Hurco Companies (HURC) 10-Q5 Sep 142014 Q3 Quarterly reportFinancial data

Company Profile

Document_and_Entity_Informatio

Document and Entity Information	9 Months Ended
Document and Entity Information	Jul. 31, 2014	Sep. 02, 2014
Document and Entity Information [Abstract]	'	'
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	31-Jul-14	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q3	'
Entity Registrant Name	'HURCO COMPANIES INC	'
Entity Central Index Key	'0000315374	'
Current Fiscal Year End Date	'--10-31	'
Entity Filer Category	'Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	6,504,880

CONDENSED_CONSOLIDATED_STATEME

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jul. 31, 2014	Jul. 31, 2013	Jul. 31, 2014	Jul. 31, 2013
CONDENSED CONSOLIDATED STATEMENTS OF INCOME [Abstract]	'	'	'	'
Sales and service fees	$55,379	$45,158	$160,080	$138,862
Cost of sales and service	37,367	33,443	111,520	98,948
Gross profit	18,012	11,715	48,560	39,914
Selling, general and administrative expenses	11,869	10,012	33,675	29,611
Operating income	6,143	1,703	14,885	10,303
Interest expense	65	74	196	194
Interest income	23	14	55	61
Investment income (expense)	4	4	40	19
Other (income) expense, net	46	530	331	861
Income before income taxes	6,059	1,117	14,453	9,328
Provision for income taxes	1,684	263	4,173	3,037
Net income	$4,375	$854	$10,280	$6,291
Income per common share	'	'	'	'
Basic	$0.67	$0.13	$1.57	$0.96
Diluted	$0.66	$0.13	$1.56	$0.96
Weighted average common shares outstanding	'	'	'	'
Basic	6,505	6,458	6,493	6,452
Diluted	6,548	6,507	6,529	6,495
Dividends paid per share	$0.07	$0.05	$0.19	$0.05

CONDENSED_CONSOLIDATED_STATEME1

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2014	Jul. 31, 2013	Jul. 31, 2014	Jul. 31, 2013
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract]	'	'	'	'
Net income	$4,375	$854	$10,280	$6,291
Other comprehensive income (loss):	'	'	'	'
Translation of foreign currency financial statements	-886	-520	-372	-614
(Gain) / loss on derivative instruments reclassified into operations, net of tax $134, $(28), $398 and $(625), respectively	243	-49	724	-1,098
Gain / (loss) on derivative instruments, net of tax $340, $(245), $(326) and $(395), respectively	619	-430	-592	-693
Total other comprehensive income (loss)	-24	-999	-240	-2,405
Comprehensive income (loss)	$4,351	($145)	$10,040	$3,886

CONDENSED_CONSOLIDATED_STATEME2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2014	Jul. 31, 2013	Jul. 31, 2014	Jul. 31, 2013
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract]	'	'	'	'
Realized loss (gains) on derivative instruments reclassified into operations, tax	$134	($28)	$398	($625)
Unrealized (loss) gains on derivative instruments, tax	$340	($245)	($326)	($395)

CONDENSED_CONSOLIDATED_BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)	Jul. 31, 2014	Oct. 31, 2013
In Thousands, unless otherwise specified	Jul. 31, 2014	Oct. 31, 2013
Current assets:	'	'
Cash and cash equivalents	$51,345	$42,804
Accounts receivable, net	37,620	36,145
Inventories, net	99,338	95,260
Deferred income taxes	2,096	2,080
Derivative assets	1,189	699
Prepaid expenses	8,691	6,584
Other	1,479	1,430
Total current assets	201,758	185,002
Property and equipment:	'	'
Land	782	782
Building	7,314	7,326
Machinery and equipment	19,787	19,059
Leasehold improvements	3,594	3,634
Property and equipment, gross	31,477	30,801
Less accumulated depreciation and amortization	-19,490	-18,502
Property and equipment, net	11,987	12,299
Software development costs, less accumulated amortization	3,625	3,714
Goodwill	2,771	2,807
Intangible assets, net	1,811	2,155
Investments and other assets, net	5,746	5,258
Total assets	227,698	211,235
Current liabilities:	'	'
Accounts payable	41,819	35,527
Accrued expenses and other	14,538	13,504
Accrued warranty expenses	1,849	1,778
Derivative liabilities	668	1,212
Short-term debt	3,239	3,665
Total current liabilities	62,113	55,686
Non-current liabilities:	'	'
Deferred income taxes	804	743
Accrued tax liability	1,127	1,103
Deferred credits and other	2,402	2,212
Total liabilities	66,446	59,744
Shareholders' equity:	'	'
Preferred stock: no par value per share, 1,000,000 shares authorized, no shares issued	'	'
Common stock: no par value, $.10 stated value per share, 12,500,000 shares authorized, 6,585,918 and 6,533,510 shares issued; and 6,504,880 and 6,465,054 shares outstanding, as of July 31, 2014 and October 31, 2013, respectively	651	647
Additional paid-in capital	55,651	54,698
Retained earnings	107,174	98,130
Accumulated other comprehensive loss	-2,224	-1,984
Total shareholders' equity	161,252	151,491
Total liabilities and stockholders' equity	$227,698	$211,235

CONDENSED_CONSOLIDATED_BALANCE1

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Jul. 31, 2014	Oct. 31, 2013
CONDENSED CONSOLIDATED BALANCE SHEETS [Abstract]	'	'
Preferred stock, no par value	$0	$0
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Common stock, stated value per share	$0.10	$0.10
Common stock, shares authorized	12,500,000	12,500,000
Common stock, shares issued	6,585,918	6,533,510
Common stock, shares outstanding	6,504,880	6,465,054

CONDENSED_CONSOLIDATED_STATEME3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2014	Jul. 31, 2013	Jul. 31, 2014	Jul. 31, 2013
Cash flows from operating activities:	'	'	'	'
Net income	$4,375	$854	$10,280	$6,291
Adjustments to reconcile net income to net cash provided by (used for) operating activities, net of acquisition:	'	'	'	'
Provision for doubtful accounts	3	27	-48	-31
Deferred income taxes	-71	-107	-57	-692
Equity in income of affiliates	-82	-117	-247	-231
Depreciation and amortization	808	791	2,359	2,506
Foreign currency (gain) loss	2,031	366	664	142
Unrealized (gain) loss on derivatives	-634	518	-106	705
Stock-based compensation	265	238	657	741
Change in assets and liabilities, net of acquisition:	'	'	'	'
(Increase) decrease in accounts receivable	-364	6,663	-1,520	9,720
(Increase) decrease in inventories	-5,182	-3,778	-5,205	-3,519
(Increase) decrease in prepaid expenses	-783	-379	-2,107	-456
Increase (decrease) in accounts payable	4,965	-279	6,633	3,046
Increase (decrease) in accrued expenses	1,681	846	1,125	-3,522
Net change in derivative assets and liabilities	-510	82	121	-529
Other	-448	-1,104	-434	-727
Net cash provided by (used for) operating activities	6,054	4,621	12,115	13,444
Cash flows from investing activities:	'	'	'	'
Purchase of property and equipment	-476	-375	-1,427	-1,147
Software development costs	-285	-233	-708	-750
Other investments	147	-8	-68	-48
Acquisition of business, net of cash acquired	'	-380	'	-380
Proceeds from sale of equipment	'	'	126	'
Net cash provided by (used for) investing activities	-614	-996	-2,077	-2,325
Cash flows from financing activities:	'	'	'	'
Dividends paid	-456	-323	-1,236	-323
Proceeds from exercise of stock options	'	303	298	303
Tax benefit from exercised of stock option	'	10	'	10
Restricted shares vested	'	'	2	1
Repayment of short- term debt	'	-2,205	-386	-2,205
Net cash provided by (used for) financing activities	-456	-2,215	-1,322	-2,214
Effect of exchange rate changes on cash	-313	-75	-175	-63
Net increase (decrease) in cash and cash equivalents	4,671	1,335	8,541	8,842
Cash and cash equivalents at beginning of period	46,674	43,277	42,804	35,770
Cash and cash equivalents at end of period	$51,345	$44,612	$51,345	$44,612

