Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Mar. 10, 2016 | Jul. 05, 2015 | |
Entity Registrant Name | SYPRIS SOLUTIONS INC | ||
Entity Central Index Key | 864,240 | ||
Trading Symbol | sypr | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Common Stock, Shares Outstanding (in shares) | 21,058,544 | ||
Entity Public Float | $ 15,839,081 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Net revenue: | ||
Outsourced services | $ 113,547,000 | $ 322,159,000 |
Products | 31,776,000 | 32,617,000 |
Total net revenue | 145,323,000 | 354,776,000 |
Cost of sales: | ||
Outsourced services | 122,296,000 | 288,081,000 |
Products | 22,709,000 | 27,865,000 |
Total cost of sales | 145,005,000 | 315,946,000 |
Gross profit | 318,000 | 38,830,000 |
Selling, general and administrative | 27,845,000 | 35,531,000 |
Research and development | 779,000 | 579,000 |
Severance and equipment relocation costs | 1,338,000 | 0 |
Operating (loss) income | (29,644,000) | 2,720,000 |
Interest expense, net | 4,223,000 | 617,000 |
Other (income), net | (8,643,000) | (1,282,000) |
(Loss) income before income taxes | (25,224,000) | 3,385,000 |
Income tax expense, net | 1,992,000 | 4,569,000 |
Net loss | $ (27,216,000) | $ (1,184,000) |
Loss per common share: | ||
Basic (in dollars per share) | $ (1.38) | $ (0.06) |
Diluted (in dollars per share) | (1.38) | (0.06) |
Cash dividends per common share (in dollars per share) | $ 0 | $ 0.08 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Net loss | $ (27,216,000) | $ (1,184,000) |
Other comprehensive (loss) income: | ||
Foreign currency translation adjustments | (2,289,000) | (2,830,000) |
Employee benefit related, net of tax | 1,564,000 | (4,471,000) |
Other comprehensive (loss) | (725,000) | (7,301,000) |
Comprehensive loss | $ (27,941,000) | $ (8,485,000) |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Series A Preferred Stock [Member] | ||
Stockholders’ equity: | ||
Preferred stock | ||
Nonvoting Common Stock [Member] | ||
Stockholders’ equity: | ||
Common stock | ||
Cash and cash equivalents | $ 1,349,000 | $ 7,003,000 |
Accounts receivable, net | 12,394,000 | 47,666,000 |
Inventory, net | 20,192,000 | 29,031,000 |
Other current assets | 4,459,000 | 5,666,000 |
Assets held for sale | 3,230,000 | 0 |
Total current assets | 41,624,000 | 89,366,000 |
Property, plant and equipment, net | 22,178,000 | 37,654,000 |
Other assets | 4,310,000 | 2,661,000 |
Total assets | 68,112,000 | 129,681,000 |
Accounts payable | 11,311,000 | 39,027,000 |
Accrued liabilities | 11,661,000 | 18,775,000 |
Current portion of long-term debt | 3,846,000 | 17,000,000 |
Total current liabilities | 26,818,000 | 74,802,000 |
Note payable – related party | 5,500,000 | 0 |
Long-term debt | 10,000,000 | 0 |
Other liabilities | 6,082,000 | 7,991,000 |
Total liabilities | $ 48,400,000 | $ 82,793,000 |
Preferred stock | ||
Common stock | $ 208,000 | $ 206,000 |
Additional paid-in capital | 152,077,000 | 151,314,000 |
Accumulated deficit | (106,812,000) | (79,596,000) |
Accumulated other comprehensive loss | (25,760,000) | (25,035,000) |
Treasury stock, 49,692 and 82,692 shares in 2015 and 2014, respectively | (1,000) | (1,000) |
Total stockholders’ equity | 19,712,000 | 46,888,000 |
Total liabilities and stockholders’ equity | $ 68,112,000 | $ 129,681,000 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Dec. 31, 2015 | Dec. 31, 2014 |
Series A Preferred Stock [Member] | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 24,850 | 24,850 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Nonvoting Common Stock [Member] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Common stock, shares issued (in shares) | 0 | 0 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 975,150 | 975,150 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 30,000,000 | 30,000,000 |
Common stock, shares issued (in shares) | 20,826,236 | 20,567,735 |
Common stock, shares outstanding (in shares) | 20,776,544 | 20,485,043 |
Treasury stock (in shares) | 49,692 | 82,692 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flow - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities: | ||
Net loss | $ (27,216,000) | $ (1,184,000) |
Adjustments to reconcile net loss to net cash (used in) provided by operating activities: | ||
Depreciation and amortization | 9,035,000 | 10,409,000 |
Deferred Income Tax Expense (Benefit) | 2,230,000 | 1,050,000 |
Non-cash compensation | 842,000 | 1,597,000 |
Deferred revenue recognized | (4,200,000) | (8,657,000) |
Deferred loan costs amortized | 2,333,000 | 78,000 |
Gain on sale of assets | (7,480,000) | (19,000) |
Provision for excess and obsolete inventory | 1,069,000 | 1,150,000 |
Other noncash items | (1,289,000) | (993,000) |
Contributions to pension plans | (315,000) | (1,090,000) |
Changes in operating assets and liabilities: | ||
Accounts receivable | 24,700,000 | (9,091,000) |
Inventory | 5,432,000 | 4,276,000 |
Prepaid expenses and other assets | (4,470,000) | (143,000) |
Accounts payable | (13,388,000) | 2,425,000 |
Accrued and other liabilities | (730,000) | 3,237,000 |
Net cash (used in) provided by operating activities | (13,447,000) | 3,045,000 |
Cash flows from investing activities: | ||
Capital expenditures | (1,825,000) | (5,259,000) |
Proceeds from sale of assets | 15,741,000 | 30,000 |
Net cash provided by (used in) investing activities | 13,916,000 | (5,229,000) |
Cash flows from financing activities: | ||
Repayment of former Revolving Credit Agreement | (17,000,000) | 0 |
Repayment of note payable – Meritor | (3,779,000) | 0 |
Proceeds from issuance of Term Loan | 12,000,000 | 0 |
Principal payments on Term Loan | (286,000) | 0 |
Proceeds from note payable – related party | 5,500,000 | 0 |
Proceeds from New Revolving Credit Agreement | 2,132,000 | 0 |
Net change in debt under Credit Facility | 0 | (7,000,000) |
Debt issuance and modification costs | (4,203,000) | 0 |
Common stock repurchases | 0 | (426,000) |
Indirect repurchase of shares for minimum statutory tax withholdings | (77,000) | (429,000) |
Cash dividends paid | (410,000) | (1,635,000) |
Proceeds from issuance of common stock | 0 | 3,000 |
Net cash used in financing activities | (6,123,000) | (9,487,000) |
Net decrease in cash and cash equivalents | (5,654,000) | (11,671,000) |
Cash and cash equivalents at beginning of year | 7,003,000 | 18,674,000 |
Cash and cash equivalents at end of year | $ 1,349,000 | $ 7,003,000 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Treasury Stock [Member] | Total |
Balance (in shares) at Dec. 31, 2013 | 20,399,649 | |||||
Balance at Dec. 31, 2013 | $ 204,000 | $ 150,569,000 | $ (76,786,000) | $ (17,734,000) | $ (1,000) | |
Net loss (in shares) | 0 | |||||
Net loss | $ 0 | 0 | (1,184,000) | 0 | 0 | $ (1,184,000) |
Employee benefit related, net of tax (in shares) | 0 | |||||
Employee benefit related, net of tax | $ 0 | 0 | 0 | (4,471,000) | 0 | (4,471,000) |
Foreign currency translation adjustment (in shares) | 0 | |||||
Foreign currency translation adjustment | $ 0 | 0 | 0 | (2,830,000) | 0 | |
Cash dividends, $0.08 per common share (in shares) | 0 | |||||
Cash dividends, $0.08 per common share | $ 0 | 0 | (1,637,000) | 0 | 0 | |
Common stock repurchases (in shares) | (104,501) | |||||
Common stock repurchases | $ 0 | (426,000) | 0 | 0 | 0 | $ 426,000 |
Restricted common stock grant (in shares) | 283,000 | |||||
Restricted common stock grant | $ 3,000 | 0 | 0 | 0 | 0 | |
Noncash compensation (in shares) | 48,000 | |||||
Noncash compensation | $ 0 | 1,597,000 | 11,000 | 0 | 0 | |
Exercised (in shares) | 56,217 | 201,589 | ||||
Exercise of stock options | $ 0 | 3,000 | 0 | 0 | 0 | |
Treasury stock (in shares) | (98,000) | |||||
Treasury stock | $ 0 | 0 | 0 | 0 | 0 | |
Retire treasury stock (in shares) | (99,322) | |||||
Retire treasury stock | $ (1,000) | (429,000) | 0 | 0 | 0 | |
Balance (in shares) at Dec. 31, 2014 | 20,485,043 | |||||
Balance at Dec. 31, 2014 | $ 206,000 | 151,314,000 | (79,596,000) | (25,035,000) | (1,000) | $ 46,888,000 |
Retire treasury stock | $ 1,000 | 429,000 | 0 | 0 | 0 | |
Net loss (in shares) | 0 | |||||
Net loss | $ 0 | 0 | (27,216,000) | 0 | 0 | (27,216,000) |
Employee benefit related, net of tax (in shares) | 0 | |||||
Employee benefit related, net of tax | $ 0 | 0 | 0 | 1,564,000 | 0 | 1,564,000 |
Foreign currency translation adjustment (in shares) | 0 | |||||
Foreign currency translation adjustment | $ 0 | 0 | 0 | (2,289,000) | 0 | |
Common stock repurchases | $ 0 | |||||
Restricted common stock grant (in shares) | 287,500 | |||||
Restricted common stock grant | $ 2,000 | (2,000) | 0 | 0 | 0 | |
Noncash compensation (in shares) | 48,000 | |||||
Noncash compensation | $ 0 | 842,000 | 0 | 0 | 0 | |
Exercised (in shares) | 0 | |||||
Treasury stock (in shares) | (15,000) | |||||
Treasury stock | $ 0 | 0 | 0 | 0 | 0 | |
Retire treasury stock (in shares) | (28,999) | |||||
Retire treasury stock | $ 0 | 77,000 | 0 | 0 | 0 | |
Balance (in shares) at Dec. 31, 2015 | 20,776,544 | |||||
Balance at Dec. 31, 2015 | $ 208,000 | 152,077,000 | (106,812,000) | (25,760,000) | (1,000) | $ 19,712,000 |
Retire treasury stock | $ 0 | $ (77,000) | $ 0 | $ 0 | $ 0 |
Consolidated Statements of Sto8
Consolidated Statements of Stockholders' Equity (Parentheticals) | 12 Months Ended |
Dec. 31, 2014$ / shares | |
Retained Earnings [Member] | |
Cash dividends per common share (in dollars per share) | $ 0.08 |
Cash dividends per common share (in dollars per share) | $ 0.08 |
Note 1 - Organization and Accou
Note 1 - Organization and Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block] | (1) Organization and Significant Accounting Policies Consolidation Policy Nature of Business Sypris is a diversified provider of outsourced services and specialty products. The Company performs a wide range of manufacturing, engineering, design and other technical services, often under sole-source contracts with corporations and government agencies in the markets for truck components and assemblies and aerospace and defense electronics. The Company provides such services through its Sypris Technologies and Sypris Electronics segments. See Note 22 for additional information regarding our segments. Use of Estimates Fair Value Estimates Cash Equivalents Cash equivalents include all highly liquid investments with a maturity of three months or less when purchased. Inventory manufacturing process but not incorporated into finished products are classified as raw materials. The Company’s reserve for excess and obsolete inventory is primarily based upon forecasted demand for its product sales, and any change to the reserve arising from forecast revisions is reflected in cost of sales in the period the revision is made. Property, Plant and Equipment Long-lived Assets The Company reviews the carrying value of amortizable long-lived assets whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held for sale and held for use is measured by a comparison of the carrying amount of the asset to the undiscounted future net cash flows expected to be generated by the asset. If facts and circumstances indicate that the carrying value of an asset or groups of assets, as applicable, is impaired, the long-lived asset or groups of long-lived assets are written down to their estimated fair value. Software Development Costs Software development costs for Sypris Electronics are expensed as incurred until technological feasibility has been established, at which time those costs are capitalized as intangible assets until the software is implemented into products sold to customers. Capitalized software development costs are amortized on a straight-line basis over the estimated useful life of the software, which is currently eighteen months. Costs incurred to enhance existing software or after the implementation of the software into a product are expensed in the period they are incurred and included in research and development expense in the consolidated statements of operations. As of December 31, 2015 and 2014, the Company had capitalized software development costs of $1,597,000 and $1,883,000, respectively, included in other current assets. For the years end December 31, 2015 and 2014, the Company recorded related amortization of $2,090,000 and $372,000, respectively. Deferred Revenue Deferred revenue for Sypris Electronics is recorded when payments are received in advance for service agreements and extended warranties on certain products and is amortized into revenue on a straight-line basis over the contractual term. Deferred revenue for Sypris Electronics also includes prepayments received prior to the time when products are shipped. When the related products are shipped, the related amount recorded as deferred revenue is recognized as revenue. Deferred revenue for Sypris Technologies is generally associated with the Dana settlement and was amortized into income on a units-of-production basis over the term of the related supply agreement period. See Note 5 for information regarding the Dana settlement, and see Note 12 for the amount of deferred revenue included in accrued liabilities at December 31, 2015 and 2014. Stock-based Compensation The Company accounts for stock-based compensation in accordance with the fair value recognition provisions using the Black-Scholes option-pricing method, which requires the input of several subjective assumptions. These assumptions include estimating the length of time employees will retain their vested stock options before exercising them (expected term), the estimated volatility of our common stock price over the expected term and the number of options that will ultimately not complete their vesting requirements (forfeitures). Changes in the subjective assumptions can materially affect the fair value estimate of stock-based compensation and consequently, the related expense recognized in the consolidated statements of operations. Income Taxes The Company uses the liability method in accounting for income taxes. Deferred tax assets and liabilities are recorded for temporary differences between the tax basis of assets and liabilities and their reported amounts in the consolidated financial statements, using the statutory tax rates in effect for the year in which the differences are expected to reverse. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets unless it is more likely than not that such assets will be realized. In the ordinary course of business there is inherent uncertainty in quantifying the Company’s income tax positions. The Company assesses its income tax positions and records tax benefits for all years subject to examination based upon management’s evaluation of the facts, circumstances, and information available at the reporting dates. For those tax positions where it is more-likely-than-not that a tax benefit will be sustained, the Company has recorded the largest amount of tax benefit with a greater than 50% likelihood of being realized upon ultimate settlement with a taxing authority that has full knowledge of all relevant information. For those income tax positions where it is not more-likely-than-not that a tax benefit will be sustained, no tax benefit has been recognized in the financial statements. Where applicable, associated interest has also been recognized. The Company recognizes liabilities or assets for the deferred tax consequences of temporary differences between the tax bases of assets or liabilities and their reported amounts in the financial statements in accordance with ASC 740, Income Taxes The Company expects to repatriate available non-U.S. cash holdings to support management’s strategic objectives and fund ongoing U.S. operational cash flow requirements; therefore current earnings from non-U.S. operations are not treated as permanently reinvested. The U.S. income tax recorded in 2014 on these non-U.S. earnings was offset by the benefit of a partial release of a valuation allowance on deferred tax assets associated with our U.S. Net Revenue and Cost of Sales Net revenue of products and services under commercial terms and conditions are recorded upon delivery and passage of title, or when services are rendered. Related shipping and handling costs, if any, are included in costs of sales. The Company periodically enters into research and development contracts with customers related primarily to key encryption products. When the contracts provide for milestone or other interim payments, the Company will recognize revenue under the milestone method in accordance with Accounting Standards Codification (“ASC”) 605-28 Revenue Recognition, Milestone Method Product Warranty Costs 31, 2015 and 2014 was $159,000 and $43,000, respectively. Additionally, the Company sells three and five-year extended warranties for certain link encryption products. The revenue from the extended warranties is deferred and recognized ratably over the contractual term. As of December 31, 2015 and 2014, the Company had deferred $495,000 and $839,000, respectively, related to extended warranties. At December 31, 2015, $333,000 is included in accrued liabilities and $162,000 is included in other liabilities in the accompanying balance sheets. At December 31, 2014, $344,000 is included in accrued liabilities and $495,000 is included in other liabilities in the accompanying balance sheets. Concentrations of Credit Risk Sypris Technologies’ largest customers for the year ended December 31, 2015 were Meritor, Sistemas and Detroit Diesel Corporation, which represented approximately 30%, 11% and 10%, respectively, of the Company’s total net revenue. Dana and Meritor were the Company’s largest customers for the year ended December 31, 2014, which represented approximately 59% and 16%, respectively, of the Company’s total net revenue. The Company recognized revenue from contracts with the U.S. Government and its agencies approximating 5% and 2% of net revenue for the years ended December 31, 2015 and 2014, respectively. No other single customer accounted for more than 10% of the Company’s total net revenue for the years ended December 31, 2015 or 2014. Foreign Currency Translation The functional currency for the Company’s Mexican subsidiaries is the Mexican peso. Assets and liabilities are translated at the period end exchange rate, and income and expense items are translated at the weighted average exchange rate. The resulting translation adjustments are recorded in comprehensive (loss) income as a separate component of stockholders’ equity. Remeasurement gains or losses for U.S. dollar denominated accounts of the Company’s Mexican subsidiaries are included in other (income), net. Collective Bargaining Agreements Approximately 374, or 51% of the Company’s employees, all within Sypris Technologies, were covered by collective bargaining agreements at December 31, 2015. Excluding certain Mexico employees covered under an annually ratified agreement, collective bargaining agreements covering 35 employees expire within the next 12 months. Certain Mexico employees are covered by an annually ratified collective bargaining agreement. These employees represented approximately 26% of the Company’s workforce, or 191 employees as of December 31, 2015. Adoption of Recently Issued Accounting Standards In April 2014, the Financial Accounting Standards Board (“FASB”) issued guidance that revises the definition of a discontinued operation. The revised definition limits discontinued operations reporting to disposals of components of an entity that represent strategic shifts that have (or will have) a major effect on operations and financial results. The guidance also requires new disclosures of both discontinued operations and certain other disposals that do not meet the definition of a discontinued operation. The guidance will apply to covered transactions that occur after 2014 and was optional for the initial reporting of disposals completed or approved in 2014. The Company adopted the standard effective January 1, 2015. In May 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-09, “Revenue from Contracts with Customers.” This ASU supersedes the revenue recognition requirements in “Accounting Standard Codification 605 - Revenue Recognition” and most industry-specific guidance. The standard requires that entities recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which a company expects to be entitled in exchange for those goods or services. The new guidance will also require new disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. ASU 2014-09 was originally effective for us on January 1, 2017; however, in July 2015 the FASB decided to defer the effective date by one year. Early application is not permitted, but reporting entities may choose to adopt the standard as of the original effective date. