American Locker (ALGI) Inactive 10-Q14 May 142014 Q1 Quarterly reportFinancial data

Company Profile

Document_And_Entity_Informatio

Document And Entity Information	3 Months Ended
Document And Entity Information	Mar. 31, 2014	15-May-14
Document and Entity Information [Abstract]	'	'
Entity Registrant Name	'AMERICAN LOCKER GROUP INC	'
Document Type	'10-Q	'
Current Fiscal Year End Date	'--12-31	'
Entity Common Stock, Shares Outstanding	'	1,687,319
Amendment Flag	'false	'
Entity Central Index Key	'0000008855	'
Entity Current Reporting Status	'Yes	'
Entity Voluntary Filers	'No	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Well-known Seasoned Issuer	'No	'
Document Period End Date	31-Mar-14	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'

Consolidated_Balance_Sheets_Cu

Consolidated Balance Sheets (Current Period Unaudited) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Current assets:	'	'
Cash and cash equivalents	$333,009	$279,288
Accounts receivable, less allowance for doubtful accounts of approximately $194,000 in 2014 and $199,000 in 2013	2,034,798	2,097,644
Inventories, net	2,931,481	2,738,813
Prepaid expenses	367,977	299,730
Total current assets	5,667,265	5,415,475
Property, plant and equipment:	'	'
Buildings and leasehold improvements	575,374	552,561
Machinery and equipment	10,315,587	12,089,799
	10,890,961	12,642,360
Less allowance for depreciation and amortization	-8,268,894	-9,226,076
	2,622,067	3,416,284
Other noncurrent assets	201,735	123,856
Total assets	8,491,067	8,955,615
Current liabilities:	'	'
Accounts payable	2,135,685	2,496,331
Customer deposits	282,510	216,107
Commissions, salaries, wages, and taxes thereon	139,053	77,101
Income taxes payable	6,731	5,326
Revolving line of credit	1,955,998	1,580,611
Current portion of long-term debt	240,000	240,000
Note payable to related party	200,000	200,000
Current portion of capital lease obligation	14,084	13,883
Accrued settlement, current portion	'	156,000
Other accrued expenses	602,023	660,771
Total current liabilities	5,576,084	5,646,130
Long-term liabilities:	'	'
Long-term debt, net of current portion	740,000	920,000
Capital lease obligation, net of current portion	56,171	59,768
Accrued settlement, net of current portion	'	130,000
Pension and other benefits	1,232,775	1,274,173
	2,028,946	2,383,941
Total liabilities	7,605,030	8,030,071
Stockholdersâ€™ equity:	'	'
Common stock, $1.00 par value: Authorized shares â€“ 4,000,000 Issued shares â€“ 1,879,319 in 2014 and 1,879,319 in 2013; Outstanding shares â€“ 1,687,319 in 2014 and 1,687,319 in 2013	1,879,319	1,879,319
Other capital	271,381	271,381
Retained earnings	1,509,879	1,565,134
Treasury stock at cost, 192,000 shares	-2,112,000	-2,112,000
Accumulated other comprehensive loss	-962,542	-978,290
Total stockholdersâ€™ equity	886,037	925,544
Total liabilities and stockholdersâ€™ equity	8,491,067	8,955,615
Series C Preferred Stock [Member]	'	'
Stockholdersâ€™ equity:	'	'
Series C redeemable, convertible preferred stock, $1.00 par value: Liquidation preference of $5 per share Authorized shares - 100,000 Issued and outstanding shares - 60,000 in 2014 and 60,000 in 2013	$300,000	$300,000

Consolidated_Balance_Sheets_Cu1

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Allowance for doubtful accounts (in Dollars)	$194,000	$199,000
Common stock, Par value (in Dollars per share)	$1	$1
Common stock, Authorized shares	4,000,000	4,000,000
Common stock, Issued shares	1,879,319	1,879,319
Common stock, Outstanding shares	1,687,319	1,687,319
Treasury stock at cost, shares	192,000	192,000
Series C Preferred Stock [Member]	'	'
Series C redeemable, convertible preferred stock, Par value (in Dollars per share)	$1	$1
Series C redeemable, convertible preferred stock, Liquidation preference (in Dollars per share)	$5	$5
Series C redeemable, convertible preferred stock, Authorized shares	100,000	100,000
Series C redeemable, convertible preferred stock, Issued shares	60,000	60,000
Series C redeemable, convertible preferred stock, Outstanding shares	60,000	60,000

Consolidated_Statements_of_Ope

Consolidated Statements of Operations (Unaudited) (USD $)	3 Months Ended
Consolidated Statements of Operations (Unaudited) (USD $)	Mar. 31, 2014	Mar. 31, 2013
Net sales	$2,834,210	$3,154,487
Cost of products sold	2,499,955	2,557,271
Gross profit	334,255	597,216
Selling, general and administrative expenses	1,005,226	1,155,495
Settlement expense	'	441,583
Total operating loss	-670,971	-999,862
Other income (expense):	'	'
Gain on sale of property	703,439	'
Interest income	'	23,309
Other expense â€“ net	-8,846	-6,414
Interest expense	-69,053	-26,723
Total other income (expense)	625,540	-9,828
Loss before income taxes	-45,431	-1,009,690
Income tax expense	-4,489	-3,940
Net loss	-49,920	-1,013,630
Provision for preferred stock dividends	-4,438	'
Net loss applicable to common shareholders	($54,358)	($1,013,630)
Weighted average common shares:	'	'
Basic (in Shares)	1,687,319	1,687,319
Diluted (in Shares)	1,687,319	1,687,319
Net loss per share applicable to common shareholders:	'	'
Basic (in Dollars per share)	($0.03)	($0.60)
Diluted (in Dollars per share)	($0.03)	($0.60)