CONDENSED_CONSOLIDATED_STATEME4

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (USD $)	Total	Common Stock [Member]	Additional Paid-In Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]
In Thousands, except Share data	Total	Common Stock [Member]	Additional Paid-In Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]
Balances at Oct. 31, 2012	$143,793	$645	$53,415	$90,586	($853)
Balances, shares at Oct. 31, 2012	'	6,447,210	'	'	'
Net income	6,291	'	'	6,291	'
Other comprehensive loss	-2,405	'	'	'	-2,405
Stock-based compensation expense	741	1	740	'	'
Stock-based compensation expense, shares	'	6,475	'	'	'
Tax benefits from exercise of stock options	10	'	10	'	'
Exercise of common stock options	304	1	303	'	'
Exercise of common stock options, shares	11,369	11,369	'	'	'
Dividends paid	-323	'	'	-323	'
Balances at Jul. 31, 2013	148,411	647	54,468	96,554	-3,258
Balances, shares at Jul. 31, 2013	'	6,465,054	'	'	'
Balances at Oct. 31, 2013	151,491	647	54,698	98,130	-1,984
Balances, shares at Oct. 31, 2013	'	6,465,054	'	'	'
Net income	10,280	'	'	10,280	'
Other comprehensive loss	-240	'	'	'	-240
Stock-based compensation expense	657	2	655	'	'
Stock-based compensation expense, shares	'	23,520	'	'	'
Tax benefits from exercise of stock options	'	'	'	'	'
Exercise of common stock options	300	2	298	'	'
Exercise of common stock options, shares	16,306	16,306	'	'	'
Dividends paid	-1,236	'	'	-1,236	'
Balances at Jul. 31, 2014	$161,252	$651	$55,651	$107,174	($2,224)
Balances, shares at Jul. 31, 2014	'	6,504,880	'	'	'

GENERAL

GENERAL	9 Months Ended
	Jul. 31, 2014
GENERAL [Abstract]	'
GENERAL	'
		1	GENERAL

	The unaudited Condensed Consolidated Financial Statements include the accounts of Hurco Companies, Inc. and its consolidated subsidiaries. As used in this report, unless the context indicates otherwise, the terms "we", "us", "our" and similar language refer to Hurco Companies, Inc. and its consolidated subsidiaries as a whole.

	We design and produce computerized machine tools, interactive computer control systems, machine tool components, and software for sale through our distribution network to the worldwide metal cutting market. We also provide software options, computer control upgrades, accessories and replacement parts for our products, as well as customer service and training support.

	The condensed financial information as of July 31, 2014 and for the three and nine months ended July 31, 2014 and July 31, 2013 is unaudited. However, in our opinion, the interim data includes all adjustments, consisting only of normal recurring adjustments, necessary to present fairly our consolidated financial position, results of operations, changes in shareholders' equity and cash flows at the end of the interim periods. We suggest that you read these condensed consolidated financial statements in conjunction with the financial statements and the notes thereto included in our Annual Report on Form 10-K for the year ended October 31, 2013.

DERIVATIVE_INSTRUMENTS_AND_HED

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES	9 Months Ended
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES	Jul. 31, 2014
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES [Abstract]	'
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES	'
		2	DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

	We are exposed to certain market risks relating to our ongoing business operations, including foreign currency risk, interest rate risk and credit risk. We manage our exposure to these and other market risks through regular operating and financing activities. Currently, the only risk that we manage through the use of derivative instruments is foreign currency risk for which we enter into derivative instruments in the form of foreign currency forward exchange contracts with a major financial institution.

	We enter into these forward exchange contracts to reduce the potential effects of foreign exchange rate movements on our net equity investment in one of our foreign subsidiaries, to reduce the impact on gross profit and net earnings from sales and purchases denominated in foreign currencies, and to reduce the impact on our net earnings of foreign currency fluctuations on receivables and payables denominated in foreign currencies that are different than our subsidiaries' functional currency. We are primarily exposed to foreign currency exchange rate risk with respect to transactions and net assets denominated in Euros, Pounds Sterling, Canadian Dollars, South African Rand, Singapore Dollars, Indian Rupee, Chinese Yuan, South Korean Won, Polish Zloty, and New Taiwan Dollars. We record all derivative instruments as assets or liabilities at fair value.

	Derivatives Designated as Hedging Instruments

	We enter into foreign currency forward exchange contracts periodically to hedge certain forecasted inter-company sales and purchases denominated in foreign currencies (the Pound Sterling, Euro and New Taiwan Dollar). The purpose of these instruments is to mitigate the risk that the U.S. Dollar net cash inflows and outflows resulting from sales and purchases denominated in foreign currencies will be adversely affected by changes in exchange rates. These forward contracts have been designated as cash flow hedge instruments, and are recorded in the Condensed Consolidated Balance Sheets at fair value in Derivative assets and Derivative liabilities. The effective portion of the gains and losses resulting from the changes in the fair value of these hedge contracts are deferred in Accumulated other comprehensive loss and recognized as an adjustment to Cost of sales and service in the period that the corresponding inventory that is the subject of the related hedge contract is sold, thereby providing an offsetting economic impact against the corresponding change in the U.S. Dollar value of the inter-company sale or purchase being hedged. The ineffective portion of gains and losses resulting from the changes in the fair value of these hedge contracts is reported in Other (income) expense, net, immediately. We perform quarterly assessments of hedge effectiveness by verifying and documenting the critical terms of the hedge instrument and determining that forecasted transactions have not changed significantly. We also assess on a quarterly basis whether there have been adverse developments regarding the risk of a counterparty default.

	We had forward contracts outstanding as of July 31, 2014, denominated in Euros, Pounds Sterling and New Taiwan Dollars with set maturity dates ranging from August 2014 through July 2015. The contract amounts, expressed at forward rates in U.S. Dollars at July 31, 2014, were $33.5 million for Euros, $12.7 million for Pounds Sterling and $23.9 million for New Taiwanese Dollars. At July 31, 2014, we had approximately $838,000 of losses, net of tax, related to cash flow hedges deferred in Accumulated other comprehensive loss. Included in this amount were $36,000 of unrealized gains, net of tax, related to cash flow hedge instruments that remain subject to currency fluctuation risk. The majority of these deferred losses will be recorded as an adjustment to Cost of sales and service in periods through July 2015, when the corresponding inventory that is the subject of the related hedge contracts is sold, as described above.

	We are also exposed to foreign currency exchange risk related to our investment in net assets in foreign countries. To manage this risk, we have maintained a forward contract with a notional amount of €3.0 million. We designated this forward contract as a hedge of our net investment in Euro denominated assets. We selected the forward method under Financial Accounting Standards Board, or FASB, guidance related to the accounting for derivatives instruments and hedging activities. The forward method requires all changes in the fair value of the contract to be reported as a cumulative translation adjustment in Accumulated other comprehensive loss, net of tax, in the same manner as the underlying hedged net assets. This forward contract matures in November 2014. At July 31, 2014, we had $238,000 of realized gains and $27,000 of unrealized gains, net of tax, recorded as cumulative translation adjustments in Accumulated other comprehensive loss related to these forward contracts.

	Derivatives Not Designated as Hedging Instruments

	We also enter into foreign currency forward exchange contracts to protect against the effects of foreign currency fluctuations on receivables and payables denominated in foreign currencies. These derivative instruments are not designated as hedges under the FASB guidance and, as a result, changes in their fair value are reported currently as Other (income) expense, net, in the Condensed Consolidated Statements of Income consistent with the transaction gain or loss on the related receivables and payables denominated in foreign currencies.

	We had forward contracts outstanding as of July 31, 2014, in Euros, Pounds Sterling, Canadian Dollars, the South African Rand, and the New Taiwan Dollar with set maturity dates ranging from August 2014 through October 2014. The contract amounts at forward rates in U.S. Dollars at July 31, 2014 totaled $53.8 million.

