American Bio Medica (ABMC) 10-Q 16 May 16 2016 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Mar. 31, 2016	May. 16, 2016
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1
Entity Registrant Name	AMERICAN BIO MEDICA CORP
Entity Central Index Key	896,747
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Trading Symbol	ABMC
Entity Common Stock, Shares Outstanding		27,271,408

Condensed Balance Sheets

Condensed Balance Sheets - USD ($)	Mar. 31, 2016	Dec. 31, 2015
Current assets
Cash and cash equivalents	$ 97,000	$ 158,000
Accounts receivable, net of allowance for doubtful accounts of $50,000 at March 31, 2016 and December 31, 2015	789,000	672,000
Inventory, net of allowance of $453,000 at March 31, 2016 and $432,000 at December 31, 2015	1,621,000	1,746,000
Prepaid expenses and other current assets	90,000	40,000
Total current assets	2,597,000	2,616,000
Property, plant and equipment, net	887,000	910,000
Patents, net	69,000	67,000
Other assets	14,000	14,000
Deferred finance costs, net	71,000	79,000
Total assets	3,638,000	3,686,000
Current liabilities
Accounts payable	470,000	373,000
Accrued expenses and other current liabilities	215,000	212,000
Wages payable	287,000	292,000
Line of credit	621,000	777,000
Current portion of long-term debt	75,000	75,000
Total current liabilities	1,668,000	1,729,000
Other liabilities	38,000	38,000
Related party note payable	124,000	124,000
Long-term debt, net of current portion	683,000	834,000
Total liabilities	$ 2,513,000	$ 2,725,000
COMMITMENTS AND CONTINGENCIES
Stockholders' equity:
Preferred stock; par value $.01 per share; 5,000,000 shares authorized, none issued and outstanding at March 31, 2016 and December 31, 2015	$ 0	$ 0
Common stock; par value $.01 per share; 50,000,000 shares authorized; 27,271,408 issued and outstanding at March 31, 2016 and 26,032,930 issued and outstanding at December 31, 2015	272,000	260,000
Additional paid-in capital	20,807,000	20,656,000
Accumulated deficit	(19,954,000)	(19,955,000)
Total stockholders’ equity	1,125,000	961,000
Total liabilities and stockholders’ equity	$ 3,638,000	$ 3,686,000

Condensed Balance Sheets (Paren

Condensed Balance Sheets (Parenthetical) - USD ($)	Mar. 31, 2016	Dec. 31, 2015
Allowance For Doubtful Accounts Receivable, Current (in dollars)	$ 50,000	$ 50,000
Inventory Valuation Reserves	$ 453,000	$ 432,000
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	27,271,408	26,032,930
Common stock, shares outstanding	27,271,408	26,032,930

Condensed Statements of Operati

Condensed Statements of Operations - USD ($)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Net sales	$ 1,470,000	$ 1,502,000
Cost of goods sold	840,000	802,000
Gross profit	630,000	700,000
Operating expenses:
Research and development	54,000	29,000
Selling and marketing	270,000	299,000
General and administrative	397,000	425,000
Operating Expenses, Total	721,000	753,000
Operating income / (loss)	(91,000)	(53,000)
Other income / (expense):
Interest income	0	1,000
Interest expense	(57,000)	(65,000)
Other income, net	150,000	72,000
Other Expenses, Total	93,000	8,000
Net income / (loss) before tax	2,000	(45,000)
Income tax expense	(1,000)	0
Net income / (loss)	$ 1,000	$ (45,000)
Basic and diluted income / (loss) per common share (in dollars per share)	$ 0	$ 0
Weighted average number of shares outstanding - basic (in shares)	26,610,426	24,589,340
Weighted average number of shares outstanding - diluted (in shares)	26,751,259	24,589,340

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows - USD ($)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Cash flows from operating activities:
Net income / (loss)	$ 1,000	$ (45,000)
Adjustments to reconcile net income / (loss) to net cash provided by operating activities:
Depreciation and amortization	23,000	25,000
Loss on disposal of fixed assets	0	3,000
Amortization of deferred finance and debt discount	27,000	42,000
Provision for bad debts	0	(2,000)
Provision for slow moving and obsolete inventory	21,000	21,000
Share-based payment expense	19,000	11,000
Changes in:
Accounts receivable	(117,000)	168,000
Inventory	104,000	(111,000)
Prepaid expenses and other current assets	(2,000)	32,000
Accounts payable	98,000	13,000
Accrued expenses and other current liabilities	2,000	(18,000)
Wages payable	(5,000)	38,000
Net cash provided by operating activities	172,000	177,000
Cash flows from investing activities:
Patent application costs	(3,000)	(2,000)
Net cash (used in) investing activities	(3,000)	(2,000)
Cash flows from financing activities:
Proceeds (payments) on debt financing	(75,000)	(1,071,000)
Proceeds from refinance	0	1,200,000
Deferred finance costs	0	(111,000)
Proceeds from lines of credit	1,513,000	1,316,000
Payments on lines of credit	(1,669,000)	(1,374,000)
Net cash (used in) financing activities	(231,000)	(40,000)
Net Increase / (decrease) in cash and cash equivalents	(61,000)	135,000
Cash and cash equivalents - beginning of period	158,000	352,000
Cash and cash equivalents - end of period	97,000	487,000
Supplemental disclosures of cash flow information
Cash paid during period for interest	39,000	65,000
Cash paid during period for taxes	0	0
Consulting expense prepaid with restricted stock	49,000	0
Debt issuance cost paid with restricted stock	$ 96,000	$ 0

