will expire between 2017 and 2035. As of December 31, 2016 the Company released all valuation allowances related to net operating loss carryforwards due to implemented tax planning strategies, yet retains a valuation allowance on state tax credits of approximately $4.5 million, representing the tax affected amount of state tax credits that the Company does not expect to utilize, against the corresponding deferred tax asset. The Company’s policy is to record interest and penalties related to income tax matters as income tax expense. Accrued interest and penalties were immaterial as of December 31, 2016 and 2015. As of December 31, 2016 and 2015, our liability for unrecognized tax benefits was $15,000 and $15,000, respectively, all of which would affect our effective rate if recognized. It is reasonably possible that the amount of the unrecognized benefits with respect to our unrecognized tax positions will increase or decrease in the next 12 months. These changes may be the result of, among other things, state tax settlements under voluntary disclosure agreements. However, quantification of an estimated range cannot be made at this time. The Company and its subsidiaries are subject to U.S. federal and state income tax in multiple jurisdictions. In many cases our uncertain tax positions are related to tax years that remain open and subject to examination by the relevant taxing authorities. The Company’s 2013 through 2016 tax years remain open to examination. Additional years may be open to the extent attributes are being carried forward to an open year.

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE LOSS	12 Months Ended
	Dec. 31, 2016
ACCUMULATED OTHER COMPREHENSIVE LOSS
ACCUMULATED OTHER COMPREHENSIVE LOSS	NOTE 7: ACCUMULATED OTHER COMPREHENSIVE LOSS Accumulated other comprehensive loss consists of the following: Pension Unrealized Total (in thousands) Balance at December 31, 2014 $ (2,024 ) $ 55 $ (1,969 ) Change during 2015: Before-tax amount 119 (43 ) 76 Tax benefit (expense) (42 ) 15 (27 ) Reclassification adjustment, net of taxes Amortization of net loss 48 — 48 Net realized gain — (29 ) (29 ) Total activity in 2015 125 (57 ) 68 Balance at December 31, 2015 $ (1,899 ) $ (2 ) $ (1,901 ) Change during 2016: Before-tax amount (474 ) (83 ) (557 ) Tax benefit 168 29 197 Reclassification adjustment, net of taxes Amortization of net loss 54 54 Net realized loss — 25 25 Total activity in 2016 (252 ) (29 ) (281 ) Balance at December 31, 2016 $ (2,151 ) $ (31 ) $ (2,182 )

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	12 Months Ended
	Dec. 31, 2016
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS	NOTE 8: FAIR VALUE MEASUREMENTS The various inputs used to measure assets at fair value establish a hierarchy that distinguishes between assumptions based on market data (observable inputs) and the Company’s assumptions (unobservable inputs). The hierarchy consists of three broad levels as follows: 1. Level 1 – Quoted market prices in active markets for identical assets or liabilities. 2. Level 2 – Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities. 3. Level 3 – Unobservable inputs developed using the Company’s estimates and assumptions, which reflect those that market participants would use. The following table summarizes the valuation of financial instruments measured at fair value on a recurring basis on the balance sheet as of December 31, 2016 and 2015: Fair Value Measurements at December 31, 2016 with: (in thousands) Total Quoted prices in Significant Significant (Level 1) (Level 2) (Level 3) Assets: Available-for-sale securities: Municipal Obligations $ 9,330 $ — $ 9,330 $ — Corporate Obligations — — — — $ 9,330 $ — $ 9,330 $ — Investments measured at Net Asset Value-Trading securities $ 5,547 Fair Value Measurements at December 31, 2015 with: (in thousands) Total Quoted prices in Significant Significant (Level 1) (Level 2) (Level 3) Assets: Available-for-sale securities: Municipal Obligations $ 30,996 $ — $ 30,996 $ — Corporate Obligations 3,958 — 3,958 — $ 34,954 $ — $ 34,954 $ — Investments measured at Net Asset Value-Trading securities $ 6,491 The Company determines the fair value of the marketable securities that are available-for-sale through quoted prices for similar instruments in active markets or quoted prices for identical or similar instruments in markets that are not active. The trading securities are comprised of SERP assets, as described in Note 10, and are recorded primarily at their net cash surrender values calculated using their net asset values, which approximate fair value, as provided by the issuing insurance company. S ignificant observable inputs, in addition to quoted market prices, were used to value the trading securities. The Company’s policy is to recognize transfers between levels at the beginning of quarterly reporting periods. For the year ended December 31, 2016 there were no significant transfers in or out of levels 1, 2 or 3. The carrying amount of other financial instruments reported in the balance sheet for current assets and current liabilities approximate their fair values because of the short-term maturity of these instruments. The Company currently does not use the fair value option to measure any of its existing financial instruments and has not determined whether or not it will elect this option for financial instruments it may acquire in the future.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	12 Months Ended
	Dec. 31, 2016
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	NOTE 9: COMMITMENTS AND CONTINGENCIES Lawsuits Dealer Floor Plan Financing There were no material repurchases of inventory under contractual agreements during 2016 or 2015. Management continues to monitor the risk of additional defaults and resulting repurchase obligations based in part on information provided by the third-party floor plan lenders and will adjust the guarantee liability at the end of each reporting period based on information reasonably available at that time. The Company currently has an agreement with one of the floor plan lenders whereby the contractual repurchase limit is to not exceed 16 percent of the average net receivables financed by the floor plan lender for dealers during the prior 12 month period, which was $9.8 million as of December 31, 2016. T Minimum annual operating lease obligations with terms in excess of one year, in effect at December 31, 2016, are summarized in the following table: (in thousands) 2017 $ 357 2018 348 2019 213 2020 1 2021 — Thereafter — Total rental commitments $ 919 Total rent expense charged to operations was approximately $352,000 in 2016, $135,000 in 2015 and $118,000 in 2014. Income Taxes Employment Agreements