	Fair Value of Derivative Instruments

	We recognize the fair value of derivative instruments as assets and liabilities on a gross basis on our Condensed Consolidated Balance Sheets. As of July 31, 2014 and October 31, 2013, all derivative instruments were recorded at fair value on the balance sheets as follows (in thousands):

			31-Jul-14						31-Oct-13
			Balance sheet		Fair				Balance sheet		Fair
	Derivatives		location		value				location		value

	Designated as hedging instruments:
	Foreign exchange forward contracts		Derivative assets		$	603			Derivative assets		$	244
	Foreign exchange forward contracts		Derivative liabilities		$	505			Derivative liabilities		$	1,158

	Not designated as hedging instruments:
	Foreign exchange forward contracts		Derivative assets		$	586			Derivative assets		$	455
	Foreign exchange forward contracts		Derivative liabilities		$	163			Derivative liabilities		$	54


	Effect of Derivative Instruments on the Condensed Consolidated Balance Sheets, Condensed Consolidated Statements of Changes in Shareholders' Equity and Condensed Consolidated Statements of Income

	Derivative instruments had the following effects on our Condensed Consolidated Balance Sheets, Condensed Consolidated Statements of Changes in Shareholders' Equity and Condensed Consolidated Statements of Income during the three months ended July 31, 2014 and 2013 (in thousands):

			Amount of Gain (Loss)								Location of Gain		Amount of Gain (Loss)
			Recognized in Other								(Loss) Reclassified from Other		Reclassified from Other
	Derivatives		Comprehensive Income								Comprehensive Income		Comprehensive Income
			Three months ended										Three months ended
			July 31,										July 31,
			2014				2013						2014				2013
	Designated as hedging instruments:
	(Effective portion)

	Foreign exchange forward contracts - Intercompany sales/purchases		$	959			$	(675	)		Cost of sales and service		$	(377	)		$	77

	Foreign exchange forward contract - Net investment		$	143			$	(49	)

	We recognized a gain of $19,000 for the three months ended July 31, 2014 as a result of contracts closed early that were deemed ineffective for financial reporting purposes and did not qualify as cash flow hedges. We did not recognize gains or losses as a result of hedges deemed ineffective for the three months ended July 31, 2013. We recognized the following gains and losses in our Condensed Consolidated Statements of Income during the three months ended July 31, 2014 and 2013 (in thousands) on derivative instruments not designated as hedging instruments:

	Derivatives		Location of gain (loss)		Amount of gain (loss) recognized in
	Derivatives		recognized in operations		operations
					Three months ended July 31,
					2014				2013
	Not designated as hedging instruments:

	Foreign exchange forward contracts		Other (income) expense, net		$	971			$	(561	)

The following table presents the changes in the components of Accumulated other comprehensive loss, net of tax, for the three months ended July 31, 2014 (in thousands):

		Foreign
		Currency				Cash Flow
		Translation				Hedges				Total

Balance, April 30, 2014		$	(502	)		$	(1,698	)		$	(2,200	)

Other comprehensive income (loss) before reclassifications			(886	)			619				(267	)

Reclassifications			-				243				243

Balance, July 31, 2014		$	(1,388	)		$	(836	)		$	(2,224	)

Derivative instruments had the following effects on our Condensed Consolidated Balance Sheets, Condensed Consolidated Statements of Changes in Shareholders' Equity and Condensed Consolidated Statements of Income during the nine months ended July 31, 2014 and 2013 (in thousands):

		Amount of Gain (Loss)								Location of Gain		Amount of Gain (Loss)
		Recognized in Other								(Loss) Reclassified from Other		Reclassified from Other
Derivatives		Comprehensive Income								Comprehensive Income		Comprehensive Income
		Nine months ended										Nine months ended
		July 31,										July 31,
		2014				2013						2014				2013
Designated as hedging instruments:
(Effective portion)

Foreign exchange forward contracts - Intercompany sales/purchases		$	(918	)		$	(1,088	)		Cost of sales and service		$	(1,122	)		$	1,723

Foreign exchange forward contract - Net investment		$	61			$	(100	)

We recognized a loss of $10,000 for the nine months ended July 31, 2014, and a loss of $32,000 for the nine months ended July 31, 2013 as a result of contracts closed early that were deemed ineffective for financial reporting purposes and did not qualify as cash flow hedges. We recognized the following gains and losses in our Condensed Consolidated Statements of Income during the nine months ended July 31, 2014 and 2013 (in thousands) on derivative instruments not designated as hedging instruments:

Derivatives		Location of gain (loss)		Amount of gain (loss) recognized in
Derivatives		recognized in operations		operations
				Nine months ended July 31,
				2014				2013
Not designated as hedging instruments:

Foreign exchange forward contracts		Other (income) expense, net		$	(2	)		$	(1,148	)

The following table presents the changes in the components of Accumulated other comprehensive loss, net of tax, for the nine months ended July 31, 2014 (in thousands):

		Foreign
		Currency				Cash Flow
		Translation				Hedges				Total

Balance, October 31, 2013		$	(1,016	)		$	(968	)		$	(1,984	)

Other comprehensive income (loss) before reclassifications			(372	)			(592	)			(964	)

Reclassifications			-				724				724

Balance, July 31, 2014		$	(1,388	)		$	(836	)		$	(2,224	)

EQUITY_INCENTIVE_PLAN

EQUITY INCENTIVE PLAN	9 Months Ended
EQUITY INCENTIVE PLAN	Jul. 31, 2014
EQUITY INCENTIVE PLAN [Abstract]	'
EQUITY INCENTIVE PLAN	'
		3	EQUITY INCENTIVE PLAN

	In March 2008, we adopted the Hurco Companies, Inc. 2008 Equity Incentive Plan, or the 2008 Plan, which allows us to grant awards of stock options, Stock Appreciation Rights settled in stock (SARs), restricted shares, performance shares and performance units. The 2008 Plan replaced the 1997 Stock Option and Incentive Plan, which expired in March 2007. The Compensation Committee of the Board of Directors has authority to determine the officers, directors and key employees who will be granted awards; designate the number of shares subject to each award; determine the terms and conditions upon which awards will be granted; and prescribe the form and terms of award agreements. We have granted stock options under both plans which are currently outstanding and restricted shares under the 2008 Plan which are outstanding. No stock option may be exercised more than ten years after the date of grant or such shorter period as the Compensation Committee may determine at the date of grant. The total number of shares of our common stock that may be issued as awards under the 2008 Plan is 750,000. The market value of a share of our common stock, for purposes of the 2008 Plan, is the closing sale price as reported by the Nasdaq Global Select Market on the date in question or, if not a trading day, on the last preceding trading date.

	A summary of stock option activity for the nine-month period ended July 31, 2014, is as follows:

						Weighted
						Average
			Stock			Exercise
			Options			Price

	Outstanding at October 31, 2013			168,712		$	20.73

	Options granted			-			-
	Options exercised			(16,306	)		(18.35	)
	Options cancelled			(20,217	)		(25.59	)

	Outstanding at July 31, 2014			132,189		$	20.28

	Summarized information about outstanding stock options as of July 31, 2014, that have already vested and those that are expected to vest, as well as stock options that are currently exercisable, are as follows:

			Options already vested			Options currently
			and expected to vest			exercisable

	Number of outstanding options			132,189			105,677

	Weighted average remaining contractual life (years)			6.19			4.81

	Weighted average exercise price per share		$	20.28		$	19.74

	Intrinsic value of outstanding options		$	1,601,000		$	1,344,000

	The intrinsic value of an outstanding stock option is calculated as the difference between the stock price as of July 31, 2014 and the exercise price of the option.

	On January 10, 2014, the Compensation Committee approved a long-term incentive compensation arrangement for our executive officers in the form of restricted shares and performance shares awarded under the 2008 Plan. The awards were 25% time-based vesting and 75% performance-based vesting. The three-year performance period is fiscal 2014 through fiscal 2016.

	The Compensation Committee granted a total 12,182 shares of time-based restricted shares to our executive officers. The restricted shares vest in thirds over three years from the date of grant provided the recipient remains employed through that date. The grant date fair value of the restricted shares was based upon the closing sales price of our common stock on the date of grant.

	The Compensation Committee also granted a total of 16,948 performance shares to our executive officers designated as "Performance Shares -TSR". The shares were weighted as 40% of the overall long-term incentive compensation arrangement and will vest based upon the total shareholder return of our common stock over a three-year period, relative to the total shareholder return of the companies in a specified peer group over that period. Participants will have the ability to earn between 50% of the target number of shares for achieving threshold performance and 200% of the target number of shares for achieving maximum performance. The fair value of the market-based performance shares was calculated using the Monte Carlo approach.

	The Compensation Committee also granted a total of 17,056 performance shares to our executive officers designated as "Performance Shares -ROIC". These shares were weighted as 35% of the overall long-term incentive compensation arrangement and will vest based upon the achievement of pre-established goals related to our average return on invested capital over the three-year period. Participants will have the ability to earn between 50% of the target number of shares for achieving threshold performance and 200% of the target number of shares for achieving maximum performance. The grant date fair value of the ROIC performance shares was based on the closing sales price of our common stock on the grant date.

	On March 13, 2014, the Compensation Committee granted a total of 11,235 shares of restricted stock to our non-employee directors. The restricted stock vests in full one year from the date of grant provided the recipient remains on the board of directors through that date. The grant date fair value of the restricted stock was based on the closing sales price of our common stock on the grant date which was $24.92 per share.

