Inotiv (NOTV) 10-Q 14 Aug 14 2014 Q3 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	9 Months Ended
	Jun. 30, 2014	Aug. 11, 2014
Document And Entity Information [Abstract]	'	'
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	30-Jun-14	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q3	'
Trading Symbol	'BASi	'
Entity Registrant Name	'BIOANALYTICAL SYSTEMS INC	'
Entity Central Index Key	'0000720154	'
Current Fiscal Year End Date	'--09-30	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	8,072,738

CONDENSED_CONSOLIDATED_BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)	Jun. 30, 2014	Sep. 30, 2013
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$736	$1,304
Accounts receivable	'	'
Trade, net of allowance $88 at June 30, 2014 and $87 at September 30, 2013, respectively	2,646	3,621
Unbilled revenues and other	1,303	691
Inventories	1,535	1,379
Refundable income taxes	11	'
Prepaid expenses	892	238
Total current assets	7,123	7,233
Property and equipment, net	16,180	16,913
Goodwill	1,383	1,383
Debt issue costs, net	129	21
Other assets	41	47
Total assets	24,856	25,597
Current liabilities:	'	'
Accounts payable	3,369	3,584
Accrued expenses	1,332	1,689
Customer advances	3,322	2,815
Income tax accruals	16	30
Revolving line of credit	'	1,415
Fair value of warrant liability	852	612
Current portion of capital lease obligations	288	268
Current portion of long-term debt	786	613
Total current liabilities	9,965	11,026
Fair value of interest rate swap	41	'
Capital lease obligations, less current portion	363	471
Long-term debt, less current portion	4,649	4,641
Total liabilities	15,018	16,138
Stockholders' equity:	'	'
Preferred shares, authorized 1,000,000 shares, no par value: 1,185 Series A shares at $1,000 stated value issued and outstanding at June 30, 2014 and 1,335 at September 30, 2013	1,185	1,335
Common shares, no par value: Authorized 19,000,000 shares; 8,072,738 shares issued and outstanding at June 30, 2014 and 7,703,891 shares at September 30, 2013	1,980	1,887
Additional paid-in capital	21,133	19,925
Accumulated deficit	-14,386	-13,720
Accumulated other comprehensive income (loss)	-74	32
Total shareholders' equity	9,838	9,459
Total liabilities and shareholders' equity	24,856	25,597
Series A Preferred Stock [Member]	'	'
Stockholders' equity:	'	'
Preferred shares, authorized 1,000,000 shares, no par value: 1,185 Series A shares at $1,000 stated value issued and outstanding at June 30, 2014 and 1,335 at September 30, 2013	$1,185	$1,335

CONDENSED_CONSOLIDATED_BALANCE1

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Jun. 30, 2014	Sep. 30, 2013
In Thousands, except Share data, unless otherwise specified
Allowance for doubtful accounts	$88	$87
Common stock, no par value	'	'
Common stock, shares authorized	19,000,000	19,000,000
Common stock, shares issued	8,072,738	7,703,891
Common stock, shares outstanding	8,072,738	7,703,891
Series A Preferred Stock [Member]	'	'
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, no par value	'	'
Preferred stock, shares issued	1,185	1,335
Preferred stock, shares outstanding	1,185	1,335
Preferred stock, stated value per share	$1,000	$1,000

CONDENSED_CONSOLIDATED_STATEME

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) [Abstract]	'	'	'	'
Service revenue	$4,754	$4,156	$14,196	$12,493
Product revenue	1,278	1,444	3,968	4,067
Total revenue	6,032	5,600	18,164	16,560
Cost of service revenue	3,368	2,897	10,021	9,509
Cost of product revenue	680	671	2,002	1,905
Total cost of revenue	4,048	3,568	12,023	11,414
Gross profit	1,984	2,032	6,141	5,146
Operating expenses:	'	'	'	'
Selling	399	317	1,315	979
Research and development	167	124	480	332
General and administrative	1,162	1,153	3,523	3,103
Total operating expenses	1,728	1,594	5,318	4,414
Operating income	256	438	823	732
Interest expense	-123	-163	-408	-492
Change in fair value of warrant liability - decrease (increase)	66	318	-1,095	293
Other income	1	1	6	6
Net Income (loss) before income taxes	200	594	-674	539
Income tax (benefit) expense	-15	18	-8	18
Net Income (loss)	215	576	-666	521
Other comprehensive income (loss):	'	'	'	'
Fair value adjustment of interest rate swap	-41	'	-41	'
Foreign currency translation adjustment	-31	11	-65	66
Comprehensive income (loss)	$143	$587	($772)	$587
Basic net income (loss) per share	$0.03	$0.08	($0.08)	$0.07
Diluted net income (loss) per share	$0.02	$0.07	($0.08)	$0.06
Weighted average common shares outstanding:	'	'	'	'
Basic	8,068	7,673	7,922	7,656
Diluted	9,625	8,400	7,922	8,353

CONDENSED_CONSOLIDATED_STATEME1

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013
Operating activities:	'	'
Net income (loss)	($666)	$521
Adjustments to reconcile net income (loss) to net cash provided by operating activities:	'	'
Depreciation and amortization	1,195	1,313
Change in fair value of warrant liability - increase (decrease)	1,095	-293
Employee stock compensation expense	65	187
Provision for doubtful accounts	2	9
Loss (Gain) on sale of property and equipment	1	-13
Changes in operating assets and liabilities:	'	'
Accounts receivable	361	942
Inventories	-156	177
Income taxes	-25	15
Prepaid expenses and other assets	-641	36
Accounts payable	-166	-19
Accrued expenses	-357	-822
Customer advances	507	-635
Net cash provided by operating activities	1,215	1,418
Investing activities:	'	'
Capital expenditures	-343	-15
Proceeds from sale of equipment	'	20
Net cash (used) provided by investing activities	-343	5
Financing activities:	'	'
Payments of long-term debt	-5,319	-439
Borrowings on long-term debt	5,500	'
Payments of debt issuance costs	-121	-75
Proceeds from exercise of stock options	1	'
Payments on revolving line of credit	-9,543	-16,770
Borrowings on revolving line of credit	8,128	15,658
Proceeds from Class A warrant exercises	183	'
Payments on capital lease obligations	-203	-265
Net cash used by financing activities	-1,374	-1,891
Effect of exchange rate changes	-66	60
Net decrease in cash and cash equivalents	-568	-408
Cash and cash equivalents at beginning of period	1,304	721
Cash and cash equivalents at end of period	736	313
Supplemental disclosure of non-cash financing activities:	'	'
Preferred stock dividends paid in common shares	44	60
Fair value of warrants exercised	854	'
Conversion of preferred shares to common shares	$150	'