EMPLOYEE BENEFIT PLANS

EMPLOYEE BENEFIT PLANS	12 Months Ended
	Dec. 31, 2016
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS	NOTE 10: EMPLOYEE BENEFIT PLANS Supplemental Executive Retirement Plan (SERP) — The Company classifies the SERP assets as trading securities as described in Note 1. The fair value of these assets totaled $5,547,000 as of December 31, 2016 and $6,491,000 as of December 31, 2015. The SERP assets are reported in other assets on the consolidated balance sheets and changes related to the fair value of the assets are included in selling, general and administrative expenses in the consolidated statements of operations. Trading gains (losses) related to the SERP assets totaled $106,000 in 2016, $(84,000) in 2015 and $187,000 in 2014. The SERP liabilities are recorded on the balance sheet in pension liabilities with any change in the fair value of the SERP liabilities recorded as selling, general and administrative expenses in the consolidated statements of operations. In connection with death of an executive officer during 2016, the Company recorded tax free gains of approximately $751 thousand comprised of the following: $556 thousand generated by the insurance death proceeds under a Company-owned life insurance contract of approximately $1.9 million less cash surrender value of approximately $1.4 million, and $195 thousand as a result of insurance death benefits from a key-man life insurance policy. The net gain is reflected as part of selling, general and administrative expenses. Retirement Income Plan The Company’s projected benefit obligation exceeded the fair value of the plan assets for its Retirement Income Plan by $51,000 and thus the plan was under-funded as of December 31, 2016. The following table sets forth the funded status of the Retirement Income Plan and the amounts recognized in Marine Products’ consolidated balance sheets: December 31, 2016 2015 (in thousands) ACCUMULATED BENEFIT OBLIGATION, END OF YEAR $ 6,083 $ 5,703 CHANGE IN PROJECTED BENEFIT OBLIGATION: Benefit obligation at beginning of year $ 5,703 $ 6,355 Service cost — — Interest cost 274 259 Actuarial loss (gain) 342 (671 ) Benefits paid (236 ) (240 ) Projected benefit obligation at end of year $ 6,083 $ 5,703 CHANGE IN PLAN ASSETS: Fair value of plan assets at beginning of year $ 5,813 $ 6,014 Actual return on plan assets 275 (131 ) Employer contributions 180 170 Benefits paid (236 ) (240 ) Fair value of plan assets at end of year $ 6,032 $ 5,813 Funded status at end of year $ (51 ) $ 110 December 31, 2016 2015 (in thousands) AMOUNTS RECOGNIZED IN THE CONSOLIDATED BALANCE SHEETS CONSIST OF: Noncurrent assets $ — $ 110 Current liabilities — — Noncurrent liabilities (51 ) — $ (51 ) $ 110 The funded status of the Retirement Income Plan was recorded in the consolidated balance sheets in pension liabilities as of December 31, 2016 and in other assets as of December 31, 2015. December 31, 2016 2015 (in thousands) AMOUNTS (PRE-TAX) RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE LOSS CONSIST OF: Net loss $ 3,335 $ 2,944 Prior service cost (credit) — — Net transition obligation (asset) — — $ 3,335 $ 2,944 The accumulated benefit obligation for the Retirement Income Plan as of December 31, 2016 and 2015 has been disclosed above. The Company uses a December 31 measurement date for this qualified plan. Amounts recorded in the consolidated balance sheet as pension liabilities consist of: December 31, 2016 2015 (in thousands) SERP liability $ (5,563 ) $ (6,590 ) Funded status of Retirement Income Plan (51 ) — Pension liabilities $ (5,614 ) $ (6,590 ) Marine Products’ funding policy is to contribute to the Retirement Income Plan the amount required, if any, under the Employee Retirement Income Security Act of 1974. Contributions to the plan totaled $180,000 during 2016 and $170,000 during 2015. The components of net periodic benefit cost of the Retirement Income Plan are summarized as follows: Years ended December 31, 2016 2015 2014 (in thousands) Service cost for benefits earned during the period $ — $ — $ — Interest cost on projected benefit obligation 274 259 261 Expected return on plan assets (406 ) (421 ) (411 ) Amortization of net loss 84 76 37 $ (48 ) $ (86 ) $ (113 ) The Company recognized a pre-tax decrease to the funded status in accumulated other comprehensive income of $390,000 in 2016 compared to a pre-tax increase of $195,000 in 2015 and a pre-tax decrease of $1,602,000 in 2014. There were no previously unrecognized prior service costs during 2016, 2015 and 2014. The pre-tax amounts recognized in other comprehensive income for the years ended December 31, 2016, 2015 and 2014 are summarized as follows: (in thousands) 2016 2015 2014 Net loss (gain) $ 474 $ (119 ) $ 1,639 Amortization of net loss (84 ) (76 ) (37 ) Net transition obligation (asset) — — — Amount recognized in accumulated other comprehensive income $ 390 $ (195 ) $ 1,602 The amounts in accumulated other comprehensive income expected to be recognized as components of net periodic benefit cost in 2017 are as follows: (in thousands) 2017 Amortization of net loss $ 91 Prior service cost (credit) — Net transition obligation (asset) — Estimated net periodic cost $ 91 The weighted average assumptions as of December 31 used to determine the projected benefit obligation and net benefit cost were as follows: December 31, 2016 2015 2014 PROJECTED BENEFIT OBLIGATION: Discount rate 4.50 % 4.75 % 4.25 % Rate of compensation increase N/A N/A N/A NET BENEFIT COST: Discount rate 4.75 % 4.25 % 5.35 % Expected return on plan assets 7.00 % 7.00 % 7.00 % Rate of compensation increase N/A N/A N/A The Company’s expected return on assets assumption is derived from a detailed periodic assessment by its management and investment advisor. It includes a review of anticipated future long-term performance of individual asset classes and consideration of the appropriate asset allocation strategy given the anticipated requirements of the plan to determine the average rate of earnings expected on the funds invested to provide for the pension plan benefits. While the assessment gives appropriate consideration to recent fund performance and historical returns, the rate of return assumption is derived primarily from a long-term, prospective view. Based on its recent assessment, the Company has concluded that its expected long-term return assumption of seven percent is reasonable. The plan’s weighted average asset allocation at December 31, 2016 and 2015 by asset category along with the target allocation for 2017 are as follows: Asset Category Target Percentage of Percentage of Cash and Cash Equivalents 0% - 5% 3.3 % 0.7 % Domestic Equity Securities 0% - 40% 25.5 27.6 International Equity Securities 0% - 40% 20.8 19.1 Fixed Income Securities 15% - 50% 25.3 25.8 Investments measured at net asset value 0% - 20% 25.1 26.8 Total 100.0% 100.0 % 100.0 % The Company’s overall investment strategy is to achieve a mix of approximately 70 percent of investments for long-term growth and 30 percent for near-term benefit payments, with a wide diversification of asset types, fund strategies and fund managers. Equity securities primarily include investments in large-cap and small-cap companies domiciled domestically and internationally. Fixed-income securities include corporate bonds, mortgage-backed securities, sovereign bonds, and U.S. Treasuries. Other types of investments include real estate funds and private equity funds that follow several different investment strategies. For each of the asset categories in the pension plan, the investment strategy is identical – maximize the long-term rate of return on plan assets with an acceptable level of risk in order to minimize the cost of providing pension benefits. The investment policy establishes a target allocation for each asset class which is rebalanced as required. The plan utilizes a number of investment approaches, including but not limited to individual market securities, equity and fixed income funds in which the underlying securities are marketable, and debt funds to achieve this target allocation. Company management expects to make a contribution to the pension plan of approximately $200,000 during fiscal year 2017. Some of our assets, primarily our private equity and real estate funds, do not have readily determinable market values given the specific investment structures involved and the nature of the underlying investments. For plan asset reporting as of December 31, 2016, publicly traded asset pricing was used where possible. For assets without readily determinable values, estimates were derived from investment manager statements combined with discussions focusing on underlying fundamentals and significant events. Additionally, these investments are valued based on the net asset value per share calculated by the funds in which the plan has invested and the valuation is based on significant non-observable inputs which do not have a readily determinable fair value. These assets have been excluded from the fair value hierarchy applied retrospectively based on the accounting guidance recently adopted. The valuations are subject to judgments and assumptions of the funds which may prove to be incorrect, resulting in risks of incorrect valuation of these investments. The Company seeks to mitigate these risks by evaluating the appropriateness of the funds’ judgments and assumptions by reviewing the financial data included in the funds’ financial statements for reasonableness. The following tables present our plan assets using the fair value hierarchy as of December 31, 2016 and 2015. The fair value hierarchy has three levels based on the reliability of the inputs used to determine fair value. See Note 8 for a brief description of the three levels under the fair value hierarchy. Fair Value Hierarchy as of December 31, 2016: Investments (in thousands) Total Level 1 Level 2 Cash and Cash Equivalents (1 ) $ 200 $ 200 $ — Fixed Income Securities (2 ) 1,529 — 1,529 Domestic Equity Securities (3 ) 1,539 775 764 International Equity Securities (4 ) 1,252 — 1,252 Total Assets in the Fair Value Hierarchy $ 4,520 $ 975 $ 3,545 Investments measured at Net Asset Value 1,512 Investments at Fair Value $ 6,032 Fair Value Hierarchy as of December 31, 2015: Investments (in thousands) Total Level 1 Level 2 Cash and Cash Equivalents (1 ) $ 39 $ 39 $ — Fixed Income Securities (2 ) 1,501 — 1,501 Domestic Equity Securities (3 ) 1,602 804 799 International Equity Securities (4 ) 1,111 — 1,111 Total Assets in the Fair Value Hierarchy $ 4,253 $ 843 $ 3,411 Investments measured at Net Asset Value 1,560 Investments at Fair Value $ 5,813 (1) Cash and cash equivalents, which are used to pay benefits and plan administrative expenses, are held in Rule 2a-7 money market funds. (2) Fixed income securities are primarily valued using a market approach with inputs that include broker quotes, benchmark yields, base spreads and reported trades. (3) Domestic equity securities are valued using a market approach based on the quoted market prices of identical instruments in their respective markets. (4) International equity securities are valued using a market approach based on the quoted market prices of identical instruments in their respective markets. The Company estimates that the future benefits payable for the Retirement Income Plan over the next ten years are as follows: (in thousands) 2017 $ 284 2018 292 2019 299 2020 293 2021 298 2022-2026 $ 1,596 401(k) Plan Stock Incentive Plan The Company recognizes compensation expense for the unvested portion of awards outstanding over the remainder of the service period. The compensation cost recorded for these awards will be based on their fair value at grant date less the cost of estimated forfeitures. Forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods to reflect actual forfeitures. Cash flows related to share-based awards to employees that result in tax benefits in excess of recognized cumulative compensation cost (excess tax benefits) are classified as financing cash flows. Pre-tax stock-based employee compensation expense was approximately $2,624,000 ($1,692,000 after tax) for 2016, $1,993,000 ($1,285,000 after tax) for 2015 and $1,754,000 ($1,131,000 after tax) for 2014. During 2016, the Company recorded accelerated compensation expense in selling, general and administrative expenses of approximately $660 thousand that related to restricted shares issued to an executive officer that vested immediately upon his death. Stock Options The Company estimates the fair value of stock options as of the date of grant using the Black-Scholes option pricing model. The Company has not granted stock options to employees since 2004. There were no options exercised in 2016 and there have been no stock options outstanding since December 31, 2013. There was no tax benefit associated with the exercise of non-qualified stock options during 2016, 2015 or 2014. Restricted Stock The agreements under which the restricted stock is issued provide that shares awarded may not be sold or otherwise transferred until restrictions established under the stock plans have lapsed. Upon termination of employment from the Company (other than due to death, disability or retirement on or after age 65), shares with restrictions are forfeited in accordance with the plan. The following is a summary of the changes in non-vested restricted shares for the year ended December 31, 2016: Shares Weighted Average Non-vested shares at January 1, 2016 1,254,200 $ 6.80 Granted 371,950 5.77 Vested (422,533 ) 6.52 Forfeited (2,717 ) 6.21 Non-vested shares at December 31, 2016 1,200,900 $ 6.58 The following is a summary of the changes in non-vested restricted shares for the year ended December 31, 2015: Shares Weighted Average Non-vested shares at January 1, 2015 1,251,400 $ 6.47 Granted 319,750 7.08 Vested (313,800 ) 5.77 Forfeited (3,150 ) 6.89 Non-vested shares at December 31, 2015 1,254,200 $ 6.80 The fair value of restricted stock awards is based on the market price of the Company’s stock on the date of grant and is amortized to compensation expense on a straight line basis over the requisite service period. The weighted average grant date fair value of these restricted stock awards was $5.77 in 2016, $7.08 in 2015 and $7.90 in 2014. The total fair value of shares vested was approximately $2,686,000 in 2016, $2,254,000 in 2015 and $2,295,000 during 2014. Tax benefits for compensation tax deductions in excess of compensation expense related to restricted shares credited to capital in excess of par value was approximately $160,000 in 2016, $256,000 in 2015 and $342,000 in 2014. The excess tax deductions are classified as financing cash flows in the accompanying consolidated statements of cash flows. Other Information