	A reconciliation of the activity relating to outstanding share awards made under the 2008 Plan and related information is as follows:

			Number of			Grant Date
			Shares			Fair Value
	Unvested at October 31, 2013			68,456		$	23.01
	Shares granted			57,421			24.9
	Shares vested			(23,520	)		(24.42	)
	Shares cancelled			(13,609	)		(23.64	)
	Shares withheld			(7,710	)		(23.10	)
	Unvested at July 31, 2014			81,038		$	23.83

	During the first nine months of fiscal 2014 and 2013, we recorded $657,000 and $741,000, respectively, as stock-based compensation expense attributable to stock option and share awards. As of July 31, 2014, there was an estimated $1.3 million of total unrecognized stock-based compensation expense that we expect to recognize by the end of the first quarter of fiscal 2017.

EARNINGS_PER_SHARE

EARNINGS PER SHARE	9 Months Ended
EARNINGS PER SHARE	Jul. 31, 2014
EARNINGS PER SHARE [Abstract]	'
EARNINGS PER SHARE	'
		4	EARNINGS PER SHARE

	Per share results have been computed based on the average number of common shares outstanding. The computation of basic and diluted net income per share is determined using net income applicable to common shareholders as the numerator and the number of shares outstanding as the denominator as follows (in thousands, except per share amounts):

			Three months ended												Nine months ended
			July 31,												July 31,
			2014						2013						2014						2013
			Basic			Diluted			Basic			Diluted			Basic			Diluted			Basic			Diluted

	Net income		$	4,375		$	4,375		$	854		$	854		$	10,280		$	10,280		$	6,291		$	6,291
	Undistributed earnings allocated to participating shares			(35	)		(35	)		(9	)		(9	)		(83	)		(83	)		(66	)		(66	)
	Net income applicable to common shareholders		$	4,340		$	4,340		$	845		$	845		$	10,197		$	10,197		$	6,225		$	6,225
	Weighted average shares outstanding			6,505			6,505			6,458			6,458			6,493			6,493			6,452			6,452
	Stock options			-			43			-			49			-			36			-			43
				6,505			6,548			6,458			6,507			6,493			6,529			6,452			6,495

	Income per share		$	0.67		$	0.66		$	0.13		$	0.13		$	1.57		$	1.56		$	0.96		$	0.96

ACCOUNTS_RECEIVABLE

ACCOUNTS RECEIVABLE	9 Months Ended
	Jul. 31, 2014
ACCOUNTS RECEIVABLE [Abstract]	'
ACCOUNTS RECEIVABLE	'
		5	ACCOUNTS RECEIVABLE

	Accounts receivable are net of allowances for doubtful accounts of $492,000 as of July 31, 2014 and $540,000 as of October 31, 2013.

INVENTORIES

INVENTORIES	9 Months Ended
INVENTORIES	Jul. 31, 2014
INVENTORIES [Abstract]	'
INVENTORIES	'
		6	INVENTORIES

	Inventories, priced at the lower of cost (first-in, first-out method) or market, are summarized below (in thousands):

			31-Jul-14		31-Oct-13
	Purchased parts and sub-assemblies		$	21,550	$	21,647
	Work-in-process			16,470		15,996
	Finished goods			61,318		57,617
			$	99,338	$	95,260

ACQUISITION_OF_BUSINESS

ACQUISITION OF BUSINESS	9 Months Ended
ACQUISITION OF BUSINESS	Jul. 31, 2014
ACQUISITION OF BUSINESS [Abstract]	'
ACQUISITION OF BUSINESS	'
		7	ACQUISITION OF BUSINESS

	On July 1, 2013, we acquired the machine tool component business of an Italian designer and manufacturer of electro-mechanical components and accessories for machine tools. We are operating this business through our wholly-owned Italian subsidiary, LCM Precision Technologies, or LCM. The purchase price was allocated to the assets acquired and the liabilities assumed based on their fair values. The purchase price for the acquired assets and the assumed liabilities was $5.0 million. The allocation of the opening balance sheet of LCM as of July 1, 2013 is as follows (in thousands):

	Current assets		$	6,723
	Property plant and equipment			933
	Intangibles			1,437
	Goodwill			2,477
	Total assets		$	11,570

	Current liabilities		$	4,821
	Short term debt			4,643
	Non-current liabilities			1,726
	Total Liabilities		$	11,190

	Cash expended, net of cash acquired			380
	Indebtedness assumed			4,643
	Total purchase price		$	5,023

	Intangible assets of $1.4 million were recorded as a result of the transaction. The fair value of the intangible assets was based upon a discounted cash flow method that involves inputs that are not observable in the market (Level 3). Intangible assets are amortized primarily using a straight-line methodology. The intangible assets consisted of the following (in thousands):

					Remaining
					Economic
					Useful Life
	Trademark/name		$	274	13 years
	Technology and manufacturing know how			1,111	13 years
	Customer relationships			52	16 years
			$	1,437

	The excess purchase price over the fair value of the assets acquired and the liabilities assumed was recorded as goodwill in the amount of $2.5 million. Goodwill recognized in the acquisition relates primarily to advancing our machine tool technology and expanding our current product offering. We expect the amount recorded as goodwill to be fully deductible for tax purposes.

	The results of operations of LCM have been included in our consolidated financial statements since July 1, 2013.

SEGMENT_INFORMATION

SEGMENT INFORMATION	9 Months Ended
	Jul. 31, 2014
SEGMENT INFORMATION [Abstract]	'
SEGMENT INFORMATION	'
		8	SEGMENT INFORMATION

	We operate in a single segment: industrial automation systems. We design and produce computerized machine tools, machine tool components, interactive computer control systems and software for sale through our own distribution network to the worldwide metal-working market. We also provide software options, control upgrades, accessories and replacement parts for our products, as well as customer service and training support. The results of our subsidiary LCM are included within the industrial automation systems segment.

GUARANTEES_AND_WARRANTIES

GUARANTEES AND WARRANTIES	9 Months Ended
GUARANTEES AND WARRANTIES	Jul. 31, 2014
GUARANTEES AND WARRANTIES [Abstract]	'
GUARANTEES AND WARRANTIES	'
		9	GUARANTEES AND WARRANTIES

	We follow FASB guidance for accounting for contingencies relating to the guarantor's accounting for, and disclosures of, the issuance of certain types of guarantees.

	From time to time, our subsidiaries guarantee third party payment obligations in connection with the sale of machines to customers that use financing. As of July 31, 2014, we had 19 outstanding third party payment guarantees totaling approximately $1.7 million. The terms of these guarantees are consistent with the underlying customer financing terms. Upon shipment of a machine, the customer has the risk of ownership. The customer does not obtain title, however, until it has paid for the machine. A retention of title clause allows us to recover the machine if the customer defaults on the financing. We accrue for potential liabilities under these guarantees when we believe a loss is probable and can be estimated.

	We provide warranties on our products with respect to defects in material and workmanship. The terms of these warranties are generally one year for machines and certain components and shorter periods for service parts. We recognize a reserve with respect to this obligation at the time of product sale, with subsequent warranty claims recorded against the reserve. The amount of the warranty reserve is determined based on historical trend experience and any known warranty issues that could cause future warranty costs to differ from historical experience. A reconciliation of the changes in our warranty reserve is as follows (in thousands):

			Nine months ended
			31-Jul-14			31-Jul-13
	Balance, beginning of period		$	1,778		$	1,623
	Provision for warranties during the period			2,825			2,743
	Charges to the reserve			(2,745	)		(2,705	)
	Impact of foreign currency translation			(9	)		(11	)
	Balance, end of period		$	1,849		$	1,650

	The year-over-year increase in the warranty reserve reflects higher sales volumes and anticipated claims for machines under warranty as well as the sale of a greater number of our higher-performance machines which have a higher cost per claim.

DEBT_AGREEMENTS

DEBT AGREEMENTS	9 Months Ended
	Jul. 31, 2014
DEBT AGREEMENTS [Abstract]	'
DEBT AGREEMENTS	'
		10	DEBT AGREEMENTS

	On December 7, 2012, we entered into an agreement with a financial institution that provided us with a $12.5 million unsecured revolving credit and letter of credit facility, with a $3.0 million maximum amount for outstanding letters of credit on the credit facility. On May 9, 2014, the maximum amount for outstanding letters of credit under our U.S. credit facility was increased from $3.0 million to $5.0 million in order to guarantee a new revolving credit facility in Taiwan. Borrowings under the U.S. credit facility bear interest at a LIBOR-based rate or a floating rate of 1% above the prevailing prime rate. The floating rate is not less than the greatest of (a) a one month LIBOR-based rate plus 1.00% per annum, (b) the federal funds effective rate plus 0.50% per annum, and (c) the prevailing prime rate. The rate we must pay for that portion of the U.S. credit facility which is not utilized is 0.05% per annum. On June 5, 2014, the maximum amount of cash dividends we are permitted to pay was increased from $1.0 million to $3.0 million per calendar year, and we can pay cash dividends up to this amount so long as we are not in default before and after giving effect to such dividends.