Basis of Reporting

Basis of Reporting	3 Months Ended
	Mar. 31, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Accounting [Text Block]	Note A - Basis of Reporting The accompanying unaudited interim condensed financial statements of American Bio Medica Corporation (the “Company”) have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Regulation S-X. Accordingly, these unaudited interim condensed financial statements do not include all information and footnotes required by U.S. GAAP for complete financial statement presentation. These unaudited interim condensed financial statements should be read in conjunction with audited financial statements and related notes contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015. In the opinion of management, the interim condensed financial statements include all normal, recurring adjustments which are considered necessary for a fair presentation of the financial position of the Company at March 31, 2016, the results of operations for the three month periods ended March 31, 2016 and March 31, 2015, and cash flows for the three month periods ended March 31, 2016 (the “First Quarter 2016”) and March 31, 2015 (the “First Quarter 2015”). Operating results for the First Quarter 2016 are not necessarily indicative of results that may be expected for the year ending December 31, 2016. Amounts at December 31, 2015 are derived from audited financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015. Reclassifications have been made to the audited financial statements for the year ended December 31, 2015 to conform to the presentation of the First Quarter 2016 financial statements. During the First Quarter 2016, there were no significant changes to the Company’s critical accounting policies, which are included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015. The preparation of these interim condensed financial statements requires the Company to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent assets and liabilities. On an on-going basis, the Company evaluates estimates, including those related to product returns, bad debts, inventories, income taxes, warranty obligations, contingencies and litigation. The Company bases estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions. These unaudited interim condensed financial statements have been prepared assuming that the Company will continue as a going concern and, accordingly, do not include any adjustments that might result from the outcome of this uncertainty. The independent registered public accounting firm’s report on the financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015, contained an explanatory paragraph regarding the Company’s ability to continue as a going concern. As of the date of this report, the Company’s current cash balances, together with cash generated from future operations and amounts available under current credit facilities may not be sufficient to fund operations for the next 12 months if sales levels do not improve. If cash generated from operations is not sufficient to satisfy the Company’s working capital and capital expenditure requirements, the Company will be required to sell additional equity or obtain additional credit facilities. There is no assurance that such financing will be available or that the Company will be able to complete financing on satisfactory terms, if at all. Recently Adopted Accounting Standards In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs”. This Update is part of its initiative to reduce complexity in accounting standards (the Simplification Initiative). The Board received feedback that having different balance sheet presentation requirements for debt issuance costs and debt discount and premium creates unnecessary complexity. Recognizing debt issuance costs as a deferred charge (that is, an asset) also is different from the guidance in International Financial Reporting Standards (IFRS), which requires that transaction costs be deducted from the carrying value of the financial liability and not recorded as separate assets. Additionally, the requirement to recognize debt issuance costs as deferred charges conflicts with the guidance in FASB Concepts Statement No. 6, Elements of Financial Statements, which states that debt issuance costs are similar to debt discounts and in effect reduce the proceeds of borrowing, thereby increasing the effective interest rate. Concepts Statement 6 further states that debt issuance costs cannot be an asset because they provide no future economic benefit. To simplify presentation of debt issuance costs, the amendments in this Update 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 Update. For public business entities, the amendments in this Update are effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. The Company adopted this ASU in the First Quarter 2016. In January 2015, the FASB issued ASU No 2015-01, “Income Statement – Extraordinary and Unusual Items”. This ASU is part of FASB’s initiative to reduce complexity in the account standards by eliminating the concept of extraordinary items from GAAP. The amendments eliminate the requirements for reporting entities to consider whether an underlying event or transaction is extraordinary, however, the presentation and disclosure guidance for items that are unusual in nature or occur infrequently is retained and is expanded to include items that are both unusual in nature and infrequently occurring. This update applies to all entities and is effective for fiscal years, and interim periods within the fiscal year, beginning after December 15, 2015. We adopted this ASU in the First Quarter 2016, and it did not have any impact on our financial statements. Recent Accounting Standards In March 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2016-09, “Improvements to Employee Share-Based Payment Accounting.” This ASU simplifies several aspects of accounting for share-based payment transactions, including the income tax consequences, forfeitures, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The guidance is effective for annual reporting periods beginning after December 15, 2016, including interim periods. Early adoption is permitted. An entity that elects early adoption of the amendment under this ASU must adopt all aspects of the amendment in the same period. We are currently evaluating the impact of adopting this ASU. In February 2016, the FASB issued ASU No. 2016-02, “Leases”. This ASU requires a lessee to recognize a lease liability and a right-of-use asset on its balance sheet for all leases, including operating leases, with a term greater than 12 months. Lease classification will determine whether a lease is reported as a financing transaction in the income statement and statement of cash flows. The ASU does not substantially change lessor accounting, but it does make certain changes related to leases for which collectability of the lease payments is uncertain or there are significant variable payments. Additionally, the ASU makes several other targeted amendments including a) revising the definition of lease payments to include fixed payments by the lessee to cover lessor costs related to ownership of the underlying asset such as for property taxes or insurance; b) narrowing the definition of initial direct costs which an entity is permitted to capitalize to include only those incremental costs of a lease that would not have been incurred if the lease had not been obtained; c) requiring seller-lessees in a sale-leaseback transaction to recognize the entire gain from the sale of the underlying asset at the time of sale rather than over the leaseback term; and d) expanding disclosures to provide quantitative and qualitative information about lease transactions. The ASU is effective for all annual and interim periods beginning January 1, 2019 and is required to be applied retrospectively to the earliest period presented at the date of initial application, with early adoption permitted. We are currently evaluating the impact of adopting this ASU. There are no other accounting pronouncements issues during the First Quarter 2016 that are expected to have or that could have a significant impact on our financial position or results of operations. Reclassifications Certain items have been reclassified from the prior years to conform to the current year presentation.