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2016
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	NOTE 11: RELATED PARTY TRANSACTIONS In conjunction with its spin-off from RPC in 2001, the Company and RPC entered into various agreements that define the companies’ relationship after the spin-off. The Transition Support Services Agreement provides for RPC to provide certain services, including financial reporting and income tax administration, acquisition assistance, etc., to Marine Products until the agreement is terminated by either party. Marine Products reimbursed RPC for its estimated allocable share of administrative costs incurred for services rendered on behalf of Marine Products totaling $739,000 in 2016, $753,000 in 2015 and $663,000 in 2014. The Company’s (payable) receivable due (to) from RPC for these services was $(60,000) as of December 31, 2016 and $11,000 as of December 31, 2015. All of the Company’s directors, except one, are also directors of RPC and all of the Company’s executive officers are employees of both the Company and RPC. The Employee Benefits Agreement provides for, among other things, the Company’s employees to continue participating subsequent to the spin-off in two RPC sponsored benefit plans, specifically, the defined contribution 401(k) plan and the defined benefit retirement income plan. RPC and Marine Products own 50 percent each of a limited liability company called 255 RC, LLC that was created for the joint purchase and ownership of a corporate aircraft. The purchase of the aircraft was completed in January 2016, and the purchase was funded primarily by a $2,554,000 contribution by each company to 255 RC, LLC. Each of RPC and Marine Products is a party to an operating lease agreement with 255 RC, LLC for a period of five years. During 2016, Marine Products recorded certain net operating costs comprised of rent and an allocable share of fixed costs of approximately $157,000 for the corporate aircraft. The Company accounts for this investment using the equity method and its proportionate share of income or loss is recorded in selling, general and administrative expenses. As of December 31, 2016, the investment closely approximates the underlying equity in the net assets of 255 RC, LLC. A group that includes the Company’s Chairman of the Board, R. Randall Rollins and his brother Gary W. Rollins, who is also director of the Company, and certain companies under their control, controls in excess of fifty percent of the Company’s voting power.

VALUATION AND QUALIFYING ACCOUN

VALUATION AND QUALIFYING ACCOUNTS	12 Months Ended
	Dec. 31, 2016
Valuation and Qualifying Accounts [Abstract]
VALUATION AND QUALIFYING ACCOUNTS	SCHEDULE II—VALUATION AND QUALIFYING ACCOUNTS MARINE PRODUCTS CORPORATION AND SUBSIDIARIES (in thousands of dollars) For the years ended December 31, 2016, 2015 and 2014 Description Balance at Charged to Net Balance Year ended December 31, 2016 Allowance for doubtful accounts $ 25 $ — $ — $ 25 Deferred tax asset valuation allowance $ 4,694 $ — $ (169 ) $ 4,525 Year ended December 31, 2015 Allowance for doubtful accounts $ 25 $ — $ — $ 25 Deferred tax asset valuation allowance $ 4,401 $ 293 $ — $ 4,694 Year ended December 31, 2014 Allowance for doubtful accounts $ 25 $ — $ — $ 25 Deferred tax asset valuation allowance $ 4,359 $ 42 $ — $ 4,401

SIGNIFICANT ACCOUNTING POLICI20

SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2016
SIGNIFICANT ACCOUNTING POLICIES
Basis of Consolidation and Presentation	Basis of Consolidation and Presentation The consolidated financial statements included herein may not necessarily be indicative of the future results of operations, financial position and cash flows of Marine Products. The Company has only one reportable segment — its Powerboat Manufacturing business. The Company’s results of operations and its financial condition are not significantly reliant upon any single customer or product model. No single dealer accounted for more than 10 percent of net sales during 2016, 2015 or 2014. Net sales to the Company’s international dealers were approximately $21 million in 2016, $22 million in 2015, and $26 million in 2014.
Nature of Operations	Nature of Operations
Common Stock	Common Stock
Preferred Stock	Preferred Stock
Share Repurchases	Share Repurchases
Dividend	Dividend
Use of Estimates in the Preparation of Financial Statements	Use of Estimates in the Preparation of Financial Statements
Sales Recognition	Sales Recognition
Deferred Revenue	Deferred Revenue
Shipping and Handling Charges	Shipping and Handling Charges
Advertising	Advertising
Sales Incentives and Discounts	Sales Incentives and Discounts
Cash and Cash Equivalents	Cash and Cash Equivalents
Marketable Securities	Marketable Securities Management determines the appropriate classification of debt securities at the time of purchase and re-evaluates such designations as of each balance sheet date. Debt securities are classified as available-for-sale because the Company does not have the intent to hold the securities to maturity. Available-for-sale securities are stated at their fair values, with the unrealized gains and losses, net of taxes, reported as a separate component of stockholders’ equity. The cost of securities sold is based on the specific identification method. Realized gains and losses, declines in value judged to be other than temporary, interest and dividends on available-for-sale securities are included in interest income. Net realized (losses) gains on marketable securities totaled ($39,000) in 2016, $45,000 in 2015, and $57,000 in 2014. Of the total (losses) gains realized, reclassification from other comprehensive income totaled approximately ($39,000) in 2016, $45,000 in 2015, and $57,000 in 2014. Gross unrealized gains on marketable securities totaled $4,000 as of December 31, 2016 and $26,000 as of December 31, 2015. Gross unrealized losses on marketable securities totaled $53,000 as of December 31, 2016 and $29,000 as of December 31, 2015. The amortized cost basis, fair value and net unrealized loss of the available-for-sale securities are as follows: December 31, 2016 2015 Type of Securities Amortized Fair Net Amortized Fair Net (in thousands) Municipal Obligations $ 9,379 $ 9,330 $ (49 ) $ 30,996 $ 30,996 $ — Corporate Obligations — — — 3,961 3,958 (3 ) Total $ 9,379 $ 9,330 $ (49 ) $ 34,957 $ 34,954 $ (3 ) Municipal debt obligations consist primarily of municipal notes rated AA- or higher ranging in maturity from less than one year to over 10 years. Investments with remaining maturities of less than 12 months are considered to be current marketable securities. Investments with remaining maturities greater than 12 months are considered to be non-current marketable securities. The Company’s non-current marketable securities as of December 31, 2016 are scheduled to mature between 2018 and 2038.
Accounts Receivable	Accounts Receivable
Inventories	Inventories
Property, Plant and Equipment	Property, Plant and Equipment
Goodwill and Other Intangibles	Goodwill and Other Intangibles
Investments	Investments
Warranty Costs	Warranty Costs (in thousands) 2016 2015 Balance at beginning of year $ 3,405 $ 3,836 Less: Payments made during the year (2,856 ) (1,653 ) Add: Warranty provision for the current year 3,527 2,074 Changes to warranty provision for prior years 553 (852 ) Balance at end of year $ 4,629 $ 3,405
Insurance Accruals	Insurance Accruals
Research and Development Costs	Research and Development Costs
Repurchase Obligations	Repurchase Obligations
Income Taxes	Income Taxes
Stock-Based Compensation	Stock-Based Compensation
Earnings per Share	Earnings per Share Basic and diluted earnings per share are computed by dividing net income by the weighted average number of shares outstanding during the respective periods. In addition, the Company has periodically issued share-based payment awards that contain non-forfeitable rights to dividends and are therefore considered participating securities. Restricted shares of common stock (participating securities) outstanding and a reconciliation of weighted average shares outstanding is as follows: (In thousands) 2016 2015 2014 Net income available for stockholders $ 16,745 $ 14,306 $ 8,914 Less: Adjustments for earnings attributable to participating securities (535 ) (464 ) (283 ) Net income used in calculating earnings per share $ 16,210 $ 13,842 $ 8,631 Weighted average shares outstanding (including participating securities) 37,857 36,955 36,937 Adjustment for participating securities (1,224 ) (1,252 ) (1,246 ) Shares used in calculating basic earnings per share 36,633 35,703 35,691 Dilutive effect of stock based awards — 192 291 Shares used in calculating diluted earnings per share 36,633 35,895 35,982
Fair Value of Financial Instruments	Fair Value of Financial Instruments
Concentration of Suppliers	Concentration of Suppliers
Reclassification	Reclassification .
Recent Accounting Pronouncements	Recent Accounting Pronouncements During the year ended December 31, 2016, the FASB issued the following Accounting Standards Updates (ASUs): Recently Adopted Accounting Pronouncements: · Accounting Standards Update (ASU) No. 2015-16, Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments. The amendments eliminate the requirement to retrospectively account for adjustments made to provisional amounts recognized in a business combination. djustments to provisional amounts that are identified during the measurement period required to be recognized in the reporting period in which the adjustments are determined and calculated as if the accounting had been completed at the acquisition date and either disclosed on the face of the income statement or in the notes by each category. The Company adopted these provisions in the first quarter of 2016 and plans to apply the provisions for all future business combinations. T · ASU No. 2015-07, Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent). · ASU No. 2014-15, Presentation of Financial Statements —Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern. inancial statements are generally prepared under the presumption that the reporting organization will continue to operate as a going concern, except in limited circumstances. This ASU provides guidance on management’s responsibility to include footnote disclosures when there is substantial doubt about the organization’s ability to continue as a going concern. The Company adopted these provisions in the first quarter of 2016 and will provide such disclosures as required if there are conditions and events that raise substantial doubt about its ability to continue as a going concern. The Recently Issued Accounting Pronouncements Not Yet Adopted: To be adopted in 2017: · ASU No. 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory. Current requirements are to measure inventory at the lower of cost or market. Market could be replacement cost, net realizable value, or net realizable value less an approximated normal profit margin. These amendments allow inventory to be measured at lower of cost or net realizable value and eliminates the market requirement. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation The amendments do not apply to inventory that is measured using last-in, first-out or the retail inventory method. The amendments will be adopted in the first quarter of 2017 and applied prospectively. The Company · ASU No. 2016-07, Investments —Equity Method and Joint Ventures (Topic 323) Simplifying the Transition to the Equity Method of Accounting. The Company · ASU No. 2016-09, Compensation —Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. he amendments simplify several aspects of the accounting for share-based payment award transactions, The Company will adopt these provisions in the first quarter of 2017 and adoption of these provisions which may result in the following - The Company will continue to estimate expected forfeitures. · ASU No. 2016-17, Consolidation (Topic 810): Interests Held through Related Parties That are under Common Control. he Company does not expect the adoption to have a material impact on its consolidated financial statements. To be adopted in 2018: REVENUE RECOGNITION: The Financial Accounting Standards Board and International Accounting Standards Board issued their converged standard on revenue recognition in May 2014. The standard provides a comprehensive, industry-neutral revenue recognition model intended to increase financial statement comparability across companies and industries and significantly reduce the complexity inherent in today's revenue recognition guidance. The various ASUs related to Revenue from Contracts with Customers (Topic 606) · ASU No. 2014-09. · ASU No. 2015-14 deferred the effective date of ASU 2014-09 for all entities by one year to the first quarter of 2018 with early application permitted. · ASU No. 2016-08, Principal versus Agent Considerations (Reporting Revenue Gross versus Net). · ASU No. 2016-10, Identifying Performance Obligations and Licensing. The amendments clarify the earlier guidance on identifying performance obligations and licensing implementation. · ASU No. 2016-11, Rescission of SEC Guidance Because of ASUs 2014-09 and 2014-16 Pursuant to Staff Announcements at the March 3, 2016 EITF Meeting. This ASU rescinds certain SEC guidance related to issues that are currently codified under various topics. · ASU No. 2016-12, Narrow-Scope Improvements and Practical Expedients. The amendments provide clarifying guidance on certain aspects of the five step process and practical expedients regarding the effect of modifications and status of completed contracts under legacy GAAP and disclosures related to the application of this guidance using the modified retrospective or retrospective transition method. · ASU No. 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers. Current Status of implementation: The Company is currently analyzing the effect of the standard The Company plans to adopt the standard in the first quarter of 2018 using the modified retrospective method · ASU No. 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. · ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. The Company is currently evaluating the impact of adopting these provisions on its consolidated financial statements. · ASU No. 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory. · ASU No. 2016-18, Statement of Cash Flows (230): Restricted Cash. The Company is currently evaluating the impact of adopting these provisions on its consolidated financial statements. To be adopted in 2019 and later: · ASU No. 2016-02 —Leases (Topic 842). · ASU No. 2016-13, Financial Instruments —Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. he amendments require that credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration should be presented as an allowance rather than a write-down. It also allows recording of credit loss reversals in current period net income. The amendments are effective in the first quarter of 2020 with early application permitted a year earlier. The Company is currently evaluating the impact of adopting these provisions on its consolidated financial statements.

