Uniroyal Global Engineered Products (UNIR) 10-Q 4 Aug 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jul. 03, 2016	Aug. 04, 2016
Ordinary Common Stock
Entity Common Stock, Shares Outstanding		17,218,814
Entity Registrant Name	UNIROYAL GLOBAL ENGINEERED PRODUCTS, INC.
Document Type	10-Q
Document Period End Date	Jul. 3, 2016
Trading Symbol	UNIR
Amendment Flag	false
Entity Central Index Key	1,172,706
Current Fiscal Year End Date	--01-03
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2
Common Class B
Entity Common Stock, Shares Outstanding		1,619,102

CONSOLIDATED BALANCE SHEETS (Un

CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($)	Jul. 03, 2016	Jan. 03, 2016
CURRENT ASSETS
Cash and cash equivalents	$ 1,469,603	$ 1,910,112
Accounts receivable, net	15,960,507	14,209,056
Inventories, net	18,184,287	17,527,728
Other current assets	2,239,099	2,891,007
Related party receivable	72,220	23,298
Total Current Assets	37,925,716	36,561,201
PROPERTY AND EQUIPMENT, NET	13,673,470	14,003,276
OTHER ASSETS
Intangible assets	3,290,435	3,534,936
Goodwill	1,079,175	1,079,175
Other long-term assets	3,352,230	3,095,414
Total Other Assets	7,721,840	7,709,525
TOTAL ASSETS	59,321,026	58,274,002
CURRENT LIABILITIES
Checks issued in excess of bank balance	659,422	322,307
Line of credit	17,051,351	16,577,279
Current maturities of long-term debt	739,479	639,018
Current maturities of capital lease obligations	413,433	489,978
Accounts payable	8,583,822	7,592,510
Accrued expenses	4,255,277	3,941,296
Related party obligation	369,311	276,880
Current portion of postretirement benefit liability - health and life	136,725	136,725
Total Current Liabilities	32,208,820	29,975,993
LONG-TERM LIABILITIES
Long-term debt, less current portion	2,107,035	2,134,243
Capital lease obligations, less current portion	1,109,857	1,469,317
Related party lease financing obligations	2,164,345	2,164,682
Long-term debt to related parties	3,010,664	4,449,243
Postretirement benefit liability - health and life, less current portion	2,839,102	2,836,638
Other long-term liabilities	928,903	975,781
Total Long-Term Liabilities	12,159,906	14,029,904
Total Liabilities	44,368,726	44,005,897
STOCKHOLDERS' EQUITY
Preferred units, Series A UEP Holdings, LLC, 200,000 units issued and outstanding ($100 issue price)	617,571	617,571
Preferred units, Series B UEP Holdings, LLC, 150,000 units issued and outstanding ($100 issue price)	463,179	463,179
Preferred stock, Engineered Products Acquisition Limited, 50 shares issued and outstanding ($1.51 stated value)	75	75
Common stock, 95,000,000 shares authorized ($.001 par value) 18,837,916 and 18,890,909 shares issued and outstanding as of July 3, 2016 and January 3, 2016, respectively	18,839	18,892
Additional paid-in capital	34,813,855	34,823,886
Accumulated deficit	(20,058,649)	(21,674,478)
Accumulated other comprehensive income	(902,570)	18,980
Total Stockholders' Equity	14,952,300	14,268,105
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 59,321,026	$ 58,274,002

CONSOLIDATED BALANCE SHEETS PAR

CONSOLIDATED BALANCE SHEETS PARENTHETICALS - $ / shares	Jul. 03, 2016	Jan. 03, 2016
Parentheticals
Series A UEP Holdings LLC par value	$ 100	$ 100
Series A UEP Holdings LLC shares issued	200,000	200,000
Series A UEP Holdings LLC shares outstanding	200,000	200,000
Series B UEP Holdings LLC par value	$ 100	$ 100
Series B UEP Holdings LLC shares issued	150,000	150,000
Series B UEP Holdings LLC shares outstanding	150,000	150,000
Preferred Stock,Engineered Products Acquisition limited shares Par value	$ 1.51	$ 1.51
Preferred Stock,Engineered Products Acquisition limited shares issued	50	50
Preferred Stock,Engineered Products Acquisition limited shares outstanding	50	50
Common Stock, par value	$ 0.001	$ 0.001
Common Stock, shares authorized	95,000,000	95,000,000
Common Stock, shares issued	18,837,916	18,890,909
Common Stock, shares outstanding	18,837,916	18,890,909

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Revenues:
NET SALES	$ 27,333,869	$ 25,746,054	$ 52,301,464	$ 53,260,989
COST OF GOODS SOLD	20,674,715	19,890,099	39,915,850	42,049,971
Gross Profit	6,659,154	5,855,955	12,385,614	11,211,018
OPERATING EXPENSES:
Selling	1,390,339	1,469,369	2,772,982	2,797,295
General and administrative	2,179,088	1,702,545	4,220,922	3,658,321
Research and development	475,313	418,964	903,842	744,794
OPERATING EXPENSES	4,044,740	3,590,878	7,897,746	7,200,410
Operating Income	2,614,414	2,265,077	4,487,868	4,010,608
OTHER INCOME (EXPENSE):
Interest and other debt related expense	(421,225)	(405,349)	(838,413)	(792,766)
Other income (expense)	(88,564)	(5,343)	(262,060)	(172,704)
Net Other Expense	(509,789)	(400,006)	(1,100,473)	(620,062)
INCOME BEFORE TAX PROVISION	2,104,625	1,865,071	3,387,395	3,390,546
TAX PROVISION	198,134	209,362	327,900	324,180
NET INCOME	1,906,491	1,655,709	3,059,495	3,066,366
Preferred stock dividend	724,765	696,769	1,443,666	1,389,874
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS	$ 1,181,726	$ 958,940	$ 1,615,829	$ 1,676,492
EARNINGS PER COMMON SHARE:
Basic	$ 0.06	$ 0.07	$ 0.09	$ 0.12
Diluted	$ 0.06	$ 0.05	$ 0.09	$ 0.09
WEIGHTED AVERAGE SHARES OUTSTANDING:
Basic	18,838,608	14,351,797	18,851,014	14,351,684
Diluted	18,893,949	19,108,630	18,906,355	19,108,517