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is currently assessing the impact of the adoption of ASU 2014-09 on its results of operations, financial position and cash flows. In August 2014, the FASB issued ASU No. 2014-15 Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern, which requires management to evaluate whether there are conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern, and to provide certain disclosures when it is probable that the entity will be unable to meet its obligations as they become due within one year after the date that the financial statements are issued. ASU 2014-15 is effective for the annual period ended December 31, 2016 and for annual periods and interim periods thereafter with early adoption permitted. The Company is currently evaluating the new guidance to determine the impact it may have on our consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs. The amendments in this ASU 2015-03 require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs are not affected by the amendments in this ASU 2015-03. In August 2015 the FASB issued ASU No. 2015-15, Interest - Imputation of Interest (Subtopic 835-30): Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements - Amendments to SEC Paragraphs Pursuant to Staff Announcement at June 18, 2015 EITF Meeting. ASU 2015-15 was issued to address presentation or subsequent measurement of debt issuance costs related to line-of-credit arrangements that were not found ASU 2015-03. Given the absence of authoritative guidance within ASU 2015-03 for debt issuance costs related to line-of-credit arrangements, the SEC staff would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. These standards are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015, and should be applied retrospectively. Early adoption is permitted. The Company is currently assessing the potential impact of adopting ASU 2015-03 and ASU 2015-15 on its consolidated financial statements and related disclosures. In July 2015, the FASB issued ASU No. 2015-11, which simplifies the subsequent measurement of inventory. It replaces the current lower of cost or market test with a lower of cost or net realizable value test. The standard is effective for public entities for annual reporting periods beginning after December 15, 2016, and interim periods therein. Early adoption is permitted. The new guidance must be applied prospectively. The adoption of this standard is not expected to have a material impact on the consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). Leases |
Note 2 - Management's Recovery
Note 2 - Management's Recovery Plans | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Concentration Risk Disclosure [Text Block] | (2) Management’s Recovery Plans The Company’s net loss increased from $1,184,000 in 2014 to $27,216,000 in 2015, which included a gain of $7,744,000 from the sale of assets used in the Company’s manufacturing facility in Morganton, North Carolina (see Note 3 “Morganton Sale”). Operating income in 2014 was $2,720,000 compared to an operating loss of $29,644,000 in 2015. Operating cash flows were positive $3,045,000 in 2014 compared to negative $13,447,000 in 2015. Given the loss of the Dana business and unfavorable growth trends and softness in commercial vehicle manufacturing and the oil and gas markets served by Sypris Technologies, management has developed various profit recovery and protection plans and is evaluating strategic alternatives to optimize asset values in each of the Company’s segments. Management has engaged advisors to provide recommendations for cost reductions and actions that can be taken to improve profitability. Management prepared a revised forecast during March 2016 with plans to control costs, manage cash flow and remain in compliance with debt covenant requirements throughout 2016. In addition, Management has embarked on a project to evaluate various strategic alternatives to optimize asset values. The Company completed a number of its initial profit recovery and protection actions in 2015, including: (i) the sale of certain assets used in the Company’s manufacturing facility in Morganton, North Carolina within the Sypris Technologies segment (ii) reduction in workforce at all locations, and (iii) other reductions in employment costs through reduced work schedules, senior management pay reductions, deferral of merit increases and certain benefit payments. The Company’s debt was restructured and the prior Credit Facility was paid in full, while the Company has received the benefit of three cash infusions from Gill Family Capital Management, Inc. (“GFCM’), in the form of subordinated promissory note obligations totaling $6,500,000 in principal through the first quarter of 2016. The commercial vehicle industry has softened beginning in the fourth quarter of 2015 along with other durable and non-durable goods sectors in the North America economy. Management has identified additional cost reduction actions in the Sypris Technologies segment. Reductions in selling, general and administrative expense and labor expense were implemented during the first quarter of 2016, and additional cost reductions are planned during the second and third quarters. Although the expected benefits of the cost reductions will be partially offset by the impact of minor investments and severance required to enable the cost reductions, the actions are expected to contribute to improved liquidity during 2016. Management has identified a number of new customer opportunities that provide higher margin opportunities, even at lower volumes. Management is implementing operational efficiencies that are expected to enable reductions in the machinery set-up time for new orders which enables the Company to quote on customer requirements that are higher margin but with somewhat shorter run lengths. These new business activities are anticipated to enable the Company to diversify its revenue volume over a larger and more profitable customer base. One of the additional actions implemented by management during the first quarter of 2016 was to consummate the sale and partial lease back of its facility located in Toluca Mexico, which generated gross proceeds of approximately $12,100,000. Of this total, $6,000,000 was deposited into a cash collateral account, to be held for up to one year as additional collateral for the Term Loan (see Note 14 “Debt”). Management will continue to operate in Toluca but given the 2015 reduction in the Dana business and the overall downturn in the commercial vehicle markets, management determined that the underutilized Toluca real estate value could be best optimized with a sale and lease back arrangement where some but not all of the facility would continue to be occupied and managed by Sypris Technologies. The oil and gas industry has experienced significant price erosion, and as a result the Company’s customers are delaying capital expenditures that support their growth and maintenance projects. The Company has identified some capacity reallocation opportunities between plants in the United States and Mexico. The Company has initiated the process of qualifying production for certain components in Mexico that are currently produced in the United States and completed the qualification for the first group of these components. The Company expects the capacity reallocation will accelerate during 2016 as the capital necessary to fund the reallocation becomes available and the qualification process for the production is complete. Sypris Electronics has continued to invest in a number of product development projects. The Company was awarded a significant engineering services contract in the defense sector during March of 2016. Nevertheless, the Company has identified certain cost reduction and cash flow enhancements in the Sypris Electronics segment that can be implemented during the second and third quarters that are not expected to impact the future growth in the Electronics segment. Sypris Electronics has filed a number of patent applications for technology related to its new SiOMetrics hardware authentication solutions, which may enable the Company to address commercial markets for infrastructure and the Internet of Things (IoT) markets. New commercial opportunities in the automotive, industrial controls, communications, infrastructure, utilities, automation, aviation, retail, and personal communication devices could benefit from the technology that Sypris Electronics has patented or for which it has patents pending. Sypris Electronics now provides a platform of layered security protocols that will enable customers in a number of industries to tailor the security solutions to their individual requirements. Management has taken steps to diversify its product and service offerings in the Sypris Electronics segment whereby the Company intends to be less dependent upon the Defense markets and better positioned to take advantage of the rapidly growing commercial security and encryption markets going forward. Management has identified certain cost reductions at the corporate headquarters that are expected to improve profitability and cash flow throughout 2016. Salary reductions and other SG&A cost reductions were implemented during the first quarter of 2016 that management believes will continue to benefit the company throughout future periods. Additional cost reductions have been identified in the area of professional services, administration and lease expense. |
Note 3 - Morganton Sale
Note 3 - Morganton Sale | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Mergers, Acquisitions and Dispositions Disclosures [Text Block] | (3 ) Morganton Sale On July 9, 2015, the Company entered an asset purchase agreement (the “Agreement”) to sell certain assets used in the Company’s manufacturing facility in Morganton, North Carolina, to its largest customer, Meritor, Inc. (“Meritor”). The Company retained the Morganton plant’s axle shaft manufacturing lines and certain related assets, intellectual property and inventories, which were transitioned to the Company’s Louisville, Kentucky plant in October 2015. All other Morganton equipment, related assets and intellectual property were sold to Meritor (the “Morganton Sale”) for $10,500,000 in cash paid at the closing and other consideration. Meritor purchased related inventories and accounts receivable and assumed or released certain accounts payable and other accrued liabilities, for $2,000,000 (subject to customary post-closing adjustments to actual). Meritor also purchased the Morganton building and real estate for $3,200,000. The total proceeds received of $15,700,000 in consideration for the Morganton sale were used to pay down the Company’s outstanding debt with PNC Bank, National Association (“PNC”). As a result of the Morganton sale, the Company recognized a gain of $7,744,000. At closing, the parties also entered into a Meritor Note Amendment, whereby the Company issued an additional secured obligation to Meritor of $412,000 on July 9, 2015. The parties also agreed to increase the Meritor Note by an additional $321,000 in September to reflect certain roof repairs required at the Morganton facility. The Company repaid the Meritor Note on October 30, 2015. See Note 14 “Debt,” to the consolidated financial statements for more detail on the Meritor Note. |
Note 4 - Other (Income), Net
Note 4 - Other (Income), Net | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Other Income and Other Expense Disclosure [Text Block] | ( 4 ) Other (Income), Net During the year ended December 31, 2015, the Company recognized other income of $8,643,000, which consisted primarily of a gain of $7,744,000 related to the Morganton sale (see Note 3 “Morganton Sale” to the consolidated financial statements). Additionally, during the year ended December 31, 2015, the Company recognized $505,000 related to an arbitration settlement in the Dana dispute received in the second quarter. During the year ended December 31, 2015, the Company recognized net foreign currency related gains of $259,000 related to the U.S. dollar denominated monetary asset position of our Mexican subsidiaries for which the Mexican peso is the functional currency. During the year ended December 31, 2014, Sypris Technologies received $714,000 from the receipt of federal grant funds for improvements made under a flood relief program. Additionally, the Company recognized foreign currency transaction gains of $655,000 for the year ended December 31, 2014 related to the net U.S. dollar denominated monetary asset position of our Mexican subsidiaries for which the Mexican peso is the functional currency. These gains and losses are included in other (income), net on the consolidated statements of operations. |
Note 5 - Dana Claim
Note 5 - Dana Claim | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Extraordinary Items Disclosure [Text Block] | 5 ) Dana Claim On March 3, 2006, Dana and 40 of its U.S. subsidiaries, filed voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of New York. On August 7, 2007, the Company entered into a comprehensive settlement agreement with Dana (the “Settlement Agreement”) to resolve all outstanding disputes between the parties, terminate previously approved arbitration payments and replace three existing supply agreements with a single, revised contract running through 2014. In addition, Dana provided the Company with an allowed general unsecured non-priority claim in the face amount of $89,900,000 (the “Claim”). The Claim provided to the Company was agreed to by the Company and Dana as consideration for the aggregate economic impact of the various elements the two parties were negotiating. After the aggregate Claim value of $89,900,000 was established, the Company recorded the claim at the estimated fair value of $76,483,000. The revenues and resulting net income associated with the Company’s continued involvement were deferred and were recognized over the remaining period of the Company’s supply agreement with Dana, through December 31, 2014. For the year ended December 31, 2014, the Company recognized revenue of $8,657,000 and related to the Claim. The Claim was fully amortized as of December 31, 2014. |
Note 6 - Accounts Receivable
Note 6 - Accounts Receivable | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | ( 6 ) Accounts Receivable Accounts receivable consists of the following (in thousands): December 31, 2015 2014 Commercial $ 11,882 $ 47,228 U.S. Government 1,454 727 13,336 47,955 Allowance for doubtful accounts (942 ) (289 ) $ 12,394 $ 47,666 |
Note 7 - Inventory
Note 7 - Inventory | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | ( 7 ) Inventory Inventory consists of the following (in thousands): December 31, 2015 2014 Raw materials $ 12,388 $ 16,687 Work in process 10,366 11,702 Finished goods 3,167 6,991 Reserve for excess and obsolete inventory (5,729 ) (6,349 ) $ 20,192 $ 29,031 |
Note 8 - Other Current Assets
Note 8 - Other Current Assets | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Other Current Assets [Text Block] | ( 8 ) Other Current Assets Other current assets consist of the following (in thousands): December 31, 2015 2014 Prepaid expenses $ 1,047 $ 1,499 Other 3,412 4,167 $ 4,459 $ 5,666 Included in other current assets are income taxes refundable, deferred software development costs and other items, none of which exceed 5% of total current assets. |
Note 9 - Assets Held for Sale