SIGNIFICANT ACCOUNTING POLICI21

SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Dec. 31, 2016
SIGNIFICANT ACCOUNTING POLICIES
Schedule of amortized cost basis, fair value and net unrealized gains on the available-for-sale securities	December 31, 2016 2015 Type of Securities Amortized Fair Net Amortized Fair Net (in thousands) Municipal Obligations $ 9,379 $ 9,330 $ (49 ) $ 30,996 $ 30,996 $ — Corporate Obligations — — — 3,961 3,958 (3 ) Total $ 9,379 $ 9,330 $ (49 ) $ 34,957 $ 34,954 $ (3 )
Schedule of analysis of warranty accruals	(in thousands) 2016 2015 Balance at beginning of year $ 3,405 $ 3,836 Less: Payments made during the year (2,856 ) (1,653 ) Add: Warranty provision for the current year 3,527 2,074 Changes to warranty provision for prior years 553 (852 ) Balance at end of year $ 4,629 $ 3,405
Schedule of reconciliation of weighted average shares outstanding	(In thousands) 2016 2015 2014 Net income available for stockholders $ 16,745 $ 14,306 $ 8,914 Less: Adjustments for earnings attributable to participating securities (535 ) (464 ) (283 ) Net income used in calculating earnings per share $ 16,210 $ 13,842 $ 8,631 Weighted average shares outstanding (including participating securities) 37,857 36,955 36,937 Adjustment for participating securities (1,224 ) (1,252 ) (1,246 ) Shares used in calculating basic earnings per share 36,633 35,703 35,691 Dilutive effect of stock based awards — 192 291 Shares used in calculating diluted earnings per share 36,633 35,895 35,982

ACCOUNTS RECEIVABLE (Tables)

ACCOUNTS RECEIVABLE (Tables)	12 Months Ended
	Dec. 31, 2016
ACCOUNTS RECEIVABLE
Schedule of accounts receivable	December 31, 2016 2015 (in thousands) Trade receivables $ 744 $ 557 Other 368 724 Total 1,112 1,281 Less: allowance for doubtful accounts (25 ) (25 ) Net accounts receivable $ 1,087 $ 1,256

INVENTORIES (Tables)

INVENTORIES (Tables)	12 Months Ended
	Dec. 31, 2016
INVENTORIES
Schedule of Inventory	December 31, 2016 2015 (in thousands) Raw materials $ 26,106 $ 17,058 Work in process 9,007 7,562 Finished goods 7,375 8,018 Total inventories $ 42,488 $ 32,638

PROPERTY, PLANT AND EQUIPMENT (

PROPERTY, PLANT AND EQUIPMENT (Tables)	12 Months Ended
	Dec. 31, 2016
PROPERTY, PLANT AND EQUIPMENT
Schedule of property, plant and equipment	December 31, Estimated 2016 2015 (in thousands) Land N/A $ 878 $ 657 Buildings 7-40 18,314 17,586 Operating equipment and property 3-15 10,070 10,843 Furniture and fixtures 5-7 1,535 2,141 Vehicles 5-10 6,007 6,697 Gross property, plant and equipment 36,804 37,924 Less: accumulated depreciation (23,470 ) (25,163 ) Net property, plant and equipment $ 13,334 $ 12,761

ACCRUED EXPENSES AND OTHER LI25

ACCRUED EXPENSES AND OTHER LIABILITIES (Tables)	12 Months Ended
	Dec. 31, 2016
ACCRUED EXPENSES AND OTHER LIABILITIES
Schedule of accrued expenses and other liabilities	December 31, 2016 2015 (in thousands) Accrued payroll and related expenses $ 2,381 $ 2,060 Accrued sales incentives and discounts 4,155 3,309 Accrued warranty costs 4,629 3,405 Deferred revenue 416 721 Other 658 622 Total accrued expenses and other liabilities $ 12,239 $ 10,117

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2016
INCOME TAXES
Schedule of components of the provision for income taxes	Years ended December 31, 2016 2015 2014 (in thousands) Current provision: Federal $ 7,263 $ 5,056 $ 4,275 State 261 300 143 Deferred (benefit) provision: Federal (507 ) 1,256 (762 ) State (355 ) 53 (43 ) Total income tax provision $ 6,662 $ 6,665 $ 3,613
Schedule of reconciliation between the federal statutory rate and Marine Products' effective tax rate	Years ended December 31, 2016 2015 2014 Federal statutory rate 35.0 % 35.0 % 35.0 % State income taxes, net of federal benefit 0.7 0.8 0.7 Research and experimentation credit (1.0 ) (1.1 ) (2.1 ) Tax-exempt interest (0.4 ) (0.4 ) (1.1 ) Tax-exempt gain on SERP assets (1.3 ) (0.1 ) (0.5 ) Manufacturing deduction (3.0 ) (2.5 ) (3.3 ) Change in valuation allowance (1.4 ) — — Other (0.1 ) — 0.1 Effective tax rate 28.5 % 31.7 % 28.8 %
Schedule of components of deferred tax assets and liabilities	December 31, 2016 2015 (in thousands) Deferred tax assets: Warranty costs $ 1,643 $ 1,209 Sales incentives and discounts 725 547 Stock-based compensation 1,015 1,061 Pension 1,993 2,300 Uniform capitalization 298 96 All others 489 418 State credits and NOL’s 5,129 4,967 Valuation allowance (4,525 ) (4,694 ) Total deferred tax assets 6,767 5,904 Deferred tax liabilities: Depreciation and amortization expense (1,103 ) (1,062 ) Basis differences in joint venture (386 ) (504 ) Net deferred tax assets $ 5,278 $ 4,338