	We have a £1.0 million revolving credit facility in the United Kingdom and a €1.5 million revolving credit facility in Germany. On May 12, 2014, we established a Taiwan credit facility in the amount of 100.0 million New Taiwan Dollars (approximately $3.3 million) with an expiration date of May 12, 2015. Our Taiwan credit facility is backed by letters of credit under our U.S. credit facility. We also have a 40.0 million Chinese Yuan credit facility in China.

	All of our credit facilities are unsecured except that borrowings under our Taiwan credit facility are backed by letters of credit drawn on our unsecured U.S. credit facility.

	We had $3.2 million and $3.3 million of borrowings outstanding under our China credit facility at July 31, 2014 and October 31, 2013, respectively. We had no other debt or borrowings under any of our other credit facilities. At July 31, 2014 we were in compliance with all covenants contained in our credit agreements and, as of that date, we had total unutilized credit facilities of approximately $18.8 million.

INCOME_TAXES

INCOME TAXES	9 Months Ended
	Jul. 31, 2014
INCOME TAXES [Abstract]	'
INCOME TAXES	'
		11	INCOME TAXES

	Our effective income tax rate for the first nine months of fiscal 2014 was 29% in comparison to 33% for the same period in fiscal 2013. The decrease in the effective rate was primarily due to changes in the geographic mix of income or loss between tax jurisdictions. We recorded income tax expense during the first nine months of fiscal 2014 of $4.2 million compared to $3.0 million for the same period in fiscal 2013, primarily as a result of the increase in pre-tax income period-over-period. We have not provided any U.S. income taxes on the undistributed earnings of our wholly-owned foreign subsidiaries based upon our determination that such earnings will be indefinitely reinvested in our foreign operations. In the event these earnings are later distributed to our U.S. operations, such distributions would likely result in additional U.S. tax that may be offset, at least in part by associated foreign tax credits.

	Our unrecognized tax benefits were $1.3 million as of July 31, 2014 and as of October 31, 2013, and in each case included accrued interest.

	We recognize accrued interest and penalties related to unrecognized tax benefits as components of income tax expense. As of July 31, 2014, the gross amount of interest accrued, reported in Accrued expenses and other, was approximately $10,000, which did not include the federal tax benefit of interest deductions.

	We file U.S. federal and state income tax returns, as well as tax returns in several foreign jurisdictions. The statutes of limitations with respect to unrecognized tax benefits will expire between July 2015 and July 2018.

FINANCIAL_INSTRUMENTS

FINANCIAL INSTRUMENTS	9 Months Ended
FINANCIAL INSTRUMENTS	Jul. 31, 2014
FINANCIAL INSTRUMENTS [Abstract]	'
FINANCIAL INSTRUMENTS	'
		12	FINANCIAL INSTRUMENTS

	Fair Value Measurement of Financial Instruments

	FASB guidance establishes a three-tier fair value hierarchy, which categorizes the inputs used in measuring fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs in which little or no market data exist, therefore requiring an entity to develop its own assumptions.

	In accordance with this guidance, the following table represents the fair value hierarchy for our financial assets and liabilities measured at fair value as of July 31, 2014 and October 31, 2013 (in thousands):

			Assets				Liabilities
			31-Jul-14		31-Oct-13		31-Jul-14		31-Oct-13

	Level 1
	Deferred Compensation		$	1,184	$	1,073	$	-	$	-

	Level 2
	Derivatives		$	1,189	$	699	$	668	$	1,212

	Included in Level 1 assets are mutual fund investments under a nonqualified deferred compensation plan. We estimate the fair value of these investments on a recurring basis using readily available market prices.

	Included as Level 2 fair value measurements are derivative assets and liabilities related to gains and losses on foreign currency forward exchange contracts entered into with a third party. We estimate the fair value of these derivatives on a recurring basis using foreign currency exchange rates obtained from active markets. Derivative instruments are reported in the accompanying consolidated financial statements at fair value. We have derivative financial instruments in the form of foreign currency forward exchange contracts as described in Note 2 of Notes to the Condensed Consolidated Financial Statements in which the U.S. Dollar equivalent notional amounts of these contracts was $129.2 million and $105.0 million at July 31, 2014 and October 31, 2013, respectively. The fair value of Derivative assets recorded on our Condensed Consolidated Balance Sheets was $1.2 million at July 31, 2014 and $699,000 at October 31, 2013. The fair value of Derivative liabilities recorded on our Condensed Consolidated Balance Sheets was $668,000 at July 31, 2014 and $1.2 million at October 31, 2013.

	The fair value of our foreign currency forward exchange contracts and the related currency positions are subject to offsetting market risk resulting from foreign currency exchange rate volatility. The counterparty to the forward exchange contracts is a substantial and creditworthy financial institution. We do not consider either the risk of counterparty non-performance or the economic consequences of counterparty non-performance as material risks.

CONTINGENCIES_AND_LITIGATION

CONTINGENCIES AND LITIGATION	9 Months Ended
CONTINGENCIES AND LITIGATION	Jul. 31, 2014
CONTINGENCIES AND LITIGATION [Abstract]	'
CONTINGENCIES AND LITIGATION	'
	13. CONTINGENCIES AND LITIGATION

	We are involved in various claims and lawsuits arising in the normal course of business. We do not expect any of these claims, individually or in the aggregate, to have a material adverse effect on our consolidated financial position or results of operations.

NEW_ACCOUNTING_PRONOUNCEMENTS

NEW ACCOUNTING PRONOUNCEMENTS	9 Months Ended
NEW ACCOUNTING PRONOUNCEMENTS	Jul. 31, 2014
NEW ACCOUNTING PRONOUNCEMENTS [Abstract]	'
NEW ACCOUNTING PRONOUNCEMENTS	'
	14. NEW ACCOUNTING PRONOUNCEMENTS

	In July 2013, the FASB issued ASU 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists, providing guidance on the presentation of unrecognized tax benefits, reflecting the manner in which an entity would settle, at the reporting date, any additional income taxes that would result from the disallowance of a tax position when net operating loss carryforwards, similar tax losses, or tax credit carryforwards exist. The amendments in this update are effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. Early adoption is permitted. The amendments should be applied prospectively to all unrecognized tax benefits that exist at the effective date. Retrospective application is permitted. We do not expect that the adoption of this accounting standard update will have a material effect on our consolidated financial statements.

	In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606), establishing a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. This update provides a five-step analysis in determining when and how revenue is recognized. The new model will require revenue recognition to depict the transfer of promised goods or services to customers in an amount that reflects the consideration a company expects to receive in exchange for those goods or services and will supersede most of the existing revenue recognition guidance, including industry-specific guidance. The amendments in this update are effective for fiscal years, and interim periods within those years, beginning after December 15, 2016. Early adoption is not permitted. We have the option of using either a full retrospective or modified approach to adopt this guidance. We are assessing the method of adoption and the impact this new accounting guidance will have on our consolidated financial statements.

DERIVATIVE_INSTRUMENTS_AND_HED1

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables)	9 Months Ended
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables)	Jul. 31, 2014
Schedule of Fair Value of Derivative Instruments	'

		31-Jul-14						31-Oct-13
		Balance sheet		Fair				Balance sheet		Fair
	Derivatives	location		value				location		value

	Designated as hedging instruments:
	Foreign exchange forward contracts	Derivative assets		$	603			Derivative assets		$	244
	Foreign exchange forward contracts	Derivative liabilities		$	505			Derivative liabilities		$	1,158

	Not designated as hedging instruments:
	Foreign exchange forward contracts	Derivative assets		$	586			Derivative assets		$	455
	Foreign exchange forward contracts	Derivative liabilities		$	163			Derivative liabilities		$	54

Period One [Member]	'
Schedule of Effect of Derivative Instruments on the Balance Sheets, Statements of Changes in Shareholders' Equity and Statements of Operations	'

	Derivative instruments had the following effects on our Condensed Consolidated Balance Sheets, Condensed Consolidated Statements of Changes in Shareholders' Equity and Condensed Consolidated Statements of Income during the three months ended July 31, 2014 and 2013 (in thousands):

		Amount of Gain (Loss)								Location of Gain		Amount of Gain (Loss)
		Recognized in Other								(Loss) Reclassified from Other		Reclassified from Other
	Derivatives	Comprehensive Income								Comprehensive Income		Comprehensive Income
		Three months ended										Three months ended
		July 31,										July 31,
		2014				2013						2014			2013
	Designated as hedging instruments:
	(Effective portion)