DESCRIPTION_OF_THE_BUSINESS_AN

DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION	9 Months Ended
	Jun. 30, 2014
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION [Abstract]	'
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION	'
	1	DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION
	Bioanalytical Systems, Inc. and its subsidiaries ("We," the "Company" or "BASi") engage in contract laboratory research services and other services related to pharmaceutical development. We also manufacture scientific instruments for life sciences research, which we sell with related software for use in industrial, governmental and academic laboratories. Our customers are located throughout the world.
	We have prepared the accompanying unaudited interim condensed consolidated financial statements pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC") regarding interim financial reporting. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles ("GAAP"), and therefore should be read in conjunction with our audited consolidated financial statements, and the notes thereto, included in the Company's annual report on Form 10-K for the year ended September 30, 2013. In the opinion of management, the condensed consolidated financial statements for the three and nine months ended June 30, 2014 and 2013 include all adjustments which are necessary for a fair presentation of the results of the interim periods and of our financial position at June 30, 2014. The results of operations for the three and nine months ended June 30, 2014 are not necessarily indicative of the results for the year ending September 30, 2014.

NEW_ACCOUNTING_PRONOUNCEMENTS

NEW ACCOUNTING PRONOUNCEMENTS	9 Months Ended
	Jun. 30, 2014
NEW ACCOUNTING PRONOUNCEMENTS [Abstract]	'
NEW ACCOUNTING PRONOUNCEMENTS	'
		2	NEW ACCOUNTING PRONOUNCEMENTS
	Effective January 1, 2017, the Company will be required to adopt the new guidance of ASC Topic 606, Revenue from Contracts with Customers (Topic 606), which will supersede the revenue recognition requirements in ASC Topic 605, Revenue Recognition. Topic 606 requires the Company to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The new guidance requires the Company to apply the following steps: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when, or as, the Company satisfies a performance obligation. The Company will be required to adopt Topic 606 either on a full retrospective basis to each prior reporting period presented or on a modified retrospective basis with the cumulative effect of initially applying the new guidance recognized at the date of initial application. If the Company elects the modified retrospective approach, it will be required to provide additional disclosures of the amount by which each financial statement line item is affected in the current reporting period, as compared to the guidance that was in effect before the change, and an explanation of the reasons for significant changes. The Company has not yet assessed the impact of the new guidance on its consolidated financial statements.

STOCKBASED_COMPENSATION

STOCK-BASED COMPENSATION	9 Months Ended
	Jun. 30, 2014
STOCK-BASED COMPENSATION [Abstract]	'
STOCK-BASED COMPENSATON	'
		3	STOCK-BASED COMPENSATION
	The 2008 Stock Option Plan ("the Plan") is used to promote our long-term interests by providing a means of attracting and retaining officers, directors and key employees and aligning their interests with those of our shareholders. The Plan is described more fully in Note 9 in the Notes to the Consolidated Financial Statements in our Form 10-K for the year ended September 30, 2013. All options granted under the Plan had an exercise price equal to the market value of the underlying common shares on the date of grant. We expense the estimated fair value of stock options over the vesting periods of the grants. We recognize expense for awards subject to graded vesting using the straight-line attribution method, reduced for estimated forfeitures. Forfeitures are revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates and an adjustment is recognized at that time. The assumptions used to compute the fair value of options granted are detailed in Note 9 to the Consolidated Financial Statements in our Form 10-K for the year ended September 30, 2013 as well as in the second table below for current fiscal year grants. The Compensation Committee may also issue non-qualified stock option grants with vesting periods different from the Plan. As of June 30, 2014, there are 155 shares issuable upon the exercise of outstanding options that were granted outside of the Plan.. Stock based compensation expense for the three and nine months ended June 30, 2014 was $19 and $65, respectively. Stock based compensation expense for the three and nine months ended June 30, 2013 was $52 and $187, respectively.
	A summary of our stock option activity for the nine months ended June 30, 2014 is as follows (in thousands except for share prices):
			Options			Weighted-		Weighted-
			(shares)			Average		Average
						Exercise Price		Grant Date
								Fair Value
	Outstanding - October 1, 2013			479		$	1.77	$	1.35
	Exercised			(9	)		1.17		0.97
	Granted			30			2.81		2.35
	Terminated			(77	)		2.05		1.54
	Outstanding - June 30, 2014			423		$	1.8	$	1.39
	During the nine months ended June 30, 2014, we granted options for 30 common shares under the Plan. The fair value of the option grants are estimated on the date of the grant. The weighted-average assumptions used to compute the fair value of these options were as follows:
	Risk-free interest rate	2.26% - 2.45%
	Dividend yield	0.00%
	Expected volatility	94.62% - 94.65%
	Expected life of the options (years)	8
	Forfeitures	3.00%