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
COMPREHENSIVE INCOME
NET INCOME	$ 1,906,491	$ 1,655,709	$ 3,059,495	$ 3,066,366
OTHER COMPREHENSIVE INCOME (LOSS):
Minimum benefit liability adjustment	(1,173)	(45,230)	(2,346)	(90,459)
Foreign currency translation adjustment	(633,195)	398,149	(919,204)	38,933
OTHER COMPREHENSIVE LOSS	(634,368)	352,919	(921,550)	(51,526)
COMPREHENSIVE INCOME	1,272,123	2,008,628	2,137,945	3,014,840
Preferred stock dividend	(724,765)	(696,769)	(1,443,666)	(1,389,874)
COMPREHENSIVE INCOME TO COMMON SHAREHOLDERS	$ 547,358	$ 1,311,859	$ 694,279	$ 1,624,966

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) - 6 months ended Jul. 03, 2016 - USD ($)	UEPH Series A Units	UEPH Series A Amount	UEPH Series B Units	UEPH Series B Amount	EPAL Preferred Shares	EPAL Preferred Amount	Common Stock Shares	Common Stock Amount	Additional Paid-In Capital	Accumulated Deficit	Accumulated Other Comprehensive Income	Total Equity
Balance at Jan. 03, 2016	200,000	617,571	150,000	463,179	50	75	18,890,909	18,892	34,823,886	(21,674,478)	18,980	14,268,105
Net Income		$ 0		$ 0		$ 0		$ 0	$ 0	$ 3,059,495	$ 0	$ 3,059,495
Other comprehensive loss		0		0		0		0	0	0	(921,550)	(921,550)
Preferred stock dividend		$ 0		$ 0		$ 0		$ 0	$ 0	$ (1,443,666)	$ 0	$ (1,443,666)
Purchase treasury shares at cost	0	0	0	0	0	0	(52,993)	(53)	(175,596)	0	0	(175,649)
Stock-based compensation expense		$ 0		$ 0		$ 0		$ 0	$ 165,565	$ 0	$ 0	$ 165,565
Balance at Jul. 03, 2016	200,000	617,571	150,000	463,179	50	75	18,837,916	18,839	34,813,855	(20,058,649)	(902,570)	14,952,300

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 3,059,495	$ 3,066,366
Adjustments to reconcile net income to net cash flows from operating activities:
Depreciation	860,977	745,660
Stock-based compensation expense	165,565	0
Amortization of intangible assets	10,002	10,002
Loss on disposal of property and equipment	2,744	15,374
Noncash post-employment health and life benefit	(2,346)	(49,190)
Changes in assets and liabilities:
Accounts receivable	(2,820,250)	(1,198,439)
Inventories	(1,471,097)	(1,700,436)
Other current assets	540,611	142,399
Related party receivable/payable	(48,921)	35,564
Other long-term assets	(86,992)	(31,708)
Accounts payable	1,571,067	713,984
Accrued expenses	311,406	419,850
Post-retirement benefit liability - health and life	2,463	(52,117)
Other long-term liabilities	53,691	(64,667)
Cash Flows provided by Operating Activities	2,148,415	2,052,642
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures	(698,485)	(2,264,541)
Net payments on life insurance policies	(176,377)	(157,107)
Cash Flows used in Investing Activities	(874,862)	(2,421,648)
CASH FLOWS FROM FINANCING ACTIVITIES
Checks issued in excess of bank balance	337,115	61,060
Net advances (reductions) on line of credit	1,085,914	831,585
Payments on long-term debt	(165,390)	(61,805)
Proceeds from issuance of long-term debt and capital lease obligations	0	2,144,813
Payments on capital lease obligations	(249,336)	(136,442)
Payment of related party obligation	(1,303,504)	0
Payment of preferred stock dividends	(1,174,463)	(1,106,892)
Purchase of treasury stock	(175,649)	0
Cash Flows (used in) provided by Financing Activities	(1,645,313)	1,732,319
Net Change in Cash and Cash Equivalents	(371,760)	1,363,313
Cash and Cash Equivalents - Beginning of Period	1,910,112	604,234
Effects of currency translation on cash and cash equivalents	(68,749)	23,509
CASH AND CASH EQUIVALENTS - END OF PERIOD	$ 1,469,603	$ 1,991,056

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jul. 03, 2016
Basis of Presentation
Basis of Presentation	1. Basis of Presentation The accompanying unaudited interim consolidated financial statements have been prepared based upon U.S. Securities and Exchange Commission rules that permit reduced disclosure for interim periods. Therefore, they do not include all information and footnote disclosures necessary for a complete presentation of Uniroyal Global Engineered Products, Inc.’s financial position, results of operations and cash flows, in conformity with generally accepted accounting principles. Uniroyal Global Engineered Products, Inc. (the “Company,” “Uniroyal Global,” “we,” or “us”) filed audited consolidated financial statements as of and for the fiscal years ended January 3, 2016 and December 28, 2014 which included all information and notes necessary for such complete presentation in conjunction with its 2015 Annual Report on Form 10-K. The results of operations for the interim period ended July 3, 2016 are not necessarily indicative of the results to be expected for any future period or the entire fiscal year. These interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the year ended January 3, 2016, which are contained in the Company’s 2015 Annual Report on Form 10-K. The Company and its subsidiaries have adopted a 52/53-week fiscal year ending on the Sunday nearest to December 31. The current year ending January 1, 2017 is a 52-week year whereas the year ended January 3, 2016 was a 53-week year. The accompanying unaudited interim consolidated financial statements contain all adjustments (consisting of normal recurring items) which are, in the opinion of management, necessary for a fair statement of the Company’s financial position as of July 3, 2016, and the results of operations, comprehensive income and cash flows for the interim periods ended July 3, 2016 and July 5, 2015. The unaudited interim consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. The Company uses the US dollar as the reporting currency for financial reporting. The financial position and results of operations of the Company’s UK-based operations are measured using the British Pound Sterling as the functional currency. Foreign currency translation gains and losses are recorded as a change in other comprehensive income. Transaction gains and losses generated from the remeasurement of assets and liabilities denominated in currencies other than the functional currency of our foreign operations are included in other (expense) / income on the consolidated statements of comprehensive income.