Note 9 - Assets Held for Sale | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | ( 9 ) Assets Held for Sale On October 30, 2015, the Company entered into a non-binding letter of intent to sell and lease-back its property and buildings in Toluca, Mexico (the “Toluca Sale-Leaseback”), which is part of Sypris Technologies. As such, the Company concluded that the assets qualified for Assets Held for Sale accounting in accordance with ASC 205 as of December 31, 2015. The purchase price was $215,000,000 Mexican Pesos, or approximately, $12,100,000 in U.S. currency, and the closing occurred on March 9, 2016. The Company deposited $6,000,000 of the proceeds from the sale-leaseback into a Cash Collateral Account, to be held for up to one year as additional collateral for the Term Loan (see Note 16 “Debt” for further discussion on the Term Loan). The assets had a net book value of $3,230,000 as of December 31, 2015. The following assets have been segregated and included in assets held for sale in the consolidated balance sheets (in thousands): December 31, 2015 Land and land improvements $ 1,568 Buildings and building improvements 3,658 Accumulated depreciation (1,996 ) Property, plant and equipment, net $ 3,230 |
Note 10 - Property, Plant and E
Note 10 - Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | ( 10 ) Property, Plant and Equipment Property, plant and equipment consists of the following (in thousands): December 31, 2015 2014 Land and land improvements $ 219 $ 2,770 Buildings and building improvements 18,305 26,055 Machinery, equipment, furniture and fixtures 123,935 158,816 Construction in progress 759 2,100 143,218 189,741 Accumulated depreciation (121,040 ) (152,087 ) $ 22,178 $ 37,654 Depreciation expense totaled approximately $6,945,000 and $10,409,000 for the years ended December 31, 2015 and 2014, respectively. In addition, there were capital expenditures of approximately $24,000 and $52,000 included in accounts payable or accrued liabilities at December 31, 2015 and 2014, respectively. |
Note 11 - Other Assets
Note 11 - Other Assets | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Other Assets Disclosure [Text Block] | ( 11 ) Other Assets Other assets consist of the following (in thousands): December 31, 2015 2014 Deferred tax assets, net $ 0 $ 1,575 Unamortized loan costs 2,413 109 Other 1,897 977 $ 4,310 $ 2,661 Deferred tax assets, net as of December 31, 2014 relate to the Company’s Mexico operations. |
Note 12 - Accrued Liabilities
Note 12 - Accrued Liabilities | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Accrued Liabilities [Text Block] | ( 12 ) Accrued Liabilities Accrued liabilities consist of the following (in thousands): December 31, 2015 2014 Salaries, wages, employment taxes and withholdings $ 2,226 $ 2,758 Employee benefit plans 1,312 1,437 Accrued professional fees 3,670 2,664 Income, property and other taxes 301 2,439 Deferred revenue 1,208 6,120 Other 2,944 3,357 $ 11,661 $ 18,775 Included in other accrued liabilities are accrued operating expenses, accrued warranty expenses, accrued interest, and other items, none of which exceed 5% of total current liabilities. |
Note 13 - Other Liabilities
Note 13 - Other Liabilities | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Other Liabilities Disclosure [Text Block] | ( 13 ) Other Liabilities Other liabilities consist of the following (in thousands): December 31, 2015 2014 Noncurrent pension liability $ 5,832 $ 7,400 Other 250 591 $ 6,082 $ 7,991 Included in other liabilities are accrued long-term warranty expenses and other items, none of which exceed 5% of total liabilities. |
Note 14 - Debt
Note 14 - Debt | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Long-term Debt [Text Block] | ( 14 ) Debt Long-term obligations consists of the following (in thousands): December 31, 2015 2014 Revolving credit facility $ 0 $ 17,000 New Credit Facility 2,132 0 Term Loan 11,714 0 Note payable – related party 5,500 0 19,346 17,000 Less current portion 3,846 17,000 $ 15,500 $ 0 Revolving Credit Facility On October 30, 2015, all outstanding principal and interest obligations outstanding under the Company’s Revolving Credit and Security Agreement, dated May 12, 2011 with PNC (the "Loan Agreement" or the “Credit Facility”) were repaid in full in conjunction with the Company’s new financing agreements. The Credit Facility was replaced by the new financing agreements. Note Payable – Related Party During 2015, the Company has received the proceeds of subordinated indebtedness from GFCM in an amount of $5,500,000. GFCM is an entity controlled by our president and chief executive officer, Jeffrey T. Gill and one of our directors, R. Scott Gill. GFCM, Jeffrey T. Gill and R. Scott Gill are significant beneficial stockholders of the Company. The promissory note bears interest at a rate of 8.00% per year. All principal and interest on the promissory note, as amended, will be due and payable on January 30, 2019. On February 26, 2016, the Company further amended the GFCM note to increase the amount by $1,000,000 to $6,500,000. Note Payable – Meritor On July 2, 2015, the Company entered into a secured promissory note (the “Meritor Note”) in the principal amount of $3,047,000, with Meritor, in exchange for the release of certain outstanding net trade payables owed to Meritor for ongoing purchases of raw materials and the guarantee of certain inventory values related to Meritor’s business as collateral under the Credit Facility. The Meritor Note was secured by substantially all of the collateral for the Credit Facility, was senior to the promissory note previously issued to GFCM and was subordinate to the rights under the Credit Facility. The Meritor Note bore interest at a rate of 10.0% per year and all principal and interest on the Meritor Note was due and payable on the maturity date. On July 9, 2015, the Company entered an asset purchase agreement to sell certain assets and related liabilities used in the Company’s manufacturing facility in Morganton, North Carolina, to Meritor for $12,500,000. Meritor also agreed to purchase the Morganton plan facility and real estate for $3,200,000. At closing, the parties also entered into a Meritor Note Amendment, whereby the Company issued an additional secured obligation to Meritor of $412,000 on July 9, 2015 for the release of certain outstanding net trade payables and other accrued liabilities and further agreed to increase the Meritor Note by an additional $321,000 in September to reflect certain potential roof repairs required at the Morganton facility. On October 30, 2015, the Meritor Note and interest were repaid in full in conjunction with the Company’s new financing agreements. New Credit Facility and Term Loan On October 30, 2015, the Company secured debt financing consisting of a $12,000,000 term loan (“Term Loan”) and a $15,000,000 revolving credit facility (“New Credit Facility”). Proceeds from the two new financing arrangements (collectively the “New Loan Agreements”) were used in part to repay the Credit Facility and the Meritor Note. Borrowing availability under the New Credit Facility is determined by a weekly borrowing base collateral calculation that includes specified percentages of the value of eligible accounts receivable and inventory, less certain reserves and subject to certain other adjustments. Borrowing availability under the Term Loan is also evaluated using a separate borrowing base collateral calculation that includes designated percentages of real estate, machinery and equipment appraisals, in each case less certain reserves and subject to certain other adjustments. If the appraised values of such collateral causes the Term Loan borrowing base to fall below the then current Term Loan balance, the Company is required to make a partial prepayment of such difference and related fees. Based on the above mentioned calculation, at December 31, 2015, the Company had actual total borrowing base availability under the New Credit Facility of $8,369,000 of which it had drawn $2,132,000, leaving $6,237,000 still available for borrowing, $4,000,000 of which was reserved for compliance with the minimum excess availability provisions of the New Credit Facility. Along with an unrestricted cash balance of $1,349,000, the Company had total cash and available borrowing capacity of $3,586,000 as of December 31, 2015. Approximately $1,183,000 of this unrestricted cash balance related to the Company’s Mexican subsidiaries. Obligations under the New Loan Agreements are guaranteed by all of our U.S. subsidiaries and are secured by a first priority lien on substantially all assets of the Company. On February 25, 2016, the Company entered into an amendment (the “Term Loan Amendment”) to the Term Loan and an amendment (the “New Credit Amendment”) to the New Credit Facility (together, the “Amendments”). The Amendments will have the effect, among other things, of increasing the Company’s borrowing capability under its New Credit Facility and providing for an agreement on use of proceeds from the sale of its Toluca, Mexico property and buildings, as described below. As a result of the Term Loan Amendment, the Company deposited $6,000,000 of the proceeds of the sale-leaseback of its Toluca, Mexico property and buildings (the “Toluca Sale-Leaseback”) into a Cash Collateral Account, to be held for up to one year as additional collateral for the Term Loan. Amounts deposited in the Cash Collateral Account that are used to prepay the principal of the Term Loan must be accompanied by the payment of a make-whole amount by the Company equal to the present value of any unpaid interest that would have been paid on the prepaid portion of the Term Loan through the one year anniversary of the Term Loan Amendment. The Term Loan Amendment further provides that the Company will be permitted to retain the remaining balance of the proceeds from Toluca Sale-Leaseback, and increases the interest rate of the Term Loan by 1.0%. In addition, under the Term Loan Amendment and New Credit Facility Amendment, the Company’s minimum excess availability provision was reduced from $4,000,000 to $3,000,000. The lender further agreed to remove certain reserves which had been established against the Company’s “borrowing base.” These changes are estimated to provide the Company with $1,655,000 in additional borrowing capacity under the New Credit Facility. The Company’s obligations under each of the New Credit Facility and the Term Loan, as amended, continue to be guaranteed by the Company’s U.S. subsidiaries and are secured by a first priority lien on substantially all assets of the Company and the guarantors. The New Loan Agreements, as amended, contain a number of customary representations and warranties, affirmative, negative and financial maintenance covenants, events of default and remedies upon default, including acceleration and rights to foreclose on the collateral securing each lender. If the Company’s borrowing availability under the amended New Credit Facility falls below $3,000,000, the Company must maintain a fixed charge coverage ratio of at least 1 to 1, as measured on a trailing twelve months’ basis. Non-compliance with the Company’s debt covenants would provide the debt holders with certain contractual rights, including the right to demand immediate repayment of all outstanding borrowings. Since the loss of the Dana business (see Note 2 “Management’s Recovery Plans”), the Company has also experienced negative cash flows from consolidated operations which could hamper or materially increase the costs of the Company’s ability to comply with such covenants. The Company’s consolidated financial statements have been prepared assuming the ongoing realization of assets, satisfaction of liabilities and continuity of operations as a going concern in the ordinary course of business, but there can be no assurances that the Company’s current initiatives, forecasts and plans will ultimately succeed, which could materially and adversely impair the Company’s ability to operate, its cash flows, financial condition and ongoing results. The classification of debt as of December 31, 2015 considers the debt refinanced on a long-term basis. However, the New Credit Facility allows the lender to establish certain reserves against the borrowing base which could, under certain circumstances, cause a potential event of default. Because such an event is not objectively measureable in advance and because the Company is required to maintain a lock-box arrangement, ASC 470-10-45 requires the otherwise long-term revolving advances to be classified as a current liability. As a result, all borrowings under the revolving advances have been classified in the accompanying consolidated balance sheets as a current liability. The weighted average interest rate for outstanding borrowings at December 31, 2015 was 10.5%. The weighted average interest rates for borrowings during the years ended December 31, 2015 and 2014 were 7.2% and 2.5%, respectively. The Company had no capitalized interest in 2015 or 2014. Interest paid during the years ended December 31, 2015 and 2014 totaled approximately $1,436,000 and $397,000, respectively. Based on the current forecast for 2016, the Company expects to be able to maintain the minimum required level of borrowing availability of its amended New Loan Agreements. Although the Company believes the assumptions underlying its current forecast are realistic, the Company has considered the possibility of even lower revenues and other risk factors such as its ability to onboard new business within Sypris Technologies, continued delays in program bookings within Sypris Electronics, or its ability to execute its current contingency plans. |
Note 15 - Fair Value of Financi
Note 15 - Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Fair Value, Measurement Inputs, Disclosure [Text Block] | ( 15 ) Fair Value of Financial Instruments Cash, accounts receivable, accounts payable and accrued liabilities are reflected in the consolidated financial statements at their carrying amount which approximates fair value because of the short-term maturity of those instruments. The carrying amount of debt outstanding at December 31, 2015 under the New Credit Facility and Term Loan approximates fair value, and is based upon a market approach (Level 2). |
Note 16 - Employee Benefit Plan
Note 16 - Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | ( 16 ) Employee Benefit Plans Sypris Technologies sponsors noncontributory defined benefit pension plans (the “Pension Plans”) covering certain of its employees. The Pension Plans covering salaried and management employees provide pension benefits that are based on the employees’ highest five-year average compensation within ten years before retirement. The Pension Plans covering hourly employees and union members generally provide benefits at stated amounts for each year of service. All of the Company’s pension plans are frozen to new participants and certain plans are frozen to additional benefit accruals. The Company’s funding policy is to make the minimum annual contributions required by the applicable regulations. The Pension Plans’ assets are primarily invested in equity securities and fixed income securities. The following table details the components of pension (income) expense (in thousands): Year ended December 31, 2015 2014 Service cost $ 14 $ 13 Interest cost on projected benefit obligation 1,691 1,789 Net amortization of actuarial loss 694 531 Expected return on plan assets (2,245 ) (2,390 ) $ 154 $ (57 ) The following are summaries of the changes in the benefit obligations and plan assets and of the funded status of the Pension Plans (in thousands): December 31, 2015 2014 Change in benefit obligation: Benefit obligation at beginning of year $ 45,438 $ 40,526 Service cost 14 13 Interest cost 1,691 1,789 Actuarial (gain) loss (3,115 ) 6,231 Benefits paid (3,070 ) (3,121 ) Benefit obligation at end of year $ 40,958 $ 45,438 December 31, 2015 2014 Change in plan assets: Fair value of plan assets at beginning of year $ 38,038 $ 36,566 Actual return on plan assets (157) 3,503 Company contributions 315 1,090 Benefits paid (3,070) (3,121 ) Fair value of plan assets at end of year $ 35,126 $ 38,038 Underfunded status of the plans $ (5,832) $ (7,400 ) Balance sheet assets (liabilities): Other assets $ 0 $ 0 Other liabilities (5,832) (7,400 ) Net amount recognized $ (5,832) $ (7,400 ) Pension plans with accumulated benefit obligation in excess of plan assets: Projected benefit obligation $ 40,958 $ 45,438 Accumulated benefit obligation 40,953 45,428 Fair value of plan assets 35,126 38,038 Projected benefit obligation and net periodic pension cost assumptions: Discount rate 4.35% 3.90 % Rate of compensation increase 4.00 4.00 Expected long-term rate of return on plan assets 5.75 – 6.75 6.75 Weighted average asset allocation: Equity securities 30% 32 % Debt securities 70% 68 Total 100% 100 % The fair values of our pension plan assets as of December 31, 2015 are as follows (in thousands): Quoted Prices In Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Asset categories: Cash and cash equivalents $ 1,001 $ 0 Equity investments: U.S. Large Cap 7,065 0 U.S. Mid Cap 1,012 0 U.S. Small Cap 496 0 World Equity 1,458 0 Real estate 306 0 Other 103 0 Fixed income securities 8,511 15,174 Total Plan Assets $ 19,952 $ 15,174 The fair values of our pension plan assets as of December 31, 2014 are as follows (in thousands): Quoted Prices In Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Asset categories: Cash and cash equivalents $ 1,270 $ 0 Equity investments: U.S. Large Cap 8,105 0 U.S. Mid Cap 1,245 0 U.S. Small Cap 504 0 World Equity 1,596 0 Real estate 292 0 Other 266 0 Fixed income securities 11,710 13,050 Total Plan Assets $ 24,988 $ 13,050 Investments in our defined benefit plans are stated at fair value. The following valuation methods were used to value our pension assets: Equity securities The fair value of equity securities is determined by either direct or indirect quoted market prices. When the value of assets held in separate accounts is not published, the value is based on the underlying holdings, which are primarily direct quoted market prices on regulated financial exchanges. Fixed