	Foreign exchange forward contracts - Intercompany sales/purchases	$	959			$	(675	)		Cost of sales and service		$	(377	)	$	77

	Foreign exchange forward contract - Net investment	$	143			$	(49	)

	We recognized a gain of $19,000 for the three months ended July 31, 2014 as a result of contracts closed early that were deemed ineffective for financial reporting purposes and did not qualify as cash flow hedges. We did not recognize gains or losses as a result of hedges deemed ineffective for the three months ended July 31, 2013. We recognized the following gains and losses in our Condensed Consolidated Statements of Income during the three months ended July 31, 2014 and 2013 (in thousands) on derivative instruments not designated as hedging instruments:

	Derivatives	Location of gain (loss)		Amount of gain (loss) recognized in
	Derivatives	recognized in operations		operations
				Three months ended July 31,
				2014				2013
	Not designated as hedging instruments:

	Foreign exchange forward contracts	Other (income) expense, net		$	971			$	(561	)

Schedule of Changes in Components of Accumulated Other Comprehensive Loss	'

		Foreign
		Currency				Cash Flow
		Translation				Hedges				Total

	Balance, April 30, 2014	$	(502	)		$	(1,698	)		$	(2,200	)

	Other comprehensive income (loss) before reclassifications		(886	)			619				(267	)

	Reclassifications		-				243				243

	Balance, July 31, 2014	$	(1,388	)		$	(836	)		$	(2,224	)

Period Two [Member]	'
Schedule of Effect of Derivative Instruments on the Balance Sheets, Statements of Changes in Shareholders' Equity and Statements of Operations	'
	Derivative instruments had the following effects on our Condensed Consolidated Balance Sheets, Condensed Consolidated Statements of Changes in Shareholders' Equity and Condensed Consolidated Statements of Income during the nine months ended July 31, 2014 and 2013 (in thousands):

		Amount of Gain (Loss)								Location of Gain		Amount of Gain (Loss)
		Recognized in Other								(Loss) Reclassified from Other		Reclassified from Other
	Derivatives	Comprehensive Income								Comprehensive Income		Comprehensive Income
		Nine months ended										Nine months ended
		July 31,										July 31,
		2014				2013						2014			2013
	Designated as hedging instruments:
	(Effective portion)

	Foreign exchange forward contracts - Intercompany sales/purchases	$	(918	)		$	(1,088	)		Cost of sales and service		$	(1,122	)	$	1,723

	Foreign exchange forward contract - Net investment	$	61			$	(100	)

	We recognized a loss of $10,000 for the nine months ended July 31, 2014, and a loss of $32,000 for the nine months ended July 31, 2013 as a result of contracts closed early that were deemed ineffective for financial reporting purposes and did not qualify as cash flow hedges. We recognized the following gains and losses in our Condensed Consolidated Statements of Income during the nine months ended July 31, 2014 and 2013 (in thousands) on derivative instruments not designated as hedging instruments:

	Derivatives	Location of gain (loss)		Amount of gain (loss) recognized in
	Derivatives	recognized in operations		operations
				Nine months ended July 31,
				2014				2013
	Not designated as hedging instruments:

	Foreign exchange forward contracts	Other (income) expense, net		$	(2	)		$	(1,148	)

Schedule of Changes in Components of Accumulated Other Comprehensive Loss	'

		Foreign
		Currency				Cash Flow
		Translation				Hedges				Total

	Balance, October 31, 2013	$	(1,016	)		$	(968	)		$	(1,984	)

	Other comprehensive income (loss) before reclassifications		(372	)			(592	)			(964	)

	Reclassifications		-				724				724

	Balance, July 31, 2014	$	(1,388	)		$	(836	)		$	(2,224	)

EQUITY_INCENTIVE_PLAN_Tables

EQUITY INCENTIVE PLAN (Tables)	9 Months Ended
EQUITY INCENTIVE PLAN (Tables)	Jul. 31, 2014
EQUITY INCENTIVE PLAN [Abstract]	'
Summary of Stock Option Activity	'

					Weighted
					Average
		Stock			Exercise
		Options			Price

	Outstanding at October 31, 2013		168,712		$	20.73

	Options granted		-			-
	Options exercised		(16,306	)		(18.35	)
	Options cancelled		(20,217	)		(25.59	)

	Outstanding at July 31, 2014		132,189		$	20.28

Schedule of Information about Outstanding Stock Options that have Already Vested and those that are Expected to Vest	'

		Options already vested			Options currently
		and expected to vest			exercisable

	Number of outstanding options		132,189			105,677

	Weighted average remaining contractual life (years)		6.19			4.81

	Weighted average exercise price per share	$	20.28		$	19.74

	Intrinsic value of outstanding options	$	1,601,000		$	1,344,000

Reconciliation of Restricted Stock Activity and Related Information	'

		Number of			Grant Date
		Shares			Fair Value
	Unvested at October 31, 2013		68,456		$	23.01
	Shares granted		57,421			24.9
	Shares vested		(23,520	)		(24.42	)
	Shares cancelled		(13,609	)		(23.64	)
	Shares withheld		(7,710	)		(23.10	)
	Unvested at July 31, 2014		81,038		$	23.83

EARNINGS_PER_SHARE_Tables

EARNINGS PER SHARE (Tables)	9 Months Ended
EARNINGS PER SHARE (Tables)	Jul. 31, 2014
EARNINGS PER SHARE [Abstract]	'
Reconciliation of Basic and Diluted Earnings Per Share	'

		Three months ended												Nine months ended
		July 31,												July 31,
		2014						2013						2014						2013
		Basic			Diluted			Basic			Diluted			Basic			Diluted			Basic			Diluted

	Net income	$	4,375		$	4,375		$	854		$	854		$	10,280		$	10,280		$	6,291		$	6,291
	Undistributed earnings allocated to participating shares		(35	)		(35	)		(9	)		(9	)		(83	)		(83	)		(66	)		(66	)
	Net income applicable to common shareholders	$	4,340		$	4,340		$	845		$	845		$	10,197		$	10,197		$	6,225		$	6,225
	Weighted average shares outstanding		6,505			6,505			6,458			6,458			6,493			6,493			6,452			6,452
	Stock options		-			43			-			49			-			36			-			43
			6,505			6,548			6,458			6,507			6,493			6,529			6,452			6,495

	Income per share	$	0.67		$	0.66		$	0.13		$	0.13		$	1.57		$	1.56		$	0.96		$	0.96

INVENTORIES_Tables

INVENTORIES (Tables)	9 Months Ended
INVENTORIES (Tables)	Jul. 31, 2014
INVENTORIES [Abstract]	'
Schedule of Inventories	'

		31-Jul-14		31-Oct-13
	Purchased parts and sub-assemblies	$	21,550	$	21,647
	Work-in-process		16,470		15,996
	Finished goods		61,318		57,617
		$	99,338	$	95,260

ACQUISITION_OF_BUSINESS_Tables

ACQUISITION OF BUSINESS (Tables)	9 Months Ended
ACQUISITION OF BUSINESS (Tables)	Jul. 31, 2014
ACQUISITION OF BUSINESS [Abstract]	'
Schedule of Opening Balance Sheet	'

	Current assets	$	6,723
	Property plant and equipment		933
	Intangibles		1,437
	Goodwill		2,477
	Total assets	$	11,570

	Current liabilities	$	4,821
	Short term debt		4,643
	Non-current liabilities		1,726
	Total Liabilities	$	11,190

	Cash expended, net of cash acquired		380
	Indebtedness assumed		4,643
	Total purchase price	$	5,023

Schedule of Intangible Assets	'

				Remaining
				Economic
				Useful Life
	Trademark/name	$	274	13 years
	Technology and manufacturing know how		1,111	13 years
	Customer relationships		52	16 years
		$	1,437

GUARANTEES_AND_WARRANTIES_Tabl

GUARANTEES AND WARRANTIES (Tables)	9 Months Ended
GUARANTEES AND WARRANTIES (Tables)	Jul. 31, 2014
GUARANTEES AND WARRANTIES [Abstract]	'
Reconciliation of Changes in Warranty Reserve	'

		Nine months ended
		31-Jul-14			31-Jul-13
	Balance, beginning of period	$	1,778		$	1,623
	Provision for warranties during the period		2,825			2,743
	Charges to the reserve		(2,745	)		(2,705	)
	Impact of foreign currency translation		(9	)		(11	)
	Balance, end of period	$	1,849		$	1,650