Inventory

Inventory	3 Months Ended
	Mar. 31, 2016
Inventory Disclosure [Abstract]
Inventory Disclosure [Text Block]	Note B – Inventory Inventory is comprised of the following: March 31, 2016 December 31, 2015 Raw Materials $ 1,099,000 $ 1,208,000 Work In Process 430,000 399,000 Finished Goods 545,000 571,000 Allowance for slow moving and obsolete inventory (453,000) (432,000) $ 1,621,000 $ 1,746,000

Net Income _ (Loss) Per Common

Net Income / (Loss) Per Common Share	3 Months Ended
	Mar. 31, 2016
Earnings Per Share [Abstract]
Earnings Per Share [Text Block]	Note C – Net Income / (Loss) Per Common Share Basic net income / (loss) per common share is calculated by dividing the net income / (loss) by the weighted average number of outstanding common shares during the period. Diluted net income / (loss) per common share includes the weighted average dilutive effect of stock options and warrants. March 31, 2016 March 31, 2015 Warrants 2,385,000 3,303,000 Options 2,185,000 1,248,000 4,570,000 4,551,000 The number of securities not included in the diluted net loss per share for the three months ended March 31, 2016 was 3,540,000 The number of securities not included in the diluted net loss per share for the three months ended March 31, 2015 (because the effect would have been anti-dilutive) was 4,551,000

Litigation_Legal Matters

Litigation/Legal Matters	3 Months Ended
	Mar. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
Legal Matters and Contingencies [Text Block]	Note D – Litigation/Legal Matters From time to time, the Company is named in legal proceedings in connection with matters that arose during the normal course of business. While the ultimate outcome of any such litigation cannot be predicted, if we are unsuccessful in defending any such litigation, the resulting financial losses could have an adverse effect on the financial position, results of operations and cash flows of the Company. We are aware of no significant litigation loss contingencies for which management believes it is both probable that a liability has been incurred and that the amount of the loss can be reasonably estimated.