ACCUMULATED OTHER COMPREHENSI27

ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables)	12 Months Ended
	Dec. 31, 2016
ACCUMULATED OTHER COMPREHENSIVE LOSS
Schedule of accumulated other comprehensive loss	Pension Unrealized Total (in thousands) Balance at December 31, 2014 $ (2,024 ) $ 55 $ (1,969 ) Change during 2015: Before-tax amount 119 (43 ) 76 Tax benefit (expense) (42 ) 15 (27 ) Reclassification adjustment, net of taxes Amortization of net loss 48 — 48 Net realized gain — (29 ) (29 ) Total activity in 2015 125 (57 ) 68 Balance at December 31, 2015 $ (1,899 ) $ (2 ) $ (1,901 ) Change during 2016: Before-tax amount (474 ) (83 ) (557 ) Tax benefit 168 29 197 Reclassification adjustment, net of taxes Amortization of net loss 54 54 Net realized loss — 25 25 Total activity in 2016 (252 ) (29 ) (281 ) Balance at December 31, 2016 $ (2,151 ) $ (31 ) $ (2,182 )

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	12 Months Ended
	Dec. 31, 2016
FAIR VALUE MEASUREMENTS
Schedule of the valuation of financial instruments measured at fair value on a recurring basis	Fair Value Measurements at December 31, 2016 with: (in thousands) Total Quoted prices in Significant Significant (Level 1) (Level 2) (Level 3) Assets: Available-for-sale securities: Municipal Obligations $ 9,330 $ — $ 9,330 $ — Corporate Obligations — — — — $ 9,330 $ — $ 9,330 $ — Investments measured at Net Asset Value-Trading securities $ 5,547 Fair Value Measurements at December 31, 2015 with: (in thousands) Total Quoted prices in Significant Significant (Level 1) (Level 2) (Level 3) Assets: Available-for-sale securities: Municipal Obligations $ 30,996 $ — $ 30,996 $ — Corporate Obligations 3,958 — 3,958 — $ 34,954 $ — $ 34,954 $ — Investments measured at Net Asset Value-Trading securities $ 6,491

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	12 Months Ended
	Dec. 31, 2016
COMMITMENTS AND CONTINGENCIES
Schedule of annual operating lease obligations with terms in excess of one year	(in thousands) 2017 $ 357 2018 348 2019 213 2020 1 2021 — Thereafter — Total rental commitments $ 919

EMPLOYEE BENEFIT PLANS (Tables)

EMPLOYEE BENEFIT PLANS (Tables)	12 Months Ended
	Dec. 31, 2016
EMPLOYEE BENEFIT PLANS
Schedule of funded status of the retirement income plan	December 31, 2016 2015 (in thousands) ACCUMULATED BENEFIT OBLIGATION, END OF YEAR $ 6,083 $ 5,703 CHANGE IN PROJECTED BENEFIT OBLIGATION: Benefit obligation at beginning of year $ 5,703 $ 6,355 Service cost — — Interest cost 274 259 Actuarial loss (gain) 342 (671 ) Benefits paid (236 ) (240 ) Projected benefit obligation at end of year $ 6,083 $ 5,703 CHANGE IN PLAN ASSETS: Fair value of plan assets at beginning of year $ 5,813 $ 6,014 Actual return on plan assets 275 (131 ) Employer contributions 180 170 Benefits paid (236 ) (240 ) Fair value of plan assets at end of year $ 6,032 $ 5,813 Funded status at end of year $ (51 ) $ 110 December 31, 2016 2015 (in thousands) AMOUNTS RECOGNIZED IN THE CONSOLIDATED BALANCE SHEETS CONSIST OF: Noncurrent assets $ — $ 110 Current liabilities — — Noncurrent liabilities (51 ) — $ (51 ) $ 110 December 31, 2016 2015 (in thousands) AMOUNTS (PRE-TAX) RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE LOSS CONSIST OF: Net loss $ 3,335 $ 2,944 Prior service cost (credit) — — Net transition obligation (asset) — — $ 3,335 $ 2,944
Schedule of amounts recorded in the consolidated balance sheet	December 31, 2016 2015 (in thousands) SERP liability $ (5,563 ) $ (6,590 ) Funded status of Retirement Income Plan (51 ) — Pension liabilities $ (5,614 ) $ (6,590 )
Schedule of net periodic benefit cost	Years ended December 31, 2016 2015 2014 (in thousands) Service cost for benefits earned during the period $ — $ — $ — Interest cost on projected benefit obligation 274 259 261 Expected return on plan assets (406 ) (421 ) (411 ) Amortization of net loss 84 76 37 $ (48 ) $ (86 ) $ (113 )
Schedule of amounts recognized in other comprehensive loss	(in thousands) 2016 2015 2014 Net loss (gain) $ 474 $ (119 ) $ 1,639 Amortization of net loss (84 ) (76 ) (37 ) Net transition obligation (asset) — — — Amount recognized in accumulated other comprehensive income $ 390 $ (195 ) $ 1,602
Schedule of components of net periodic benefit	(in thousands) 2017 Amortization of net loss $ 91 Prior service cost (credit) — Net transition obligation (asset) — Estimated net periodic cost $ 91
Schedule of weighted average assumptions	December 31, 2016 2015 2014 PROJECTED BENEFIT OBLIGATION: Discount rate 4.50 % 4.75 % 4.25 % Rate of compensation increase N/A N/A N/A NET BENEFIT COST: Discount rate 4.75 % 4.25 % 5.35 % Expected return on plan assets 7.00 % 7.00 % 7.00 % Rate of compensation increase N/A N/A N/A
Schedule of allocation of plan assets	Asset Category Target Percentage of Percentage of Cash and Cash Equivalents 0% - 5% 3.3 % 0.7 % Domestic Equity Securities 0% - 40% 25.5 27.6 International Equity Securities 0% - 40% 20.8 19.1 Fixed Income Securities 15% - 50% 25.3 25.8 Investments measured at net asset value 0% - 20% 25.1 26.8 Total 100.0% 100.0 % 100.0 %
Schedule of plan assets using the fair value hierarchy	Fair Value Hierarchy as of December 31, 2016: Investments (in thousands) Total Level 1 Level 2 Cash and Cash Equivalents (1 ) $ 200 $ 200 $ — Fixed Income Securities (2 ) 1,529 — 1,529 Domestic Equity Securities (3 ) 1,539 775 764 International Equity Securities (4 ) 1,252 — 1,252 Total Assets in the Fair Value Hierarchy $ 4,520 $ 975 $ 3,545 Investments measured at Net Asset Value 1,512 Investments at Fair Value $ 6,032 Fair Value Hierarchy as of December 31, 2015: Investments (in thousands) Total Level 1 Level 2 Cash and Cash Equivalents (1 ) $ 39 $ 39 $ — Fixed Income Securities (2 ) 1,501 — 1,501 Domestic Equity Securities (3 ) 1,602 804 799 International Equity Securities (4 ) 1,111 — 1,111 Total Assets in the Fair Value Hierarchy $ 4,253 $ 843 $ 3,411 Investments measured at Net Asset Value 1,560 Investments at Fair Value $ 5,813 (1) Cash and cash equivalents, which are used to pay benefits and plan administrative expenses, are held in Rule 2a-7 money market funds. (2) Fixed income securities are primarily valued using a market approach with inputs that include broker quotes, benchmark yields, base spreads and reported trades. (3) Domestic equity securities are valued using a market approach based on the quoted market prices of identical instruments in their respective markets. (4) International equity securities are valued using a market approach based on the quoted market prices of identical instruments in their respective markets.
Schedule of future benefits payable for the retirement income plan over the next ten years	(in thousands) 2017 $ 284 2018 292 2019 299 2020 293 2021 298 2022-2026 $ 1,596
Schedule of summary of the changes in non-vested restricted shares	Shares Weighted Average Non-vested shares at January 1, 2016 1,254,200 $ 6.80 Granted 371,950 5.77 Vested (422,533 ) 6.52 Forfeited (2,717 ) 6.21 Non-vested shares at December 31, 2016 1,200,900 $ 6.58 Shares Weighted Average Non-vested shares at January 1, 2015 1,251,400 $ 6.47 Granted 319,750 7.08 Vested (313,800 ) 5.77 Forfeited (3,150 ) 6.89 Non-vested shares at December 31, 2015 1,254,200 $ 6.80

SIGNIFICANT ACCOUNTING POLICI31

SIGNIFICANT ACCOUNTING POLICIES - Amortized cost basis, fair value and net unrealized gains of available-for-sale securities (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost Basis	$ 9,379	$ 34,957
Fair Value	9,330	34,954
Net Unrealized Loss	(49)	(3)
Municipal Obligations
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost Basis	9,379	30,996
Fair Value	9,330	30,996
Net Unrealized Loss	(49)
Corporate Obligations
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost Basis		3,961
Fair Value		3,958
Net Unrealized Loss		$ (3)

SIGNIFICANT ACCOUNTING POLICI32

SIGNIFICANT ACCOUNTING POLICIES - Analysis of warranty accruals (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward]
Balance at beginning of year	$ 3,405	$ 3,836
Less: Payments made during the year	(2,856)	(1,653)
Add: Warranty provision for the current year	3,527	2,074
Changes to warranty provision for prior years	553	(852)
Balance at end of year	$ 4,629	$ 3,405