INCOME_LOSS_PER_SHARE

INCOME (LOSS) PER SHARE	9 Months Ended
	Jun. 30, 2014
INCOME (LOSS) PER SHARE [Abstract]	'
INCOME (LOSS) PER SHARE	'
		4	INCOME (LOSS) PER SHARE
	We compute basic income (loss) per share using the weighted average number of common shares outstanding.
	The Company has three categories of dilutive potential common shares: the Series A preferred shares issued in May 2011 in connection with the registered direct offering, the Warrants issued in connection with the same offering in May 2011, and shares issuable upon exercise of options. We compute diluted income (loss) per share using the if-converted method for preferred stock and warrants and the treasury stock method for stock options. Shares issuable upon exercise of options were not considered in computing diluted income (loss) per share for the nine months ended June 30, 2014, because they were anti-dilutive. Warrants for 799 common shares and 592 common shares issuable upon conversion of preferred shares were not considered in computing diluted income (loss) per share for the nine months ended June 30, 2014, because they were also anti-dilutive. Warrants for 1,377 common shares were not considered in computing diluted income (loss) per share for the three and nine months ended June 30, 2013, respectively, because they were anti-dilutive.
	The following table reconciles our computation of basic income (loss) per share to diluted income (loss) per share:
			Three Months Ended					Nine Months Ended
			June 30,					June 30,
			2014			2013		2014			2013
	Basic net income (loss) per share:
	Net Income (loss) applicable to common shareholders		$	215		$	576	$	(666	)	$	521
	Weighted average common shares outstanding			8,068			7,673		7,922			7,656
	Basic net income (loss) per share		$	0.03		$	0.08	$	(0.08	)	$	0.07
	Diluted net income (loss) per share:
	Net Income (loss) applicable to common shareholders		$	215		$	576	$	(666	)	$	521
	Change in Fair Value of Warrant Liability			(66	)		-		-			-
	Diluted net income (loss) applicable to common shareholders		$	149		$	576	$	(666	)	$	521
	Weighted average common shares outstanding			8,068			7,673		7,922			7,656
	Series A preferred shares			592			696		-			696
	Class A warrants			810			-		-			-
	Dilutive stock options/shares			155			31		-			1
	Diluted weighted average common shares outstanding			9,625			8,400		7,922			8,353
	Diluted net income (loss) per share:		$	0.02		$	0.07	$	(0.08	)	$	0.06

INVENTORIES

INVENTORIES	9 Months Ended
	Jun. 30, 2014
INVENTORIES [Abstract]	'
INVENTORIES	'
		5	INVENTORIES
	Inventories consisted of the following:
			June 30,			September 30,
			2014			2013
	Raw materials		$	1,200		$	1,157
	Work in progress			300			322
	Finished goods			384			259
			$	1,884		$	1,738
	Obsolescence reserve			(349	)		(359	)
			$	1,535		$	1,379

SEGMENT_INFORMATION

SEGMENT INFORMATION	9 Months Ended
	Jun. 30, 2014
SEGMENT INFORMATION [Abstract]	'
SEGMENT INFORMATION	'
		6	SEGMENT INFORMATION
	We operate in two principal segments - research services and research products. Our Services segment provides research and development support on a contract basis directly to pharmaceutical companies. Our Products segment provides liquid chromatography, electrochemical and physiological monitoring products to pharmaceutical companies, universities, government research centers and medical research institutions. Our accounting policies in these segments are the same as those described in the summary of significant accounting policies found in Note 2 to Consolidated Financial Statements in our annual report on Form 10-K for the year ended September 30, 2013.
			Three Months Ended						Nine Months Ended
			June 30,						June 30,
			2014			2013			2014			2013
	Revenue:
	Service		$	4,754		$	4,156		$	14,196		$	12,493
	Product			1,278			1,444			3,968			4,067
			$	6,032		$	5,600		$	18,164		$	16,560
	Operating income (loss):
	Service		$	293		$	222		$	669		$	71
	Product			(37	)		216			154			661
			$	256		$	438		$	823		$	732
	Interest expense			(123	)		(163	)		(408	)		(492	)
	Change in fair value of warrant liability - decrease (increase)			66			318			(1,095	)		293
	Other income			1			1			6			6
	Income (loss) before income taxes		$	200		$	594		$	(674	)	$	539

INCOME_TAXES

INCOME TAXES	9 Months Ended
	Jun. 30, 2014
INCOME TAXES [Abstract]	'
INCOME TAXES	'
		7	INCOME TAXES
	We use the asset and liability method of accounting for income taxes.  We recognize deferred tax assets and liabilities for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. We measure deferred tax assets and liabilities using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. We recognize the effect on deferred tax assets and liabilities of a change in tax rates in income in the period that includes the enactment date. We record valuation allowances based on a determination of the expected realization of tax assets.
	We recognize the tax benefit from an uncertain tax position only if it is more likely than not to be sustained upon examination based on the technical merits of the position. We measure the amount of the accrual for which an exposure exists as the largest amount of benefit determined on a cumulative probability basis that we believe is more likely than not to be realized upon ultimate settlement of the position.
	At June 30, 2014 and September 30, 2013, we had a $16 liability for uncertain income tax positions. The difference between the federal statutory rate of 34% and our effective rate of (1.2%) is due to changes in our valuation allowance on our net deferred tax assets.
	We record interest and penalties accrued in relation to uncertain income tax positions as a component of income tax expense. Any changes in the liability for uncertain tax positions would impact our effective tax rate. We do not expect the total amount of unrecognized tax benefits to significantly change in the next twelve months.
	We file income tax returns in the U.S., several U.S. States, and the United Kingdom. We remain subject to examination by taxing authorities in the jurisdictions in which we have filed returns for years after 2008.