Noncash Transactions and Supple

Noncash Transactions and Supplemental Disclosure of Cash Flow Information	6 Months Ended
	Jul. 03, 2016
Noncash Transactions and Supplemental Disclosure of Cash Flow Information:
Noncash Transactions and Supplemental Disclosure of Cash Flow Information	2. Noncash Transactions and Supplemental Disclosure of Cash Flow Information During the six months ended July 3, 2016 and July 5, 2015, the Company paid down its term loans using available borrowings on its various lines of credit of $230,189 and $248,336, respectively. During the six months ended July 3, 2016 and July 5, 2015, the Company entered into new equipment financing arrangements with a value of $595,740 and $172,367, respectively. The fair value was added to property and equipment and a corresponding amount to long-term debt or capital lease obligations. Supplemental disclosure of cash paid for : July 3, 2016 July 5, 2015 Interest $ 876,055 $ 774,122

Derivatives

Derivatives	6 Months Ended
	Jul. 03, 2016
Derivatives:
Derivatives	3. Derivatives The Company recognizes all of its derivative instruments as either assets or liabilities in the balance sheet at fair value. The accounting for changes in the fair value of a derivative instrument depends on whether it has been designated and qualifies as part of a hedging relationship and further, whether the hedge is a cash flow hedge or a fair value hedge. The Company incurs foreign currency risk on sales and purchases denominated in other currencies, primarily the British Pound Sterling and the Euro. Foreign currency exchange contracts are used by the Company principally to limit the exchange rate fluctuations of the Euro. The Euro risk is partially limited due to natural cash flow offsets. Currency exchange contracts are purchased for approximately 25% of the net risk. These contracts are not designated as cash flow hedges for accounting purposes. Changes in fair value of these contracts are reported in net earnings as part of other income and expense.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jul. 03, 2016
Fair Value of Financial Instruments:
Fair Value of Financial Instruments	4. Fair Value of Financial Instruments The Company’s short term financial instruments consist of cash and cash equivalents, receivables, accounts payable and the line of credit. The Company adjusts the carrying value of financial assets and liabilities denominated in other currencies such as cash, receivables, accounts payable and the lines of credit using the appropriate exchange rates at the balance sheet date. The Company believes that the carrying values of these short term financial instruments approximate their estimated fair values. The fair value of the Company’s long term debt is estimated based on current rates for similar instruments with the same remaining maturities. In determining the current interest rates for similar instruments the Company takes into account its risk of nonperformance. The Company believes that the carrying value of its long term debt approximates its estimated fair value. The Company uses foreign currency exchange contracts which are recorded at their estimated fair values in the accompanying consolidated balance sheets. The fair values of the currency exchange contracts are based upon observable market transactions of spot and forward rates. For the six months ended July 3, 2016, there have been no changes in the application of valuation methods applied to similar assets and liabilities for the prior period.

Foreign Currency Translation

Foreign Currency Translation	6 Months Ended
	Jul. 03, 2016
Foreign Currency Translation:
Foreign Currency Translation	5. Foreign Currency Translation The financial position and results of operations of the Company’s foreign subsidiaries are measured using the local currency as the functional currency. Assets and liabilities of operations denominated in foreign currencies are translated into U.S. dollars at exchange rates in effect at the balance sheet date, while revenues and expenses are translated at the weighted average exchange rates during the year. The resulting translation gains and losses on assets and liabilities are recorded in accumulated other comprehensive income (loss), and are excluded from net income until realized through a sale or liquidation of the investment.

Inventory

Inventory	6 Months Ended
	Jul. 03, 2016
Inventory:
Inventory	6. Inventory Inventories consist of the following: July 3, 2016 January 3, 2016 Raw materials $ 5,534,005 $ 5,066,589 Work-in-process 4,470,845 4,293,892 Finished goods 9,429,325 9,348,495 19,434,175 18,708,976 Less: Allowance for inventory obsolescence (1,249,888 ) (1,181,248 ) Total Inventories $ 18,184,287 $ 17,527,728

Other Current Assets

Other Current Assets	6 Months Ended
	Jul. 03, 2016
Other Current Assets:
Other Current Assets	7. Other Current Assets Other current assets consist of the following: July 3, 2016 January 3, 2016 Current deferred tax asset, net of valuation allowance $ 1,630,783 $ 1,872,417 Other 608,316 1,018,590 Total Other Current Assets $ 2,239,099 $ 2,891,007

Other Long-term Assets

Other Long-term Assets	6 Months Ended
	Jul. 03, 2016
Other Long-term Assets:
Other Long-term Assets	8. Other Long-term Assets Other long-term assets consist of the following: July 3, 2016 January 3, 2016 Non-current deferred tax asset, net of valuation allowance $ 2,509,000 $ 2,509,000 Other 843,230 586,414 Total Other Long-term Assets $ 3,352,230 $ 3,095,414

Other Long-term Liabilities

Other Long-term Liabilities	6 Months Ended
	Jul. 03, 2016
Other Long-term Liabilities:
Other Long-term Liabilities	9. Other Long-term Liabilities Other long-term liabilities consist of the following: July 3, 2016 January 3, 2016 Non-current deferred tax liability $ 884,486 $ 909,376 Other 44,417 66,405 Total Other Long-term Liabilities $ 928,903 $ 975,781

Line of Credit

Line of Credit	6 Months Ended
	Jul. 03, 2016
Line of Credit:
Line of Credit	10. Line of Credit The Company’s Uniroyal subsidiary has available a $30,000,000 revolving line of credit financing agreement with Wells Fargo Capital Finance, LLC, which matures on October 17, 2019. Interest is payable monthly at the Eurodollar rate plus 2.25% or Wells Fargo Capital Finance, LLC's prime rate at the Company's election on outstanding balances up to $6,000,000 and prime rate on amounts in excess of $6,000,000. The outstanding balance on the line of credit (“Uniroyal Line of Credit”) was $9,731,047 and $8,768,140 as of July 3, 2016 and January 3, 2016, respectively. The Company has classified the outstanding balance on this line of credit within current liabilities in the accompanying consolidated balance sheets. The Company’s Wardle Storeys subsidiary has available a £8,500,000 (approximately $12.2 million) revolving line of credit financing agreement with Lloyds Bank Commercial Finance Limited, which agreement can be terminated on six months’ notice by either party. The line has several tranches based on currency or underlying security. Interest is payable monthly at the base rate (UK LIBOR) plus 1.95% to 2.45% depending on the tranche. The outstanding balance on the line of credit (“Wardle Storeys Line of Credit”) was £5,511,103 and £5,264,550 ($7,320,304 and $7,809,139) as of July 3, 2016 and January 3, 2016, respectively. The Company has classified the outstanding balance on this line of credit within current liabilities in the accompanying consolidated balance sheets.