SIGNIFICANT ACCOUNTING POLICI33

SIGNIFICANT ACCOUNTING POLICIES - Reconciliation of weighted average shares outstanding (Details) - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Earnings Per Share [Abstract]
Net income available for stockholders:	$ 16,745	$ 14,306	$ 8,914
Less: Adjustments for earnings attributable to participating securities	(535)	(464)	(283)
Net income used in calculating earnings per share	$ 16,210	$ 13,842	$ 8,631
Weighted average shares outstanding (including participating securities)	37,857	36,955	36,937
Adjustment for participating securities	(1,224)	(1,252)	(1,246)
Shares used in calculating basic earnings per share	36,633	35,703	35,691
Dilutive effect of stock based awards		192	291
Shares used in calculating diluted earnings per share	36,633	35,895	35,982

SIGNIFICANT ACCOUNTING POLICI34

SIGNIFICANT ACCOUNTING POLICIES (Detail Textuals) $ in Thousands	12 Months Ended
	Dec. 31, 2016USD ($)Segment	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)
Concentration Risk [Line Items]
Number of reportable segment | Segment	1
Net sales to all dealers	$ 241,330	$ 207,061	$ 171,050
Net Sales | International Dealer
Concentration Risk [Line Items]
Net sales to all dealers	$ 21,000	$ 22,000	$ 26,000
Net Sales | Customer Concentration Risk
Concentration Risk [Line Items]
Concentration risk, customer	No single dealer accounted for more than 10 percent of net sales	No single dealer accounted for more than 10 percent of net sales	No single dealer accounted for more than 10 percent of net sales
Concentration risk, benchmark description	more than 10 percent	more than 10 percent	more than 10 percent

SIGNIFICANT ACCOUNTING POLICI35

SIGNIFICANT ACCOUNTING POLICIES (Detail Textuals 1) - $ / shares	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
SIGNIFICANT ACCOUNTING POLICIES
Number of common stock share authorized to issue	74,000,000	74,000,000
Common stock, par value (in dollar per share)	$ 0.10	$ 0.10
Number of votes each common shareholders entitled to provide	one vote
Number of preferred stock share authorized to issue	1,000,000	1,000,000
Preferred stock, par value (in dollar per share)	$ 0.10	$ 0.10

SIGNIFICANT ACCOUNTING POLICI36

SIGNIFICANT ACCOUNTING POLICIES (Detail Textuals 2) - USD ($)	1 Months Ended	12 Months Ended
	Jan. 24, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Significant Accounting Policies [Line Items]
Prepaid expenses related to unamortized product brochure costs		$ 271,000	$ 282,000
Net realized (losses) gains on marketable securities		(39,000)	45,000	$ 57,000
Reclassification of net realized (losses) gains from other comprehensive income		(39,000)	45,000	57,000
Gross unrealized gains on marketable securities		4,000	26,000
Gross unrealized losses on marketable securities		53,000	29,000
Selling, general and administrative expenses
Significant Accounting Policies [Line Items]
Advertising expenses		$ 2,545,000	$ 2,480,000	$ 2,291,000
Subsequent Event | Dividend declared
Significant Accounting Policies [Line Items]
Amount of dividend payable in cash per share	$ 0.07
Dividends payable, date declared	Jan. 24, 2017
Dividend payable, date to be payable	Mar. 10, 2017
Dividends payable, date of record	Feb. 10, 2017

SIGNIFICANT ACCOUNTING POLICI37

SIGNIFICANT ACCOUNTING POLICIES (Detail Textuals 3)	12 Months Ended
	Dec. 31, 2016
Schedule of Available-for-sale Securities [Line Items]
Period of current marketable securities	less than 12 months
Period of non-current marketable securities	greater than 12 months
Maturity term of non-current marketable securities	between 2018 and 2038
Municipal debt obligations | AA- or higher
Schedule of Available-for-sale Securities [Line Items]
Period of maturity debt obligations	less than one year to over 10 years

SIGNIFICANT ACCOUNTING POLICI38

SIGNIFICANT ACCOUNTING POLICIES (Detail Textuals 4) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Significant Accounting Policies [Line Items]
Goodwill	$ 3,308,000	$ 3,308,000
Materials and workmanship extension period	up to a lifetime
Research and development costs	$ 858,000	$ 663,000	$ 743,000
Accounting change resulted in a beneficial adjustment in 2017	$ 552,000
Accounts Receivable
Significant Accounting Policies [Line Items]
Percentage of domestic shipments made pursuant to floor plan financing	70.00%

ACCOUNTS RECEIVABLE - Summary o

ACCOUNTS RECEIVABLE - Summary of accounts receivable (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Accounts receivable
Trade receivables	$ 744	$ 557
Other	368	724
Total	1,112	1,281
Less: allowance for doubtful accounts	(25)	(25)
Net accounts receivable	$ 1,087	$ 1,256

INVENTORIES - Summary of invent

INVENTORIES - Summary of inventories (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
INVENTORIES
Raw materials	$ 26,106	$ 17,058
Work in process	9,007	7,562
Finished goods	7,375	8,018
Total inventories	$ 42,488	$ 32,638

PROPERTY, PLANT AND EQUIPMENT -

PROPERTY, PLANT AND EQUIPMENT - Property, plant and equipment are presented at cost, net of accumulated depreciation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Property, Plant and Equipment [Line Items]
Gross property, plant and equipment	$ 36,804	$ 37,924
Less: accumulated depreciation	(23,470)	(25,163)
Net property, plant and equipment	13,334	12,761
Land
Property, Plant and Equipment [Line Items]
Gross property, plant and equipment	878	657
Buildings
Property, Plant and Equipment [Line Items]
Gross property, plant and equipment	$ 18,314	17,586
Buildings | Minimum
Property, Plant and Equipment [Line Items]
Estimated Useful Lives	7 years
Buildings | Maximum
Property, Plant and Equipment [Line Items]
Estimated Useful Lives	40 years
Operating equipment and property
Property, Plant and Equipment [Line Items]
Gross property, plant and equipment	$ 10,070	10,843
Operating equipment and property | Minimum
Property, Plant and Equipment [Line Items]
Estimated Useful Lives	3 years
Operating equipment and property | Maximum
Property, Plant and Equipment [Line Items]
Estimated Useful Lives	15 years
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Gross property, plant and equipment	$ 1,535	2,141
Furniture and fixtures | Minimum
Property, Plant and Equipment [Line Items]
Estimated Useful Lives	5 years
Furniture and fixtures | Maximum
Property, Plant and Equipment [Line Items]
Estimated Useful Lives	7 years
Vehicles
Property, Plant and Equipment [Line Items]
Gross property, plant and equipment	$ 6,007	$ 6,697
Vehicles | Minimum
Property, Plant and Equipment [Line Items]
Estimated Useful Lives	5 years
Vehicles | Maximum
Property, Plant and Equipment [Line Items]
Estimated Useful Lives	10 years

PROPERTY, PLANT AND EQUIPMENT42

PROPERTY, PLANT AND EQUIPMENT (Detail Textuals) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
PROPERTY, PLANT AND EQUIPMENT
Depreciation expense	$ 1,382	$ 1,013	$ 712

ACCRUED EXPENSES AND OTHER LI43

ACCRUED EXPENSES AND OTHER LIABILITIES - Summary of accrued expenses and other liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
ACCRUED EXPENSES AND OTHER LIABILITIES
Accrued payroll and related expenses	$ 2,381	$ 2,060
Accrued sales incentives and discounts	4,155	3,309
Accrued warranty costs	4,629	3,405
Deferred revenue	416	721
Other	658	622
Total accrued expenses and other liabilities	$ 12,239	$ 10,117

INCOME TAXES - Components of pr

INCOME TAXES - Components of provision for income taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Current provision:
Federal	$ 7,263	$ 5,056	$ 4,275
State	261	300	143
Deferred (benefit) provision:
Federal	(507)	1,256	(762)
State	(355)	53	(43)
Total income tax provision	$ 6,662	$ 6,665	$ 3,613

INCOME TAXES - Reconciliation b

INCOME TAXES - Reconciliation between the federal statutory rate and effective tax rate (Details)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
INCOME TAXES
Federal statutory rate	35.00%	35.00%	35.00%
State income taxes, net of federal benefit	0.70%	0.80%	0.70%
Research and experimentation credit	(1.00%)	(1.10%)	(2.10%)
Tax-exempt interest	(0.40%)	(0.40%)	(1.10%)
Tax-exempt gain on SERP assets	(1.30%)	(0.10%)	(0.50%)
Manufacturing deduction	(3.00%)	(2.50%)	(3.30%)
Change in valuation allowance	(1.40%)
Other	(0.10%)		0.10%
Effective tax rate	28.50%	31.70%	28.80%

INCOME TAXES - Significant comp

INCOME TAXES - Significant components of deferred tax assets and liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Deferred tax assets:
Warranty costs	$ 1,643	$ 1,209
Sales incentives and discounts	725	547
Stock-based compensation	1,015	1,061
Pension	1,993	2,300
Uniform capitalization	298	96
All others	489	418
State credits and NOL's	5,129	4,967
Valuation allowance	(4,525)	(4,694)
Total deferred tax assets	6,767	5,904
Deferred tax liabilities:
Depreciation and amortization expense	(1,103)	(1,062)
Basis differences in joint venture	(386)	(504)
Net deferred tax assets	$ 5,278	$ 4,338