Consolidated_Statements_of_Com

Consolidated Statements of Comprehensive Loss (Unaudited) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Net loss	($49,920)	($1,013,630)
Other comprehensive income (loss):	'	'
Foreign currency translation adjustment	3,506	-23,095
Adjustment to minimum pension liability, net of tax effect of $0 in 2014 and $3,514 in 2013	12,242	8,924
Other comprehensive income (loss)	15,748	-14,171
Total comprehensive loss	($34,172)	($1,027,801)

Consolidated_Statements_of_Com1

Consolidated Statements of Comprehensive Loss (Unaudited) (Parentheticals) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Adjustment to minimum pension liability, tax effect	$0	$3,514

Consolidated_Statements_of_Cas

Consolidated Statements of Cash Flows (Unaudited) (USD $)	3 Months Ended
Consolidated Statements of Cash Flows (Unaudited) (USD $)	Mar. 31, 2014	Mar. 31, 2013
Net loss	($49,920)	($1,013,630)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:	'	'
Depreciation and amortization	183,147	195,819
Gain on sale of property	-703,439	'
Provision for uncollectible accounts	33,021	-4,172
Deferred income taxes	'	3,512
Changes in assets and liabilities:	'	'
Accounts receivable	-113,559	340,577
Inventories	-192,939	56,463
Prepaid expenses and other assets	-56,455	24,440
Accounts payable, customer deposits, accrued legal settlement (current and long-term) and accrued expenses	-310,179	455,241
Pension and other benefits	-38,179	16,738
Income taxes	1,405	931
Net cash provided by (used in) operating activities	-1,247,097	75,919
Investing activities:	'	'
Purchase of property, plant and equipment	-31,882	-5,000
Proceeds from sale of property	1,128,075	'
Net cash provided by (used in) investing activities	1,096,193	-5,000
Financing activities:	'	'
Payment of capital lease obligation	-3,396	'
Payment of preferred stock dividends	-5,338	'
Net cash provided by (used in) financing activities	186,653	-230,000
Effect of exchange rate changes on cash	17,972	-10,387
Net increase (decrease) in cash and cash equivalents	53,721	-169,468
Cash and cash equivalents at beginning of period	279,288	413,353
Cash and cash equivalents at end of period	333,009	243,885
Cash paid for:	'	'
Interest	66,547	27,593
Income taxes	2,801	3,011
Bank of America Merrill Lynch [Member]	'	'
Financing activities:	'	'
Long-term debt payments	'	-50,000
Payments on line of credit with Bank of America Merrill Lynch	'	-330,000
Long-term debt borrowings from Bank of America Merrill Lynch	'	150,000
Triumph Commercial Finance [Member]	'	'
Financing activities:	'	'
Long-term debt payments	-180,000	'
Borrowings on line of credit with Triumph Commercial Finance	$375,387	'

Note_1_Basis_of_Presentation

Note 1 - Basis of Presentation	3 Months Ended
Note 1 - Basis of Presentation	Mar. 31, 2014
Disclosure Text Block [Abstract]	'
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	'
	1. Basis of Presentation

	The accompanying unaudited consolidated financial statements of American Locker Group Incorporated (the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and with the instructions to Form 10-Q. Accordingly, the financial statements do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of the Company’s management, all adjustments, consisting of normal recurring accruals, considered necessary for a fair presentation of such consolidated financial statements, have been included. Operating results for the three-month period ended March 31, 2014 are not necessarily indicative of the results that may be expected for the year ended December 31, 2014.

	The consolidated balance sheet at December 31, 2013 has been derived from the Company’s audited financial statements at that date, but does not include all of the financial information and footnotes required by generally accepted accounting principles for complete financial statements. For further information, refer to the Company’s consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013 (the “2013 Annual Report”).

	The accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and liquidation of liabilities in the normal course of business. As a result of the Company’s recurring losses from operations and working capital deficiency at December 31, 2013, the Report of Independent Registered Public Accounting Firm on the financial statements of the Company as of and for the year ended December 31, 2013 included in the 2013 Annual Report contained an explanatory paragraph expressing substantial doubt about the Company’s ability to continue as a going concern. Management’s plans to address the liquidity and working capital needs of the Company were included in Note 1 of the Notes to Consolidated Financial Statements presented in the 2013 Annual Report. The accompanying consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

	Additional risks and uncertainties not presently known or that the Company currently deems immaterial may also impair its business operations. Should one or more of these risks or uncertainties materialize, the Company’s business, financial condition or results of operations could be materially adversely affected.

	Effect of New Accounting Guidance

	In July 2013, the Financial Accounting Standards Board issued Accounting Standards Update No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. Under this guidance, an unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward. This update is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. Adoption of this new guidance did not have a significant impact on the Company’s consolidated financial statements.