FINANCIAL_INSTRUMENTS_Tables

FINANCIAL INSTRUMENTS (Tables)	9 Months Ended
FINANCIAL INSTRUMENTS (Tables)	Jul. 31, 2014
FINANCIAL INSTRUMENTS [Abstract]	'
Schedule of Assets and Liabilities Fair Value	'

		Assets				Liabilities
		31-Jul-14		31-Oct-13		31-Jul-14		31-Oct-13

	Level 1
	Deferred Compensation	$	1,184	$	1,073	$	-	$	-

	Level 2
	Derivatives	$	1,189	$	699	$	668	$	1,212

DERIVATIVE_INSTRUMENTS_AND_HED2

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Narrative) (Details)

3 Months Ended

9 Months Ended

In Thousands, unless otherwise specified

Jul. 31, 2014

Jul. 31, 2013

Jul. 31, 2014

Jul. 31, 2013

Oct. 31, 2013

Jul. 31, 2014

USD ($)

Forward Contracts [Member]

Euros [Member]

Pounds Sterling [Member]

New Taiwan Dollars [Member]

Designated As Hedging Instrument [Member]

Not Designated as Hedging Instrument [Member]

Minimum [Member]

Maximum [Member]

Designated As Hedging Instrument [Member]

USD ($)

EUR (€)

USD ($)

Designated As Hedging Instrument [Member]

Not Designated as Hedging Instrument [Member]

Designated As Hedging Instrument [Member]

Not Designated as Hedging Instrument [Member]

USD ($)

Derivative [Line Items]

Derivative maturity date

30-Nov-14

31-Aug-14

31-Jul-15

31-Oct-14

Notional amount

$129,200

$105,000

€ 3,000

$53,800

$33,500

$12,700

$23,900

Losses related to cash flow hedges deferred in accumulated other comprehensive loss net of tax

-838

Unrealized gains to be reclassified in next 12 months net of tax

Realized gain on net investment hedge

238

Unrealized gains, net of tax, recorded as cumulative translation adjustments in Accumulated other comprehensive loss

Gain (loss) on hedge ineffectiveness

$19

($10)

($32)

DERIVATIVE_INSTRUMENTS_AND_HED3

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Schedule of Fair Value of Derivative Instruments) (Details) (USD $)	Jul. 31, 2014	Oct. 31, 2013
In Thousands, unless otherwise specified	Jul. 31, 2014	Oct. 31, 2013
Derivatives Fair Value [Line Items]	'	'
Derivative assets	$1,189	$699
Derivative liabilities	668	1,212
Foreign Exchange Forward [Member] \| Designated As Hedging Instrument [Member]	'	'
Derivatives Fair Value [Line Items]	'	'
Derivative assets	603	244
Derivative liabilities	505	1,158
Foreign Exchange Forward [Member] \| Not Designated as Hedging Instrument [Member]	'	'
Derivatives Fair Value [Line Items]	'	'
Derivative assets	586	455
Derivative liabilities	$163	$54

DERIVATIVE_INSTRUMENTS_AND_HED4

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Schedule of Effect of Derivative Instruments on Consolidated Balance Sheets, Statements of Changes in Shareholders' Equity and Statements of Operations) (Details) (Foreign Exchange Forward [Member], USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2014	Jul. 31, 2013	Jul. 31, 2014	Jul. 31, 2013
Designated As Hedging Instrument [Member] \| Intercompany [Member]	'	'	'	'
Derivative Instruments Gain Loss [Line Items]	'	'	'	'
Amount of gain (loss) recognized in Other comprehensive loss	$959	($675)	($918)	($1,088)
Designated As Hedging Instrument [Member] \| Net Investment Hedging [Member]	'	'	'	'
Derivative Instruments Gain Loss [Line Items]	'	'	'	'
Amount of gain (loss) recognized in Other comprehensive loss	143	-49	61	-100
Designated As Hedging Instrument [Member] \| Cost Of Sales [Member]	'	'	'	'
Derivative Instruments Gain Loss [Line Items]	'	'	'	'
Amount of gain (loss) reclassified from Other comprehensive loss	-377	77	-1,122	1,723
Not Designated as Hedging Instrument [Member] \| Other (Income) Expense, Net [Member]	'	'	'	'
Derivative Instruments Gain Loss [Line Items]	'	'	'	'
Amount of gain (loss) recognized in operations	$971	($561)	($2)	($1,148)

DERIVATIVE_INSTRUMENTS_AND_HED5

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Schedule of Changes in Components of Accumulated Other Comprehensive Loss) (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2014	Jul. 31, 2013	Jul. 31, 2014	Jul. 31, 2013
Derivative [Line Items]	'	'	'	'
Beginning balance	($2,200)	'	($1,984)	'
Other comprehensive income (loss) before reclassifications	-267	'	-964	'
Reclassifications	243	-49	724	-1,098
Ending balance	-2,224	'	-2,224	'
Foreign Currency Translation [Member]	'	'	'	'
Derivative [Line Items]	'	'	'	'
Beginning balance	-502	'	-1,016	'
Other comprehensive income (loss) before reclassifications	-886	'	-372	'
Reclassifications	'	'	'	'
Ending balance	-1,388	'	-1,388	'
Cash Flow Hedges [Member]	'	'	'	'
Derivative [Line Items]	'	'	'	'
Beginning balance	-1,698	'	-968	'
Other comprehensive income (loss) before reclassifications	619	'	-592	'
Reclassifications	243	'	724	'
Ending balance	($836)	'	($836)	'

EQUITY_INCENTIVE_PLAN_Narrativ

EQUITY INCENTIVE PLAN (Narrative) (Details) (USD $)	1 Months Ended	9 Months Ended		1 Months Ended
In Thousands, except Share data, unless otherwise specified	Mar. 13, 2014	Jul. 31, 2014	Jul. 31, 2013	Jan. 10, 2014	Jan. 10, 2014	Jan. 10, 2014	Jan. 10, 2014	Jan. 10, 2014	Jan. 10, 2014	Jan. 10, 2014	Jan. 10, 2014
				Time Based [Member]	Performance Based [Member]	Performance Shares TSR [Member]	Performance Shares TSR [Member]	Performance Shares TSR [Member]	Performance Shares ROIC [Member]	Performance Shares ROIC [Member]	Performance Shares ROIC [Member]
						Performance Based [Member]	Performance Based [Member]	Performance Based [Member]	Performance Based [Member]	Performance Based [Member]	Performance Based [Member]
							Minimum [Member]	Maximum [Member]		Minimum [Member]	Maximum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]	'	'	'	'	'	'	'	'	'	'	'
Expiration period of options granted	'	'10 years	'	'	'	'	'	'	'	'	'
Total number of shares of common stock that may be issued as awards under 2008 Plan	'	750,000	'	'	'	'	'	'	'	'	'
Vesting percentage	'	'	'	25.00%	75.00%	'	'	'	'	'	'
Stock-based compensation expense	'	$657	$741	'	'	'	'	'	'	'	'
Unrecognized Stock-based compensation expense	'	$1,300	'	'	'	'	'	'	'	'	'
Restricted stock granted	11,235	57,421	'	12,182	'	16,948	'	'	17,056	'	'
Closing sales price of common stock	$24.92	'	'	'	'	'	'	'	'	'	'
Vesting period	'1 year	'	'	'3 years	'	'3 years	'	'	'3 years	'	'
Percentage of incentive compensation arrangement	'	'	'	'	'	40.00%	'	'	35.00%	'	'
Percentage of target number of shares to be earned	'	'	'	'	'	'	50.00%	200.00%	'	50.00%	200.00%

EQUITY_INCENTIVE_PLAN_Summary_

EQUITY INCENTIVE PLAN (Summary of Stock Option Activity) (Details) (USD $)	9 Months Ended
	Jul. 31, 2014	Jul. 31, 2013
Stock Options	'	'
Outstanding at October 31, 2013	168,712	'
Options granted	'	'
Options exercised	-16,306	-11,369
Options cancelled	-20,217	'
Outstanding at July 31, 2014	132,189	'
Weighted Average Exercise Price	'	'
Outstanding at October 31, 2013	$20.73	'
Options granted	$0	'
Options exercised	($18.35)	'
Options cancelled	($25.59)	'
Outstanding at July 31, 2014	$20.28	'

EQUITY_INCENTIVE_PLAN_Schedule

EQUITY INCENTIVE PLAN (Schedule of Information about Outstanding Stock Options Vested and Expected to Vest) (Details) (USD $)	9 Months Ended
In Thousands, except Share data, unless otherwise specified	Jul. 31, 2014
Options already vested and expected to vest	'
Number of outstanding options	132,189
Weighted average remaining contractual life (years)	'6 years 2 months 9 days
Weighted average exercise price per share	$20.28
Intrinsic value of outstanding options	$1,601
Options currently exercisable	'
Number of outstanding options	105,677
Weighted average remaining contractual life (years)	'4 years 9 months 22 days
Weighted average exercise price per share	$19.74
Intrinsic value of outstanding options	$1,344