INCOME TAXES (Detail Textuals)

INCOME TAXES (Detail Textuals) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Operating Loss Carryforwards [Line Items]
Valuation allowance	$ 4,525	$ 4,694
Total net income tax payments	6,546	5,797	$ 3,509
Unrecognized tax benefits	15	$ 15
State income taxes
Operating Loss Carryforwards [Line Items]
Net operating loss carry forwards related to state income taxes	15,500
Valuation allowance	4,500
Other state credits
Operating Loss Carryforwards [Line Items]
Net operating loss carry forwards related to state income taxes	$ 4,500

ACCUMULATED OTHER COMPREHENSI48

ACCUMULATED OTHER COMPREHENSIVE LOSS - Summary of accumulated other comprehensive (loss) income (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Accumulated Other Comprehensive Income Loss [Roll Forward]
Balance	$ (1,901)	$ (1,969)
Change during period:
Before-tax amount	(557)	76
Tax benefit (expense)	197	(27)
Reclassification adjustment, net of taxes
Amortization of net loss	54	48
Net realized gain (loss)	25	(29)
Total activity in period	(281)	68
Balance	(2,182)	(1,901)
Pension Adjustment
Accumulated Other Comprehensive Income Loss [Roll Forward]
Balance	(1,899)	(2,024)
Change during period:
Before-tax amount	(474)	119
Tax benefit (expense)	168	(42)
Reclassification adjustment, net of taxes
Amortization of net loss	54	48
Net realized gain (loss)
Total activity in period	(252)	125
Balance	(2,151)	(1,899)
Unrealized (Loss) gain on Securities
Accumulated Other Comprehensive Income Loss [Roll Forward]
Balance	(2)	55
Change during period:
Before-tax amount	(83)	(43)
Tax benefit (expense)	29	15
Reclassification adjustment, net of taxes
Amortization of net loss
Net realized gain (loss)	25	(29)
Total activity in period	(29)	(57)
Balance	$ (31)	$ (2)

FAIR VALUE MEASUREMENTS - Summa

FAIR VALUE MEASUREMENTS - Summary of valuation of financial instruments measured at fair value on recurring basis (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Available-for-sale securities
Total	$ 9,330	$ 34,954
Fair Value, Measurements, Recurring
Available-for-sale securities
Total	9,330	34,954
Investments measured at Net Asset Value-Trading securities	5,547	6,491
Fair Value, Measurements, Recurring | Municipal Obligations
Available-for-sale securities
Total	9,330	30,996
Fair Value, Measurements, Recurring | Corporate Obligations
Available-for-sale securities
Total		3,958
Fair Value, Measurements, Recurring | Quoted prices in active markets for identical assets, Level 1
Available-for-sale securities
Total
Fair Value, Measurements, Recurring | Quoted prices in active markets for identical assets, Level 1 | Municipal Obligations
Available-for-sale securities
Total
Fair Value, Measurements, Recurring | Quoted prices in active markets for identical assets, Level 1 | Corporate Obligations
Available-for-sale securities
Total
Fair Value, Measurements, Recurring | Significant other observable inputs, Level 2
Available-for-sale securities
Total	9,330	34,954
Fair Value, Measurements, Recurring | Significant other observable inputs, Level 2 | Municipal Obligations
Available-for-sale securities
Total	9,330	30,996
Fair Value, Measurements, Recurring | Significant other observable inputs, Level 2 | Corporate Obligations
Available-for-sale securities
Total		3,958
Fair Value, Measurements, Recurring | Significant unobservable inputs, Level 3
Available-for-sale securities
Total
Fair Value, Measurements, Recurring | Significant unobservable inputs, Level 3 | Municipal Obligations
Available-for-sale securities
Total
Fair Value, Measurements, Recurring | Significant unobservable inputs, Level 3 | Corporate Obligations
Available-for-sale securities
Total

COMMITMENTS AND CONTINGENCIES -

COMMITMENTS AND CONTINGENCIES - Minimum annual operating lease obligation (Details) $ in Thousands	Dec. 31, 2016USD ($)
COMMITMENTS AND CONTINGENCIES
2,017	$ 357
2,018	348
2,019	213
2,020	1
2,021
Thereafter
Total rental commitments	$ 919

COMMITMENTS AND CONTINGENCIES51

COMMITMENTS AND CONTINGENCIES (Detail Textuals) $ in Millions	12 Months Ended
	Dec. 31, 2016USD ($)
COMMITMENTS AND CONTINGENCIES
Repurchase limit in percentage of amount of average net receivables	16.00%
Maximum repurchase obligation for one lender	$ 9.8
Maximum repurchase obligation all additional lenders	6.9
Aggregate repurchase obligation	$ 16.7

COMMITMENTS AND CONTINGENCIES52

COMMITMENTS AND CONTINGENCIES (Detail Textuals 1)	12 Months Ended
	Dec. 31, 2016USD ($)Employee	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)
Commitments And Contingencies [Line Items]
Selling, general and administrative expenses	$ 27,415,000	$ 23,249,000	$ 20,665,000
Total rent expense charged to operations	352,000	135,000	118,000
Long-term deferred tax liabilities	$ 43,000	43,000
Employment agreement
Commitments And Contingencies [Line Items]
Number of employees | Employee	1
Monthly payment in percentage of profits	10.00%
Selling, general and administrative expenses	$ 4,202,000	$ 6,411,000	$ 4,225,000

EMPLOYEE BENEFIT PLANS - Funded

EMPLOYEE BENEFIT PLANS - Funded status of Retirement Income Plan (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
CHANGE IN PLAN ASSETS:
Funded status at end of year	$ (51)
Retirement Income Plan
Defined Benefit Plan Disclosure [Line Items]
ACCUMULATED BENEFIT OBLIGATION, END OF YEAR	6,083	5,703
CHANGE IN PROJECTED BENEFIT OBLIGATION:
Benefit obligation at beginning of year	5,703	6,355
Service cost
Interest cost	274	259	261
Actuarial loss (gain)	342	(671)
Benefits paid	(236)	(240)
Projected benefit obligation at end of year	6,083	5,703	6,355
CHANGE IN PLAN ASSETS:
Fair value of plan assets at beginning of year	5,813	6,014
Actual return on plan assets	275	(131)
Employer contributions	180	170
Benefits paid	(236)	(240)
Fair value of plan assets at end of year	6,032	5,813	6,014
Funded status at end of year	(51)	110
AMOUNTS RECOGNIZED IN THE CONSOLIDATED BALANCE SHEETS CONSIST OF:
Noncurrent assets		110
Current liabilities
Noncurrent liabilities	(51)
Amounts recognized in balance sheet, Total	(51)	110
AMOUNTS (PRE-TAX) RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE LOSS CONSIST OF:
Net loss	3,335	2,944
Prior service cost (credit)
Net transition obligation (asset)
Amounts recognized in other comprehensive income before tax, Total	$ 3,335	$ 2,944

EMPLOYEE BENEFIT PLANS - Amount

EMPLOYEE BENEFIT PLANS - Amounts recorded in consolidated balance sheet as pension liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
EMPLOYEE BENEFIT PLANS
SERP liability	$ (5,563)	$ (6,590)
Funded status of Retirement Income Plan	(51)
Pension liabilities	$ (5,614)	$ (6,590)

EMPLOYEE BENEFIT PLANS - Compon

EMPLOYEE BENEFIT PLANS - Components of net periodic benefit cost (Details) - Retirement Income Plan - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan Disclosure [Line Items]
Service cost for benefits earned during the period
Interest cost on projected benefit obligation	274	259	261
Expected return on plan assets	(406)	(421)	(411)
Amortization of net loss	84	76	37
Net periodic benefit, Total	$ (48)	$ (86)	$ (113)

EMPLOYEE BENEFIT PLANS - Pre-ta

EMPLOYEE BENEFIT PLANS - Pre-tax amounts recognized in other comprehensive income (Details) - Retirement Income Plan - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan Disclosure [Line Items]
Net loss (gain)	$ 474	$ (119)	$ 1,639
Amortization of net loss	(84)	(76)	(37)
Net transition obligation (asset)
Amount recognized in accumulated other comprehensive income	$ 390	$ (195)	$ 1,602

EMPLOYEE BENEFIT PLANS - Summar

EMPLOYEE BENEFIT PLANS - Summary of accumulated other comprehensive income expected to be recognized as components of net periodic benefit cost in 2017 (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2016USD ($)
EMPLOYEE BENEFIT PLANS
Amortization of net loss	$ 91
Prior service cost (credit)
Net transition obligation (asset)
Estimated net periodic cost	$ 91

EMPLOYEE BENEFIT PLANS - Projec

EMPLOYEE BENEFIT PLANS - Projected benefit obligation and net benefit cost (Details) - Retirement Income Plan	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
PROJECTED BENEFIT OBLIGATION:
Discount rate	4.50%	4.75%	4.25%
Rate of compensation increase
NET BENEFIT COST:
Discount rate	4.75%	4.25%	5.35%
Expected return on plan assets	7.00%	7.00%	7.00%
Rate of compensation increase