Long-Term Debt

Long-Term Debt	6 Months Ended
	Jul. 03, 2016
Long-Term Debt
Long-Term Debt	11. Long-term Debt Long-term debt consists of the following: Interest Rate July 3, 2016 January 3, 2016 Wells Fargo Capital Finance LLC Prime $ 1,213,552 $ 1,386,917 Lloyds Bank Commercial Finance Limited LIBOR + 3.15% 233,334 319,413 Kennet Equipment Leasing 10.9% 929,387 721,354 Balboa Capital Corporation 5.72% 280,348 345,577 De Lage Landen Financial Services 7.35% 131,293 — Byline Financial Group 8.56% 58,600 — 2,846,514 2,733,261 Current portion (739,479 ) (639,018 ) $ 2,107,035 $ 2,134,243 In June 2015, the Company signed a pre-lease agreement with Kennet Equipment Leasing Limited (“Kennet”) whereby Kennet advanced funds in various tranches to finance the purchase, refurbishing and installation of certain equipment used in its UK manufacturing facility. The total financing obligation was £828,000, or approximately $1.23 million. Monthly payments are £16,636 ($24,677) over a 61-month period at 10.9% interest. At July 3, 2016, the total amount less payments made is recorded as a financing obligation and a corresponding amount included in property and equipment in the accompanying Consolidated Balance Sheets.

Related Party Obligations

Related Party Obligations	6 Months Ended
	Jul. 03, 2016
Related Party Obligations:
Related Party Obligations	12. Related Party Obligations Long-term debt to related parties consists of the following: Interest Rate July 3, 2016 January 3, 2016 Senior subordinated promissory note 9.25% $ 2,000,000 $ 2,000,000 Secured promissory note 6.25% — 1,254,822 Senior secured promissory note 10.00% 1,378,178 1,470,057 3,378,178 4,724,879 Current portion (367,514 ) (275,636 ) $ 3,010,664 $ 4,449,243 On May 27, 2016, the Company amended its secured promissory note related to the Wardle Storeys acquisition to change the maturity date from December 31, 2023 to May 31, 2016, effective on that date. The principal of the note in the amount of €1,152,585 or $1,285,593 and accrued interest were paid on May 31, 2016. The Company has a lease financing obligation under which it leases its main manufacturing facility and certain other property from a related party lessor entity, accrues interest at 18.20% and requires monthly principal and interest payments of $31,800, which are adjusted annually based on the consumer price index. The lease financing obligation matures on October 31, 2033. The Company has security deposits aggregating $267,500 held by the lessor entity. For the years 2014 through 2016 the amount of interest owed exceeds the amount of payments made, resulting in a net increase to the outstanding principal balance of the lease financing obligation. This obligation is shown in the accompanying Consolidated Balance Sheets as Related Party Lease Financing Obligation which consists of the following: July 3, 2016 January 3, 2016 Related party lease financing obligation $ 2,166,142 $ 2,165,926 Less: current portion (1,797 ) (1,244 ) Long-term Portion $ 2,164,345 $ 2,164,682

Capital Leases

Capital Leases	6 Months Ended
	Jul. 03, 2016
Capital Leases:
Capital Leases	13. Capital Leases The Company has several capital leases on equipment which expire from July 3, 2016 through January 2021 with monthly lease payments ranging from approximately $1,119 to $31,120 per month. The capital lease obligations are secured by the related equipment. As of July 3, 2016 and January 3, 2016, assets recorded under capital leases are included in property and equipment in the accompanying balance sheets. Amortization of items under capital lease obligations has been included with depreciation expense on owned property and equipment in the accompanying statements of operations. Interest rates on these obligations range from 3.84% to 19.15%. Capital lease obligations consist of the following: July 3, 2016 January 3, 2016 Capital lease obligation $ 1,523,290 $ 1,959,295 Less: current portion (413,433) (489,978) Long-term Portion $ 1,109,857 $ 1,469,317

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income	6 Months Ended
	Jul. 03, 2016
Accumulated Other Comprehensive Income:
Accumulated Other Comprehensive Income	14. Accumulated Other Comprehensive Income The changes in accumulated other comprehensive income (loss) were as follows: Minimum Benefit Liability Adjustments Foreign Currency Translation Adjustment Total Balance at January 3, 2016 $ 310,282 $ (291,302 ) $ 18,980 Other comprehensive losses before reclassifications (2,346 ) (919,204 ) (921,550 ) Balance at July 3, 2016 $ 307,936 $ (1,210,506 ) $ (902,570 ) The gain (loss) reclassified from accumulated other comprehensive income (loss) into income is recorded to the following income statement line items: Other Comprehensive Income Component Income Statement Line Item Minimum Benefit Liability Adjustments General and administrative expense