income securities The fair value of fixed income securities is determined by either direct or indirect quoted market prices. When the value of assets held in separate accounts is not published, the value is based on the underlying holdings, which are primarily direct quoted market prices on regulated financial exchanges. Cash and cash equivalents The fair value of cash and cash equivalents is set equal to its cost. The methods described above may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, while the Company believes the valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. The Company uses December 31 as the measurement date for the Pension Plans. There are no amounts expected to be paid to the plans during 2016 as designated under the minimum funding amounts required by federal law. The expected long-term rates of return on plan assets for determining net periodic pension cost for 2015 and 2014 were chosen by the Company from a best estimate range determined by applying anticipated long-term returns and long-term volatility for various assets categories to the target asset allocation of the plan. The target asset allocation of plan assets is equity securities ranging 0-55%, fixed income securities ranging 35-100% and non-traditional/other of 0-10% of total investments. Accumulated other comprehensive loss at December 31, 2015 includes $16,206,000 of unrecognized actuarial losses that have not yet been recognized in net periodic pension cost. The actuarial loss included in accumulated other comprehensive loss and expected to be recognized in net periodic pension cost during the fiscal year ended December 31, 2015 is $697,000. The actual loss reclassified from accumulated other comprehensive loss for 2015 and 2014 was $694,000 and $531,000, respectively. At December 31, 2015, the benefits expected to be paid in each of the next five fiscal years, and in aggregate for the five fiscal years thereafter are as follows (in thousands): 2016 $ 3,140 2017 3,112 2018 3,076 2019 3,028 2020 2,962 2021 - 2025 13,970 $ 29,288 The Company sponsors a defined contribution plan (the “Defined Contribution Plan”) for substantially all domestic employees of the Company. The Defined Contribution Plan is intended to meet the requirements of Section 401(k) of the Internal Revenue Code. The Defined Contribution Plan allows the Company to match participant contributions up to 3% and provide discretionary contributions. Contributions to the Defined Contribution Plan by the Company in 2015 and 2014 totaled approximately $930,000 and $1,137,000, respectively. The Company has self-insured medical plans (the “Medical Plans”) covering substantially all domestic employees. The number of employees participating in the Medical Plans was approximately 423 and 670 at December 31, 2015 and 2014, respectively. The Medical Plans limit the Company’s annual obligations to fund claims to specified amounts per participant. The Company is insured for amounts in excess of these limits. Employees are responsible for payment of a portion of the premiums. During 2015 and 2014, the Company charged approximately $4,058,000 and $4,967,000, respectively, to operations related to medical claims incurred and estimated, reinsurance premiums, and administrative costs for the Medical Plans. In addition, certain of the Company’s non-U.S. employees are covered by various defined benefit and defined contribution plans. The Company’s expenses for these plans totaled approximately $30,000 and $26,000 in 2015 and 2014, respectively. The aggregate benefit plan assets and accumulated benefit obligation of these plans are not significant. |
Note 17 - Commitments and Conti
Note 17 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | ( 17 ) Commitments and Contingencies The Company leases certain of its real property and certain equipment, vehicles and computer hardware under operating leases with terms ranging from month-to-month to ten years and which contain various renewal and rent escalation clauses. Future minimum annual lease commitments under operating leases that have initial or remaining noncancelable lease terms in excess of one year as of December 31, 2015 are as follows (in thousands): 2016 $ 2,126 2017 523 2018 466 2019 371 2020 319 2021 and thereafter 722 $ 4,527 Rent expense for the years ended December 31, 2015 and 2014 totaled approximately $2,700,000 and $2,849,000, respectively. As of December 31, 2015, the Company had outstanding purchase commitments of approximately $6,168,000 primarily for the acquisition of inventory. The Company bears insurance risk as a member of a group captive insurance entity for certain general liability, automobile and workers’ compensation insurance programs, a self-insured worker’s compensation program and a self-insured employee health program. The Company records estimated liabilities for its insurance programs based on information provided by the third-party plan administrators, historical claims experience, expected costs of claims incurred but not paid, and expected costs to settle unpaid claims. The Company monitors its estimated insurance-related liabilities on a quarterly basis. As facts change, it may become necessary to make adjustments that could be material to the Company’s consolidated results of operations and financial condition. The Company is involved in certain litigation and contract issues arising in the normal course of business. While the outcome of these matters cannot, at this time, be predicted in light of the uncertainties inherent therein, management does not expect that these matters will have a material adverse effect on the consolidated financial position or results of operations of the Company. The Company accounts for loss contingencies in accordance with U.S. generally accepted accounting principles (GAAP). Estimated loss contingencies are accrued only if the loss is probable and the amount of the loss can be reasonably estimated. With respect to a particular loss contingency, it may be probable that a loss has occurred but the estimate of the loss is within a wide range or undeterminable. If the Company deems an amount within the range to be a better estimate than any other amount within the range, that amount will be accrued. However, if no amount within the range is a better estimate than any other amount, the minimum amount of the range is accrued. During the fourth quarter of 2015, the Company gave notification regarding its intention to not renew the lease for its Tampa, FL facility, which will expire on December 31, 2016. However, subsequent to year end, the Company entered into lease negotiations which would extend the current lease for a smaller portion of the facility on more favorable terms. However, there can be no assurance that an agreement will be reached. As such, it is reasonably possible that the Company may be required to make certain repairs to the facility upon exit, which may be significant. While the Company believes that a potential loss contingency may exist, it cannot currently estimate the amount of the contingency. The Company has various current and previously-owned facilities subject to a variety of environmental regulations. The Company has received certain indemnifications from either companies previously owning these facilities or from purchasers of those facilities. As of December 31, 2015 and 2014, no amounts were accrued for any environmental matters. See “Legal Proceedings” in Part I, Item 3 of this Annual Report on Form 10-K. Subsequent to year end, the Company entered into a sale lease-back agreement with Promotora y Desarrolladora Pulso Inmobiliario, S.C. (“Pulso”) whereby it sold the entire facility and leased back the portion of the facility currently occupied by the Company in Toluca, Mexico, for our continued use as a manufacturing facility for ten years commencing upon the execution of the lease and terminating on March 9, 2026. The Company’s base rent, which is denominated in U.S. currency, is $936,000 annually, adjusted based on U.S. CPI with certain cap conditions. |
Note 18 - Stock Option and Purc
Note 18 - Stock Option and Purchase Plans | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | ( 18 ) Stock Option and Purchase Plans The Company’s stock compensation program provides for the grant of restricted stock (including performance-based restricted stock), unrestricted stock, stock options and stock appreciation rights. A total of 3,655,088 shares of common stock were registered for issuance under the 2010 Omnibus Plan. On May 19, 2015, the 2010 Sypris Omnibus Plan was replaced with the 2015 Sypris Omnibus Plan. A total of 3,476,021 shares were registered for issuance under the 2015 Omnibus Plan. Additionally, awards under the 2010 Omnibus Plan that are cancelled without having been fully exercised or vested are available again for new awards under the 2015 Omnibus Plan. The aggregate number of shares available for future grant as of December 31, 2015 and 2014 was 3,476,021 and 1,052,021, respectively. The 2010 Omnibus Plan provides for restrictions which lapse after three years. During the restricted period, which is commensurate with each vesting period, the recipient has the right to receive dividends and voting rights for the shares. Generally, if a recipient leaves the Company before the end of the restricted period or if performance requirements, if any, are not met, the shares will be forfeited. During 2015, the Company modified the restriction on certain restricted stock grants to increase the restriction period by one year. The modification did not have a material effect on the financial statements. The Company has certain stock compensation plans under which options to purchase common stock may be granted to officers, key employees and non-employee directors. Options may be granted at not less than the market price on the date of grant. Stock option grants under the 2010 Omnibus Plan include a five year life along with vesting after three years of service. Compensation expense is measured based on the fair value at the date of grant and is recognized on a straight-line basis over the vesting period. Fair value for restricted shares is equal to the stock price on the date of grant, while the fair value of each stock option grant is estimated on the date of grant using the Black-Scholes option-pricing method. The Company uses historical Company and industry data to estimate the expected price volatility, the expected option life, the expected forfeiture rate and the expected dividend yield. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for the estimated life of the option. The following weighted average assumptions were used to estimate the fair value of options granted using the Black-Scholes option-pricing model: Year ended December 31, 2015 2014 Expected life (years) 4.0 4.0 Expected volatility 50.2 % 53.3 % Risk-free interest rates 1.32 % 1.73 % Expected dividend yield 0.0 % 2.67 % A summary of the restricted stock activity is as follows: Weighted Average Number of Grant Date Shares Fair Value Nonvested shares at January 1, 2015 888,901 $ 3.60 Granted 287,500 2.05 Vested (86,701 ) 3.60 Forfeited (15,000 ) 2.75 Nonvested shares at December 31, 2015 1,074,700 $ 3.19 The total fair value of shares vested during 2015 and 2014 was $230,000 and $773,000, respectively. In conjunction with the vesting of restricted shares and payment of taxes thereon, the Company received into treasury 28,999 and 98,251 restricted shares, respectively, at an average price of $2.65 and $2.81 per share, respectively, the closing market price on the date the restricted stock vested. Such repurchased shares were immediately cancelled. The following table summarizes option activity for the year ended December 31, 2015: Number of Shares Weighted- average Exercise Price Per Share Weighted- average Remaining Term Aggregate Intrinsic Outstanding at January 1, 2015 1,056,000 $ 3.72 Granted 260,500 2.05 Exercised 0 0 Forfeited (62,000 ) 3.09 Expired (32,500 ) 4.27 Outstanding at December 31, 2015 1,222,000 $ 3.38 2.33 $ 0 Exercisable at December 31, 2015 473,500 $ 4.09 0.79 $ 0 The weighted average grant date fair value based on the Black-Scholes option pricing model for options granted in the years ended December 31, 2015 and 2014 was $0.82 and $0.99 per share, respectively. There were no options exercised in 2015 and 201,589 options exercised in 2014. The total intrinsic value of options exercised was $417,000 during the year ended December 31, 2014. As of December 31, 2015, there was $1,037,000 of total unrecognized compensation cost, after estimated forfeitures, related to unvested share-based compensation granted under the plans. That cost is expected to be recognized over a weighted-average period of 0.9 years. The total fair value of option shares vested during the years ended December 31, 2015 and 2014 was not material. |
Note 19 - Stockholders' Equity
Note 19 - Stockholders' Equity | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | ( 19 ) Stockholders’ Equity As of December 31, 2015 and 2014, 24,850 shares of the Company’s preferred stock were designated as Series A Preferred Stock in accordance with the terms of our stockholder rights plan, which expired in October 2011. There are no shares of Series A Preferred Stock currently outstanding, and there are no current plans to issue any such shares. Any future holders of Series A Preferred Stock, as currently designated, would have voting rights, be entitled to receive dividends based on a defined formula and have certain rights in the event of the Company’s dissolution. Any such shares of Series A Preferred Stock would not be redeemable. However, the Company would be entitled to purchase shares of Series A Preferred Stock in the open market or pursuant to an offer to a holder or holders. The holders of our common stock were not entitled to any payment as a result of the expiration of the rights plan and the rights issued thereunder. The Company’s accumulated other comprehensive loss consists of employee benefit related adjustments and foreign currency translation adjustments. Accumulated other comprehensive loss consisted of the following (in thousands): December 31, 2015 2014 Foreign currency translation adjustments $ (9,554 ) $ (7,265 ) Employee benefit related adjustments – U.S, net of tax. (16,177 ) (17,584 ) Employee benefit related adjustments – Mexico, net of tax (29 ) (186 ) Accumulated other comprehensive loss $ (25,760 ) $ (25,035 ) |
Note 20 - Income Taxes
Note 20 - Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | ( 20 ) Income Taxes The Company accounts for income taxes under the liability method. Accordingly, deferred income taxes have been provided for temporary differences between the recognition of revenue and expenses for financial and income tax reporting purposes and between the tax basis of assets and liabilities and their reported amounts in the consolidated financial statements. The components of income (loss) before taxes are as follows (in thousands): Year ended December 31, 2015 2014 Domestic $ (18,625 ) $ (11,924 ) Foreign (6,599 ) 15,309 $ (25,224 ) $ 3,385 The components of income tax expense are as follows (in thousands): Year ended December 31, 2015 2014 Current: Federal $ 0 $ 0 State 31 102 Foreign (269 ) 3,417 Total current income tax expense (238 ) 3,519 Deferred: Federal 0 0 State 0 0 Foreign 2,230 1,050 Total deferred income tax expense 2,230 1,050 $ 1,992 $ 4,569 The Company files a consolidated federal income tax return which includes all domestic subsidiaries. State income taxes paid in the U.S. during 2015 and 2014 totaled $120,000 and $33,000, respectively. State income tax refunds received in the U.S. during 2015 totaled $30,000. Foreign income taxes paid during 2015 and 2014 totaled $2,195,000 and $1,063,000, respectively. There were no foreign refunds received in 2015 and 2014. There were no federal taxes paid in 2015 and 2014, and there were no federal refunds received in 2015 and 2014. At December 31, 2015, the Company had $132,040,000 of federal net operating loss carryforwards available to offset future federal taxable income, which will expire in various amounts from 2024 to 2035. At December 31, 2015, the Company had $137,645,000 of state net operating loss carryforwards available to offset future state taxable income, the majority of which relates to Florida and Kentucky. These carryforwards expire in various amounts from 2018 to 2035. The following is a reconciliation of income tax (benefit) expense to that computed by applying the federal statutory rate to (loss) income before income taxes (in thousands): Year ended December 31, 2015 2014 Federal tax expense at the statutory rate $ (8,829 ) $ 1,185 Current year permanent differences 254 61 State income taxes, net of federal tax impact (613 ) (772 ) Foreign repatriation, net of foreign tax credits (3,394 ) 4,077 Effect of tax rates of foreign subsidiaries 323 (733 ) Currency translation effect on temporary differences (217 ) (71 ) Change in valuation allowance 11,453 297 Prior year adjustment 3,015 531 Other 0 (6 ) $ 1,992 $ 4,569 ASC 740, Income Taxes , The gross deferred tax asset for the Company’s Mexican subsidiaries was $4,033,000 and $2,556,000 as of December 31, 2015 and 2014, respectively. The net deferred tax asset balance of $2,556,000 at December 31, 2014 is attributable to the Mexican subsidiaries. As a result of the increased uncertainty surrounding the Company’s forecast of taxable income in Mexico, it was determined that the Company no longer met the “more likely than not” threshold required under ASC 740-10 in order to maintain the Mexico deferred tax asset. Accordingly, the Company recorded a valuation allowance on its net deferred tax asset related to certain non-U.S. tax benefits, resulting in deferred tax expense of $2,230,000 during year ended December 31, 2015. Until an appropriate level and characterization of profitability is attained, the Company expects to continue to maintain a valuation allowance on its net deferred tax assets related to future U.S. and non-U.S. tax benefits. Deferred income tax assets and liabilities