DEBT

DEBT	9 Months Ended
	Jun. 30, 2014
DEBT [Abstract]	'
DEBT	'
	8	DEBT
	Mortgages and note payable
	We had a term loan from Regions Bank ("Regions"), which was secured by mortgages on our facilities in West Lafayette and Evansville, Indiana.
	On November 9, 2012, we executed a sixth amendment with Regions which we further modified on December 21, 2012. In the sixth amendment, Regions agreed to extend the term loan and mortgage loan maturity dates to October 31, 2013. The unpaid principal on the notes was incorporated into a replacement note payable for $5,786 bearing interest at LIBOR plus 400 basis points (minimum of 6.0%) with monthly principal payments of approximately $47 plus interest. The replacement note payable was secured by real estate at our West Lafayette and Evansville, Indiana locations. At September 30, 2013, the replacement note payable had a balance of $5,254.
	On October 31, 2013, we executed a seventh amendment with Regions to extend the note payable maturity date to October 31, 2014.
	Regions required us to maintain a fixed charge coverage ratio of not less than 1.25 to 1.00 and a total liabilities to tangible net worth ratio of not greater than 2.10 to 1.00. Failure to comply with those covenants would have been a default under the Regions loans, requiring us to negotiate with Regions regarding loan modifications or waivers. If we were unable to obtain such modifications or waivers, Regions could have accelerated the maturity of the loans and caused a cross default with our other lender.
	The Regions loan agreements both contained cross-default provisions with each other and with the revolving line of credit with Entrepreneur Growth Capital LLC ("EGC") described below.
	Revolving Line of Credit
	On January 31, 2014, we paid off the remaining balance on our $3,000 revolving line of credit agreement ("Credit Agreement") with EGC and terminated the related Credit Agreement. Pursuant to the terms of the Credit Agreement, the line of credit would have automatically renewed on January 31, 2014 unless either party gave a 60-day notice of intent to terminate or withdraw. On October 30, 2013, we informed EGC of our intent not to renew the line of credit on January 31, 2014.
	During the first four months of fiscal 2014, borrowings under the Credit Agreement bore interest at an annual rate equal to Citibank's Prime Rate plus five percent (5%) with minimum monthly interest of $15. Interest was paid monthly. The line of credit also carried an annual facilities fee of 2% and a 0.2% collateral monitoring fee. Borrowings under the Credit Agreement were secured by a blanket lien on our personal property, including certain eligible accounts receivable, inventory, and intellectual property assets, a second mortgage on our West Lafayette and Evansville real estate and all common stock of our U.S. subsidiaries and 65% of the common stock of our non-United States subsidiary. Borrowings were calculated based on 75% of eligible accounts receivable. Under the Credit Agreement, as amended, the Company had agreed to restrict advances to subsidiaries, limit additional indebtedness and capital expenditures and maintain a minimum tangible net worth of at least $8,000. The Credit Agreement also contained cross-default provisions with the Regions loan and any future EGC loans. At September 30, 2013, we had $1,415 outstanding on this line.
	New Credit Facility
	On May 14, 2014, we entered into a Credit Agreement ("Agreement") with The Huntington National Bank ("Huntington"). The Agreement includes both a term loan and a revolving loan and is secured by mortgages on our facilities and personal property in West Lafayette and Evansville, Indiana.
	The term loan for $5,500 bears interest at LIBOR plus 325 basis points with monthly principal payments of approximately $65 plus interest. The term loan matures in May 2019. On May 15, 2014, we used the proceeds from the term loan to pay off the Regions replacement note payable. The balance on the term loan at June 30, 2014 was $5,435.
	The revolving loan for $2,000 matures in May 2016 and bears interest at LIBOR plus 300 basis points with interest paid monthly. The revolving loan also carries a facility fee of .25%, paid quarterly, for the unused portion of the revolving loan. Pursuant to the Agreement, the revolving loan also carries an annual clean-up provision that requires the Company to maintain a balance of not more than 20% of the maximum loan of $2,000 for a period of 30 days in any 12 month period while the revolving loan is outstanding. The balance on the revolving loan at June 30, 2014 was $0.
	The Agreement requires us to maintain a fixed charge coverage ratio of not less than 1.10 to 1.00 and a maximum total leverage ratio of not greater than 3.00 to 1.00 from the date of the Agreement through September 30, 2015 and 2.50 to 1.00 commencing after October 1, 2015 until maturity. The Agreement also contains various other covenants, including restrictions on the incurrence of certain indebtedness, liens, investments, acquisitions, and asset sales
	We entered into an interest rate swap agreement with respect to the above loans to fix the interest rate with respect to 60% of the value of the term loan at approximately 5.0%. We entered into this derivative transaction to hedge interest rate risk of the related debt obligation and not to speculate on interest rates. The changes in the fair value of the interest rate swap are recorded in Accumulated Other Comprehensive Income (AOCI) to the extent effective. We assess on an ongoing basis whether the derivative that is used in the hedging transaction is highly effective in offsetting changes in cash flows of the hedged debt. The terms of the interest rate swaps match the terms of the underlying debt resulting in no ineffectiveness.

RESTRUCTURING

RESTRUCTURING	9 Months Ended
	Jun. 30, 2014
RESTRUCTURING [Abstract]	'
RESTRUCTURING	'
		9	RESTRUCTURING
	In March 2012, we announced a plan to restructure our bioanalytical laboratory operations. We consolidated our laboratory in McMinnville, Oregon into our 120,000 square foot headquarters facility in West Lafayette, Indiana. This plan was implemented to reduce operating costs and strengthen our ability to meet clients' needs by improving laboratory utilization. In the fourth fiscal quarter of 2012, we decided to initiate closure of our facility and bioanalytical laboratory in Warwickshire, United Kingdom after careful evaluation of its financial performance and analysis of our strategic alternatives. We continue to sell our products globally while further consolidating delivery of our CRO services into our Indiana locations. As part of the overall evaluation of our business, personnel reductions in the Selling, R&D and General and Administrative functions were also implemented at both of our Indiana locations during the second half of fiscal 2012. In total, 74 employees were terminated as part of the restructuring activities in fiscal 2012.
	We reserved for lease payments at the cease use date for our UK facility and have considered free rent, sublease rentals and the number of days it would take to restore the space to its original condition prior to our improvements. In the first quarter of fiscal 2013, we began amortizing into general and administrative expense, equally through the cease use date, the estimated rent income of $200 when the reserve was originally established. We have been unsuccessful at subleasing the facility. Based on these factors, we have $941 reserved for UK lease related costs in accounts payable on the condensed consolidated balance sheets.
	The following table sets forth the rollforward of the restructuring activity for the nine months ended June 30, 2014.
			Balance,			Total		Cash		Other		Balance,
			September 30,			Charges		Payments				June 30,
			2013									2014
	One-time termination benefits		$	-		$	-	$	-	$	-	$	-
	Lease related costs			877			-		-		64		941
	Equipment moving costs and method transfers			-			-		-		-		-
	Travel and relocation costs			-			-		-		-		-
	Loss on sale of equipment			(16	)		-		-		16		-
	Other costs			117			-		-		-		117
	Total		$	978		$	-	$	-	$	80	$	1,058
	Other costs include legal and professional fees and other costs incurred in connection with transitioning services from sites being closed as well as costs incurred to remove improvements previously made to the UK facility. Other activity in the reserve rollforward primarily reflects a receivable for settlement of the capital lease in the UK.