Stock Option Plan

Stock Option Plan	6 Months Ended
	Jul. 03, 2016
Stock Option Plan:
Stock Option Plan	15. Stock Option Plan On June 25, 2015, the Company’s stockholders approved the adoption of the 2015 Stock Option Plan. This plan provides for the granting of options to purchase the Company’s common stock to employees and directors. The options granted are subject to a vesting schedule as set forth in each individual option agreement. Each option expires on the tenth anniversary of its date of grant unless an earlier termination date is provided in the grant agreement. The maximum aggregate number of shares of common stock that may be optioned and sold under the plan shall be 6% of the shares outstanding on the date of grant. The shares that may be optioned under the plan may be authorized but unissued or may be treasury shares. On July 30, 2015, the Company’s the Board of Directors approved the granting of options to purchase 665,000 shares of the Company’s common stock to certain key employees and Company directors. The exercise price was $2.37 per share. The options will vest in three annual installments beginning on July 30, 2016. All options will expire on July 30, 2025. On April 7, 2016, the Company’s Board of Directors approved the granting of options to purchase 360,250 shares of the Company’s common stock to certain key employees and Company directors. The exercise price was $3.57 per share. The options will vest in three annual installments beginning April 7, 2017. All options will expire on April 7, 2026. Compensation expense is recognized on a straight-line basis over a three-year vesting period from date of grant. The Company utilizes the Black-Scholes option pricing model to estimate the fair value of its option awards. The following table summarizes the significant assumptions used in the model for the grants: April 7, 2016 July 30, 2015 Exercise price $ 3.57 $ 2.37 Expected volatility 45 % 45 % Risk free interest rate 1.30 % 1.82 % Expected term 6 years 6 years Expected dividends 0 % 0 % We based the expected volatility on comparable companies’ volatility because we determined that this was more reflective and a better indicator of the Company’s expected volatility than our historical volatility. The historical stock price and volatility prior to the November 10, 2014 acquisition were based on revenues and operations that were significantly different from the current business activities. On a quarterly basis, we assess changes to our estimate of expected option award forfeitures based on our review of recent forfeiture activity and expected future employee turnover. We recognize the effect of adjustments made to the forfeiture rates, if any, in the period that we change the forfeiture estimate. For the six months ended July 3, 2016 there were no forfeiture rate adjustments and future adjustments are not expected to be significant. Stock option activity for the six months ended July 3, 2016 is as follows: Stock Options Weighted Aggregate Average Intrinsic Shares Price Value Outstanding at January 3, 2016 665,000 $ 2.37 $ 1,250,200 Granted - April 7, 2016 360,250 3.57 244,970 Outstanding at July 3, 2016 1,025,250 $ 2.79 $ 1,495,170 Exercisable at July 3, 2016 — Option expense recognized was $106,424 and $165,565 for the three months and six months ended July 3, 2016, respectively. There were no option plans outstanding during the six months ended July 5, 2015 and therefore no expense was recognized during the six months ended July 5, 2015. As of July 3, 2016, there was $1,012,960 in unrecognized compensation cost related to the options granted under the 2015 Stock Option Plan. We expect to recognize those costs over the remaining vesting term of 33 months.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	6 Months Ended
	Jul. 03, 2016
Recent Accounting Pronouncements:
Recent Accounting Pronouncements	16. Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board issued a new standard ASU No. 2014-09, “Revenue from Contracts with Customers.” Under ASU 2014-09 and its subsequent amendments, recognition of revenue occurs when a customer obtains control of promised goods or services in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The new standard will be effective for the Company January 1, 2018. The Company is in the process of determining what impact, if any, the adoption of this ASU will have on its financial position, results of operations and cash flows. On February 18, 2015, the Financial Accounting Standards Board issued a new standard ASU No. 2015-02, “Consolidation (Topic 810): Amendments to the Consolidation Analysis.” The new standard affects reporting entities that are required to evaluate whether they should consolidate certain legal entities. It was effective for the Company on January 4, 2016. The Company does not expect this new standard to have a material effect on its financial statements. On July 22, 2015, the Financial Accounting Standards Board issued a new standard ASU No. 2015-11, “Simplifying the Measurement of Inventory”. The new standard requires entities to measure most inventory at the lower of cost and net realizable value, which is a change from the current guidance under which an entity must measure inventory at the lower of cost or market with market defined as replacement cost, net realizable value or net realizable value less a normal profit margin. The ASU will not apply to inventories that are measured by using either the last-in, first-out (LIFO) method or the retail inventory method. It will be effective for the Company on January 2, 2017. The Company is in the process of determining what impact, if any, the adoption of this ASU will have on its financial position, results of operations and cash flows. On November 20, 2015, the Financial Accounting Standards Board issued a new standard ASU No. 2015-17, “Income Taxes - Balance Sheet Classification of Deferred Taxes”. Under the new guidance deferred tax liabilities and assets will be classified as noncurrent in a classified statement of financial position. It will be effective for the Company on January 2, 2017. The Company does not expect the adoption of this ASU to have a significant effect on the results of operations and cash flows. The adoption will result in the recognition of all current deferred tax assets as non-current. The balance of current deferred tax asset is $1,630,783 at July 3, 2016 and $1,872,417 at January 3, 2016. On February 25, 2016, the Financial Accounting Standards Board issued a new standard ASU No. 2016-02, “Leases”. Under the new guidance, a lessee will be required to recognize assets and liabilities for leases with lease terms of more than 12 months. Consistent with current Generally Accepted Accounting Principles (GAAP), the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. However, unlike current GAAP which requires only capital leases to be recognized on the balance sheet, the new ASU will require both types of leases to be recognized on the balance sheet. It will be effective for the Company on December 31, 2018. The Company is in the process of determining what impact the adoption of this ASU will have on its financial position, results of operations and cash flows. On March 30, 2016, the Financial Accounting Standards Board issued a new standard ASU No. 2016-09, “Compensation – Stock Compensation.” The new standard involves several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. It will be effective for the Company on January 2, 2017. The Company is in the process of determining what impact, if any, the adoption of this ASU will have on its financial position, results of operations and cash flows.

Earnings per Common Share

Earnings per Common Share	6 Months Ended
	Jul. 03, 2016
Earnings per Common Share:
Earnings per Common Share	17. Earnings per Common Share The Company calculates basic net income per common share by dividing net income after the deduction of preferred stock or preference dividends by the weighted average number of common shares outstanding. The calculation of diluted net income per share is consistent with that of basic net income per common share but gives effect to all potential common shares (that is, securities underlying options, warrants or convertible securities) that were outstanding during the period, unless the effect is anti-dilutive. For the three months and six months ended July 3, 2016, there were 55,341 dilutive common stock equivalents related to stock options included in the calculation of diluted earnings per common share. There were no dilutive common stock equivalents related to stock options for the three and six months ended July 5, 2015. At July 5, 2015, the Company’s 28,541 shares of convertible preferred stock Series A, Series B and Series C were convertible into 4,756,814 common shares. On December 30, 2015, the convertible preferred stock was converted into 4,756,814 common shares. As a result of this conversion, for the six months ended July 3, 2016, there were no dilutive shares outstanding.