Note_2_Concession_Agreement_an

Note 2 - Concession Agreement and Disposition of Assets	3 Months Ended
Note 2 - Concession Agreement and Disposition of Assets	Mar. 31, 2014
Concession Agreement Disclosure [Abstract]	'
Concession Agreement Disclosure [Text Block]	'
	2. Concession Agreement and Disposition of Assets

	In 2010, the Company entered into a five-year agreement with a large theme-park operator to provide approximately 4,300 lockers under a locker concession arrangement. The Company retained ownership of the lockers and received a portion of the revenue generated by the locker operations. Under appropriate accounting guidance, the Company capitalized its costs related to the concession agreement and was depreciating such costs over the five-year term of the agreement. The Company recognized its portion of the revenue as it was collected.

	In February 2014, the Company sold the lockers, kiosks and other assets related to that locker concession arrangement to a third party and entered into a subcontract agreement pursuant to which the third party agreed to perform the locker concession and management services previously performed by the Company for the theme-park operator in exchange for the right to receive all of the payments owed to the Company under such arrangement. The Company received $1,218,075 in total consideration for the disposition of these assets. Net of a holdback amount of $90,000, the Company received proceeds of $1,128,075 at closing of which $120,000 was used to make a principal payment on the Company’s outstanding term loan (see Note 8) and the remainder was used for working capital and general corporate purposes. Additionally, in connection with the sale of these assets, the Company and the third party agreed to an amendment to a settlement agreement previously executed between the two parties (see Note 9) whereby payments the Company had been making to the third party pursuant to the settlement agreement were eliminated. Accordingly, the Company wrote-off the outstanding balance of its accrued settlement of $273,000 and recorded a gain, net of selling costs, of $703,439 in February 2014 in connection with the sale of the locker concession assets and amendment to the settlement agreement.

Note_3_Inventories

Note 3 - Inventories	3 Months Ended
Note 3 - Inventories	Mar. 31, 2014
Inventory Disclosure [Abstract]	'
Inventory Disclosure [Text Block]	'
	3. Inventories

	Inventories are valued at the lower of cost or market value. Cost is determined using the first-in first-out method (FIFO).

	Inventories consist of the following:

		31-Mar-14		31-Dec-13
	Finished products	$	387,162	$	373,281
	Work-in-process		845,776		817,456
	Raw materials		1,698,543		1,548,076
	Net Inventories	$	2,931,481	$	2,738,813

Note_4_Income_Taxes

Note 4 - Income Taxes	3 Months Ended
Note 4 - Income Taxes	Mar. 31, 2014
Income Tax Disclosure [Abstract]	'
Income Tax Disclosure [Text Block]	'
	4. Income Taxes

	Provision for income taxes is based upon the estimated annual effective income tax rate. The effective income tax rate for the three months ended March 31, 2014 and 2013 was (9.9%) and (0.4%), respectively. For the three months ended March 31, 2014, the difference in the effective income tax rate from the statutory rate is primarily due to a decrease in the deferred tax asset valuation allowance and permanent timing differences between expenses recorded for financial and tax reporting. For the three months ended March 31, 2013, the difference in the effective income tax rate from the statutory rate is primarily due to an increase in the deferred tax asset valuation allowance offsetting the net operating loss carryforward generated in that period.

Note_5_Stockholders_Equity

Note 5 - Stockholders' Equity	3 Months Ended
Note 5 - Stockholders' Equity	Mar. 31, 2014
Stockholders' Equity Note [Abstract]	'
Stockholders' Equity Note Disclosure [Text Block]	'
	5. Stockholders’ Equity

	The Company did not issue any shares of common stock or preferred stock in the first quarter of 2014 or in the first quarter of 2013.

Note_6_Pension_Benefits

Note 6 - Pension Benefits	3 Months Ended
Note 6 - Pension Benefits	Mar. 31, 2014
Compensation and Retirement Disclosure [Abstract]	'
Pension and Other Postretirement Benefits Disclosure [Text Block]	'
	6. Pension Benefits

	The following sets forth the components of net periodic employee benefit cost of the Company’s defined benefit pension plans for the three months ended March 31, 2014 and 2013:

			Three months ended March 31,
			Pension Benefits
			U.S. Plan						Canadian Plan
			2014			2013			2014			2013
	Service Cost		$	-		$	-		$	-		$	-
	Interest Cost			38,116			41,634			15,220			12,950
	Expected return on plan assets			(38,925	)		(38,603	)		(16,762	)		(17,415	)
	Net actuarial loss			11,445			-			7,644			-
	Amortizations			-			23,415			-			-
	Net periodic benefit cost		$	10,636		$	26,446		$	6,102		$	(4,465	)

	The Company has frozen the accrual of any additional benefits under the U.S. defined benefit pension plan effective July 15, 2005.

	Effective January 1, 2009, the Company converted its pension plan for its Canadian employees (the “Canadian Plan”) from a noncontributory defined benefit plan to a defined contribution plan. Until the conversion, benefits for the salaried employees were based on specified percentages of the employees’ monthly compensation. The conversion of the Canadian Plan has the effect of freezing the accrual of future defined benefits under the plan. Under the defined contribution plan, the Company will contribute 3% of employee compensation plus 50% of employee elective contributions up to a maximum contribution of 5% of employee compensation.