FAIR_VALUE_OF_FINANCIAL_INSTRU

FAIR VALUE OF FINANCIAL INSTRUMENTS	9 Months Ended
	Jun. 30, 2014
FAIR VALUE OF FINANCIAL INSTRUMENTS [Abstract]	'
FAIR VALUE OF FINANCIAL INSTRUMENTS	'
		10	FAIR VALUE OF FINANCIAL INSTRUMENTS
	The provisions of the Fair Value Measurements and Disclosure Topic defines fair value, establishes a consistent framework for measuring fair value and provides the disclosure requirements about fair value measurements. This Topic also establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company's judgment about the assumptions market participants would use in pricing the asset or liability based on the best information available in the circumstances. The hierarchy is broken down into three levels based on the inputs as follows:
		•	Level 1 - Valuations based on quoted prices for identical assets or liabilities in active markets that the Company has the ability to access.
		•	Level 2 - Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly.
		•	Level 3 - Valuations based on inputs that are unobservable and significant to the overall fair value measurement.
	In May 2011, we issued Class A and B Warrants that are measured at fair value on a recurring basis. We recorded these warrants as a liability determining the fair value at inception on May 11, 2011. Subsequent quarterly fair value measurements, using the Black Scholes model which is considered a level 2 measurement, are calculated with fair value changes charged to the statement of operations and comprehensive income (loss). Class B Warrants expired in May 2012 and the liability was reduced to zero. The assumptions used to compute the fair value of the warrants at June 30, 2014 and September 30, 2013 are as follows:
			30-Jun-14				30-Sep-13
			Warrant A				Warrant A
	Risk-free interest rate			0.42	%			0.51	%
	Dividend yield			0	%			0	%
	Volatility of the Company's common stock			64.48	%			71.15	%
	Expected life of the options (years)			1.87				2.6
	Fair value per unit		$	1.067			$	0.444
	The carrying amounts for cash and cash equivalents, accounts receivable, inventories, prepaid expenses and other assets, accounts payable and other accruals approximate their fair values because of their nature and respective duration. The fair value of the revolving credit facility and certain long-term debt is equal to their carrying values due to the variable nature of their interest rates. Our long-term fixed rate debt was initiated in February 2011 and renewed on October 31, 2013.
	We use an interest rate swap, designated as a hedge, to fix the interest rate on 60% of the debt from our new Huntington credit facility. We did not enter into this derivative transaction to speculate on interest rates, but to hedge interest rate risk. The swap is recognized on the balance sheet at its fair value. The fair value is determined utilizing a cash flow model that takes into consideration interest rates and other inputs observable in the market from similar types of instruments, and is therefore considered a level 2 measurement. The following table presents the fair value outstanding at June 30:
					Fair Value at:
			Balance Sheet Classification		30-Jun-14				30-Jun-13
	Interest rate swap agreement		Other long-term liabilities		$	41			$	-

MANAGEMENTS_PLAN

MANAGEMENT'S PLAN	9 Months Ended
	Jun. 30, 2014
MANAGEMENT'S PLAN [Abstract]	'
MANAGEMENT'S PLAN	'
	11	MANAGEMENT'S PLAN
	Our long-term strategic objective is to maximize the Company's intrinsic value per share.  While we remain focused on reducing our costs through productivity and better processes and a continued emphasis on generating free cash flow, we are dedicated to the strategies that drive our top-line growth. We are intensifying our efforts to improve our processes, embrace change, and wisely employ our stronger liquidity position. We will continue to take actions to make BASi a stronger company.
	During the first nine months of fiscal 2014, revenues improved 9.6%, gross margin improved by 19.3% and operating income improved by 12.4% from the comparable period in fiscal 2013. We also generated $1,094 in cash from operations, maintained strict controls on expenditures and paid down our line of credit $1.4 million, while meeting all of our other obligations.
	In May 2014, we entered into a new Credit Agreement with Huntington for both a term loan of $5,500 and a revolving loan of $2,000 and used a portion of the proceeds from those loans to pay off the Regions replacement note payable, as more fully described in Note 8.
	For the remainder of fiscal 2014, we will focus on growing our revenues and continue initiatives to control costs and improve productivity to further reduce our break-even point and achieve our financial objectives. We expect to see improvement in the volume of new bookings in fiscal 2014 along with maintaining improved gross profit margins. We have debt service and lease obligations of approximately $0.9 million in fiscal 2014.
	Based on our expected revenue, the impact of the cost reductions implemented and restructuring activities during fiscal 2012, the payoff of the prior note payable as well the ability to draw from the new revolving loan, we project that we will have the liquidity required to meet our fiscal 2014 operations and debt obligations.

