ATRM (ATRM) 10-Q 14 May 14 2014 Q1 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	3 Months Ended
	Mar. 31, 2014	12-May-14
Document And Entity Information	'	'
Entity Registrant Name	'AETRIUM INC	'
Entity Central Index Key	'0000908598	'
Document Type	'10-Q	'
Document Period End Date	31-Mar-14	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	1,079,176
Document Fiscal Period Focus	'Q1	'
Document Fiscal Year Focus	'2014	'

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$1,886	$1,260
Accounts receivable, net of allowance for doubtful accounts of $0 at March 31, 2014 and December 31, 2013	487	296
Inventories	1,197	2,075
Fair value of contingent earn-out, current	400	325
Other current assets	591	338
Total current assets	4,561	4,294
Property and equipment, net	73	81
Other assets	5	247
Total assets	4,639	4,622
Current liabilities:	'	'
Capitalized lease obligation, current portion	27	32
Trade accounts payable	530	351
Accrued compensation	94	126
Other accrued liabilities	328	259
Total current liabilities	979	768
Capitalized lease obligation	'	3
Commitments and contingencies	'	'
Shareholders' equity:	'	'
Common stock, $.001 par value; 3,000,000 shares authorized; 1,079,176 issued and outstanding	1	1
Additional paid-in capital	65,835	65,830
Accumulated deficit	-62,176	-61,980
Total shareholders' equity	3,660	3,851
Total liabilities and shareholders' equity	$4,639	$4,622

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets (Parenthetical) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, except Share data, unless otherwise specified
Statement of Financial Position [Abstract]	'	'
Accounts receivable, allowance for doubtful accounts	$0	$0
Common stock, par value	$0.00	$0.00
Common stock, shares authorized	3,000,000	3,000,000
Common stock, shares issued	1,079,176	1,079,176
Common stock, shares outstanding	1,079,176	1,079,176

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Operations (Unaudited) (USD $)	3 Months Ended
In Thousands, except Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Income Statement [Abstract]	'	'
Net sales	$2,158	$558
Cost of goods sold	1,290	314
Gross profit	868	244
Operating expenses:	'	'
Selling, general and administrative	1,011	985
Research and development	127	130
Total operating expenses	1,138	1,115
Loss from operations	-270	-871
Change in fair value of contingent earn-out	75	'
Interest income	'	1
Interest expense	-1	-2
Loss from continuing operations before income taxes	-196	-872
Income tax benefit	'	28
Loss from continuing operations	-196	-844
Income from discontinued operations, net of income taxes - See Note 2	'	52
Net loss	($196)	($792)
Income (loss) per share - basic and diluted:	'	'
Continuing operations	($0.18)	($0.78)
Discontinued operations	$0	$0.05
Net loss	($0.18)	($0.73)
Weighted average common shares outstanding - basic and diluted	1,079	1,078

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Cash flows from operating activities:	'	'
Net loss	($196)	($792)
Adjustments to reconcile net loss to net cash generated by (used in) operating activities:	'	'
Depreciation and amortization	9	18
Share-based compensation expense	5	142
Change in fair value of contingent earn-out	-75	'
Changes in operating assets and liabilities:	'	'
Accounts receivable	-191	-567
Inventories	878	-171
Other current assets	-53	-26
Other assets	42	3
Trade accounts payable	179	193
Accrued compensation	-32	-97
Other accrued liabilities	69	28
Net cash generated by (used in) operating activities	635	-1,269
Cash flows from investing activities:	'	'
Purchase of property and equipment	-1	-5
Net cash used in investing activities	-1	-5
Cash flows from financing activities:	'	'
Principal payments on capital lease	-8	-7
Net cash used by financing activities	-8	-7
Net increase (decrease) in cash and cash equivalents	626	-1,281
Cash and cash equivalents at beginning of period	1,260	3,013
Cash and cash equivalents at end of period	$1,886	$1,732