are as follows (in thousands): December 31, 2015 2014 Deferred tax assets: Compensation and benefit accruals $ 1,987 $ 1,665 Inventory valuation 2,840 3,124 Federal and state net operating loss carryforwards 51,460 46,835 Deferred revenue 533 2,573 Accounts receivable allowance 42 113 Defined benefit pension plan 1,766 2,304 Foreign deferred revenue and other provisions 4,033 2,556 AMT credits 185 185 Other 1,526 974 64,372 60,329 Domestic valuation allowance (58,682 ) (51,914 ) Foreign valuation allowance (4,033 ) 0 Total deferred tax assets 1,657 8,415 Deferred tax liabilities: Foreign subsidiaries – unrepatriated earnings (379 ) (3,773 ) Depreciation (1,278 ) (2,086 ) Total deferred tax liabilities (1,657 ) (5,859 ) Net deferred tax asset $ 0 $ 2,556 The ASC Income Tax topic includes guidance for the accounting for uncertainty in income taxes recognized in an enterprise’s financials. Specifically, the guidance prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return and also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. The total amount of gross unrecognized tax benefits as of December 31, 2015 and 2014 was $200,000. There were no changes to the unrecognized tax benefit balance during the years ended December 31, 2015 and 2014. If the Company’s positions are sustained by the taxing authority in favor of the Company, the entire balance at December 31, 2015 would reduce the Company’s effective tax rate. The Company does not expect its unrecognized tax benefits to change significantly over the next 12 months. The Company recognizes accrued interest and penalties related to uncertain tax positions in income tax expense. As of December 31, 2015 and 2014, the Company does not have an accrual for the payment of tax-related interest and penalties. The Company files income tax returns in the U.S. federal jurisdiction, and various state and foreign jurisdictions. The Internal Revenue Service (IRS) is not currently examining the Company’s U.S. income tax returns for 2011 through 2014, for which the statute has yet to expire. In addition, open tax years related to state and foreign jurisdictions remain subject to examination. As of December 31, 2015, the Company has no undistributed earnings of foreign subsidiaries that are classified as permanently reinvested. The Company did not repatriate any funds to the U.S during 2015 and expects the repatriation of any available non-U.S. cash holdings during 2016 will be limited to the amount of undistributed earnings as of December 31, 2015. The loss recognized by the Company’s Mexican operations during 2015 reduced the undistributed earnings of that entity and the Company has therefore recognized a deferred income tax benefit equal to the reduction in the U.S deferred tax liability and a corresponding increase in the deferred tax asset valuation allowance. |
Note 21 - Earnings (Loss) Per C
Note 21 - Earnings (Loss) Per Common Share | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | ( 21 ) Loss Per Common Share The Company computes earnings per share using the two-class method, which is an earnings allocation formula that determines earnings per share for common stock and participating securities. Restricted stock granted by the Company is considered a participating security since it contains a non-forfeitable right to dividends. Our potentially dilutive securities include potential common shares related to our stock options and restricted stock. Diluted earnings per share considers the impact of potentially dilutive securities except in periods in which there is a loss because the inclusion of the potential common shares would have an anti-dilutive effect. Diluted earnings per share excludes the impact of common shares related to our stock options in periods in which the option exercise price is greater than the average market price of our common stock for the period. All potential common shares were excluded from diluted earnings per share for the year ended December 31, 2015 and 2014 because the effect of inclusion would be anti-dilutive. A reconciliation of the weighted average shares outstanding used in the calculation of basic and diluted loss per common share is as follows (in thousands): Year ended December 31, 2015 2014 Loss attributable to stockholders: Net loss as reported $ (27,216 ) $ (1,184 ) Less dividends declared attributable to restricted award holders 0 (53 ) Net loss allocable to common stockholders $ (27,216 ) $ (1,237 ) Loss per common share attributable to stockholders: Basic $ (1.38 ) $ (0.06 ) Diluted $ (1.38 ) $ (0.06 ) Weighted average shares outstanding – basic 19,688 19,586 Weighted average additional shares assuming conversion of potential common shares 0 0 Weighted average shares outstanding – diluted 19,688 19,586 |
Note 22 - Segment Information
Note 22 - Segment Information | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | ( 22 ) Segment Information The Company is organized into two business segments, Sypris Technologies and Sypris Electronics. The segments are each managed separately because of the distinctions between the products, services, markets, customers, technologies, and workforce skills of the segments. Sypris Technologies provides manufacturing services for a variety of customers that outsource forged and finished steel components and subassemblies. Sypris Technologies also manufactures high-pressure closures and other fabricated products. Sypris Electronics provides manufacturing and technical services as an outsourced service provider and manufactures complex data storage systems. Revenue derived from outsourced services for Sypris Technologies accounted for 61% and 85% of total net revenue in 2015 and 2014, respectively. Revenue derived from outsourced services for Sypris Electronics accounted for 17% and 6% of total net revenue in 2015 and 2014, respectively. There was no intersegment net revenue recognized for any year presented. The following table presents financial information for the reportable segments of the Company (in thousands): Year ended December 31, 2015 2014 Net revenue from unaffiliated customers: Sypris Technologies $ 108,134 $ 322,262 Sypris Electronics 37,189 32,514 $ 145,323 $ 354,776 Gross profit (loss): Sypris Technologies $ (790 ) $ 42,021 Sypris Electronics 1,108 (3,191 ) $ 318 $ 38,830 Operating (loss) income: Sypris Technologies $ (13,661 ) $ 25,160 Sypris Electronics (7,639 ) (13,479 ) General, corporate and other (8,344 ) (8,961 ) $ (29,644 ) $ 2,720 (Loss) income before income taxes: Sypris Technologies $ (5,131 ) $ 26,454 Sypris Electronics (7,639 ) (13,476 ) General, corporate and other (12,454 ) (9,593 ) $ (25,224 ) $ 3,385 Depreciation and amortization: Sypris Technologies $ 5,927 $ 9,374 Sypris Electronics 2,973 945 General, corporate and other 135 90 $ 9,035 $ 10,409 Capital expenditures: Sypris Technologies $ 1,707 $ 3,725 Sypris Electronics 416 811 General, corporate and other (298 ) 723 $ 1,825 $ 5,259 December 31, 2015 2014 Total assets: Sypris Technologies $ 38,968 $ 95,108 Sypris Electronics 23,845 26,874 General, corporate and other 5,299 7,699 $ 68,112 $ 129,681 Total liabilities: Sypris Technologies $ 20,283 $ 55,505 Sypris Electronics 6,375 8,687 General, corporate and other 21,742 18,601 $ 48,400 $ 82,793 The Company’s export sales from the U.S. totaled $34,830,000 and $58,498,000 in 2015 and 2014, respectively. Approximately $8,889,000 and $111,177,000 of net revenue in 2015 and 2014, respectively, and $5,807,000 and $13,033,000 of long lived assets at December 31, 2015 and 2014, respectively, and net assets of $9,696,000 and $20,388,000 at December 31, 2015 and 2014 relate to the Company’s international operations. |
Note 23 - Subsequent Events
Note 23 - Subsequent Events | 12 Months Ended |
Dec. 31, 2015 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | (2 3 ) Subsequent Events On February 25, 2016, the Company entered into an amendment to the Term Loan and an amendment to the New Credit Facility. The Amendments will have the effect, among other things, of increasing the Company’s borrowing capability under its New Credit Facility and providing for an agreement on use of proceeds from the sale of its Toluca, Mexico property and buildings, as described below. As part of the Amendments, the Company also received an additional $1,000,000 subordinated loan from GFCM, as described below. As a result of the Term Loan Amendment, the Company deposited $6,000,000 of the proceeds of the Toluca Sale-Leaseback into a Cash Collateral Account, to be held for up to one year as additional collateral for the Term Loan. The Term Loan Amendment further provides that the Company will be permitted to retain the remaining balance of the proceeds from Toluca Sale-Leaseback, and increases the interest rate of the Term Loan by 1.0%. In addition, under the Amendments, the lenders agreed to reduce the Company’s minimum excess availability provision from $4,000,000 to $3,000,000 to remove certain reserves which had been established against the Company’s “borrowing base.” These changes are estimated to provide the Company with $1,655,000 in additional borrowing capacity under the amended New Credit Facility. In connection with the Amendments, the Company has retained a financial advisor to review the Company’s existing business plan and make recommendations in the form of a revised business plan. If the Company meets certain milestones as determined by the Term Loan lender after its review of such plan, up to $1,000,000 may be released from the Cash Collateral Account to the Company. The Company’s obligations under each of the New Credit Facility and the Term Loan, as amended, continue to be guaranteed by the Company’s U.S. subsidiaries and are secured by a first priority lien on substantially all assets of the Company and the guarantors. Each of the Amendments contains certain customary representations, warranties and covenants. In connection with the Amendments, the Company received the proceeds of a $1,000,000 subordinated loan (the “Loan”) from GFCM. The amendment increases the aggregate amount previously loaned by GFCM to the Company from $5,500,000 to $6,500,000. All principal and interest on the Promissory Note will be due and payable at maturity on January 30, 2019. All other terms of the original Promissory Note remain in place. On March 9, 2016, Sypris Technologies Mexico, S. de R.L. de C.V. (“Seller”), a subsidiary of the Company, concluded its sale of the Toluca property pursuant to an agreement with Promotora y Desarrolladora Pulso Inmobiliario, S.C. (together with its affiliates and assignees, “Buyer”) for 215,000,000 Mexican Pesos, or approximately, $12,100,000 in U.S. currency. Simultaneously, the Seller and the Buyer entered a long-term lease of the 9 acres currently occupied by Seller and needed for its ongoing business in Toluca (collectively, the “Toluca Sale-Leaseback”) . In connection with the Term Loan Amendment noted above, the Company had agreed to deposit $6,000,000 of the proceeds of the Toluca Sale-Leaseback into a Cash Collateral Account, to be held for one year as additional collateral for the Term Loan, and this deposit was made on March 9, 2016. On March 9, 2016, the Term Loan lender also consented to the Toluca Sale-Leaseback and released all liens on the assets associated with that sale. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Consolidation Policy |
Nature of Business [Policy Text Block] | Nature of Business Sypris is a diversified provider of outsourced services and specialty products. The Company performs a wide range of manufacturing, engineering, design and other technical services, often under sole-source contracts with corporations and government agencies in the markets for truck components and assemblies and aerospace and defense electronics. The Company provides such services through its Sypris Technologies and Sypris Electronics segments. See Note 22 for additional information regarding our segments. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates |
Fair Value Measurement, Policy [Policy Text Block] | Fair Value Estimates |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash Equivalents Cash equivalents include all highly liquid investments with a maturity of three months or less when purchased. |
Inventory, Policy [Policy Text Block] | Inventory manufacturing process but not incorporated into finished products are classified as raw materials. The Company’s reserve for excess and obsolete inventory is primarily based upon forecasted demand for its product sales, and any change to the reserve arising from forecast revisions is reflected in cost of sales in the period the revision is made. |
Property, Plant and Equipment, Policy [Policy Text Block] | Property, Plant and Equipment |
Impairment or Disposal of Long-Lived Assets, Including Intangible Assets, Policy [Policy Text Block] | Long-lived Assets The Company reviews the carrying value of amortizable long-lived assets whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held for sale and held for use is measured by a comparison of the carrying amount of the asset to the undiscounted future net cash flows expected to be generated by the asset. If facts and circumstances indicate that the carrying value of an asset or groups of assets, as applicable, is impaired, the long-lived asset or groups of long-lived assets are written down to their estimated fair value. |
Research, Development, and Computer Software, Policy [Policy Text Block] | Software Development Costs Software development costs for Sypris Electronics are expensed as incurred until technological feasibility has been established, at which time those costs are capitalized as intangible assets until the software is implemented into products sold to customers. Capitalized software development costs are amortized on a straight-line basis over the estimated useful life of the software, which is currently eighteen months. Costs incurred to enhance existing software or after the implementation of the software into a product are expensed in the period they are incurred and included in research and development expense in the consolidated statements of operations. As of December 31, 2015 and 2014, the Company had capitalized software development costs of $1,597,000 and $1,883,000, respectively, included in other current assets. For the years end December 31, 2015 and 2014, the Company recorded related amortization of $2,090,000 and $372,000, respectively. |
Revenue Recognition, Deferred Revenue [Policy Text Block] | Deferred Revenue Deferred revenue for Sypris Electronics is recorded when payments are received in advance for service agreements and extended warranties on certain products and is amortized into revenue on a straight-line basis over the contractual term. Deferred revenue for Sypris Electronics also includes prepayments received prior to the time when products are shipped. When the related products are shipped, the related amount recorded as deferred revenue is recognized as revenue. Deferred revenue for Sypris Technologies is generally associated with the Dana settlement and was amortized into income on a units-of-production basis over the term of the related supply agreement period. See Note 5 for information regarding the Dana settlement, and see Note 12 for the amount of deferred revenue included in accrued liabilities at December 31, 2015 and 2014. |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock-based Compensation The Company accounts for stock-based compensation in accordance with the fair value recognition provisions using the Black-Scholes option-pricing method, which requires the input of several subjective assumptions. These assumptions include estimating the length of time employees will retain their vested stock options before exercising them (expected term), the estimated volatility of our common stock price over the expected term and the number of options that will ultimately not complete their vesting requirements (forfeitures). Changes in the subjective assumptions can materially affect the fair value estimate of stock-based compensation and consequently, the related expense recognized in the consolidated statements of operations. |
Income Tax, Policy [Policy Text Block] | Income Taxes The Company uses the liability method in accounting for income taxes. Deferred tax assets and liabilities are recorded for temporary differences between the tax basis of assets and liabilities and their reported amounts in the consolidated financial statements, using the statutory tax rates in effect for the year in which the differences are expected to reverse. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets unless it is more likely than not that such assets will be realized. In the ordinary course of business there is inherent uncertainty in quantifying the Company’s income tax positions. The Company assesses its income tax positions and records tax benefits for all years subject to examination based upon management’s evaluation of the facts, circumstances, and information available at the reporting dates. For those tax positions where it is more-likely-than-not that a tax benefit will be sustained, the Company has recorded the largest amount of tax benefit with a greater than 50% likelihood of being realized upon ultimate settlement with a taxing authority that has full knowledge of all relevant information. For those income tax positions where it is not more-likely-than-not that a tax benefit will be sustained, no tax benefit has been recognized in the financial statements. Where applicable, associated interest has also been recognized. The Company recognizes liabilities or assets for the deferred tax consequences of temporary differences between the tax bases of assets or liabilities and their reported amounts in the financial statements in accordance with ASC 740, Income Taxes The Company expects to repatriate available non-U.S. cash holdings to support management’s strategic objectives and fund ongoing U.S. operational cash flow requirements; therefore current earnings from non-U.S. operations are not treated as permanently reinvested. The U.S. income tax recorded in 2014 on these non-U.S. earnings was offset by the benefit of a partial release of a valuation allowance on deferred tax assets associated with our U.S. |