STOCKBASED_COMPENSATION_Tables

STOCK-BASED COMPENSATION (Tables)	9 Months Ended
	Jun. 30, 2014
STOCK-BASED COMPENSATION [Abstract]	'
Summary of Stock Option Activity	'
	A summary of our stock option activity for the nine months ended June 30, 2014 is as follows (in thousands except for share prices):
			Options			Weighted-		Weighted-
			(shares)			Average		Average
						Exercise Price		Grant Date
								Fair Value
	Outstanding - October 1, 2013			479		$	1.77	$	1.35
	Exercised			(9	)		1.17		0.97
	Granted			30			2.81		2.35
	Terminated			(77	)		2.05		1.54
	Outstanding - June 30, 2014			423		$	1.8	$	1.39
Fair Value Assumptions	'
	During the nine months ended June 30, 2014, we granted options for 30 common shares under the Plan. The fair value of the option grants are estimated on the date of the grant. The weighted-average assumptions used to compute the fair value of these options were as follows:
	Risk-free interest rate	2.26% - 2.45%
	Dividend yield	0.00%
	Expected volatility	94.62% - 94.65%
	Expected life of the options (years)	8
	Forfeitures	3.00%

INCOME_LOSS_PER_SHARE_Tables

INCOME (LOSS) PER SHARE (Tables)	9 Months Ended
	Jun. 30, 2014
INCOME (LOSS) PER SHARE [Abstract]	'
Reconciliation of Computation of Basic Loss Per Share to Diluted Net Loss Per Share	'
	The following table reconciles our computation of basic income (loss) per share to diluted income (loss) per share:
		Three Months Ended					Nine Months Ended
		June 30,					June 30,
		2014			2013		2014			2013
	Basic net income (loss) per share:
	Net Income (loss) applicable to common shareholders	$	215		$	576	$	(666	)	$	521
	Weighted average common shares outstanding		8,068			7,673		7,922			7,656
	Basic net income (loss) per share	$	0.03		$	0.08	$	(0.08	)	$	0.07
	Diluted net income (loss) per share:
	Net Income (loss) applicable to common shareholders	$	215		$	576	$	(666	)	$	521
	Change in Fair Value of Warrant Liability		(66	)		-		-			-
	Diluted net income (loss) applicable to common shareholders	$	149		$	576	$	(666	)	$	521
	Weighted average common shares outstanding		8,068			7,673		7,922			7,656
	Series A preferred shares		592			696		-			696
	Class A warrants		810			-		-			-
	Dilutive stock options/shares		155			31		-			1
	Diluted weighted average common shares outstanding		9,625			8,400		7,922			8,353
	Diluted net income (loss) per share:	$	0.02		$	0.07	$	(0.08	)	$	0.06

INVENTORIES_Tables

INVENTORIES (Tables)	9 Months Ended
	Jun. 30, 2014
INVENTORIES [Abstract]	'
Summary of Inventories	'
	Inventories consisted of the following:
		June 30,			September 30,
		2014			2013
	Raw materials	$	1,200		$	1,157
	Work in progress		300			322
	Finished goods		384			259
		$	1,884		$	1,738
	Obsolescence reserve		(349	)		(359	)
		$	1,535		$	1,379

SEGMENT_INFORMATION_Tables

SEGMENT INFORMATION (Tables)	9 Months Ended
	Jun. 30, 2014
SEGMENT INFORMATION [Abstract]	'
Operating Segments	'
		Three Months Ended						Nine Months Ended
		June 30,						June 30,
		2014			2013			2014			2013
	Revenue:
	Service	$	4,754		$	4,156		$	14,196		$	12,493
	Product		1,278			1,444			3,968			4,067
		$	6,032		$	5,600		$	18,164		$	16,560
	Operating income (loss):
	Service	$	293		$	222		$	669		$	71
	Product		(37	)		216			154			661
		$	256		$	438		$	823		$	732
	Interest expense		(123	)		(163	)		(408	)		(492	)
	Change in fair value of warrant liability - decrease (increase)		66			318			(1,095	)		293
	Other income		1			1			6			6
	Income (loss) before income taxes	$	200		$	594		$	(674	)	$	539

RESTRUCTURING_Tables

RESTRUCTURING (Tables)	9 Months Ended
	Jun. 30, 2014
RESTRUCTURING [Abstract]	'
Summary of Restructuring Activity	'
	The following table sets forth the rollforward of the restructuring activity for the nine months ended June 30, 2014.
		Balance,			Total		Cash		Other		Balance,
		September 30,			Charges		Payments				June 30,
		2013									2014
	One-time termination benefits	$	-		$	-	$	-	$	-	$	-
	Lease related costs		877			-		-		64		941
	Equipment moving costs and method transfers		-			-		-		-		-
	Travel and relocation costs		-			-		-		-		-
	Loss on sale of equipment		(16	)		-		-		16		-
	Other costs		117			-		-		-		117
	Total	$	978		$	-	$	-	$	80	$	1,058

FAIR_VALUE_OF_FINANCIAL_INSTRU1

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)	9 Months Ended
	Jun. 30, 2014
FAIR VALUE OF FINANCIAL INSTRUMENTS [Abstract]	'
Summary of Assumptions Used to Compute Fair Value of Warrants	'
	The assumptions used to compute the fair value of the warrants at June 30, 2014 and September 30, 2013 are as follows:
		30-Jun-14				30-Sep-13
		Warrant A				Warrant A
	Risk-free interest rate		0.42	%			0.51	%
	Dividend yield		0	%			0	%
	Volatility of the Company's common stock		64.48	%			71.15	%
	Expected life of the options (years)		1.87				2.6
	Fair value per unit	$	1.067			$	0.444
Schedule of Fair Value of Derivatives	'
	The following table presents the fair value outstanding at June 30:
				Fair Value at:
		Balance Sheet Classification		30-Jun-14				30-Jun-13
	Interest rate swap agreement	Other long-term liabilities		$	41			$	-

STOCKBASED_COMPENSATION_Narrat

STOCK-BASED COMPENSATION (Narrative) (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'	'	'	'
Options outstanding that were granted outside of the plan	155	'	155	'
Employee Stock Option [Member]	'	'	'	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'	'	'	'
Stock-based compensation expense	$19	$52	$65	$187