EMPLOYEE BENEFIT PLANS - Weight

EMPLOYEE BENEFIT PLANS - Weighted average asset allocation by asset category along with target allocation (Details) - Retirement Income Plan	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Defined Benefit Plan Disclosure [Line Items]
Percentage of plan assets	100.00%	100.00%
Target Allocation for 2017	100.00%
Cash and Cash Equivalents
Defined Benefit Plan Disclosure [Line Items]
Percentage of plan assets	3.30%	0.70%
Target Allocation for 2017, Minimum	0.00%
Target Allocation for 2017, Maximum	5.00%
Domestic Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Percentage of plan assets	25.50%	27.60%
Target Allocation for 2017, Minimum	0.00%
Target Allocation for 2017, Maximum	40.00%
International Equity Securities
Defined Benefit Plan Disclosure [Line Items]
Percentage of plan assets	20.80%	19.10%
Target Allocation for 2017, Minimum	0.00%
Target Allocation for 2017, Maximum	40.00%
Fixed Income Securities
Defined Benefit Plan Disclosure [Line Items]
Percentage of plan assets	25.30%	25.80%
Target Allocation for 2017, Minimum	15.00%
Target Allocation for 2017, Maximum	50.00%
Investments measured at net asset value
Defined Benefit Plan Disclosure [Line Items]
Percentage of plan assets	25.10%	26.80%
Target Allocation for 2017, Minimum	0.00%
Target Allocation for 2017, Maximum	20.00%

EMPLOYEE BENEFIT PLANS - Plan a

EMPLOYEE BENEFIT PLANS - Plan assets using fair value hierarchy (Details) - Retirement Income Plan - USD ($) $ in Thousands		Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy		$ 6,032	$ 5,813	$ 6,014
Total
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy		4,520	4,253
Investments measured at Net Asset Value		1,512	1,560
Investments at Fair Value		6,032	5,813
Level 1
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy		975	843
Level 2
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy		3,545	3,411
Cash and Cash Equivalents | Total
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy	[1]	200	39
Cash and Cash Equivalents | Level 1
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy	[1]	200	39
Cash and Cash Equivalents | Level 2
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy	[1]
Fixed Income Securities | Total
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy	[2]	1,529	1,501
Fixed Income Securities | Level 1
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy	[2]
Fixed Income Securities | Level 2
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy	[2]	1,529	1,501
Domestic Equity Securities | Total
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy	[3]	1,539	1,602
Domestic Equity Securities | Level 1
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy	[3]	775	804
Domestic Equity Securities | Level 2
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy	[3]	764	799
International Equity Securities | Total
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy	[4]	1,252	1,111
International Equity Securities | Level 1
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy	[4]
International Equity Securities | Level 2
Defined Benefit Plan Disclosure [Line Items]
Total Assets in the Fair Value Hierarchy	[4]	$ 1,252	$ 1,111
[1]	Cash and cash equivalents, which are used to pay benefits and plan administrative expenses, are held in Rule 2a-7 money market funds.
[2]	Fixed income securities are primarily valued using a market approach with inputs that include broker quotes, benchmark yields, base spreads and reported trades.
[3]	Domestic equity securities are valued using a market approach based on the quoted market prices of identical instruments in their respective markets.
[4]	International equity securities are valued using a market approach based on the quoted market prices of identical instruments in their respective markets.

EMPLOYEE BENEFIT PLANS - Estima

EMPLOYEE BENEFIT PLANS - Estimates that future benefits payable for Retirement Income Plan (Details) - Retirement Income Plan $ in Thousands	Dec. 31, 2016USD ($)
Defined Benefit Plan Disclosure [Line Items]
2,017	$ 284
2,018	292
2,019	299
2,020	293
2,021	298
2022-2026	$ 1,596

EMPLOYEE BENEFIT PLANS - Summ62

EMPLOYEE BENEFIT PLANS - Summary of changes in non-vested restricted shares (Details) - Restricted Stock - $ / shares	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Shares
Non-vested shares	1,254,200	1,251,400
Granted	371,950	319,750
Vested	(422,533)	(313,800)
Forfeited	(2,717)	(3,150)
Non-vested shares	1,200,900	1,254,200	1,251,400
Weighted Average Grant-Date Fair Value
Non-vested shares	$ 6.80	$ 6.47
Granted	5.77	7.08	$ 7.90
Vested	6.52	5.77
Forfeited	6.21	6.89
Non-vested shares	$ 6.58	$ 6.80	$ 6.47

EMPLOYEE BENEFIT PLANS (Detail

EMPLOYEE BENEFIT PLANS (Detail Textuals) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan Disclosure [Line Items]
Benefit obligation above (below) fair value of the plan assets	$ (51,000)
Executive officer death
Defined Benefit Plan Disclosure [Line Items]
Tax free gains from executive officer death	751,000
Proceeds from death insurance	556,000
Amount of Company-owned life insurance contract	1,900,000
Value of cash surrender value	1,400,000
Executive officer death | Key-man life insurance policy
Defined Benefit Plan Disclosure [Line Items]
Amount of Company-owned life insurance contract	195,000
Supplemental Executive Retirement Plan (SERP)
Defined Benefit Plan Disclosure [Line Items]
Variable life insurance policies investment amount	6,000,000	7,900,000
Fair value of plan assets	5,547,000	6,491,000
Trading gains (losses) related to the SERP assets	106,000	(84,000)	$ 187,000
Retirement Income Plan
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	6,032,000	5,813,000	6,014,000
Benefit obligation above (below) fair value of the plan assets	(51,000)	110,000
Employer contributions	180,000	170,000
Accumulated other comprehensive Income (loss), before tax	$ 390,000	$ (195,000)	$ 1,602,000
Percentage of investment for long term growth	70.00%
Percentage for near term benefit payments	30.00%
Employer contribution in fiscal year 2017	$ 200,000

EMPLOYEE BENEFIT PLANS (Detai64

EMPLOYEE BENEFIT PLANS (Detail Textuals 1) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan Disclosure [Line Items]
Maximum percentage of annual contribution per employee	25.00%
Percentage of employer matching contribution	50.00%
Threshold limit percentage of employee compensation	6.00%
Maximum period of vesting in contribution of employees	3 years
Employer matching contribution	$ 270,000	$ 250,000	$ 194,000
Stock Incentive Plan
Defined Benefit Plan Disclosure [Line Items]
Number of common stock authorized to issue stock awards and options	3,000,000
Period of stock options and restricted stock issued	10 years
Number of shares available for grants	2,250,300
Pre-tax stock-based employee compensation expense	$ 2,624,000	1,993,000	1,754,000
After tax stock-based employee compensation expense	1,692,000	$ 1,285,000	$ 1,131,000
Stock Incentive Plan | Executive officer death | Selling, general and administrative expenses
Defined Benefit Plan Disclosure [Line Items]
Officers' Compensation	$ 660,000

EMPLOYEE BENEFIT PLANS (Detai65

EMPLOYEE BENEFIT PLANS (Detail Textuals 2) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Tax benefits for compensation expense for restricted stock	$ 160,000	$ 256,000	$ 342,000
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Minimum threshold limit percentage of incentive stock option grants to owners	10.00%
Percentage of fair market value of the common stock	110.00%
Stock based compensation award, vesting period	5 years
Expiry period of the stock	10 years
Expiry period of the stock of the majority owners	5 years
Fair value of stock options method used	Black-Scholes option pricing model
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock based compensation award, vesting percentage	20.00%
Stock based compensation award, vesting period from date of grant	6 years
Weighted average grant date fair value (in dollars per share)	$ 5.77	$ 7.08	$ 7.90
Total fair value of shares vested	$ 2,686,000	$ 2,254,000	$ 2,295,000
Tax benefits for compensation expense for restricted stock	160,000	$ 256,000	$ 342,000
Unrecognized compensation cost related to non-vested restricted shares	$ 6,431,000
Period for recognition of compensation cost related to non-vested restricted shares	3.4 years

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Detail Textuals) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Related Party Transaction [Line Items]
Company's voting power held by a group	one vote
Investment in joint venture			$ 2,554,000
R Randall Rollins And Gary W Rollins
Related Party Transaction [Line Items]
Company's voting power held by a group	excess of fifty percent
RPC | Transition Support Services Agreement
Related Party Transaction [Line Items]
Aggregate service charges paid	$ 739,000	$ 753,000	$ 663,000
Receivable (payable) due from (to) related party	$ (60,000)	$ 11,000
255 RC, LLC | RPC
Related Party Transaction [Line Items]
Joint venture ownership interest percentage	50.00%
Operating lease agreement term	5 years
Investment in joint venture	$ 2,554,000
Rent and allocable fixed cost for corporate aircraft	$ 157,000

VALUATION AND QUALIFYING ACCO67

VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Allowance for doubtful accounts
Movement in Valuation Allowances and Reserves [Roll Forward]
Balance at Beginning of Period	$ 25	$ 25	$ 25
Charged to Costs and Expenses
Net (Write-Offs)/ Recoveries
Balance at End of Period	25	25	25
Deferred tax asset valuation allowance
Movement in Valuation Allowances and Reserves [Roll Forward]
Balance at Beginning of Period	4,694	4,401	4,359
Charged to Costs and Expenses		293	42
Net (Write-Offs)/ Recoveries	(169)
Balance at End of Period	$ 4,525	$ 4,694	$ 4,401