Line of Credit and Debt

Line of Credit and Debt	3 Months Ended
	Mar. 31, 2016
Debt Disclosure [Abstract]
Debt Disclosure [Text Block]	Note E – Line of Credit and Debt March 31, 2016 December 31, 2015 Loan and Security Agreement with Cherokee Financial, LLC: $ 1,125,000 $ 1,200,000 Crestmark Line of Credit: 621,000 777,000 1,746,000 1,977,000 Less debt discount & issuance costs (Cherokee Financial, LLC Loan) (367,000) (291,000) Total debt $ 1,379,000 $ 1,686,000 Current portion $ 696,000 $ 852,000 Long-term portion $ 683,000 $ 834,000 LOAN AND SECURITY AGREEMENT WITH CHEROKEE FINANCIAL, LLC On March 26, 2015, the Company entered into a LSA with Cherokee Financial, LLC (the “Cherokee LSA”). The purpose of the Cherokee LSA was to refinance, at a better interest rate, the Company’s Series A Debentures and Cantone Asset Management Bridge Loan (both of which matured on February 1, 2015), as well as the Company’s Mortgage Consolidation Loan with First Niagara Bank (“First Niagara”). The loan is collateralized by a first security interest in real estate and machinery and equipment. Under the Cherokee LSA, the Company was provided the sum of $ 1,200,000 5 8 75,000 March 26, 2020 8 1 1 The Company issued 1.8 600,000 As placement agent for the transaction, Cantone Research, Inc. (“CRI”) received a 5% cash fee on the $1.2 million, 60,000 200,000 196,000 The Company received net proceeds of $ 80,000 1,015,000 60,000 19,000 19,000 3,000 4,000 8 511,000 From these net proceeds, in April 2015, the Company also paid $ 15,000 15 689,000 We recognized $ 24,000 13,000 The Company recognized $ 1,000 10,000 As of March 31, 2016, the balance on the Cherokee LSA is $ 1,125,000 758,000 1,200,000 909,000 LINE OF CREDIT WITH CRESTMARK BANK (“CRESTMARK”) On June 29, 2015 (the “Closing Date”), the Company entered into a three-year Loan and Security Agreement (“LSA”) with Crestmark, a new Senior Lender, to refinance the Company’s Line of Credit with Imperium Commercial Finance, LLC (“Imperium”). The Crestmark Line of Credit is used for working capital and general corporate purposes. Under the LSA, Crestmark is providing the Company with a Line of Credit of up to $ 1,500,000 500,000 The Maximum Amount is subject to an Advance Formula comprised of: 1) 90% of Eligible Accounts Receivables (excluding, receivables remaining unpaid for more than 90 days from the date of invoice and sales made to entities outside of the United States), and 2) up to 40% of eligible inventory plus up to 10% of Eligible Generic Packaging Components not to exceed the lesser of $500,000 (“Inventory Sub-Cap Limit”), or 100% of the Eligible Accounts Receivable. The Inventory Sub-Cap Limit is being reduced by $ 10,000 350,000 So long as any obligations are due to Crestmark, the Company must comply with a minimum Tangible Net Worth (“TNW”) Covenant. Under the LSA, as amended, the Company must maintain a TNW of at least $ 650,000 50 If the Company terminates the LSA prior to its 3 year term, an early exit fee is due as follows: 3% of the Maximum Amount (plus any additional amount owed to Crestmark at time of termination) if terminated in year 1, and 2% if terminated in year 2 or anytime thereafter. In the event of a default of the LSA, which includes but is not limited to, failure of the Company to make any payment when due and non-compliance with the TNW covenant, permits Crestmark to charge an Extra Rate. The Extra Rate is the Company’s then current interest rate plus 12.75% per annum. Under the LSA, interest on the Crestmark Line of Credit is at a variable rate based on the Wall Street Journal Prime Rate plus 2% with a floor of 5.25%. As of the date of this report, the interest rate on the Crestmark Line of Credit is 5.25%. In addition to the interest rate, on the Closing Date and on each one-year anniversary date thereafter, the Company will pay Crestmark a Loan Fee of 0.50%, or $7,500, and a Monthly Maintenance Fee of 0.30% of the actual average monthly loan balance from the prior month will be paid to Crestmark. When these additional fees are considered, the rate on the Crestmark is 9.35 12 In addition to the Loan Fee paid to Crestmark on the Closing Date, the Company had to pay a Success Fee (i.e. early termination fee) to Imperium in the amount of $ 50,000 12,000 3,000 50,000 8,000 0 The Company recognized $ 15,000 0 0 0 As of March 31, 2016, the balance on the Crestmark Line of Credit was $ 621,000 777,000 PRIOR DEBT INSTRUMENTS AFFECTING PRIOR PERIOD FIRST NIAGARA: MORTGAGE CONSOLIDATION LOAN The Company refinanced the mortgage consolidation loan with First Niagara in March 2015. The First Quarter 2015 did include $ 5,000 DEBENTURE FINANCING/BRIDGE LOAN The Company refinanced the Series A Debentures and associated bridge loan in March 2015. The First Quarter 2015 did include $ 22,000 Line of Credit with Imperium The Company refinanced its line of credit with Imperium in June 2015. The Company recognized $ 34,000 27,000