	The Fair Value Measurements and Disclosure Topic of the FASB Accounting Standards Codification requires the categorization of financial assets and liabilities, based on the inputs to the valuation technique, into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to the quoted prices in active markets for identical assets and liabilities and lowest priority to unobservable inputs. The various values of the Fair Value Measurements and Disclosure Topic fair value hierarchy are described as follows:

	Level 1 — Financial assets and liabilities whose values are based on unadjusted quoted market prices for identical assets and liabilities in an active market that the Company has the ability to access.

	Level 2 — Financial assets and liabilities whose values are based on quoted prices in markets that are not active or model inputs that are observable for substantially the full term of the asset or liability.

	Level 3 — Financial assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement.

	The fair value hierarchy of the plan assets are as follows:

				31-Mar-14
				US Plan			Canadian Plan
	Cash and cash equivalents	Level 1		$	122,413		$	19,916
	Mutual funds	Level 1			225,370			1,243,752
	Corporate/Government Bonds	Level 1			636,540			-
	Equities	Level 1			1,083,640			-
	Total			$	2,067,963		$	1,263,668

	US pension plan assets are invested solely in pooled separate account funds, which are managed by MetLife. The net asset values of the pooled separate account funds are based on the value of the underlying assets owned by the fund, minus its liabilities, and then divided by the number of units outstanding. The unit prices of the pooled separate account funds are not quoted on any market; however, the unit price is based on the underlying investments which are traded in an active market and are priced by independent providers. There have been no significant transfers in or out of Level 1 or Level 2 fair value measurements.

	For additional information on the defined benefit pension plans, please refer to Note 10 of the consolidated financial statements included in the 2013 Annual Report.

Note_7_Earnings_Per_Share

Note 7 - Earnings Per Share	3 Months Ended
Note 7 - Earnings Per Share	Mar. 31, 2014
Earnings Per Share [Abstract]	'
Earnings Per Share [Text Block]	'
	7. Earnings Per Share

	The Company reports earnings per share in accordance with appropriate accounting guidance. The following table sets forth the computation of basic and diluted earnings per common share:

		Three months ended March 31,
		2014			2013
	Numerator:
	Net loss applicable to common shareholders	$	(54,358	)	$	(1,013,630	)
	Denominator:
	Denominator for earnings per share (basic and diluted) ― weighted average shares		1,687,319			1,687,319
	Net loss per share applicable to common shareholders (basic and diluted):	$	(0.03	)	$	(0.60	)

	The Company had 12,000 stock options outstanding at March 31, 2013 which were not included in the weighted average shares computation for loss per share, as the common stock equivalents were anti-dilutive. The weighted average shares computation for loss per share at March 31, 2014 excludes preferred stock convertible into 134,528 shares of common stock because those common stock equivalents were anti-dilutive.

Note_8_Debt

Note 8 - Debt	3 Months Ended
Note 8 - Debt	Mar. 31, 2014
Debt Disclosure [Abstract]	'
Debt Disclosure [Text Block]	'
	8. Debt

	The Company had previously entered into a credit agreement with Bank of America Merrill Lynch (“BAML”), pursuant to which it obtained a $1 million term loan, a $2.5 million revolving line of credit and a $500,000 draw note. The credit agreement contained certain covenants with which the Company was required to comply, including a debt service coverage ratio and a funded debt-to-EBITDA ratio. For the quarters ended March 31, 2013 and June 30, 2013, the Company was not in compliance with either covenant. On September 13, 2013, the Company entered into a Forbearance Agreement with BAML pursuant to which BAML agreed to waive the Company’s obligation to meet these financial covenants and forbear from enforcing its remedies against the Company with respect to such failure through November 30, 2013. On September 30, 2013, the Company terminated the credit agreement with BAML and repaid in full all of the borrowings under these credit facilities.

	On September 30, 2013, the Company and its subsidiaries, Security Manufacturing Corporation and American Locker Security Systems, Inc., entered into a Loan Agreement (the “Loan Agreement”) with Triumph Savings Bank, SSB (d/b/a Triumph Commercial Finance) (the “Lender”). The Loan Agreement provides for a $2.8 million revolving credit facility (the “Revolver”) and a $1.2 million term loan facility (the “Term Loan”). The Company initially borrowed approximately $1.7 million on the Revolver and $1.2 million on the Term Loan. The Company used these proceeds to repay in full the outstanding indebtedness under the Company’s prior credit facilities and equipment leases with BAML and for working capital and general corporate purposes.

	The Revolver matures on September 30, 2016 and the Lender may, in its sole discretion, extend the maturity of the Revolver for a period of one year, and may further extend the Revolver for one-year periods thereafter. Available borrowings under the Revolver are limited to a borrowing base of 85% of eligible trade receivables plus 50% of eligible inventory (capped at $1,000,000) less any availability reserves established by the Lender. The interest rate on the Revolver is 3.50% plus the greater of (a) the U.S. prime rate as published in The Wall Street Journal or (b) 3.25%.

	The Term Loan is payable in equal monthly installments based on a 60-month amortization schedule. All unpaid principal on the Term Loan is due and payable on September 30, 2016, the maturity date. The interest rate on the Term Loan is 4.00% plus the greater of (a) the U.S. prime rate as published in The Wall Street Journal or (b) 3.25%. In the event of a default under the Loan Agreement, the Revolver and the Term Loan will each bear interest at the applicable rate plus an additional 2.00%.