STOCKBASED_COMPENSATION_Summar

STOCK-BASED COMPENSATION (Summary of Stock Option Activity) (Details) (Employee Stock Option [Member], USD $)	9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jun. 30, 2014
Employee Stock Option [Member]	'
Options (shares)	'
Outstanding - October 1, 2013	479
Exercised	-9
Granted	30
Terminated	-77
Outstanding - June 30, 2014	423
Weighted-Average Exercise Price	'
Outstanding - October 1, 2013	$1.77
Exercised	$1.17
Granted	$2.81
Terminated	$2.05
Outstanding - June 30, 2014	$1.80
Weighted-Average Grant Date Fair Value	'
Outstanding - October 1, 2013	$1.35
Exercised	$0.97
Granted	$2.35
Terminated	$1.54
Outstanding - June 30, 2014	$1.39

STOCKBASED_COMPENSATION_Fair_V

STOCK-BASED COMPENSATION (Fair Value Assumptions) (Details) (Stock Options [Member])	9 Months Ended
	Jun. 30, 2014
Stock Options [Member]	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'
Risk-free interest rate, minimum	2.26%
Risk-free interest rate, maximum	2.45%
Dividend yield	0.00%
Expected volatility, minimum	94.62%
Expected volatility , maximum	94.65%
Expected life of the options (years)	'8 years
Forfeitures	3.00%

INCOME_LOSS_PER_SHARE_Narrativ

INCOME (LOSS) PER SHARE (Narrative) (Details)	3 Months Ended	9 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Warrant [Member]	'	'	'
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]	'	'	'
Antidilutive shares not considered in computing diluted earnings per share	1,377	799	1,377
Series A Preferred Stock [Member]	'	'	'
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]	'	'	'
Antidilutive shares not considered in computing diluted earnings per share	'	592	'

INCOME_LOSS_PER_SHARE_Reconcil

INCOME (LOSS) PER SHARE (Reconciliation of Computation of Basic Income or Loss Per Share to Diluted Income or Loss Per Share) (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Basic net income (loss) per share:	'	'	'	'
Net Income (loss) applicable to common shareholders	$215	$576	($666)	$521
Weighted average common shares outstanding	8,068	7,673	7,922	7,656
Basic net income (loss) per share	$0.03	$0.08	($0.08)	$0.07
Diluted net income (loss) per share:	'	'	'	'
Net Income (loss) applicable to common shareholders	215	576	-666	521
Change in Fair Value of Warrant Liability	-66	'	'	'
Diluted net income (loss) applicable to common shareholders	$149	$576	($666)	$521
Weighted average common shares outstanding	8,068	7,673	7,922	7,656
Plus: Incremental shares from assumed conversions	'	'	'	'
Series A preferred shares	592	696	'	696
Class A warrants	810	'	'	'
Dilutive stock options/shares	155	31	'	1
Diluted weighted average common shares outstanding	9,625	8,400	7,922	8,353
Diluted net income (loss) per share	$0.02	$0.07	($0.08)	$0.06

INVENTORIES_Details

INVENTORIES (Details) (USD $)	Jun. 30, 2014	Sep. 30, 2013
In Thousands, unless otherwise specified
INVENTORIES [Abstract]	'	'
Raw materials	$1,200	$1,157
Work in process	300	322
Finished goods	384	259
Gross inventories	1,884	1,738
Obsolescence reserve	-349	-359
Inventories	$1,535	$1,379

SEGMENT_INFORMATION_Details

SEGMENT INFORMATION (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
			segments
Segment Reporting Information [Line Items]	'	'	'	'
Number of segments	'	'	2	'
Revenue:	$6,032	$5,600	$18,164	$16,560
Operating income (loss):	256	438	823	732
Interest expense	-123	-163	-408	-492
Change in fair value of warrant liability - decrease (increase)	66	318	-1,095	293
Other income	1	1	6	6
Net Income (loss) before income taxes	200	594	-674	539
Service [Member]	'	'	'	'
Segment Reporting Information [Line Items]	'	'	'	'
Revenue:	4,754	4,156	14,196	12,493
Operating income (loss):	293	222	669	71
Product [Member]	'	'	'	'
Segment Reporting Information [Line Items]	'	'	'	'
Revenue:	1,278	1,444	3,968	4,067
Operating income (loss):	($37)	$216	$154	$661

INCOME_TAXES_Details

INCOME TAXES (Details) (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Sep. 30, 2013
INCOME TAXES [Abstract]	'	'
Liability for other uncertain income tax positions	$16	$16
Statutory federal income tax rate	34.00%	'
Effective income tax rate	-1.20%	'

DEBT_Note_Payable_Details

DEBT (Note Payable) (Details) (Second Replacement Note Payable [Member], USD $)	9 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Sep. 30, 2013
Second Replacement Note Payable [Member]	'	'
Debt Instrument [Line Items]	'	'
Long-term debt	'	$5,254
Debt instrument, maturity date	31-Oct-14	'
Debt instrument, frequency of periodic payments	'monthly	'
Debt instrument, principal payment	47	'
Debt instrument, face amount	$5,786	'
Debt instrument, variable interest reference rate	'LIBOR	'
Debt instrument, basis spread on variable rate	4.00%	'
Debt instrument, minimum interest rate	6.00%	'
Fixed charge coverage ratio	1.25	'
Total liabilities to tangible net worth ratio	2.1	'