Subsequent Events

Subsequent Events	6 Months Ended
	Jul. 03, 2016
Subsequent Events:
Subsequent Events	18. Subsequent Events The Company has evaluated subsequent events occurring through the date that the financial statements were issued, for events requiring recording or disclosure in the July 3, 2016 financial statements. There were no material events or transactions occurring during this period requiring recognition or disclosure.

Schedule of Noncash Transaction

Schedule of Noncash Transactions and Supplemental Disclosure of Cash Flow Information (Tables)	6 Months Ended
	Jul. 03, 2016
Schedule of Noncash Transactions and Supplemental Disclosure of Cash Flow Information (Tables):
Schedule of Noncash Transactions and Supplemental Disclosure of Cash Flow Information (Tables)	Supplemental disclosure of cash paid for : July 3, 2016 July 5, 2015 Interest $ 876,055 $ 774,122

Schedule of Inventories (Tables

Schedule of Inventories (Tables)	6 Months Ended
	Jul. 03, 2016
Schedule of Inventories (Tables):
Schedule of Inventories	Inventories consist of the following: July 3, 2016 January 3, 2016 Raw materials $ 5,534,005 $ 5,066,589 Work-in-process 4,470,845 4,293,892 Finished goods 9,429,325 9,348,495 19,434,175 18,708,976 Less: Allowance for inventory obsolescence (1,249,888 ) (1,181,248 ) Total Inventories $ 18,184,287 $ 17,527,728

Schedule of Other Current Asset

Schedule of Other Current Assets (Tables)	6 Months Ended
	Jul. 03, 2016
Schedule of Other Current Assets
Schedule of Other Current Assets	Other current assets consist of the following: July 3, 2016 January 3, 2016 Current deferred tax asset, net of valuation allowance $ 1,630,783 $ 1,872,417 Other 608,316 1,018,590 Total Other Current Assets $ 2,239,099 $ 2,891,007

Schedule of Other Long-term Ass

Schedule of Other Long-term Assets (Tables)	6 Months Ended
	Jul. 03, 2016
Schedule of Other Long-term Assets (Tables):
Schedule of Other Long-term Assets	Other long-term assets consist of the following: July 3, 2016 January 3, 2016 Non-current deferred tax asset, net of valuation allowance $ 2,509,000 $ 2,509,000 Other 843,230 586,414 Total Other Long-term Assets $ 3,352,230 $ 3,095,414

Schedule of Other Long-term Lia

Schedule of Other Long-term Liabilities (Tables)	6 Months Ended
	Jul. 03, 2016
Schedule of Other Long-term Liabilities:
Schedule of Other long-term liabilities	Other long-term liabilities consist of the following: July 3, 2016 January 3, 2016 Non-current deferred tax liability $ 884,486 $ 909,376 Other 44,417 66,405 Total Other Long-term Liabilities $ 928,903 $ 975,781

Schedule of Long-Term Debt (Tab

Schedule of Long-Term Debt (Tables)	6 Months Ended
	Jul. 03, 2016
Schedule of Long-Term Debt:
Schedule of Long-term Debt	Long-term debt consists of the following: Interest Rate July 3, 2016 January 3, 2016 Wells Fargo Capital Finance LLC Prime $ 1,213,552 $ 1,386,917 Lloyds Bank Commercial Finance Limited LIBOR + 3.15% 233,334 319,413 Kennet Equipment Leasing 10.9% 929,387 721,354 Balboa Capital Corporation 5.72% 280,348 345,577 De Lage Landen Financial Services 7.35% 131,293 — Byline Financial Group 8.56% 58,600 — 2,846,514 2,733,261 Current portion (739,479 ) (639,018 ) $ 2,107,035 $ 2,134,243

Schedule of Related Party Oblig

Schedule of Related Party Obligations (Tables)	6 Months Ended
	Jul. 03, 2016
Schedule of Related Party Obligations:
Schedule of Long-term debt to related parties	Long-term debt to related parties consists of the following: Interest Rate July 3, 2016 January 3, 2016 Senior subordinated promissory note 9.25% $ 2,000,000 $ 2,000,000 Secured promissory note 6.25% — 1,254,822 Senior secured promissory note 10.00% 1,378,178 1,470,057 3,378,178 4,724,879 Current portion (367,514 ) (275,636 ) $ 3,010,664 $ 4,449,243
Schedule of Related Party Lease Financing Obligations	This obligation is shown in the accompanying Consolidated Balance Sheets as Related Party Lease Financing Obligation which consists of the following: July 3, 2016 January 3, 2016 Related party lease financing obligation $ 2,166,142 $ 2,165,926 Less: current portion (1,797 ) (1,244 ) Long-term Portion $ 2,164,345 $ 2,164,682

Schedule of Capital Lease Oblig

Schedule of Capital Lease Obligations (Tables)	6 Months Ended
	Jul. 03, 2016
Schedule of Capital Lease Obligations:
Schedule of Capital Lease Obligations	Capital lease obligations consist of the following: July 3, 2016 January 3, 2016 Capital lease obligation $ 1,523,290 $ 1,959,295 Less: current portion (413,433) (489,978) Long-term Portion $ 1,109,857 $ 1,469,317

Schedule of Accumulated Other C

Schedule of Accumulated Other Comprehensive Income (Tables)	6 Months Ended
	Jul. 03, 2016
Schedule of Accumulated Other Comprehensive Income
Schedule of Changes in accumulated other comprehensive income (loss)	The changes in accumulated other comprehensive income (loss) were as follows: Minimum Benefit Liability Adjustments Foreign Currency Translation Adjustment Total Balance at January 3, 2016 $ 310,282 $ (291,302 ) $ 18,980 Other comprehensive losses before reclassifications (2,346 ) (919,204 ) (921,550 ) Balance at July 3, 2016 $ 307,936 $ (1,210,506 ) $ (902,570 )
Schedule of Gain (loss) reclassified from accumulated other comprehensive (loss)	The gain (loss) reclassified from accumulated other comprehensive income (loss) into income is recorded to the following income statement line items: Other Comprehensive Income Component Income Statement Line Item Minimum Benefit Liability Adjustments General and administrative expense