	The Company will pay the Lender an annual facility fee of $30,000 in the first year and, thereafter, an annual facility fee of 0.75% of the Revolver amount. In addition, the Company will pay the Lender a monthly unused line fee equal to 0.50% per annum of the average daily unused portion of the Revolver for the preceding month. In the event the Company desires to terminate the Loan Agreement and prepay in full the amounts outstanding under the Revolver and the Term Loan, it will pay a termination fee equal to $120,000 if terminated before September 30, 2014, $80,000 if terminated after September 30, 2014 but before September 30, 2015, and $40,000 if terminated after September 30, 2015 but before September 30, 2016.

	The credit facilities under the Loan Agreement are secured by a security interest in substantially all of the assets of the Company, and its subsidiaries Security Manufacturing Corporation and American Locker Security Systems, Inc., including a pledge of a portion of the stock of Canadian Locker Company Limited, a subsidiary of American Locker Security Systems, Inc., and each is jointly and severally liable for all borrowings under the Loan Agreement. The Company is required to use the net cash proceeds from any asset disposition or the issuance of equity securities (excluding issuances to employees or another borrower) or debt securities to prepay, first, the Term Loan and, if any proceeds remain, to pay down the Revolver.

	The Loan Agreement includes various representations, warranties, affirmative and negative covenants, events of default, remedies and other provisions customary for a transaction of this nature. In addition, the Company is required to comply with certain financial covenants on a monthly basis, including a maximum debt to tangible net worth ratio, a minimum fixed charge ratio and a minimum tangible net worth. For the months ended December 31, 2013, January 31, 2014, February 28, 2014, and March 31, 2014, the Company was not in compliance with these financial covenants. On April 7, 2014, the Lender waived the Company’s failure to meet these financial covenants and the parties amended the Loan Agreement to modify the ratio of debt to tangible net worth covenant, the fixed charge ratio covenant and the tangible net worth covenant. We can give no assurances that we will be able to comply with these covenants, as amended, in future periods. If we violate these covenants in future periods and the Lender does not waive the violations or amend the Loan Agreement to reflect covenants with which we could comply, the Lender could demand payment of all balances outstanding under the Loan Agreement. Such action by the Lender would have a material adverse effect on the Company’s ability to continue operations.

	On December 10, 2013, the Company executed a Promissory Note (the “Note”), effective as of November 13, 2013, in favor of Anthony B. Johnston, the Company’s Chairman and Chief Executive Officer, in the principal amount of $200,000 to evidence a loan by Mr. Johnston to the Company. The principal balance of the Note, together with accrued but unpaid interest, is due and payable on November 30, 2014. The interest rate on the Note is 6.00% and the Company may prepay the Note at any time and from time to time without premium or penalty. The Note is unsecured and contains event of default provisions that are customary for a transaction of this nature. The Company used the proceeds from the Note for working capital and general corporate purposes.

Note_9_Commitments_and_Conting

Note 9 - Commitments and Contingencies	3 Months Ended
Note 9 - Commitments and Contingencies	Mar. 31, 2014
Commitments and Contingencies Disclosure [Abstract]	'
Commitments and Contingencies Disclosure [Text Block]	'
	9. Commitments and Contingencies

	In July 2001, the Company received a letter from the New York State Department of Environmental Conservation (the “NYSDEC”) advising the Company that it is a potentially responsible party (“PRP”) with respect to environmental contamination at, and alleged migration from, property located in Gowanda, New York which was sold by the Company to Gowanda Electronics Corporation prior to 1980. In March 2001, the NYSDEC issued a Record of Decision with respect to the Gowanda site in which it set forth a remedy including continued operation of an existing extraction well and air stripper, installation of groundwater pumping wells and a collection trench, construction of a treatment system in a separate building on the site, installation of a reactive iron wall covering 250 linear feet, which is intended to intercept any contaminates and implementation of an on-going monitoring system. The NYSDEC has estimated that its selected remediation plan will cost approximately $688,000 for initial construction and a total of $1,997,000 with respect to expected operation and maintenance expenses over a 30-year period after completion of initial construction. The Company has not conceded to the NYSDEC that the Company is liable with respect to this matter and has not agreed with the NYSDEC that the remediation plan selected by NYSDEC is the most appropriate plan. This matter has not been litigated, and at the present time the Company has only been identified as a PRP. The Company also believes that other parties may have been identified by the NYSDEC as PRPs, and the allocation of financial responsibility of such parties has not been litigated. To the Company’s knowledge, the NYSDEC has not commenced implementation of the remediation plan and has not indicated when construction will start, if ever. Based upon currently available information, the Company is unable to estimate timing with respect to the resolution of this matter. The Company’s primary insurance carrier has assumed the cost of the Company’s defense in this matter, subject to a reservation of rights.

	Beginning in September 1998 and continuing through the date of filing of this Quarterly Report on Form 10-Q, the Company has been named as an additional defendant in approximately 239 cases pending in state court in Massachusetts and one in the state of Washington. The plaintiffs in each case assert that a division of the Company manufactured and furnished components containing asbestos to a shipyard during the period from 1948 to 1972 and that injury resulted from exposure to such products. The assets of this division were sold by the Company in 1973. During the process of discovery in certain of these actions, documents from sources outside the Company have been produced that indicate the Company appears to have been included in the chain of title for certain wall panels that contained asbestos and were delivered to the Massachusetts shipyards. Defense of these cases has been assumed by the Company’s insurance carrier, subject to a reservation of rights. Settlement agreements have been entered in approximately 37 cases with funds authorized and provided by the Company’s insurance carrier. Further, over 174 cases have been terminated as to the Company without liability to the Company under Massachusetts procedural rules. Therefore, the balance of unresolved cases against the Company as of December 31, 2013, the most recent date for which information is available, is approximately 28 cases. While the Company cannot estimate potential damages or predict what the ultimate resolution of these asbestos cases may be because the discovery proceedings on the cases are not complete, based upon the Company’s experience to date with similar cases, as well as the assumption that insurance coverage will continue to be provided with respect to these cases, at the present time, the Company does not believe that the outcome of these cases will have a significant adverse impact on the Company’s operations or financial condition.