EQUITY_INCENTIVE_PLAN_Reconcil

EQUITY INCENTIVE PLAN (Reconciliation of Restricted Stock Activity and Related Information) (Details) (USD $)	1 Months Ended	9 Months Ended
	Mar. 13, 2014	Jul. 31, 2014
Number of Shares	'	'
Unvested at October 31, 2013	'	68,456
Shares granted	11,235	57,421
Shares vested	'	-23,520
Shares cancelled	'	-13,609
Shares withheld	'	-7,710
Unvested at July 31, 2014	'	81,038
Weighted Average Grant Date Fair Value	'	'
Unvested at October 31, 2013	'	$23.01
Shares granted	'	$24.90
Shares vested	'	($24.42)
Shares cancelled	'	($23.64)
Shares withheld	'	($23.10)
Unvested at July 31, 2014	'	$23.83

EARNINGS_PER_SHARE_Details

EARNINGS PER SHARE (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jul. 31, 2014	Jul. 31, 2013	Jul. 31, 2014	Jul. 31, 2013
EARNINGS PER SHARE [Abstract]	'	'	'	'
Net income	$4,375	$854	$10,280	$6,291
Allocated to participating Shares	-35	-9	-83	-66
Net income applicable to common shareholders	$4,340	$845	$10,197	$6,225
Weighted average shares Outstanding	6,505	6,458	6,493	6,452
Stock options	43	49	36	43
Diluted	6,548	6,507	6,529	6,495
Income per share	$0.67	$0.13	$1.57	$0.96
Income per share	$0.66	$0.13	$1.56	$0.96

ACCOUNTS_RECEIVABLE_Details

ACCOUNTS RECEIVABLE (Details) (USD $)	Jul. 31, 2014	Oct. 31, 2013
In Thousands, unless otherwise specified	Jul. 31, 2014	Oct. 31, 2013
ACCOUNTS RECEIVABLE [Abstract]	'	'
Allowances for doubtful accounts	$492	$540

INVENTORIES_Details

INVENTORIES (Details) (USD $)	Jul. 31, 2014	Oct. 31, 2013
In Thousands, unless otherwise specified	Jul. 31, 2014	Oct. 31, 2013
Inventory, Net [Abstract]	'	'
Purchased parts and sub-assemblies	$21,550	$21,647
Work-in-process	16,470	15,996
Finished goods	61,318	57,617
Inventories, net	$99,338	$95,260

ACQUISITION_OF_BUSINESS_Narrat

ACQUISITION OF BUSINESS (Narrative) (Details) (USD $)	1 Months Ended
In Thousands, unless otherwise specified	Jul. 01, 2013
ACQUISITION OF BUSINESS [Abstract]	'
Total purchase price	$5,023
Intangibles	1,437
Goodwill	$2,477

ACQUISITION_OF_BUSINESS_Schedu

ACQUISITION OF BUSINESS (Schedule of Opening Balance Sheet) (Details) (USD $)	1 Months Ended	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Jul. 01, 2013	Jul. 31, 2014	Jul. 31, 2013	Jul. 31, 2014	Jul. 31, 2013
ACQUISITION OF BUSINESS [Abstract]	'	'	'	'	'
Current assets	$6,723	'	'	'	'
Property plant and equipment	933	'	'	'	'
Intangibles	1,437	'	'	'	'
Goodwill	2,477	'	'	'	'
Total assets	11,570	'	'	'	'
Current liabilities	4,821	'	'	'	'
Short term debt	4,643	'	'	'	'
Non-current liabilities	1,726	'	'	'	'
Total Liabilities	11,190	'	'	'	'
Cash expended, net of cash acquired	380	'	380	'	380
Indebtedness assumed	4,643	'	'	'	'
Total purchase price	$5,023	'	'	'	'

ACQUISITION_OF_BUSINESS_Schedu1

ACQUISITION OF BUSINESS (Schedule of Intangible Assets) (Details) (USD $)	1 Months Ended
In Thousands, unless otherwise specified	Jul. 01, 2013
Acquired Finite-Lived Intangible Assets [Line Items]	'
Intangibles	$1,437
Trademark/name [Member]	'
Acquired Finite-Lived Intangible Assets [Line Items]	'
Intangibles	274
Remaining Economic Useful Life	'13 years
Technology and manufacturing know how [Member]	'
Acquired Finite-Lived Intangible Assets [Line Items]	'
Intangibles	1,111
Remaining Economic Useful Life	'13 years
Customer relationships [Member]	'
Acquired Finite-Lived Intangible Assets [Line Items]	'
Intangibles	$52
Remaining Economic Useful Life	'16 years

GUARANTEES_AND_PRODUCT_WARRANT

GUARANTEES AND PRODUCT WARRANTIES (Details) (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2014	Jul. 31, 2013
GUARANTEES AND WARRANTIES [Abstract]	'	'
Number of outstanding third party payment guarantees	19	'
Outstanding third party payment guarantees amount	$1,700	'
Terms of warranties	'1 year	'
Reconciliation of the changes in our warranty reserve:	'	'
Balance, beginning of period	1,778	1,623
Provision for warranties during the period	2,825	2,743
Charges to the reserve	-2,745	-2,705
Impact of foreign currency translation	-9	-11
Balance, end of period	$1,849	$1,650

DEBT_AGREEMENTS_Details

DEBT AGREEMENTS (Details)

Jul. 31, 2014

Jun. 05, 2014

Jun. 04, 2014

Jul. 31, 2014

Oct. 31, 2013

9-May-14

8-May-14

In Thousands, unless otherwise specified

USD ($)

Revolving Credit Facility [Member]

Letter Of Credit [Member]

USD ($)

LIBOR [Member]

Federal Funds Rate [Member]

Taiwan [Member]

United Kingdom [Member]

Germany [Member]

China [Member]

USD ($)

TWD

GBP (£)

EUR (€)

USD ($)

CNY

USD ($)

Line of Credit Facility [Line Items]

Line of credit, maximum borrowing capacity

$12,500

$3,300

100,000

£ 1,000

€ 1,500

40,000

$5,000

$3,000

Line of credit, maturity date

12-May-15

Interest rate spread

1.00%

0.50%

Percentage fee on portion that is not utilized

0.05%

Line of credit amount outstanding

3,200

3,300

Borrowings available under credit facility

18,800

Maximum dividends allowable

$3,000

$1,000

INCOME_TAXES_Details

INCOME TAXES (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Jul. 31, 2014	Jul. 31, 2013	Jul. 31, 2014	Jul. 31, 2013	Oct. 31, 2013
INCOME TAXES [Abstract]	'	'	'	'	'
Effective tax rate	'	'	29.00%	33.00%	'
Provision for income taxes	$1,684	$263	$4,173	$3,037	'
Unrecognized tax benefits	1,300	'	1,300	'	1,300
Accrued interest and penalties related to unrecognized tax benefits	$10	'	$10	'	'
Minimum [Member]	'	'	'	'	'
Income Tax Contingency [Line Items]	'	'	'	'	'
Statutes of limitations with respect to unrecognized tax benefits	'	'	1-Jul-15	'	'
Maximum [Member]	'	'	'	'	'
Income Tax Contingency [Line Items]	'	'	'	'	'
Statutes of limitations with respect to unrecognized tax benefits	'	'	1-Jul-18	'	'

FINANCIAL_INSTRUMENTS_Details

FINANCIAL INSTRUMENTS (Details) (USD $)	Jul. 31, 2014	Oct. 31, 2013
In Thousands, unless otherwise specified	Jul. 31, 2014	Oct. 31, 2013
FINANCIAL INSTRUMENTS [Abstract]	'	'
Notional amount of forward hedge contracts	$129,200	$105,000
Assets	'	'
Derivatives	1,189	699
Liabilities	'	'
Derivatives	668	1,212
Fair Value, Measurements, Recurring [Member] \| Fair Value Inputs Level 1 [Member]	'	'
Assets	'	'
Deferred compensation	1,184	1,073
Liabilities	'	'
Deferred compensation	'	'
Fair Value, Measurements, Recurring [Member] \| Fair Value Inputs Level 2 [Member]	'	'
Assets	'	'
Derivatives	1,189	699
Liabilities	'	'
Derivatives	$668	$1,212