Schedule of Stock Option Plan (

Schedule of Stock Option Plan (Tables)	6 Months Ended
	Jul. 03, 2016
Schedule of Stock Option Plan:
Schedule of Summary of significant assumptions used by utilizing the Black-Scholes option pricing model	The Company utilizes the Black-Scholes option pricing model to estimate the fair value of its option awards. The following table summarizes the significant assumptions used in the model for the grants: April 7, 2016 July 30, 2015 Exercise price $ 3.57 $ 2.37 Expected volatility 45 % 45 % Risk free interest rate 1.30 % 1.82 % Expected term 6 years 6 years Expected dividends 0 % 0 %
Schedule of Stock Options Activity	Stock option activity for the six months ended July 3, 2016 is as follows: Stock Options Weighted Aggregate Average Intrinsic Shares Price Value Outstanding at January 3, 2016 665,000 $ 2.37 $ 1,250,200 Granted - April 7, 2016 360,250 3.57 244,970 Outstanding at July 3, 2016 1,025,250 $ 2.79 $ 1,495,170 Exercisable at July 3, 2016 —

Noncash Transactions and Supp36

Noncash Transactions and Supplemental Disclosure of Cash Flow Information (Details) - USD ($)	6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015
Noncash Transactions and Supplemental Disclosure of Cash Flow Information: {1}
Company paid down its term loans using available borrowings on its various lines of credit (In dollars)	$ 230,189	$ 248,336
New equipment financing arrangements during the period with a fair value	595,740	172,367
Interest	$ 876,055	$ 774,122

Derivatives (Details)

Derivatives (Details)	Jul. 03, 2016
Derivatives: {1}
Currency exchange contracts purchased for approximate percentage of net risk	25.00%

Fair Value of Financial Instr38

Fair Value of Financial Instruments (Details)	6 Months Ended
	Jul. 03, 2016
Fair Value of Financial Instruments Details
Changes in the application of valuation methods applied to similar assets and liabilities	no change

Inventory (Details)

Inventory (Details) - USD ($)	Jul. 03, 2016	Jan. 03, 2016
Inventory consist of the following:
Raw materials	$ 5,534,005	$ 5,066,589
Work-in-process	4,470,845	4,293,892
Finished goods	9,429,325	9,348,495
Inventories gross	19,434,175	18,708,976
Less: Allowance for inventory obsolescence	(1,249,888)	(1,181,248)
Total Inventories	$ 18,184,287	$ 17,527,728

Other Current Assets (Details)

Other Current Assets (Details) - USD ($)	Jul. 03, 2016	Jan. 03, 2016
Other Current Assets consist of the following:
Current deferred tax asset, net of valuation allowance	$ 1,630,783	$ 1,872,417
Other	608,316	1,018,590
Total Other Current Assets	$ 2,239,099	$ 2,891,007

Other Long-term Assets (Details

Other Long-term Assets (Details) - USD ($)	Jul. 03, 2016	Jan. 03, 2016
Other Long-term Assets consist of the following:
Non-current deferred tax asset, net of valuation allowance	$ 2,509,000	$ 2,509,000
Other	843,230	586,414
Total Other Long-term Assets	$ 3,352,230	$ 3,095,414

Other Long-term Liabilities (De

Other Long-term Liabilities (Details) - USD ($)	Jul. 03, 2016	Jan. 03, 2016
Other long-term liabilities consist of the following:
Non-current deferred tax liability	$ 884,486	$ 909,376
Other	44,417	66,405
Total Other Long-term Liabilities	$ 928,903	$ 975,781

Line of Credit (Narrative) (Det

Line of Credit (Narrative) (Details) - USD ($)	Jul. 03, 2016	Jan. 03, 2016
Line of Credit Details
Revolving line of credit - Uniroyal subsidiary which matures on Oct. 17, 2019	$ 30,000,000
Monthly interest payments at the Euro dollar rate plus percent	2.25%
Monthly interest payment alternate: Wells Fargo Capital Finance, LLC's prime rate at the Company election on outstanding balance of up to and prime rate on amounts in excess of	$ 6,000,000
Outstanding balance on the Uniroyal subsidiary line of credit	9,731,047	$ 8,768,140
Revolving line of credit - Wardle Storeys subsidiary, which can be terminated on 6 mos. notice by either party	$ 12,200,000
Interest is payable monthly at the base rate (UK LIBOR) plus minimum	1.95%
Interest is payable monthly at the base rate (UK LIBOR) plus maximum	2.45%
Outstanding balance on the Wardle Storeys subsidiary line of credit	$ 7,320,304	$ 7,809,139

Long-Term Debt (Details)

Long-Term Debt (Details) - USD ($)	Jul. 03, 2016	Jan. 03, 2016
Long-term debt consists of the following
Wells Fargo Capital Finance, LLC (Interest rate PRIME)	$ 1,213,552	$ 1,386,917
Lloyds Bank Commercial Finance Limited (Interest rate LIBOR + 3.15%)	233,334	319,413
Kennet Equipment Leasing (Interest rate 10.9%)	929,387	721,354
Balboa Capital Corporation (Interest rate 5.72%)	280,348	345,577
De Lage Landen Financial Services (Interest rate 7.35%)	131,293	0
Byline Financial Group (Interest rate 8.56%)	58,600	0
Total loans	2,846,514	2,733,261
Less: Current portion	(739,479)	(639,018)
Total Long-term loans	$ 2,107,035	$ 2,134,243

Long term debt - Pre-lease agre

Long term debt - Pre-lease agreement with Kennet Equipment Leasing Limited (Details)	Jul. 03, 2016USD ($)
Pre-lease agreement with Kennet Equipment Leasing Limited:
Pre-lease agreement in June 2015 - total financing obligation	$ 1,230,000
Monthly payments over 61-month period	$ 24,677
Interest rate	10.90%