	In February 2013, a customer brought legal action against the Company alleging the Company defaulted on its obligations and failed to perform pursuant to the terms of a written agreement entered into with the Company in February 2012. In April 2013, the customer and the Company agreed to a settlement of the customer’s claims pursuant to which the Company paid the customer an aggregate amount of $30,000. At March 31, 2013, the Company recorded expense of $30,000 related to this settlement.

	In March 2012, the Company was named as a defendant in a legal action brought by a competitor (which was also a former customer and supplier) who alleged that the Company and certain other third-party defendants profited improperly from the use of intellectual property developed by such competitor. The Company believed the asserted claims were without merit and that its chances of prevailing without material liability were high. However, due largely to the increasing costs of the ongoing litigation, the Company and the plaintiff entered into a settlement agreement effective as of June 12, 2013. Under the settlement agreement, the Company agreed to pay all outstanding invoices due to the plaintiff from the Company as of the date of the settlement, net of existing amounts due to the Company from the plaintiff, and further to pay license, service and other fees to the plaintiff in return for the plaintiff’s providing maintenance services on lockers distributed to certain of the Company’s customers. At March 31, 2013, the Company recorded an expense of approximately $412,000 related to the settlement, with approximately $377,000 recorded as accrued settlement and approximately $35,000 included in other accrued expenses. The Company was to pay amounts due to the plaintiff under the terms of the settlement agreement over a minimum period of 29 months which began June 1, 2013. In connection with an asset purchase agreement the Company entered into with the plaintiff on February 14, 2014 (see Note 2), the settlement agreement was amended such that, effective as of that date, the Company is no longer required to make monthly settlement payments and will pay only maintenance fees to the plaintiff on a monthly basis over the remainder of the 29-month period which began June 1, 2013.

	The Company is involved in other claims and litigation from time to time in the normal course of business. The Company does not believe these matters will have a significant adverse impact on the Company’s operations or financial condition.

Accounting_Policies_by_Policy_

Accounting Policies, by Policy (Policies)	3 Months Ended
Accounting Policies, by Policy (Policies)	Mar. 31, 2014
Accounting Policies [Abstract]	'
New Accounting Pronouncements, Policy [Policy Text Block]	'
	Effect of New Accounting Guidance

	In July 2013, the Financial Accounting Standards Board issued Accounting Standards Update No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. Under this guidance, an unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward. This update is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. Adoption of this new guidance did not have a significant impact on the Company’s consolidated financial statements.

Note_3_Inventories_Tables

Note 3 - Inventories (Tables)	3 Months Ended
Note 3 - Inventories (Tables)	Mar. 31, 2014
Inventory Disclosure [Abstract]	'
Schedule of Inventory, Current [Table Text Block]	'
		31-Mar-14		31-Dec-13
	Finished products	$	387,162	$	373,281
	Work-in-process		845,776		817,456
	Raw materials		1,698,543		1,548,076
	Net Inventories	$	2,931,481	$	2,738,813

Note_6_Pension_Benefits_Tables

Note 6 - Pension Benefits (Tables)	3 Months Ended
Note 6 - Pension Benefits (Tables)	Mar. 31, 2014
Compensation and Retirement Disclosure [Abstract]	'
Schedule of Net Benefit Costs [Table Text Block]	'
			Three months ended March 31,
			Pension Benefits
			U.S. Plan						Canadian Plan
			2014			2013			2014			2013
	Service Cost		$	-		$	-		$	-		$	-
	Interest Cost			38,116			41,634			15,220			12,950
	Expected return on plan assets			(38,925	)		(38,603	)		(16,762	)		(17,415	)
	Net actuarial loss			11,445			-			7,644			-
	Amortizations			-			23,415			-			-
	Net periodic benefit cost		$	10,636		$	26,446		$	6,102		$	(4,465	)
Schedule of Allocation of Plan Assets [Table Text Block]	'
				31-Mar-14
				US Plan			Canadian Plan
	Cash and cash equivalents	Level 1		$	122,413		$	19,916
	Mutual funds	Level 1			225,370			1,243,752
	Corporate/Government Bonds	Level 1			636,540			-
	Equities	Level 1			1,083,640			-
	Total			$	2,067,963		$	1,263,668

Note_7_Earnings_Per_Share_Tabl

Note 7 - Earnings Per Share (Tables)	3 Months Ended
Note 7 - Earnings Per Share (Tables)	Mar. 31, 2014
Earnings Per Share [Abstract]	'
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	'
		Three months ended March 31,
		2014			2013
	Numerator:
	Net loss applicable to common shareholders	$	(54,358	)	$	(1,013,630	)
	Denominator:
	Denominator for earnings per share (basic and diluted) ― weighted average shares		1,687,319			1,687,319
	Net loss per share applicable to common shareholders (basic and diluted):	$	(0.03	)	$	(0.60	)