Cost of Sales, Policy [Policy Text Block] | Net Revenue and Cost of Sales Net revenue of products and services under commercial terms and conditions are recorded upon delivery and passage of title, or when services are rendered. Related shipping and handling costs, if any, are included in costs of sales. The Company periodically enters into research and development contracts with customers related primarily to key encryption products. When the contracts provide for milestone or other interim payments, the Company will recognize revenue under the milestone method in accordance with Accounting Standards Codification (“ASC”) 605-28 Revenue Recognition, Milestone Method |
Standard Product Warranty, Policy [Policy Text Block] | Product Warranty Costs 31, 2015 and 2014 was $159,000 and $43,000, respectively. Additionally, the Company sells three and five-year extended warranties for certain link encryption products. The revenue from the extended warranties is deferred and recognized ratably over the contractual term. As of December 31, 2015 and 2014, the Company had deferred $495,000 and $839,000, respectively, related to extended warranties. At December 31, 2015, $333,000 is included in accrued liabilities and $162,000 is included in other liabilities in the accompanying balance sheets. At December 31, 2014, $344,000 is included in accrued liabilities and $495,000 is included in other liabilities in the accompanying balance sheets. |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentrations of Credit Risk Sypris Technologies’ largest customers for the year ended December 31, 2015 were Meritor, Sistemas and Detroit Diesel Corporation, which represented approximately 30%, 11% and 10%, respectively, of the Company’s total net revenue. Dana and Meritor were the Company’s largest customers for the year ended December 31, 2014, which represented approximately 59% and 16%, respectively, of the Company’s total net revenue. The Company recognized revenue from contracts with the U.S. Government and its agencies approximating 5% and 2% of net revenue for the years ended December 31, 2015 and 2014, respectively. No other single customer accounted for more than 10% of the Company’s total net revenue for the years ended December 31, 2015 or 2014. |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Foreign Currency Translation The functional currency for the Company’s Mexican subsidiaries is the Mexican peso. Assets and liabilities are translated at the period end exchange rate, and income and expense items are translated at the weighted average exchange rate. The resulting translation adjustments are recorded in comprehensive (loss) income as a separate component of stockholders’ equity. Remeasurement gains or losses for U.S. dollar denominated accounts of the Company’s Mexican subsidiaries are included in other (income), net. |
Collective Bargaining Agreements [Policy Text Block] | Collective Bargaining Agreements Approximately 374, or 51% of the Company’s employees, all within Sypris Technologies, were covered by collective bargaining agreements at December 31, 2015. Excluding certain Mexico employees covered under an annually ratified agreement, collective bargaining agreements covering 35 employees expire within the next 12 months. Certain Mexico employees are covered by an annually ratified collective bargaining agreement. These employees represented approximately 26% of the Company’s workforce, or 191 employees as of December 31, 2015. |
New Accounting Pronouncements, Policy [Policy Text Block] | Adoption of Recently Issued Accounting Standards In April 2014, the Financial Accounting Standards Board (“FASB”) issued guidance that revises the definition of a discontinued operation. The revised definition limits discontinued operations reporting to disposals of components of an entity that represent strategic shifts that have (or will have) a major effect on operations and financial results. The guidance also requires new disclosures of both discontinued operations and certain other disposals that do not meet the definition of a discontinued operation. The guidance will apply to covered transactions that occur after 2014 and was optional for the initial reporting of disposals completed or approved in 2014. The Company adopted the standard effective January 1, 2015. In May 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-09, “Revenue from Contracts with Customers.” This ASU supersedes the revenue recognition requirements in “Accounting Standard Codification 605 - Revenue Recognition” and most industry-specific guidance. The standard requires that entities recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which a company expects to be entitled in exchange for those goods or services. The new guidance will also require new disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. ASU 2014-09 was originally effective for us on January 1, 2017; however, in July 2015 the FASB decided to defer the effective date by one year. Early application is not permitted, but reporting entities may choose to adopt the standard as of the original effective date. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is currently assessing the impact of the adoption of ASU 2014-09 on its results of operations, financial position and cash flows. In August 2014, the FASB issued ASU No. 2014-15 Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern, which requires management to evaluate whether there are conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern, and to provide certain disclosures when it is probable that the entity will be unable to meet its obligations as they become due within one year after the date that the financial statements are issued. ASU 2014-15 is effective for the annual period ended December 31, 2016 and for annual periods and interim periods thereafter with early adoption permitted. The Company is currently evaluating the new guidance to determine the impact it may have on our consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs. The amendments in this ASU 2015-03 require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs are not affected by the amendments in this ASU 2015-03. In August 2015 the FASB issued ASU No. 2015-15, Interest - Imputation of Interest (Subtopic 835-30): Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements - Amendments to SEC Paragraphs Pursuant to Staff Announcement at June 18, 2015 EITF Meeting. ASU 2015-15 was issued to address presentation or subsequent measurement of debt issuance costs related to line-of-credit arrangements that were not found ASU 2015-03. Given the absence of authoritative guidance within ASU 2015-03 for debt issuance costs related to line-of-credit arrangements, the SEC staff would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. These standards are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015, and should be applied retrospectively. Early adoption is permitted. The Company is currently assessing the potential impact of adopting ASU 2015-03 and ASU 2015-15 on its consolidated financial statements and related disclosures. In July 2015, the FASB issued ASU No. 2015-11, which simplifies the subsequent measurement of inventory. It replaces the current lower of cost or market test with a lower of cost or net realizable value test. The standard is effective for public entities for annual reporting periods beginning after December 15, 2016, and interim periods therein. Early adoption is permitted. The new guidance must be applied prospectively. The adoption of this standard is not expected to have a material impact on the consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). Leases |
Note 6 - Accounts Receivable (T
Note 6 - Accounts Receivable (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | December 31, 2015 2014 Commercial $ 11,882 $ 47,228 U.S. Government 1,454 727 13,336 47,955 Allowance for doubtful accounts (942 ) (289 ) $ 12,394 $ 47,666 |
Note 7 - Inventory (Tables)
Note 7 - Inventory (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | December 31, 2015 2014 Raw materials $ 12,388 $ 16,687 Work in process 10,366 11,702 Finished goods 3,167 6,991 Reserve for excess and obsolete inventory (5,729 ) (6,349 ) $ 20,192 $ 29,031 |
Note 8 - Other Current Assets (
Note 8 - Other Current Assets (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Other Current Assets [Table Text Block] | December 31, 2015 2014 Prepaid expenses $ 1,047 $ 1,499 Other 3,412 4,167 $ 4,459 $ 5,666 |
Note 9 - Assets Held for Sale (
Note 9 - Assets Held for Sale (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Disposal Groups, Including Discontinued Operations [Table Text Block] | December 31, 2015 Land and land improvements $ 1,568 Buildings and building improvements 3,658 Accumulated depreciation (1,996 ) Property, plant and equipment, net $ 3,230 |
Note 10 - Property, Plant and37
Note 10 - Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | December 31, 2015 2014 Land and land improvements $ 219 $ 2,770 Buildings and building improvements 18,305 26,055 Machinery, equipment, furniture and fixtures 123,935 158,816 Construction in progress 759 2,100 143,218 189,741 Accumulated depreciation (121,040 ) (152,087 ) $ 22,178 $ 37,654 |
Note 11 - Other Assets (Tables)
Note 11 - Other Assets (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Other Assets [Table Text Block] | December 31, 2015 2014 Deferred tax assets, net $ 0 $ 1,575 Unamortized loan costs 2,413 109 Other 1,897 977 $ 4,310 $ 2,661 |
Note 12 - Accrued Liabilities (
Note 12 - Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Accrued Liabilities [Table Text Block] | December 31, 2015 2014 Salaries, wages, employment taxes and withholdings $ 2,226 $ 2,758 Employee benefit plans 1,312 1,437 Accrued professional fees 3,670 2,664 Income, property and other taxes 301 2,439 Deferred revenue 1,208 6,120 Other 2,944 3,357 $ 11,661 $ 18,775 |
Note 13 - Other Liabilities (Ta
Note 13 - Other Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Other Liabilities [Table Text Block] | December 31, 2015 2014 Noncurrent pension liability $ 5,832 $ 7,400 Other 250 591 $ 6,082 $ 7,991 |
Note 14 - Debt (Tables)
Note 14 - Debt (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Long-term Debt Instruments [Table Text Block] | December 31, 2015 2014 Revolving credit facility $ 0 $ 17,000 New Credit Facility 2,132 0 Term Loan 11,714 0 Note payable – related party 5,500 0 19,346 17,000 Less current portion 3,846 17,000 $ 15,500 $ 0 |
Note 16 - Employee Benefit Pl42
Note 16 - Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Net Benefit Costs [Table Text Block] | Year ended December 31, 2015 2014 Service cost $ 14 $ 13 Interest cost on projected benefit obligation 1,691 1,789 Net amortization of actuarial loss 694 531 Expected return on plan assets (2,245 ) (2,390 ) $ 154 $ (57 ) |
Schedule of Changes in Projected Benefit Obligations [Table Text Block] | December 31, 2015 2014 Change in benefit obligation: Benefit obligation at beginning of year $ 45,438 $ 40,526 Service cost 14 13 Interest cost 1,691 1,789 Actuarial (gain) loss (3,115 ) 6,231 Benefits paid (3,070 ) (3,121 ) Benefit obligation at end of year $ 40,958 $ 45,438 |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan [Table Text Block] | December 31, 2015 2014 Change in plan assets: Fair value of plan assets at beginning of year $ 38,038 $ 36,566 Actual return on plan assets (157) 3,503 Company contributions 315 1,090 Benefits paid (3,070) (3,121 ) Fair value of plan assets at end of year $ 35,126 $ 38,038 Underfunded status of the plans $ (5,832) $ (7,400 ) Balance sheet assets (liabilities): Other assets $ 0 $ 0 Other liabilities (5,832) (7,400 ) Net amount recognized $ (5,832) $ (7,400 ) Pension plans with accumulated benefit obligation in excess of plan assets: Projected benefit obligation $ 40,958 $ 45,438 Accumulated benefit obligation 40,953 45,428 Fair value of plan assets 35,126 38,038 Projected benefit obligation and net periodic pension cost assumptions: Discount rate 4.35% 3.90 % Rate of compensation increase 4.00 4.00 Expected long-term rate of return on plan assets 5.75 – 6.75 6.75 Weighted average asset allocation: Equity securities 30% 32 % Debt securities 70% 68 Total 100% 100 % |
Schedule of Allocation of Plan Assets [Table Text Block] | Quoted Prices In Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Asset categories: Cash and cash equivalents $ 1,001 $ 0 Equity investments: U.S. Large Cap 7,065 0 U.S. Mid Cap 1,012 0 U.S. Small Cap 496 0 World Equity 1,458 0 Real estate 306 0 Other 103 0 Fixed income securities 8,511 15,174 Total Plan Assets $ 19,952 $ 15,174 Quoted Prices In Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Asset categories: Cash and cash equivalents $ 1,270 $ 0 Equity investments: U.S. Large Cap 8,105 0 U.S. Mid Cap 1,245 0 U.S. Small Cap 504 0 World Equity 1,596 0 Real estate 292 0 Other 266 0 Fixed income securities 11,710 13,050 Total Plan Assets $ 24,988 $ 13,050 |
Schedule of Expected Benefit Payments [Table Text Block] | 2016 $ 3,140 2017 3,112 2018 3,076 2019 3,028 2020 2,962 2021 - 2025 13,970 $ 29,288 |
Note 17 - Commitments and Con43
Note 17 - Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Operating Leases of Lessee Disclosure [Table Text Block] | 2016 $ 2,126 2017 523 2018 466 2019 371 2020 319 2021 and thereafter 722 $ 4,527 |
Note 18 - Stock Option and Pu44
Note 18 - Stock Option and Purchase Plans (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Share-based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions [Table Text Block] | Year ended December 31, 2015 2014 Expected life (years) 4.0 4.0 Expected volatility 50.2 % 53.3 % Risk-free interest rates 1.32 % 1.73 % Expected dividend yield 0.0 % 2.67 % |
Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block] | Weighted Average Number of Grant Date Shares Fair Value Nonvested shares at January 1, 2015 888,901 $ 3.60 Granted 287,500 2.05 Vested (86,701 ) 3.60 Forfeited (15,000 ) 2.75 Nonvested shares at December 31, 2015 1,074,700 $ 3.19 |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | Number of Shares Weighted- average Exercise Price Per Share Weighted- average Remaining Term Aggregate Intrinsic Outstanding at January 1, 2015 1,056,000 $ 3.72 Granted 260,500 2.05 Exercised 0 0 Forfeited (62,000 ) 3.09 Expired (32,500 ) 4.27 Outstanding at December 31, 2015 1,222,000 $ 3.38 2.33 $ 0 Exercisable at December 31, 2015 473,500 $ 4.09 0.79 $ 0 |
Note 19 - Stockholders' Equity
Note 19 - Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | December 31, 2015 2014 Foreign currency translation adjustments $ (9,554 ) $ (7,265 ) Employee benefit related adjustments – U.S, net of tax. (16,177 ) (17,584 ) Employee benefit related adjustments – Mexico, net of tax (29 ) (186 ) Accumulated other comprehensive loss $ (25,760 ) $ (25,035 ) |
Note 20 - Income Taxes (Tables)
Note 20 - Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | Year ended December 31, 2015 2014 Domestic $ (18,625 ) $ (11,924 ) Foreign (6,599 ) 15,309 $ (25,224 ) $ 3,385 |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | Year ended December 31, 2015 2014 Current: Federal $ 0 $ 0 State 31 102 Foreign (269 ) 3,417 Total current income tax expense (238 ) 3,519 Deferred: Federal 0 0 State 0 0 Foreign 2,230 1,050 Total deferred income tax expense 2,230 1,050 $ 1,992 $ 4,569 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | Year ended December 31, 2015 2014 Federal tax expense at the statutory rate $ (8,829 ) $ 1,185 Current year permanent differences 254 61 State income taxes, net of federal tax impact (613 ) (772 ) Foreign repatriation, net of foreign tax credits (3,394 ) 4,077 Effect of tax rates of foreign subsidiaries 323 (733 ) Currency translation effect on temporary differences (217 ) (71 ) Change in valuation allowance 11,453 297 Prior year adjustment 3,015 531 Other 0 (6 ) $ 1,992 $ 4,569 |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | December 31, 2015 2014 Deferred tax assets: Compensation and benefit accruals $ 1,987 $ 1,665 Inventory valuation 2,840 3,124 Federal and state net operating loss carryforwards 51,460 46,835 Deferred revenue 533 2,573 Accounts receivable allowance 42 113 Defined benefit pension plan 1,766 2,304 Foreign deferred revenue and other provisions 4,033 2,556 AMT credits 185 185 Other 1,526 974 64,372 60,329 Domestic valuation allowance (58,682 ) (51,914 ) Foreign valuation allowance (4,033 ) 0 Total deferred tax assets 1,657 8,415 Deferred tax liabilities: Foreign subsidiaries – unrepatriated earnings (379 ) (3,773 ) Depreciation (1,278 ) (2,086 ) Total deferred tax liabilities (1,657 ) (5,859 ) Net deferred tax asset $ 0 $ 2,556 |
Note 21 - Earnings (Loss) Per47
Note 21 - Earnings (Loss) Per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Year ended December 31, 2015 2014 Loss attributable to stockholders: Net loss as reported $ (27,216 ) $ (1,184 ) Less dividends declared attributable to restricted award holders 0 (53 ) Net loss allocable to common stockholders $ (27,216 ) $ (1,237 ) Loss per common share attributable to stockholders: Basic $ (1.38 ) $ (0.06 ) Diluted $ (1.38 ) $ (0.06 ) Weighted average shares outstanding – basic 19,688 19,586 Weighted average additional shares assuming conversion of potential common shares 0 0 Weighted average shares outstanding – diluted 19,688 19,586 |
Note 22 - Segment Information (
Note 22 - Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Year ended December 31, 2015 2014 Net revenue from unaffiliated customers: Sypris Technologies $ 108,134 $ 322,262 Sypris Electronics 37,189 32,514 $ 145,323 $ 354,776 Gross profit (loss): Sypris Technologies $ (790 ) $ 42,021 Sypris Electronics 1,108 (3,191 ) $ 318 $ 38,830 Operating (loss) income: Sypris Technologies $ (13,661 ) $ 25,160 Sypris Electronics (7,639 ) (13,479 ) General, corporate and other (8,344 ) (8,961 ) $ (29,644 ) $ 2,720 (Loss) income before income taxes: Sypris Technologies $ (5,131 ) $ 26,454 Sypris Electronics (7,639 ) (13,476 ) General, corporate and other (12,454 ) (9,593 ) $ (25,224 ) $ 3,385 Depreciation and amortization: Sypris Technologies $ 5,927 $ 9,374 Sypris Electronics 2,973 945 General, corporate and other 135 90 $ 9,035 $ 10,409 Capital expenditures: Sypris Technologies $ 1,707 $ 3,725 Sypris Electronics 416 811 General, corporate and other (298 ) 723 $ 1,825 $ 5,259 |