Stock Options and Warrants

Stock Options and Warrants	3 Months Ended
	Mar. 31, 2016
Stockholders Equity Note [Abstract]
Stockholders Equity Note Disclosure [Text Block]	NOTE F – Stock Options and Warrants The Company currently has two non-statutory stock option plans, the Fiscal 2001 Non-statutory Stock Option Plan (the “2001 Plan”) and the 2013 Equity Compensation Plan (the “2013 Plan”). Both plans have been adopted by our Board of Directors and approved by our shareholders. Both the 2001 Plan and the 2013 Plan have options available for future issuance. Any common shares issued as a result of the exercise of stock options would be new common shares issued from our authorized issued shares. During the First Quarter 2016, the Company issued options to purchase 750,000 10,000 First Quarter 2016 First Quarter 2015 Shares Weighted Aggregate Shares Weighted Aggregate Options outstanding at beginning of period 1,435,000 $ 0.14 1,295,000 $ 0.31 Granted 750,000 $ 0.11 10,000 $ 0.13 Exercised 0 NA 0 NA Cancelled/expired 0 NA (57,000) $ 1.01 Options outstanding at end of period 2,185,000 $ 0.13 $ 9,000 1,248,000 $ 0.23 $ 13,000 Options exercisable at end of period 1,037,000 $ 0.15 889,000 $ 0.26 First Quarter 2016 2015 Volatility 62 % 64 % Expected term (years) 10 yrs 10 yrs Risk-free interest rate 1.94 % 1.92 % Dividend yield 0 % 0 % The Company recognized $ 19,000 11,000 104,000 2 26 Warrants First Quarter 2016 First Quarter 2015 Shares Weighted Aggregate Shares Weighted Aggregate Warrants outstanding at beginning of period 2,385,000 $ 0.17 3,303,000 $ 0.17 Granted 0 NA 0 NA Exercised 0 NA 0 NA Cancelled/expired 0 NA 0 NA Warrants outstanding at end of period 2,385,000 $ 0.17 None 3,303,000 $ 0.17 $ 0 Warrants exercisable at end of period 2,385,000 $ 0.17 3,303,000 $ 0.17 In the First Quarter 2016, the Company recognized $ 0 25,000 0

Basis of Reporting (Policies)

Basis of Reporting (Policies)	3 Months Ended
	Mar. 31, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
New Accounting Pronouncements, Policy [Policy Text Block]	Recently Adopted Accounting Standards In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs”. This Update is part of its initiative to reduce complexity in accounting standards (the Simplification Initiative). The Board received feedback that having different balance sheet presentation requirements for debt issuance costs and debt discount and premium creates unnecessary complexity. Recognizing debt issuance costs as a deferred charge (that is, an asset) also is different from the guidance in International Financial Reporting Standards (IFRS), which requires that transaction costs be deducted from the carrying value of the financial liability and not recorded as separate assets. Additionally, the requirement to recognize debt issuance costs as deferred charges conflicts with the guidance in FASB Concepts Statement No. 6, Elements of Financial Statements, which states that debt issuance costs are similar to debt discounts and in effect reduce the proceeds of borrowing, thereby increasing the effective interest rate. Concepts Statement 6 further states that debt issuance costs cannot be an asset because they provide no future economic benefit. To simplify presentation of debt issuance costs, the amendments in this Update 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 Update. For public business entities, the amendments in this Update are effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. The Company adopted this ASU in the First Quarter 2016. In January 2015, the FASB issued ASU No 2015-01, “Income Statement – Extraordinary and Unusual Items”. This ASU is part of FASB’s initiative to reduce complexity in the account standards by eliminating the concept of extraordinary items from GAAP. The amendments eliminate the requirements for reporting entities to consider whether an underlying event or transaction is extraordinary, however, the presentation and disclosure guidance for items that are unusual in nature or occur infrequently is retained and is expanded to include items that are both unusual in nature and infrequently occurring. This update applies to all entities and is effective for fiscal years, and interim periods within the fiscal year, beginning after December 15, 2015. We adopted this ASU in the First Quarter 2016, and it did not have any impact on our financial statements. Recent Accounting Standards In March 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2016-09, “Improvements to Employee Share-Based Payment Accounting.” This ASU simplifies several aspects of accounting for share-based payment transactions, including the income tax consequences, forfeitures, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The guidance is effective for annual reporting periods beginning after December 15, 2016, including interim periods. Early adoption is permitted. An entity that elects early adoption of the amendment under this ASU must adopt all aspects of the amendment in the same period. We are currently evaluating the impact of adopting this ASU. In February 2016, the FASB issued ASU No. 2016-02, “Leases”. This ASU requires a lessee to recognize a lease liability and a right-of-use asset on its balance sheet for all leases, including operating leases, with a term greater than 12 months. Lease classification will determine whether a lease is reported as a financing transaction in the income statement and statement of cash flows. The ASU does not substantially change lessor accounting, but it does make certain changes related to leases for which collectability of the lease payments is uncertain or there are significant variable payments. Additionally, the ASU makes several other targeted amendments including a) revising the definition of lease payments to include fixed payments by the lessee to cover lessor costs related to ownership of the underlying asset such as for property taxes or insurance; b) narrowing the definition of initial direct costs which an entity is permitted to capitalize to include only those incremental costs of a lease that would not have been incurred if the lease had not been obtained; c) requiring seller-lessees in a sale-leaseback transaction to recognize the entire gain from the sale of the underlying asset at the time of sale rather than over the leaseback term; and d) expanding disclosures to provide quantitative and qualitative information about lease transactions. The ASU is effective for all annual and interim periods beginning January 1, 2019 and is required to be applied retrospectively to the earliest period presented at the date of initial application, with early adoption permitted. We are currently evaluating the impact of adopting this ASU. There are no other accounting pronouncements issues during the First Quarter 2016 that are expected to have or that could have a significant impact on our financial position or results of operations.
Reclassification, Policy [Policy Text Block]	Reclassifications Certain items have been reclassified from the prior years to conform to the current year presentation.