Note_2_Concession_Agreement_an1

Note 2 - Concession Agreement and Disposition of Assets (Details) (USD $)	0 Months Ended	12 Months Ended		0 Months Ended
	Feb. 14, 2014	Dec. 31, 2010	Feb. 14, 2014	Feb. 14, 2014
		Disney [Member]	Holdback [Member]	Safemark Systems, Inc. [Member]
		Long Term Supply Commitment [Member]	Safemark Systems, Inc. [Member]
Note 2 - Concession Agreement and Disposition of Assets (Details) [Line Items]	'	'	'	'
Duration of agreement	'	'5 years	'	'
Number of lockers installed	'	4,300	'	'
Amortization period	'	'5 years	'	'
Consideration Received from Sale of Other Assets	'	'	'	$1,218,075
Other Receivables	'	'	90,000	'
Proceeds from Sale of Other Assets	'	'	'	1,128,075
Repayments of Long-term Debt	120,000	'	'	'
Accrued Settlement, Write-Off of Outstanding Balance	'	'	'	273,000
Gain (Loss) Related to Litigation Settlement	'	'	'	$703,439

Note_3_Inventories_Details_Inv

Note 3 - Inventories (Details) - Inventories (USD $)	Mar. 31, 2014	Dec. 31, 2013
Inventories [Abstract]	'	'
Finished products	$387,162	$373,281
Work-in-process	845,776	817,456
Raw materials	1,698,543	1,548,076
Net Inventories	$2,931,481	$2,738,813

Note_4_Income_Taxes_Details

Note 4 - Income Taxes (Details)	3 Months Ended
Note 4 - Income Taxes (Details)	Mar. 31, 2014	Mar. 31, 2013
Income Tax Disclosure [Abstract]	'	'
Effective Income Tax Rate Reconciliation, Percent	-9.90%	-0.40%

Note_5_Stockholders_Equity_Det

Note 5 - Stockholders' Equity (Details)	3 Months Ended
Note 5 - Stockholders' Equity (Details)	Mar. 31, 2014
Common Stock [Member]	'
Note 5 - Stockholders' Equity (Details) [Line Items]	'
Stock Issued During Period, Shares, New Issues	0
Preferred Stock [Member]	'
Note 5 - Stockholders' Equity (Details) [Line Items]	'
Stock Issued During Period, Shares, New Issues	0

Note_6_Pension_Benefits_Detail

Note 6 - Pension Benefits (Details) (Canadian Plan [Member])	3 Months Ended
	Mar. 31, 2014
Canadian Plan [Member]	'
Note 6 - Pension Benefits (Details) [Line Items]	'
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay	3.00%
Defined Contribution Plan Employee Elective Employer Contribution Percent	50.00%
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent	5.00%

Note_6_Pension_Benefits_Detail1

Note 6 - Pension Benefits (Details) - Components of Net Periodic Benefit Cost (General and Administrative Expense [Member], USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
U.S. Plan [Member]	'	'
Note 6 - Pension Benefits (Details) - Components of Net Periodic Benefit Cost [Line Items]	'	'
Interest Cost	$38,116	$41,634
Expected return on plan assets	-38,925	-38,603
Net actuarial loss	11,445	'
Amortizations	'	23,415
Net periodic benefit cost	10,636	26,446
Canadian Plan [Member]	'	'
Note 6 - Pension Benefits (Details) - Components of Net Periodic Benefit Cost [Line Items]	'	'
Interest Cost	15,220	12,950
Expected return on plan assets	-16,762	-17,415
Net actuarial loss	7,644	'
Net periodic benefit cost	$6,102	($4,465)

Note_6_Pension_Benefits_Detail2

Note 6 - Pension Benefits (Details) - Fair Value Hierarchy of Plan Assets (USD $)	Mar. 31, 2014
Cash and Cash Equivalents [Member] \| U.S. Plan [Member] \| Fair Value, Inputs, Level 1 [Member]	'
Note 6 - Pension Benefits (Details) - Fair Value Hierarchy of Plan Assets [Line Items]	'
Fair Value of Plan Assets	$122,413
Cash and Cash Equivalents [Member] \| Canadian Plan [Member] \| Fair Value, Inputs, Level 1 [Member]	'
Note 6 - Pension Benefits (Details) - Fair Value Hierarchy of Plan Assets [Line Items]	'
Fair Value of Plan Assets	19,916
Mutual Funds [Member] \| U.S. Plan [Member] \| Fair Value, Inputs, Level 1 [Member]	'
Note 6 - Pension Benefits (Details) - Fair Value Hierarchy of Plan Assets [Line Items]	'
Fair Value of Plan Assets	225,370
Mutual Funds [Member] \| Canadian Plan [Member] \| Fair Value, Inputs, Level 1 [Member]	'
Note 6 - Pension Benefits (Details) - Fair Value Hierarchy of Plan Assets [Line Items]	'
Fair Value of Plan Assets	1,243,752
Corporate Or Government Bonds [Member] \| U.S. Plan [Member] \| Fair Value, Inputs, Level 1 [Member]	'
Note 6 - Pension Benefits (Details) - Fair Value Hierarchy of Plan Assets [Line Items]	'
Fair Value of Plan Assets	636,540
Equities [Member] \| U.S. Plan [Member] \| Fair Value, Inputs, Level 1 [Member]	'
Note 6 - Pension Benefits (Details) - Fair Value Hierarchy of Plan Assets [Line Items]	'
Fair Value of Plan Assets	1,083,640
U.S. Plan [Member]	'
Note 6 - Pension Benefits (Details) - Fair Value Hierarchy of Plan Assets [Line Items]	'
Fair Value of Plan Assets	2,067,963
Canadian Plan [Member]	'
Note 6 - Pension Benefits (Details) - Fair Value Hierarchy of Plan Assets [Line Items]	'
Fair Value of Plan Assets	$1,263,668