Reconciliation of Assets from Segment to Consolidated [Table Text Block] | December 31, 2015 2014 Total assets: Sypris Technologies $ 38,968 $ 95,108 Sypris Electronics 23,845 26,874 General, corporate and other 5,299 7,699 $ 68,112 $ 129,681 Total liabilities: Sypris Technologies $ 20,283 $ 55,505 Sypris Electronics 6,375 8,687 General, corporate and other 21,742 18,601 $ 48,400 $ 82,793 |
Note 1 - Organization and Acc49
Note 1 - Organization and Accounting Policies (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Furniture and Fixtures [Member] | Minimum [Member] | ||
Property, Plant and Equipment, Useful Life | 3 years | |
Furniture and Fixtures [Member] | Maximum [Member] | ||
Property, Plant and Equipment, Useful Life | 15 years | |
Land, Buildings and Improvements [Member] | ||
Property, Plant and Equipment, Useful Life | 40 years | |
Machinery and Equipment [Member] | Minimum [Member] | ||
Property, Plant and Equipment, Useful Life | 3 years | |
Machinery and Equipment [Member] | Maximum [Member] | ||
Property, Plant and Equipment, Useful Life | 15 years | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer Sistemas [Member] | ||
Concentration Risk, Percentage | 16.00% | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer Meritor [Member] | ||
Concentration Risk, Percentage | 11.00% | 22.00% |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer ITT Exelis [Member] | ||
Concentration Risk, Percentage | 10.00% | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer Dana [Member] | ||
Concentration Risk, Percentage | 57.00% | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||
Concentration Risk, Percentage | 37.00% | 79.00% |
Number of Major Customers | 3 | 2 |
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | Customer Sistemas [Member] | ||
Concentration Risk, Percentage | 11.00% | |
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | Customer Meritor [Member] | ||
Concentration Risk, Percentage | 30.00% | 16.00% |
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | Customer Dana [Member] | ||
Concentration Risk, Percentage | 59.00% | |
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | Customer Detroit Diesel [Member] | ||
Concentration Risk, Percentage | 10.00% | |
Sales Revenue, Net [Member] | Government Contracts Concentration Risk [Member] | ||
Concentration Risk, Percentage | 5.00% | 2.00% |
Workforce Subject to Collective Bargaining Arrangements Expiring within One Year [Member] | ||
Multi Employer Plans Collective Bargaining Arrangement Number of Participants | 35 | |
Employee Benefit Related Adjustments Mexico [Member] | ||
Multi Employer Plans Collective Bargaining Arrangement Number of Participants | 191 | |
Multiemployer Plans, Collective-Bargaining Arrangement, Percentage of Participants | 26.00% | |
Software Development Costs, Useful Life | 1 year 180 days | |
Capitalized Computer Software, Net | $ 1,597,000 | $ 1,883,000 |
Capitalized Computer Software, Amortization | 2,090,000 | 372,000 |
Revenue Recognition, Milestone Method, Revenue Recognized | 300,000 | 3,050,000 |
Product Warranty Accrual | 830,000 | 825,000 |
Product Warranty Expense | 159,000 | 43,000 |
Extended Product Warranty Accrual, Warranties Issued | 495,000 | 839,000 |
Extended Product Warranty Accrual | 333,000 | 344,000 |
Other Liabilities | $ 162,000 | $ 495,000 |
Multi Employer Plans Collective Bargaining Arrangement Number of Participants | 374 | |
Multiemployer Plans, Collective-Bargaining Arrangement, Percentage of Participants | 51.00% |
Note 2 - Management's Recover50
Note 2 - Management's Recovery Plans (Details Textual) - USD ($) | Mar. 09, 2016 | Feb. 25, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Feb. 26, 2016 | Jul. 02, 2015 |
Gill Family Capital Management [Member] | Subsequent Event [Member] | Promissory Note [Member] | ||||||
Subordinated Debt | $ 6,500,000 | $ 6,500,000 | ||||
Gill Family Capital Management [Member] | Subsequent Event [Member] | ||||||
Number of Cash Infusions | 3 | |||||
Gill Family Capital Management [Member] | Promissory Note [Member] | ||||||
Subordinated Debt | $ 5,500,000 | $ 5,500,000 | ||||
Subsequent Event [Member] | Term Loan [Member] | ||||||
Additional Amount of Cash to Be Deposited Into a Controlled Cash Collateral Account to be held for one year | $ 6,000,000 | $ 6,000,000 | ||||
Subsequent Event [Member] | Toluca [Member] | ||||||
Sale Leaseback Transaction, Net Proceeds, Investing Activities | $ 12,100,000 | |||||
Additional Amount of Cash to Be Deposited Into a Controlled Cash Collateral Account to be held for one year | $ 6,000,000 | |||||
Net Income (Loss) Attributable to Parent | (27,216,000) | $ (1,184,000) | ||||
Gain (Loss) on Disposition of Business | 7,744,000 | |||||
Operating Income (Loss) | (29,644,000) | 2,720,000 | ||||
Net Cash Provided by (Used in) Operating Activities, Continuing Operations | $ (13,447,000) | $ 3,045,000 |
Note 3 - Morganton Sale (Detail
Note 3 - Morganton Sale (Details Textual) - USD ($) | Jul. 09, 2015 | Dec. 31, 2015 | Sep. 30, 2015 |
Morganton [Member] | Certain Assets [Member] | |||
Proceeds from Sales of Business, Affiliate and Productive Assets | $ 10,500,000 | ||
Morganton [Member] | Certain Assets and Liabilities [Member] | |||
Proceeds from Sales of Business, Affiliate and Productive Assets | 2,000,000 | ||
Morganton [Member] | Morganton Facility [Member] | |||
Proceeds from Sales of Business, Affiliate and Productive Assets | 3,200,000 | ||
Morganton [Member] | |||
Proceeds from Sales of Business, Affiliate and Productive Assets | 15,700,000 | ||
Gain (Loss) on Disposition of Business | 7,744,000 | ||
Meritor Note Amendment [Member] | |||
Secured Debt | $ 412,000 | $ 321,000 | |
Gain (Loss) on Disposition of Business | $ 7,744,000 |
Note 4 - Other (Income), Net (D
Note 4 - Other (Income), Net (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Morganton [Member] | ||
Gain (Loss) on Disposition of Assets | $ 7,744,000 | |
Other Nonoperating Income (Expense) [Member] | Sypris Technologies [Member] | ||
Gain (Loss) on Disposition of Assets | $ 714,000 | |
Other Nonoperating Income (Expense) [Member] | ||
Gain (Loss) Related to Litigation Settlement | 505,000 | |
Foreign Currency Transaction Gain (Loss), Realized | 259,000 | 655,000 |
Other Nonoperating Income (Expense) | $ 8,643,000 | $ 1,282,000 |
Note 5 - Dana Claim (Details Te
Note 5 - Dana Claim (Details Textual) | Aug. 07, 2007USD ($) | Dec. 31, 2014USD ($) | Mar. 03, 2006 |
Fair Value [Member] | |||
Litigation Settlement, Amount | $ 76,483,000 | ||
Number of Subsidiaries of Client | 40 | ||
Number of Supply Commitments Replaced | 3 | ||
Bankruptcy Claims, Amount of Claims Filed | $ 89,900,000 | ||
Litigation Settlement, Amount | $ 89,900,000 | ||
Deferred Revenue, Revenue Recognized | $ 8,657,000 |
Note 6 - Accounts Receivable De
Note 6 - Accounts Receivable Detail (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Commercial [Member] | ||
Account Receivable Types | $ 11,882,000 | $ 47,228,000 |
US Government [Member] | ||
Account Receivable Types | 1,454,000 | 727,000 |
Account Receivable Types | 13,336,000 | 47,955,000 |
Allowance for doubtful accounts | (942,000) | (289,000) |
$ 12,394,000 | $ 47,666,000 |
Note 7 - Inventory Components (
Note 7 - Inventory Components (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Raw materials | $ 12,388,000 | $ 16,687,000 |
Work in process | 10,366,000 | 11,702,000 |
Finished goods | 3,167,000 | 6,991,000 |
Reserve for excess and obsolete inventory | (5,729,000) | (6,349,000) |
Total | $ 20,192,000 | $ 29,031,000 |
Note 8 - Other Current Assets56
Note 8 - Other Current Assets (Details Textual) | 12 Months Ended |
Dec. 31, 2015 | |
Percentage of Current Assets Included in Other Current Assets | 5.00% |
Note 8 - Other Current Assets C
Note 8 - Other Current Assets Consist of the Following (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Prepaid expenses | $ 1,047 | $ 1,499 |
Other | 3,412 | 4,167 |
$ 4,459 | $ 5,666 |
Note 9 - Assets Held for Sale58
Note 9 - Assets Held for Sale (Details Textual) | Mar. 09, 2016USD ($) | Mar. 09, 2016MXN | Feb. 25, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) |
Subsequent Event [Member] | Toluca [Member] | Sypris Technologies Mexico, S. de R.L. de C.V. [Member] | |||||
Sale Leaseback Transaction, Net Proceeds, Investing Activities | $ 12,100,000 | MXN 215,000,000 | |||
Subsequent Event [Member] | Toluca [Member] | |||||
Sale Leaseback Transaction, Net Proceeds, Investing Activities | $ 12,100,000 | ||||
Additional Amount of Cash to Be Deposited Into a Controlled Cash Collateral Account to be held for one year | $ 6,000,000 | ||||
Disposal Group, Including Discontinued Operation, Assets, Current | $ 3,230,000 | $ 0 |
Note 9 - Components of Assets H
Note 9 - Components of Assets Held for Sale (Details) | Dec. 31, 2015USD ($) |
Land and Land Improvements [Member] | |
Land and land improvements | $ 1,568,000 |
Building and Building Improvements [Member] | |
Land and land improvements | 3,658,000 |
Accumulated depreciation | (1,996,000) |
Disposal Group, Including Discontinued Operation, Assets, Current | $ 3,230,000 |
Note 10 - Property, Plant and60
Note 10 - Property, Plant and Equipment (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Depreciation | $ 6,945,000 | $ 10,409,000 |
Capital Expenditures Incurred but Not yet Paid | $ 24,000 | $ 52,000 |
Note 10 - Property, Plant and61
Note 10 - Property, Plant and Equipment Components (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Land and Land Improvements [Member] | ||
Gross property, plant and equipment | $ 219,000 | $ 2,770,000 |
Building and Building Improvements [Member] | ||
Gross property, plant and equipment | 18,305,000 | 26,055,000 |
Property, Plant and Equipment, Other Types [Member] | ||
Gross property, plant and equipment | 123,935,000 | 158,816,000 |
Construction in Progress [Member] | ||
Gross property, plant and equipment | 759,000 | 2,100,000 |
Gross property, plant and equipment | 143,218,000 | 189,741,000 |
Accumulated depreciation | (121,040,000) | (152,087,000) |
Property plant and equipment net | $ 22,178,000 | $ 37,654,000 |
Note 11 - Summary of Other Asse
Note 11 - Summary of Other Assets (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Deferred tax assets, net | $ 0 | $ 1,575,000 |
Unamortized loan costs | 2,413,000 | 109,000 |
Other | 1,897,000 | 977,000 |
$ 4,310,000 | $ 2,661,000 |
Note 12 - Accrued Liabilities63
Note 12 - Accrued Liabilities (Details Textual) | Dec. 31, 2015 |
Accrued Operating Expenses, Accrued Warranty Expenses, Accrued Interest, and Other Items | 5.00% |
Note 12 - Summary of Accrued Li
Note 12 - Summary of Accrued Liabilities (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Salaries, wages, employment taxes and withholdings | $ 2,226,000 | $ 2,758,000 |
Employee benefit plans | 1,312,000 | 1,437,000 |
Accrued professional fees | 3,670,000 | 2,664,000 |
Income, property and other taxes | 301,000 | 2,439,000 |
Deferred revenue | 1,208,000 | 6,120,000 |
Other | 2,944,000 | 3,357,000 |
$ 11,661,000 | $ 18,775,000 |
Note 13 - Other Liabilities (De
Note 13 - Other Liabilities (Details Textual) | Dec. 31, 2015 |
Accrued Long-term Warranty Expenses and Other Items, Percentage | 5.00% |
Note 13 - Other Liabilities (66
Note 13 - Other Liabilities (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Noncurrent pension liability | $ 5,832,000 | $ 7,400,000 |
Other | 250,000 | 591,000 |
$ 6,082,000 | $ 7,991,000 |
Note 14 - Debt (Details Textual
Note 14 - Debt (Details Textual) | Mar. 09, 2016USD ($) | Feb. 26, 2016USD ($) | Feb. 25, 2016USD ($) | Oct. 30, 2015USD ($) | Jul. 09, 2015USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Sep. 30, 2015USD ($) | Jul. 02, 2015USD ($) |
Promissory Note [Member] | Gill Family Capital Management [Member] | Subsequent Event [Member] | |||||||||
Subordinated Debt | $ 6,500,000 | $ 6,500,000 | |||||||
Proceeds from Issuance of Subordinated Long-term Debt | $ 1,000,000 | 1,000,000 | |||||||
Promissory Note [Member] | Gill Family Capital Management [Member] | |||||||||
Subordinated Debt | $ 5,500,000 | $ 5,500,000 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 8.00% | ||||||||
Meritor Note [Member] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 10.00% | ||||||||
Debt Instrument, Face Amount | $ 3,047,000 | ||||||||
Meritor Note Amendment [Member] | |||||||||
Secured Debt | $ 412,000 | $ 321,000 | |||||||
Term Loan [Member] | Subsequent Event [Member] | |||||||||
Additional Amount of Cash to Be Deposited Into a Controlled Cash Collateral Account to be held for one year | $ 6,000,000 | $ 6,000,000 | |||||||
Debt Instrument, Interest Rate, Increase (Decrease) | 1.00% | ||||||||
Term Loan [Member] | |||||||||
Debt Instrument, Face Amount | $ 12,000,000 | ||||||||
New Credit Facility [Member] | Subsequent Event [Member] | Revolving Credit Facility [Member] | |||||||||
Line of Credit Facility, Fixed Charge Coverage Ratio Trigger, Borrowing Availability | $ 3,000,000 | ||||||||
Line of Credit Facility, Additional Borrowing Capacity | $ 1,655,000 | ||||||||
New Credit Facility [Member] | Revolving Credit Facility [Member] | |||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 15,000,000 | ||||||||
Line of Credit Facility, Fixed Charge Coverage Ratio Trigger, Borrowing Availability | $ 4,000,000 | ||||||||
Fixed Charge Coverage Ratio Applicable If Borrowing Availability Falls Below a Specified Level | 1 | ||||||||
Morganton [Member] | Morganton Facility [Member] | |||||||||
Proceeds from Sale of Productive Assets | 3,200,000 | ||||||||
Cash [Member] | |||||||||
Unrestricted Cash Balance | $ 1,349,000 | ||||||||
Mexican Subsidiaries [Member] | |||||||||
Unrestricted Cash Balance | 1,183,000 | ||||||||
Disposal Group, Including Discontinued Operation, Consideration, Assets Transferred and Liabilities Assumed | $ 12,500,000 | ||||||||
Line of Credit Facility, Current Borrowing Capacity | 8,369,000 | ||||||||
Letters of Credit Outstanding, Amount | 2,132,000 | ||||||||
Line of Credit Facility, Remaining Borrowing Capacity | 6,237,000 | ||||||||
Unrestricted Cash Balance and Borrowing Capacity | $ 3,586,000 | ||||||||
Debt Instrument, Interest Rate, Effective Percentage | 10.50% | ||||||||
Long-term Debt, Weighted Average Interest Rate | 7.20% | 2.50% | |||||||
Interest Paid, Net | $ 1,436,000 | $ 397,000 |
Note 14 - Debt Components (Deta
Note 14 - Debt Components (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Revolving Credit Facility [Member] | ||
Credit Facility | $ 0 | $ 17,000,000 |
New Credit Facility [Member] | ||
Credit Facility | 2,132,000 | 0 |
Term Loan | 11,714,000 | 0 |
Note payable – related party | 5,500,000 | 0 |
Long term debt | 19,346,000 | 17,000,000 |
Current portion of long-term debt | 3,846,000 | 17,000,000 |
$ 15,500,000 | $ 0 |
Note 16 - Employee Benefit Pl69
Note 16 - Employee Benefit Plans (Details Textual) | 12 Months Ended | |
Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Equity Securities [Member] | ||
Defined Benefit Plan, Target Plan Asset Allocations Range Minimum | 0.00% | |
Defined Benefit Plan, Target Plan Asset Allocations Range Maximum | 55.00% | |
Fixed Income Securities [Member] | ||
Defined Benefit Plan, Target Plan Asset Allocations Range Minimum | 35.00% | |
Defined Benefit Plan, Target Plan Asset Allocations Range Maximum | 100.00% | |
Non Traditional Securities [Member] | ||
Defined Benefit Plan, Target Plan Asset Allocations Range Minimum | 0.00% | |
Defined Benefit Plan, Target Plan Asset Allocations Range Maximum | 10.00% | |
Defined Contribution Plan [Member] | ||
Defined Contribution Plan, Cost Recognized | $ 930,000 | $ 1,137,000 |
Non US Employees Defined Benefit Plan [Member] | ||
Defined Benefit Plan, Administration Expenses | $ 30,000 | 26,000 |
Defined Benefit Plan Highest Average Compensation Period | 5 years | |
Defined Benefit Plan Maximum Period Allocated for Calculating Average Compensation | 10 years | |
Defined Benefit Plan, Amounts Recognized in Other Comprehensive Income (Loss), Net Actuarial Gain (Loss), before Tax | $ (16,206,000) | |
Defined Benefit Plan, Future Amortization of Gain (Loss) | (697,000) | |
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, Net of Tax | $ 694,000 | 531,000 |
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 3.00% | |
Defined Contribution Plan, Cost Recognized | $ 4,058,000 | $ 4,967,000 |
Defined Contribution Plan, Number of Employees Covered | 423 | 670 |
Note 16 - Components of Pension
Note 16 - Components of Pension Expense (Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Service cost | $ 14 | $ 13 |
Interest cost on projected benefit obligation | 1,691 | 1,789 |
Net amortization of actuarial loss | 694 | 531 |
Expected return on plan assets | (2,245) | (2,390) |
Pension expense (benefit) | $ 154 | $ (57) |
Note 16 - Summaries of Changes
Note 16 - Summaries of Changes in Benefit Obligations and Plan Assets and of Funded Status of Pension Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Benefit obligation at beginning of year | $ 45,438 | $ 40,526 |
Service cost | 14 | 13 |
Interest cost on projected benefit obligation | 1,691 | 1,789 |
Actuarial (gain) loss | (3,115) | 6,231 |
Benefits paid | (3,070) | (3,121) |
Benefit obligation at end of year | $ 40,958 | $ 45,438 |
Note 16 - Summaries of Change72
Note 16 - Summaries of Changes in Benefit Obligations and Plan Assets and of Funded Status of Pension Plans cont. (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |
Minimum [Member] | ||||
Expected long-term rate of return on plan assets | 5.75% | |||
Maximum [Member] | ||||
Expected long-term rate of return on plan assets | 6.75% | |||
Equity Securities [Member] | ||||
Weighted Average Asset Allocations | 30.00% | 32.00% | ||
Debt Securities [Member] | ||||