Inventory (Tables)

Inventory (Tables)	3 Months Ended
	Mar. 31, 2016
Inventory Disclosure [Abstract]
Schedule of Inventory, Current [Table Text Block]	Inventory is comprised of the following: March 31, 2016 December 31, 2015 Raw Materials $ 1,099,000 $ 1,208,000 Work In Process 430,000 399,000 Finished Goods 545,000 571,000 Allowance for slow moving and obsolete inventory (453,000) (432,000) $ 1,621,000 $ 1,746,000

Net Income _ (Loss) Per Commo14

Net Income / (Loss) Per Common Share (Tables)	3 Months Ended
	Mar. 31, 2016
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Potential common shares outstanding as of March 31, 2016 and 2015: March 31, 2016 March 31, 2015 Warrants 2,385,000 3,303,000 Options 2,185,000 1,248,000 4,570,000 4,551,000

Line of Credit and Debt (Tables

Line of Credit and Debt (Tables)	3 Months Ended
	Mar. 31, 2016
Debt Disclosure [Abstract]
Schedule of Long-term Debt Instruments [Table Text Block]	March 31, 2016 December 31, 2015 Loan and Security Agreement with Cherokee Financial, LLC: $ 1,125,000 $ 1,200,000 Crestmark Line of Credit: 621,000 777,000 1,746,000 1,977,000 Less debt discount & issuance costs (Cherokee Financial, LLC Loan) (367,000) (291,000) Total debt $ 1,379,000 $ 1,686,000 Current portion $ 696,000 $ 852,000 Long-term portion $ 683,000 $ 834,000

Stock Options and Warrants (Tab

Stock Options and Warrants (Tables)	3 Months Ended
	Mar. 31, 2016
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	The following table summarizes weighted-average assumptions using the Black-Scholes option-pricing model used on the date of the grants issued during the First Quarter 2016 and the First Quarter 2015: First Quarter 2016 2015 Volatility 62 % 64 % Expected term (years) 10 yrs 10 yrs Risk-free interest rate 1.94 % 1.92 % Dividend yield 0 % 0 %
Warrant [Member]
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	Warrant activity for the First Quarter 2016 and the First Quarter 2015 is summarized as follows: First Quarter 2016 First Quarter 2015 Shares Weighted Aggregate Shares Weighted Aggregate Warrants outstanding at beginning of period 2,385,000 $ 0.17 3,303,000 $ 0.17 Granted 0 NA 0 NA Exercised 0 NA 0 NA Cancelled/expired 0 NA 0 NA Warrants outstanding at end of period 2,385,000 $ 0.17 None 3,303,000 $ 0.17 $ 0 Warrants exercisable at end of period 2,385,000 $ 0.17 3,303,000 $ 0.17
Employee Stock Option [Member]
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	Stock option activity for the First Quarter 2016 and the First Quarter 2015 is summarized as follows (the figures contained within the tables below have been rounded to the nearest thousand): First Quarter 2016 First Quarter 2015 Shares Weighted Aggregate Shares Weighted Aggregate Options outstanding at beginning of period 1,435,000 $ 0.14 1,295,000 $ 0.31 Granted 750,000 $ 0.11 10,000 $ 0.13 Exercised 0 NA 0 NA Cancelled/expired 0 NA (57,000) $ 1.01 Options outstanding at end of period 2,185,000 $ 0.13 $ 9,000 1,248,000 $ 0.23 $ 13,000 Options exercisable at end of period 1,037,000 $ 0.15 889,000 $ 0.26

Inventory (Details)

Inventory (Details) - USD ($)	Mar. 31, 2016	Dec. 31, 2015
Inventory [Line Items]
Raw Materials	$ 1,099,000	$ 1,208,000
Work In Process	430,000	399,000
Finished Goods	545,000	571,000
Allowance for slow moving and obsolete inventory	(453,000)	(432,000)
Inventory, Net, Total	$ 1,621,000	$ 1,746,000