Note_7_Earnings_Per_Share_Deta

Note 7 - Earnings Per Share (Details)	3 Months Ended
Note 7 - Earnings Per Share (Details)	Mar. 31, 2014	Mar. 31, 2013
Earnings Per Share [Abstract]	'	'
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	134,528	12,000

Note_7_Earnings_Per_Share_Deta1

Note 7 - Earnings Per Share (Details) - Computation of Basic and Diluted Earnings Per Share (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Numerator:	'	'
Net loss applicable to common shareholders	($54,358)	($1,013,630)
Denominator:	'	'
Denominator for earnings per share (basic and diluted) b weighted average shares	1,687,319	1,687,319
Net loss per share applicable to common shareholders (basic and diluted):	($0.03)	($0.60)

Note_8_Debt_Details

Note 8 - Debt (Details) (USD $)

3 Months Ended

0 Months Ended

3 Months Ended

33 Months Ended

3 Months Ended

1 Months Ended

3 Months Ended

1 Months Ended

Mar. 31, 2014

Dec. 10, 2013

Dec. 31, 2013

Sep. 30, 2013

Dec. 08, 2010

Mar. 31, 2014

Sep. 30, 2013

Mar. 31, 2014

Sep. 30, 2013

Default [Member]

Termination before September 30, 2014 [Member]

After September 30, 2014 [Member]

After September 30, 2015 [Member]

Board of Directors Chairman [Member]

Eligible Trade Recievables [Member]

Eligible Inventory [Member]

Bank of America Merrill Lynch [Member]

Triumph Commercial Finance [Member]

Termination before September 30, 2014 [Member]

Triumph Commercial Finance [Member]

Variable Rate B [Member]

Revolving Credit Facility [Member]

The Term Loan [Member]

Maximum [Member]

The Term Loan [Member]

Revolving Credit Facility [Member]

The Term Loan [Member]

Revolving Credit Facility [Member]

Note 8 - Debt (Details) [Line Items]

Loans Payable to Bank

$1,000,000

Long-term Line of Credit

2,500,000

Drawing Of Advances Amount, Maximum

500,000

Balance payment date

30-Sep-13

Line of Credit Facility, Maximum Borrowing Capacity

2,800,000

1,200,000

Line of Credit Facility, Amount Outstanding

1,700,000

1,200,000

Debt Instrument, Maturity Date

30-Sep-16

Line Of Credit Borrowing Base Calculation Percentage

85.00%

50.00%

Available Borrowings under Credit Facility

1,000,000

Line of Credit Facility, Interest Rate During Period

3.50%

4.00%

Debt Instrument, Basis Spread on Variable Rate

2.00%

3.25%

Debt Related Commitment Fees and Debt Issuance Costs

30,000

Line of Credit Facility, Commitment Fee Percentage

0.75%

Line of Credit Facility, Unused Capacity, Commitment Fee Percentage

0.50%

Termination Fee

120,000

80,000

40,000

Due to Related Parties, Current

$200,000

Related Party Transaction, Rate

6.00%

Note_9_Commitments_and_Conting1

Note 9 - Commitments and Contingencies (Details) (USD $)	1 Months Ended		3 Months Ended		3 Months Ended		1 Months Ended
	Jun. 30, 2013	Mar. 31, 2013	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2014	Mar. 31, 2014	Apr. 30, 2013
	Jun. 30, 2013	Mar. 31, 2013	ft	Dec. 31, 2013	Massachusetts [Member]	Washington [Member]	Default on Obligation, Februray 2012 [Member]
Note 9 - Commitments and Contingencies (Details) [Line Items]	'	'	'	'	'	'	'
Installation of a reactive iron wall covering area	'	'	250	'	'	'	'
Environmental Remediation Estimated Initial Construction Cost	'	'	$688,000	'	'	'	'
Environmental Remediation Expense Expected To Be Incurred	'	'	1,997,000	'	'	'	'
Estimated period	'	'	'30 years	'	'	'	'
Loss Contingency, Pending Claims, Number	'	'	'	'	239	1	'
Loss Contingency, Claims Settled and Dismissed, Number	'	'	'	'	37	'	'
Number of cases terminated	'	'	'	'	174	'	'
Unresolved cases	'	'	'	28	'	'	'
Loss Contingency, Damages Awarded, Value	'	'	'	'	'	'	30,000
Loss Contingency, Loss in Period	'	412,000	'	'	'	'	'
Loss Contingency Accrual	'	377,000	'	'	'	'	'
Other Accrued Liabilities	'	$35,000	'	'	'	'	'
Number of monthly payments to pay per damanges value	29	'	'	'	'	'	'