Weighted Average Asset Allocations | 70.00% | 68.00% | ||
Fair value of plan assets at beginning of year | $ 38,038,000 | $ 36,566,000 | ||
Actual return on plan assets | (157,000) | 3,503,000 | ||
Company contributions | 315,000 | 1,090,000 | ||
Benefits paid | (3,070,000) | (3,121,000) | ||
Fair value of plan assets at end of year | 35,126,000 | 38,038,000 | ||
Underfunded status of the plans | $ (5,832,000) | $ (7,400,000) | ||
Other assets | 0 | 0 | ||
Other liabilities | (5,832,000) | (7,400,000) | ||
Net amount recognized | (5,832,000) | (7,400,000) | ||
Projected benefit obligation | 40,958,000 | 45,438,000 | ||
Accumulated benefit obligation | 40,953,000 | 45,428,000 | ||
Plan Asset Categories | $ 38,038,000 | $ 36,566,000 | $ 35,126,000 | $ 38,038,000 |
Discount rate | 4.35% | 3.90% | ||
Rate of compensation increase | 4.00% | 4.00% | ||
Expected long-term rate of return on plan assets | 6.75% | |||
Weighted Average Asset Allocations | 100.00% | 100.00% |
Note 16 - Summary of Fair Value
Note 16 - Summary of Fair Values of Pension Plan Assets (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Fair Value, Inputs, Level 1 [Member] | Cash and Cash Equivalents [Member] | ||
Plan Asset Categories | $ 1,001,000 | $ 1,270,000 |
Fair Value, Inputs, Level 1 [Member] | Real Estate [Member] | ||
Plan Asset Categories | 306,000 | 292,000 |
Fair Value, Inputs, Level 1 [Member] | US Large Cap [Member] | ||
Plan Asset Categories | 7,065,000 | 8,105,000 |
Fair Value, Inputs, Level 1 [Member] | US Mid Cap [Member] | ||
Plan Asset Categories | 1,012,000 | 1,245,000 |
Fair Value, Inputs, Level 1 [Member] | US Small Cap [Member] | ||
Plan Asset Categories | 496,000 | 504,000 |
Fair Value, Inputs, Level 1 [Member] | World Equity [Member] | ||
Plan Asset Categories | 1,458,000 | 1,596,000 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | ||
Plan Asset Categories | 103,000 | 266,000 |
Fair Value, Inputs, Level 1 [Member] | Fixed Income Securities [Member] | ||
Plan Asset Categories | 8,511,000 | 11,710,000 |
Fair Value, Inputs, Level 1 [Member] | ||
Plan Asset Categories | 19,952,000 | 24,988,000 |
Fair Value, Inputs, Level 2 [Member] | Cash and Cash Equivalents [Member] | ||
Plan Asset Categories | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Real Estate [Member] | ||
Plan Asset Categories | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | US Large Cap [Member] | ||
Plan Asset Categories | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | US Mid Cap [Member] | ||
Plan Asset Categories | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | US Small Cap [Member] | ||
Plan Asset Categories | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | World Equity [Member] | ||
Plan Asset Categories | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Equity Securities [Member] | ||
Plan Asset Categories | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fixed Income Securities [Member] | ||
Plan Asset Categories | 15,174,000 | 13,050,000 |
Fair Value, Inputs, Level 2 [Member] | ||
Plan Asset Categories | 15,174,000 | 13,050,000 |
Plan Asset Categories | $ 35,126,000 | $ 38,038,000 |
Note 16 - Benefits Expected to
Note 16 - Benefits Expected to be Paid (Details) $ in Thousands | Dec. 31, 2015USD ($) |
2,016 | $ 3,140 |
2,017 | 3,112 |
2,018 | 3,076 |
2,019 | 3,028 |
2,020 | 2,962 |
2021 - 2025 | 13,970 |
$ 29,288 |
Note 17 - Commitments and Con75
Note 17 - Commitments and Contingencies (Details Textual) - USD ($) | 2 Months Ended | 12 Months Ended | |
Feb. 29, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Subsequent Event [Member] | Pulso [Member] | |||
Sale Leaseback Transaction, Annual Rental Payments | $ 936,000 | ||
Operating Leases Maximum Expiration Period | 10 years | ||
Operating Leases, Rent Expense, Net | $ 2,700,000 | $ 2,849,000 | |
Purchase Obligation | $ 6,168,000 |
Note 17 - Future Minimum Annual
Note 17 - Future Minimum Annual Lease Commitment Under Operating Leases (Details) $ in Thousands | Dec. 31, 2015USD ($) |
2,016 | $ 2,126 |
2,017 | 523 |
2,018 | 466 |
2,019 | 371 |
2,020 | 319 |
2021 and thereafter | 722 |
$ 4,527 |
Note 18 - Stock Option and Pu77
Note 18 - Stock Option and Purchase Plans (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Employee Stock Option [Member] | The 2010 Sypris Omnibus Plan [Member] | ||
Common Stock, Capital Shares Reserved for Future Issuance | 3,655,088 | |
Employee Stock Option [Member] | The 2015 Omnibus Plan [Member] | ||
Common Stock, Capital Shares Reserved for Future Issuance | 3,476,021 | |
Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value | $ 230,000 | $ 773,000 |
Treasury Stock, Shares | 28,999 | 98,251 |
Treasury Stock Acquired, Average Cost Per Share | $ 2.65 | $ 2.81 |
The 2010 Sypris Omnibus Plan [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award Award Lapsing Restrictions Period | 3 years | |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 5 years | |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 0 | 201,589 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | $ 0 | $ 0 |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 3,476,021 | 1,052,021 |
Treasury Stock, Shares | 49,692 | 82,692 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 0.82 | $ 0.99 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | $ 417,000 | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | $ 1,037,000 | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 328 days |
Note 18 - Estimate Fair Value o
Note 18 - Estimate Fair Value of Options Granted (Details) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Expected life (years) | 4 years | 4 years |
Expected volatility | 50.20% | 53.30% |
Risk-free interest rates | 1.32% | 1.73% |
Expected dividend yield | 0.00% | 2.67% |
Note 18 - Summary of Restricted
Note 18 - Summary of Restricted Stock Activity (Details) - Restricted Stock [Member] | 12 Months Ended |
Dec. 31, 2015$ / sharesshares | |
Nonvested shares at January 1, 2015 (in shares) | shares | 888,901 |
Nonvested shares at January 1, 2015 (in dollars per share) | $ / shares | $ 3.60 |
Granted (in shares) | shares | 287,500 |
Granted (in dollars per share) | $ / shares | $ 2.05 |
Vested (in shares) | shares | (86,701) |
Vested (in dollars per share) | $ / shares | $ 3.60 |
Forfeited (in shares) | shares | (15,000) |
Forfeited (in dollars per share) | $ / shares | $ 2.75 |
Nonvested shares at December 31, 2015 (in shares) | shares | 1,074,700 |
Nonvested shares at December 31, 2015 (in dollars per share) | $ / shares | $ 3.19 |
Note 18 - Summary of Option Act
Note 18 - Summary of Option Activity (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Outstanding at January 1, 2015 (in shares) | 1,056,000 | |
Outstanding at January 1, 2015 (in dollars per share) | $ 3.72 | |
Granted (in shares) | 260,500 | |
Granted (in dollars per share) | $ 2.05 | |
Exercised (in shares) | 0 | 201,589 |
Exercised (in dollars per share) | $ 0 | |
Forfeited (in shares) | (62,000) | |
Forfeited (in dollars per share) | $ 3.09 | |
Expired (in shares) | (32,500) | |
Expired (in dollars per share) | $ 4.27 | |
Outstanding at December 31, 2015 (in shares) | 1,222,000 | 1,056,000 |
Outstanding at December 31, 2015 (in dollars per share) | $ 3.38 | $ 3.72 |
Outstanding at December 31, 2015 | 2 years 120 days | |
Outstanding at December 31, 2015 | $ 0 | |
Exercisable at December 31, 2015 (in shares) | 473,500 | |
Exercisable at December 31, 2015 (in dollars per share) | $ 4.09 | |
Exercisable at December 31, 2015 | 288 days | |
Exercisable at December 31, 2015 | $ 0 |
Note 19 - Stockholders' Equit81
Note 19 - Stockholders' Equity (Details Textual) - shares | Dec. 31, 2015 | Dec. 31, 2014 |
Series A Preferred Stock [Member] | ||
Preferred Stock, Shares Authorized | 24,850 | 24,850 |
Preferred Stock, Shares Authorized | 975,150 | 975,150 |
Note 19 - Accumulated Other Com
Note 19 - Accumulated Other Comprehensive Loss (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
UNITED STATES | ||
Employee benefit related adjustments – U.S, net of tax. | $ (16,177,000) | $ (17,584,000) |
MEXICO | ||
Employee benefit related adjustments – U.S, net of tax. | (29,000) | (186,000) |
Foreign currency translation adjustments | (9,554,000) | (7,265,000) |
Accumulated other comprehensive loss | $ (25,760,000) | $ (25,035,000) |
Note 20 - Income Taxes (Details
Note 20 - Income Taxes (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Domestic Tax Authority [Member] | ||
Proceeds from Income Tax Refunds | $ 0 | $ 0 |
Operating Loss Carryforwards | 132,040,000 | |
Foreign Tax Authority [Member] | ||
Proceeds from Income Tax Refunds | 0 | 0 |
State and Local Jurisdiction [Member] | ||
Proceeds from Income Tax Refunds | 30,000 | |
Operating Loss Carryforwards | 137,645,000 | |
Mexican Subsidiaries [Member] | ||
Deferred Tax Assets, Foreign Deferred Revenue and Other Provision | 4,033,000 | 2,556,000 |
Deferred Tax Assets, Net | 2,556,000 | |
Unrecognized Tax Benefits | 200,000 | 200,000 |
Federal Income Tax Expense (Benefit), Continuing Operations | 0 | 0 |
Undistributed Earnings of Foreign Subsidiaries | 0 | |
Unrecognized Tax Benefits, Period Increase (Decrease) | 0 | 0 |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | 0 | 0 |
State and Local Income Tax Expense (Benefit), Continuing Operations | 120,000 | 33,000 |
Foreign Income Tax Expense (Benefit), Continuing Operations | 2,195,000 | 1,063,000 |
Deferred Tax Assets, Foreign Deferred Revenue and Other Provision | 4,033,000 | 2,556,000 |
Deferred Tax Assets, Net | 0 | 2,556,000 |
Deferred Income Tax Expense (Benefit) | $ 2,230,000 | $ 1,050,000 |
Note 20 - Components of Income
Note 20 - Components of Income (Loss) From Continuing Operations Before Taxes (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Domestic | $ (18,625,000) | $ (11,924,000) |
Foreign | (6,599,000) | 15,309,000 |
$ (25,224,000) | $ 3,385,000 |
Note 20 - Components of Incom85
Note 20 - Components of Income Tax Expense (Benefit) Applicable to Continuing Operations (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Current: | ||
Federal | $ 0 | $ 0 |
State | 31,000 | 102,000 |
Foreign | (269,000) | 3,417,000 |
Total current income tax expense | (238,000) | 3,519,000 |
Deferred: | ||
Federal | 0 | 0 |
State | 0 | 0 |
Foreign | 2,230,000 | 1,050,000 |
Total deferred income tax expense | 2,230,000 | 1,050,000 |
$ 1,992,000 | $ 4,569,000 |
Note 20 - Summary of Reconcilia
Note 20 - Summary of Reconciliation of Income Tax Expense (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Federal tax expense at the statutory rate | $ (8,829,000) | $ 1,185,000 |
Current year permanent differences | 254,000 | 61,000 |
State income taxes, net of federal tax impact | (613,000) | (772,000) |
Foreign repatriation, net of foreign tax credits | (3,394,000) | 4,077,000 |
Effect of tax rates of foreign subsidiaries | 323,000 | (733,000) |
Currency translation effect on temporary differences | (217,000) | (71,000) |
Change in valuation allowance | 11,453,000 | 297,000 |
Prior year adjustment | 3,015,000 | 531,000 |
Other | 0 | (6,000) |
$ 1,992,000 | $ 4,569,000 |
Note 20 - Summary of Deferred I
Note 20 - Summary of Deferred Income Tax Assets and Liabilities (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Compensation and benefit accruals | $ 1,987,000 | $ 1,665,000 |
Inventory valuation | 2,840,000 | 3,124,000 |
Federal and state net operating loss carryforwards | 51,460,000 | 46,835,000 |
Deferred revenue | 533,000 | 2,573,000 |
Accounts receivable allowance | 42,000 | 113,000 |
Defined benefit pension plan | 1,766,000 | 2,304,000 |
Foreign deferred revenue and other provisions | 4,033,000 | 2,556,000 |
AMT credits | 185,000 | 185,000 |
Other | 1,526,000 | 974,000 |
64,372,000 | 60,329,000 | |
Domestic valuation allowance | (58,682,000) | (51,914,000) |
Foreign valuation allowance | (4,033,000) | 0 |
Total deferred tax assets | 1,657,000 | 8,415,000 |
Foreign subsidiaries – unrepatriated earnings | (379,000) | (3,773,000) |
Depreciation | (1,278,000) | (2,086,000) |
Total deferred tax liabilities | 1,657,000 | 5,859,000 |
Net deferred tax asset | $ 0 | $ 2,556,000 |
Note 21 - Reconciliation of Wei
Note 21 - Reconciliation of Weighted Average Shares Outstanding Used in Calculation of Basic and Diluted (Loss) Earnings Per Common Share (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Net loss as reported | $ (27,216,000) | $ (1,184,000) |
Less dividends declared attributable to restricted award holders | 0 | (53,000) |
Net loss allocable to common stockholders | $ (27,216,000) | $ (1,237,000) |
Basic (in dollars per share) | $ (1.38) | $ (0.06) |
Diluted (in dollars per share) | $ (1.38) | $ (0.06) |
Weighted average shares outstanding – basic (in shares) | 19,688 | 19,586 |
Weighted average additional shares assuming conversion of potential common shares (in shares) | 0 | 0 |
Weighted average shares outstanding – diluted (in shares) | 19,688 | 19,586 |
Note 22 - Segment Information89
Note 22 - Segment Information (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Sales Revenue, Segment [Member] | Sypris Technologies [Member] | ||
Concentration Risk, Percentage | 61.00% | 85.00% |
Sales Revenue, Segment [Member] | Sypris Electronics [Member] | ||
Concentration Risk, Percentage | 17.00% | 6.00% |
Sypris Technologies [Member] | ||
Revenues | $ 108,134,000 | $ 322,262,000 |
Sypris Electronics [Member] | ||
Revenues | 37,189,000 | 32,514,000 |
International Operation [Member] | ||
Export Sales | 34,830,000 | 58,498,000 |
Revenues | 8,889,000 | 111,177,000 |
Long-Lived Assets | 5,807,000 | 13,033,000 |
Net Assets | $ 9,696,000 | 20,388,000 |
Number of Operating Segments | 2 | |
Revenues | $ 145,323,000 | $ 354,776,000 |
Note 22 - Financial Information
Note 22 - Financial Information From Reportable Segments - Income Statement (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Sypris Technologies [Member] | ||
Revenues | $ 108,134,000 | $ 322,262,000 |
Gross profit (loss) | (790,000) | 42,021,000 |
Operating Income (Loss) | (13,661,000) | 25,160,000 |
Operating (loss) income | (13,661,000) | 25,160,000 |
(Loss) income before income taxes | (5,131,000) | 26,454,000 |
Depreciation and amortization | 5,927,000 | 9,374,000 |
Capital expenditures | 1,707,000 | 3,725,000 |
Capital expenditures | (1,707,000) | (3,725,000) |
Sypris Electronics [Member] | ||
Revenues | 37,189,000 | 32,514,000 |
Gross profit (loss) | 1,108,000 | (3,191,000) |
Operating Income (Loss) | (7,639,000) | (13,479,000) |
Operating (loss) income | (7,639,000) | (13,479,000) |
(Loss) income before income taxes | (7,639,000) | (13,476,000) |
Depreciation and amortization | 2,973,000 | 945,000 |
Capital expenditures | 416,000 | 811,000 |
Capital expenditures | (416,000) | (811,000) |
Corporate and Other [Member] | ||
Operating Income (Loss) | (8,344,000) | (8,961,000) |
Operating (loss) income | (8,344,000) | (8,961,000) |
(Loss) income before income taxes | (12,454,000) | (9,593,000) |
Depreciation and amortization | 135,000 | 90,000 |
Capital expenditures | 298,000 | 723,000 |
Capital expenditures | (298,000) | (723,000) |
Revenues | 145,323,000 | 354,776,000 |
Gross profit (loss) | 318,000 | 38,830,000 |
Operating Income (Loss) | (29,644,000) | 2,720,000 |
Operating (loss) income | (29,644,000) | 2,720,000 |
(Loss) income before income taxes | (25,224,000) | 3,385,000 |
Depreciation and amortization | 9,035,000 | 10,409,000 |
Capital expenditures | 1,825,000 | 5,259,000 |
Capital expenditures | $ (1,825,000) | $ (5,259,000) |
Note 22 - Financial Informati91
Note 22 - Financial Information From Reportable Segments - Balance Sheet (Details) - USD ($) | Dec. 31, 2015 | Dec. 30, 2014 |
Sypris Technologies [Member] | ||
Sypris Technologies | $ 38,968,000 | $ 95,108,000 |
Sypris Technologies | 20,283,000 | 55,505,000 |
Sypris Electronics [Member] | ||
Sypris Technologies | 23,845,000 | 26,874,000 |
Sypris Technologies | 6,375,000 | 8,687,000 |
General, Corporate and Other [Member] | ||
Sypris Technologies | 5,299,000 | 7,699,000 |
Sypris Technologies | 21,742,000 | 18,601,000 |
Sypris Technologies | 68,112,000 | 129,681,000 |
Sypris Technologies | $ 48,400,000 | $ 82,793,000 |
Note 23 - Subsequent Events (De
Note 23 - Subsequent Events (Details Textual) | Mar. 09, 2016USD ($)a | Mar. 09, 2016MXNa | Feb. 26, 2016USD ($) | Feb. 25, 2016USD ($) | Dec. 31, 2015USD ($) | Oct. 30, 2015USD ($) | Jul. 02, 2015USD ($) |
Promissory Note [Member] | Gill Family Capital Management [Member] | Subsequent Event [Member] | |||||||
Proceeds from Issuance of Subordinated Long-term Debt | $ 1,000,000 | $ 1,000,000 | |||||
Subordinated Debt | $ 6,500,000 | $ 6,500,000 | |||||
Promissory Note [Member] | Gill Family Capital Management [Member] | |||||||
Subordinated Debt | $ 5,500,000 | $ 5,500,000 | |||||
Term Loan [Member] | Subsequent Event [Member] | |||||||
Debt Instrument, Interest Rate, Increase (Decrease) | 1.00% | ||||||
Additional Amount of Cash to Be Deposited Into a Controlled Cash Collateral Account to be held for one year | $ 6,000,000 | $ 6,000,000 | |||||
New Credit Facility [Member] | Subsequent Event [Member] | Revolving Credit Facility [Member] | |||||||
Line of Credit Facility, Fixed Charge Coverage Ratio Trigger, Borrowing Availability | 3,000,000 | ||||||
Line of Credit Facility, Additional Borrowing Capacity | 1,655,000 | ||||||
New Credit Facility [Member] | Revolving Credit Facility [Member] | |||||||
Line of Credit Facility, Fixed Charge Coverage Ratio Trigger, Borrowing Availability | $ 4,000,000 | ||||||
Subsequent Event [Member] | Toluca [Member] | Sypris Technologies Mexico, S. de R.L. de C.V. [Member] | |||||||
Sale Leaseback Transaction, Net Proceeds, Investing Activities | 12,100,000 | MXN 215,000,000 | |||||
Subsequent Event [Member] | Toluca [Member] | |||||||
Sale Leaseback Transaction, Net Proceeds, Investing Activities | $ 12,100,000 | ||||||
Additional Amount of Cash to Be Deposited Into a Controlled Cash Collateral Account to be held for one year | $ 6,000,000 | ||||||
Subsequent Event [Member] | Sypris Technologies Mexico, S. de R.L. de C.V. [Member] | Area of Land Occupied by Seller [Member] | |||||||
Area of Land | a | 9 | 9 |