Net Income _ (Loss) Per Commo18

Net Income / (Loss) Per Common Share (Details) - shares	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Net Income Loss Per Common Share [Line Items]
Weighted Average Number Diluted Shares Outstanding Adjustment	4,570,000	4,551,000
Warrant [Member]
Net Income Loss Per Common Share [Line Items]
Weighted Average Number Diluted Shares Outstanding Adjustment	2,385,000	3,303,000
Stock Option [Member]
Net Income Loss Per Common Share [Line Items]
Weighted Average Number Diluted Shares Outstanding Adjustment	2,185,000	1,248,000

Net Income _ (Loss) Per Commo19

Net Income / (Loss) Per Common Share (Details Textual) - shares	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	3,540,000	4,551,000

Line of Credit and Debt (Detail

Line of Credit and Debt (Details) - USD ($)	Mar. 31, 2016	Dec. 31, 2015
Debt Instrument [Line Items]
Long-term Debt, Gross	$ 1,746,000	$ 1,977,000
Less debt discount & issuance costs (Cherokee Financial, LLC Loan)	(367,000)	(291,000)
Total debt	1,379,000	1,686,000
Current portion	696,000	852,000
Long-term portion	683,000	834,000
Cherokee Financial LLC [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross	1,125,000	1,200,000
Crestmark Line of Credit [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross	$ 621,000	$ 777,000

Line of Credit and Debt (Deta21

Line of Credit and Debt (Details Textual)	3 Months Ended
	Mar. 31, 2016USD ($)
Cherokee Financial LLC [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Maturity Date	May 15, 2015
Debt Instrument, Term	5 years
Line of Credit Facility, Interest Rate Description	annual interest rate of 8% plus a 1% annual oversight fee
Line of Credit Facility, Periodic Payment, Principal	$ 75,000
Crestmark Line of Credit [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Term	3 years
Line of Credit Facility, Interest Rate Description	WSJ Prime plus 2% with a floor or 5.25%; loan fee of 0.5% annually & monthly maintenance fee of 0.3% on actual loan balance from prior month. Early termination fee of 3% if terminated in year 1 and 2% if terminated in year 2 or after (and prior to natural expiration)

Line of Credit and Debt - Loan

Line of Credit and Debt - Loan and Security Agreement With Cherokee Financial, LLC (Details Textual) - USD ($)	1 Months Ended	3 Months Ended
	Apr. 30, 2015	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015	Mar. 25, 2015
Line of Credit Facility [Line Items]
Interest Expense, Debt			$ 5,000
Debt Instrument, Unamortized Discount		$ 758,000		$ 909,000
Cherokee Financial LLC [Member]
Line of Credit Facility [Line Items]
Placement Agent Fees		$ 60,000
Debt Instrument, Interest Rate, Stated Percentage		8.00%		8.00%
Debt Instrument, Face Amount		$ 1,200,000
Interest Expense, Debt		24,000	1,000
Interest Payable		$ 13,000	$ 10,000
Annual Fee Percentage		1.00%
Debt Instrument, Annual Principal Payment		$ 75,000
Debt Instrument, Term		5 years
Administrative Fees Percentage		1.00%
Cherokee Financial LLC [Member] | Final Balloon [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Maturity Date		Mar. 26, 2020
Cherokee Loan and Security Agreement [Member]
Line of Credit Facility [Line Items]
Placement Agent Fees		$ 60,000
Proceeds from Debt, Net of Issuance Costs		80,000
Repayments of Debt		1,015,000
Legal Fees		19,000
Debt Issuance Cost		19,000
State Filing Fees		3,000
Debt Instrument, Periodic Payment, Interest		4,000
Notes and Loans, Noncurrent		$ 1,125,000		$ 1,200,000
Cherokee Loan and Security Agreement [Member] | New Participations [Member]
Line of Credit Facility [Line Items]
Contingent Consideration Additional Restricted Shares Issuable		196,000
Debt Instrument, Interest Rate, Stated Percentage					8.00%
Debt Instrument, Face Amount					$ 511,000
Cherokee Loan and Security Agreement [Member] | Series A Debentures and CAM Bridge Loan [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Periodic Payment, Interest	$ 15,000
Debt Instrument, Interest Rate, Stated Percentage	15.00%
Debt Instrument, Face Amount	$ 689,000
Cherokee Loan and Security Agreement [Member] | Cherokee Financial LLC [Member]
Line of Credit Facility [Line Items]
Contingent Consideration Additional Restricted Shares Issuable		600,000
Stock Issued During Period, Shares, Restricted Stock Award, Gross		1,800,000
Cherokee Loan and Security Agreement [Member] | Cantone Research Inc [Member]
Line of Credit Facility [Line Items]
Stock Issued During Period, Shares, Restricted Stock Award, Gross		200,000