DEBT_Revolving_Line_of_Credit_

DEBT (Revolving Line of Credit) (Details) (USD $)	Jun. 30, 2014	Jun. 30, 2014	Jun. 30, 2014	Oct. 01, 2015	Jun. 30, 2014	Sep. 30, 2013
In Thousands, unless otherwise specified	Swap [Member]	New Credit Facility Term Loan [Member]	New Credit Facility Revolving Loan [Member]	New Credit Facility Revolving Loan [Member]	Revolving Line of Credit [Member]	Revolving Line of Credit [Member]
				Scenario, Forecast [Member]	Former Line of Credit [Member]	Former Line of Credit [Member]
Debt Instrument [Line Items]	'	'	'	'	'	'
Line of credit, maximum borrowing capacity	'	'	$2,000	'	$3,000	'
Debt instrument, face amount	'	5,500	'	'	'	'
Debt instrument, maturity date	'	31-May-19	31-May-16	'	'	'
Debt instrument, principal payment	'	65	'	'	'	'
Debt instrument, carrying amount	'	5,435	'	'	'	'
Line of credit, frequency of periodic payments	'	'monthly	'monthly	'	'monthly	'
Line of credit, periodic interest payments	'	'	'	'	15	'
Debt instrument, basis spread on variable rate	'	3.25%	3.00%	'	5.00%	'
Line of credit, frequency of facilities fee payments	'	'	'quarterly	'	'annual	'
Line of credit, facilities fee, percentage	'	'	0.25%	'	2.00%	'
Line of credit, collateral monitoring fee, percentage	'	'	'	'	0.20%	'
Line of credit, collateral	'	'	'	'	'Borrowings under the Credit Agreement were secured by a blanket lien on our personal property, including certain eligible accounts receivable, inventory, and intellectual property assets, a second mortgage on our West Lafayette and Evansville real estate and all common stock of our U.S. subsidiaries and 65% of the common stock of our non-United States subsidiary. Borrowings were calculated based on 75% of eligible accounts receivable.	'
Line of credit, borrowings, based on eligible accounts receivable, percentage	'	'	'	'	75.00%	'
Minimum net worth covenant requirement	'	'	'	'	8,000	'
Line of credit, amount outstanding	'	'	$0	'	'	$1,415
Covenant terms	'	'	'Pursuant to the Agreement, the revolving loan also carries an annual clean-up provision that requires the Company to maintain a balance of not more than 20% of the maximum loan of $2,000 for a period of 30 days in any 12 month period while the revolving loan is outstanding.	'	'	'
Fixed charge coverage ratio	'	'	1.1	'	'	'
Leverage ratio	'	'	3	2.5	'	'
Percentage of debt covered by swap	60.00%	'	'	'	'	'
Fixed interest rate	5.00%	'	'	'	'	'

RESTRUCTURING_Narrative_Detail

RESTRUCTURING (Narrative) (Details) (USD $)	12 Months Ended			9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2012	Jun. 30, 2014	Sep. 30, 2013	Jun. 30, 2014	Jun. 30, 2014	Sep. 30, 2013
	employees	sqft		Scenario, Forecast [Member]	Lease Related Costs [Member]	Lease Related Costs [Member]
Restructuring Cost and Reserve [Line Items]	'	'	'	'	'	'
Area of headquarters facility	'	120,000	'	'	'	'
Number of employees terminated	74	'	'	'	'	'
Rent income	'	'	'	$200	'	'
Restructuring reserve	'	$1,058	$978	'	$941	$877

RESTRUCTURING_Summary_of_Restr

RESTRUCTURING (Summary of Restructuring Activity) (Details) (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014
Restructuring Cost and Reserve [Line Items]	'
Balance	$978
Total Charges	'
Cash Payments	'
Other	80
Balance	1,058
One-time Termination Benefits [Member]	'
Restructuring Cost and Reserve [Line Items]	'
Balance	'
Total Charges	'
Cash Payments	'
Other	'
Balance	'
Lease Related Costs [Member]	'
Restructuring Cost and Reserve [Line Items]	'
Balance	877
Total Charges	'
Cash Payments	'
Other	64
Balance	941
Equipment Moving Costs And Method Transfers [Member]	'
Restructuring Cost and Reserve [Line Items]	'
Balance	'
Total Charges	'
Cash Payments	'
Other	'
Balance	'
Travel and Relocation Costs [Member]	'
Restructuring Cost and Reserve [Line Items]	'
Balance	'
Total Charges	'
Cash Payments	'
Other	'
Balance	'
Loss on Sale of Equipment [Member]	'
Restructuring Cost and Reserve [Line Items]	'
Balance	-16
Total Charges	'
Cash Payments	'
Other	16
Balance	'
Other Costs [Member]	'
Restructuring Cost and Reserve [Line Items]	'
Balance	117
Total Charges	'
Cash Payments	'
Other	'
Balance	$117

FAIR_VALUE_OF_FINANCIAL_INSTRU2

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) (USD $)	Jun. 30, 2014	Sep. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	12-May-12	Jun. 30, 2014	Sep. 30, 2013
In Thousands, except Per Share data, unless otherwise specified			Swap [Member]	Swap [Member]	Class B Warrant [Member]	Derivative Financial Instruments, Liabilities [Member]	Derivative Financial Instruments, Liabilities [Member]
						Class A Warrant [Member]	Class A Warrant [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]	'	'	'	'	'	'	'
Risk-free interest rate	'	'	'	'	'	0.42%	0.51%
Dividend yield	'	'	'	'	'	0.00%	0.00%
Volatility of the Company's common stock	'	'	'	'	'	64.48%	71.15%
Expected life of the options	'	'	'	'	'	'1 year 10 months 13 days	'2 years 7 months 6 days
Fair value per unit	'	'	'	'	'	$1.07	$0.44
Fair value of warrant liability	$852	$612	'	'	$0	'	'
Percentage of debt covered by swap	'	'	60.00%	'	'	'	'
Interest rate swap agreement	'	'	$41	'	'	'	'

MANAGEMENTS_PLAN_Details

MANAGEMENT'S PLAN (Details) (USD $)	9 Months Ended
	Jun. 30, 2014	Jun. 30, 2013
MANAGEMENT'S PLAN [Abstract]	'	'
Revenue growth (decline), percent	9.60%	'
Gross margin growth (decline), percent	19.30%	'
Operating income growth (decline), percent	12.40%	'
Cash generated from operations	$1,215,000	$1,418,000
Net paydown on line of credit	-1,400,000	'
Debt and lease obligations, current	900,000	'
New Credit Facility Term Loan [Member]	'	'
Debt Instrument [Line Items]	'	'
Debt instrument, face amount	5,500,000	'
New Credit Facility Revolving Loan [Member]	'	'
Debt Instrument [Line Items]	'	'
Line of credit, maximum borrowing capacity	$2,000,000	'