Related Party Lease Financing O

Related Party Lease Financing Obligation (Details) - USD ($)	Jul. 03, 2016	Jan. 03, 2016
Related Party Lease Financing Obligation Details
Related party lease financing obligation	$ 2,166,142	$ 2,165,926
Less: current portion related party lease financing obligation	(1,797)	(1,244)
Long-term portion related party lease financing obligation	$ 2,164,345	$ 2,164,682

Long-term debt to related parti

Long-term debt to related parties (Details) - USD ($)	Jul. 03, 2016	Jan. 03, 2016
Long-term debt to related parties consists of the following
Senior subordinated promissory note (Interest Rate 9.25%)	$ 2,000,000	$ 2,000,000
Secured promissory note (Interest rate 6.25%)	0	1,254,822
Senior secured promissory note (Interest Rate 10.00%)	1,378,178	1,470,057
Promissory notes Gross	3,378,178	4,724,879
Less: Current Portion Promissory notes	(367,514)	(275,636)
Promissory notes net	3,010,664	$ 4,449,243
On May 31, 2016 the Company paid the principal and accrued interest on the promissory note related to the Wardle Storeys acquistion	$ 1,285,593

Related Party Obligations (Deta

Related Party Obligations (Details)	Jul. 03, 2016USD ($)
Related Party Obligations: {1}
Security deposit made with the lessor entity at the inception of the capital lease financing arrangement	$ 267,500
Rate of interest payable on capital lease obligation	18.20%
Monthly principal and interest payments to be made on capital lease obligation	$ 31,800

Capital Leases (Details)

Capital Leases (Details) - USD ($)	Jul. 03, 2016	Jan. 03, 2016
Capital Leases Details
Capital Leases on equipment -Monthly lease payments minimum	$ 1,119
Capital Leases on equipment -Monthly lease payments maximum	$ 31,120
Capital Leases on equipment -Interest rates minimum	3.84%
Capital Leases on equipment -Interest rates maximum	19.15%
Capital lease obligations consist of the following:
Capital lease obligation	$ 1,523,290	$ 1,959,295
Less: current portion	(413,433)	(489,978)
Long-term Portion	$ 1,109,857	$ 1,469,317

Changes in Accumulated Other Co

Changes in Accumulated Other Comprehensive Income (loss) (Details) - USD ($)	Jul. 03, 2016	Jan. 03, 2016
Minimum Benefit liability adjustments
Minimum Benefit liability adjustments balance	$ 307,936	$ 310,282
Other comprehensive losses before reclassifications - Minimum Benefit liability adjustments	(2,346)
Foreign Currency Translation Adjustment
Foreign Currency Translation Adjustment balance	(1,210,506)	(291,302)
Other comprehensive losses before reclassifications - Foreign Currency Translation Adjustment	(919,204)
Total
Changes in Accumulated Other Comprehensive Income Total	(902,570)	$ 18,980
Other comprehensive losses before reclassifications Total	$ (921,550)

Stock Option Plan - Summarizes

Stock Option Plan - Summarizes the significant assumptions used in the model for grants (Details) - $ / shares	Apr. 07, 2016	Jul. 30, 2015
Stock Option Plan - Summarizes the significant assumptions used in the model for grants Details
Exercise price	$ 3.57	$ 2.37
Expected volatility	45.00%	45.00%
Risk free interest rate	1.30%	1.82%
Expected term (in years)	6	6
Expected dividends	0.00%	0.00%

Options (Narrative) (Details)

Options (Narrative) (Details) - $ / shares	Apr. 07, 2016	Jul. 30, 2015	Jun. 25, 2015
Options
Company adopted the 2015 Stock Option Plan, with the maximum number of shares of common stock that may be optioned and sold under the plan shall be percentage of the shares outstanding on the date of grant			6.00%
Granted to certain key employees and Company directors of the Company options to purchase shares of the Company's common stock, with the options vesting in 3 annual installments beginning on July 30, 2016 and expiring on July 30, 2025		665,000
Exercise price of the options granted on July 30, 2015		$ 2.37
Granted to certain key employees and Company directors of the Company options to purchase shares of the Company's common stock, with the options vesting in 3 annual installments beginning on April 7, 2017 and expiring on April 7, 2026	360,250
Exercise price of the options granted on April 7, 2016	$ 3.57

Stock option activity (Details)

Stock option activity (Details) - USD ($)	Jul. 03, 2016	Apr. 07, 2016	Jan. 03, 2016
Stock Options Shares
Stock Options Shares Outstanding	1,025,250	0	665,000
Stock Options Shares - Granted	0	360,250	0
Stock Options Shares - Exercisable	0	0	0
Weighted Average Price
Stock Options - Weighted Average Price	$ 2.79	$ 3.57	$ 2.37
Aggregate Intrinsic Value
Stock Options - Aggregate Intrinsic Value	$ 1,495,170	$ 0	$ 1,250,200
Aggregate Intrinsic Value - Granted	$ 0	$ 244,970	$ 0

Option expense (Details)

Option expense (Details)	3 Months Ended	6 Months Ended
	Jul. 03, 2016USD ($)	Jul. 03, 2016USD ($)
Option expense Details
Option expense recognized for the period	$ 106,424	$ 165,565
Unrecognized compensation cost	$ 1,012,960
Expected time to recognize compensation cost over the remaining vesting term (In months)	33	33

Earnings (Loss) per Common Shar

Earnings (Loss) per Common Share (Details) - shares	Jul. 03, 2016	Dec. 30, 2015	Jul. 05, 2015
Earnings (Loss) per Common Share Details
Shares of Series A, Series B and Series C preferred stock convertible into shares of common stock			28,541
Shares of common stock issuable upon conversion of Series A,Series B and Series C preferred stock			4,756,814
Shares of Series A, Series B and Series C preferred stock converted into shares of common stock		4,756,814
Dilutive common stock equivalents related to stock options included in the calculation of diluted earnings per common share	55,341

Recent Accounting Pronounceme56

Recent Accounting Pronouncements (Details) - USD ($)	Jul. 03, 2016	Jan. 03, 2016
Recent Accounting Pronouncements Details
Current deferred tax asset	$ 1,630,783	$ 1,872,417