Line of Credit and Debt - Line

Line of Credit and Debt - Line of Credit with Crestmark Bank ("Crestmark") (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015
Line of Credit Facility [Line Items]
Interest Expense, Debt		$ 5,000
Imperium Line Of Credit [Member]
Line of Credit Facility [Line Items]
Debt Issuance Cost		34,000
Interest Expense, Debt		27,000
Line Of Credit Facility Termination Fee			$ 50,000
Crestmark Bank [Member]
Line of Credit Facility [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 1,500,000
Minimum Loan Balance	500,000
Interest Expense, Debt	15,000	0
Interest Payable	0
Debt Instrument, Face Amount	621,000		$ 777,000
Imperium [Member]
Line of Credit Facility [Line Items]
Debt Instrument, Fee Amount	50,000
Crestmark Loan And Security Agreeement [Member]
Line of Credit Facility [Line Items]
Minimum Net Worth Required for Compliance	650,000
Debt Issuance Cost	8,000	$ 0
Crestmark Loan And Security Agreeement [Member] | Crestmark Bank [Member]
Line of Credit Facility [Line Items]
Monthly Reduction of Inventory Subcap Limit	10,000
Inventory Subcap Limit	$ 350,000
Line of Credit Facility, Interest Rate at Period End	9.35%
Payments of Debt Issuance Costs	$ 12,000
Legal Fees	$ 3,000
Percentage of Net Income, Increase	50.00%
Crestmark Loan And Security Agreeement [Member] | Imperium [Member]
Line of Credit Facility [Line Items]
Line of Credit Facility, Interest Rate During Period	12.00%

Line of Credit and Debt - First

Line of Credit and Debt - First Niagara : Mortgage Consolidation Loan (Details Textual)	3 Months Ended
	Mar. 31, 2015USD ($)
Line of Credit Facility [Line Items]
Interest Expense, Debt	$ 5,000

Line of Credit and Debt - Deben

Line of Credit and Debt - Debenture Financing/Bridge Loan (Details Textual)	3 Months Ended
	Mar. 31, 2015USD ($)
Schedule of Capitalization, Long-term Debt [Line Items]
Interest Expense, Debt	$ 5,000
Series A Debentures [Member]
Schedule of Capitalization, Long-term Debt [Line Items]
Interest Expense, Debt	$ 22,000

Line of Credit and Debt - Lin26

Line of Credit and Debt - Line of Credit with Imperium Commercial Finance, LLC ("Imperium") (Details Textual)	3 Months Ended
	Mar. 31, 2015USD ($)
Line of Credit Facility [Line Items]
Interest Expense, Debt	$ 5,000
Imperium Line Of Credit [Member]
Line of Credit Facility [Line Items]
Debt Issuance Cost	34,000
Interest Expense, Debt	$ 27,000

Stock Options and Warrants (Det

Stock Options and Warrants (Details) - Employee Stock Option [Member] - USD ($)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Shares, Beginning Balance	1,435,000	1,295,000
Shares, Granted	750,000	10,000
Shares, Exercised	0	0
Shares, Cancelled/expired	0	(57,000)
Shares, Ending Balance	2,185,000	1,248,000
Exercisable at end of period	1,037,000	889,000
Weighted Average Exercise Price, at beginning of period	$ 0.14	$ 0.31
Weighted Average Exercise Price, Granted	0.11	0.13
Weighted Average Exercise Price, Cancelled/expired		1.01
Weighted Average Exercise Price, at end of period	0.13	0.23
Weighted Average Exercise Price, Exercisable, at end of period	$ 0.15	$ 0.26
Aggregate Intrinsic Value, Outstanding at end of period	$ 9,000	$ 13,000

Stock Options and Warrants (D28

Stock Options and Warrants (Details 1)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Volatility	62.00%	64.00%
Expected term (years)	10 years	10 years
Risk-free interest rate	1.94%	1.92%
Dividend yield	0.00%	0.00%

Stock Options and Warrants (D29

Stock Options and Warrants (Details 2) - Warrant [Member] - USD ($)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Beginning Balance	2,385,000	3,303,000
Shares, Granted	0	0
Shares, Exercised	0	0
Shares, Cancelled/expired	0	0
Shares, Ending Balance	2,385,000	3,303,000
Exercisable at end of period	2,385,000	3,303,000
Weighted Average Exercise Price, at beginning of period	$ 0.17	$ 0.17
Weighted Average Exercise Price, at end of period	0.17	0.17
Weighted Average Exercise Price, Exercisable, at end of period	$ 0.17	$ 0.17
Aggregate Intrinsic Value outstanding at period		$ 0

Stock Options and Warrants (D30

Stock Options and Warrants (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	$ 0
Allocated Share-based Compensation Expense	19,000	$ 11,000
Warrant [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Debt Issuance Cost	0	25,000
Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	104,000
Stock Issued	$ 750,000	$ 10,000
Employee Stock Option [Member] | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	2 months
Employee Stock Option [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	26 months