Basis_of_Presentation

Basis of Presentation	3 Months Ended
	Mar. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Basis of Presentation	'
	1	BASIS OF PRESENTATION
	The condensed consolidated balance sheet at December 31, 2013 has been derived from our audited financial statements. In the opinion of management, the unaudited interim condensed consolidated financial statements include all adjustments (consisting only of normal, recurring adjustments) necessary to present fairly the financial position, results of operations and cash flows for the interim periods presented. The results of operations for the three months ended March 31, 2014 are not necessarily indicative of the operating results to be expected for the full year or any future period.
	The accompanying unaudited condensed financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures, normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America, have been condensed or omitted, pursuant to such rules and regulations. Therefore, these financial statements should be read in conjunction with the consolidated financial statements and accompanying footnotes included in our Annual Report on Form 10-K for the year ended December 31, 2013.
	Aetrium has incurred significant operating losses and, as of March 31, 2014, we had an accumulated deficit of approximately $62 million. In recent years, the losses have been primarily attributed to the operations of our Test Handler product line and significant legal expenses related to litigation. We have taken aggressive actions to reduce our expenses and preserve cash, including salary reductions for executive officers, pay freezes and reductions in workforce. In addition, since July of 2013, we have implemented several strategic initiatives intended to stabilize the company and return us to profitability. In July 2013, as described in Note 2, we sold the assets related to our Reliability Test Products (RTP) line of products and received proceeds of approximately $1.7 million net of transaction expenses, plus future potential holdback and contingent earn-out consideration. In April 2014, as described in Note 10, we acquired a business that manufactures modular housing units for commercial and residential applications and we issued $6.5 million of promissory notes to finance this acquisition. Also in April 2014, we entered into an agreement to transfer the assets related to our Test Handler product line to a larger semiconductor equipment company in exchange for future royalty payments. There can be no assurance that these strategic initiatives will lead to sufficient revenue in the future to cover our expenses and achieve profitability for Aetrium on a consistent basis or at all. Also, there can be no assurance that our existing cash reserves, together with funds generated by our operations and any future financings, will be sufficient to satisfy our debt payment obligations. Our inability to generate funds or obtain financing sufficient to satisfy our debt payment obligations may result in such obligations being accelerated by our lenders, which would likely have a material adverse effect on our business, financial condition and results of operations. Given these uncertainties, there can be no assurance that our existing cash reserves will be sufficient to avoid liquidity issues and/or fund operations beyond this fiscal year.

Discontinued_Operations

Discontinued Operations	3 Months Ended
	Mar. 31, 2014
Discontinued Operations and Disposal Groups [Abstract]	'
Discontinued Operations	'
	2	DISCONTINUED OPERATIONS
	In July 2013, we sold the assets related to our RTP line of products. The RTP product line includes test equipment that provides semiconductor manufacturers with structural performance data to aid in the evaluation and improvement of IC designs and manufacturing processes to increase IC yield and reliability.
	The purchase price included $1.9 million cash plus up to $1.5 million in holdback and future contingent consideration. The contingent consideration included the following:
		●	$500,000 holdback amount to secure Aetrium’s obligations related to representations, warranties and covenants. $300,000 of the holdback amount is payable on July 31, 2014 and $200,000 is payable on January 15, 2015, subject to indemnity claims by the purchaser.
		●	Up to $1,000,000 contingent earn-out payment. If RTP net revenues for the nine months ended April 30, 2014 are in the range of $2,250,000 to $3,750,000 or more, a pro rata earn-out payment will be payable to Aetrium on May 31, 2014. Based on monthly revenue reports received from the purchaser, we estimate we will receive an earn-out payment of approximately $400,000 by May 31, 2014.
	The receivables related to holdbacks are included in our condensed consolidated balance sheet as follows: the current portion ($500,000 at March 31, 2014 and $300,000 at December 31, 2013) is included in the caption “Other current assets”. See Note 6. The noncurrent portion ($0 at March 31, 2014 and $200,000 at December 31, 2013) is included in the caption “Other assets”. We expect to collect 100% of the holdback amounts.
	Condensed results from discontinued operations included in our condensed consolidated statement of operations for the three months ended March 31, 2013 are summarized below (in thousands).
	Net sales		$	729
	Cost of goods sold			220
	Gross profit			509
	Operating expenses			429
	Income before income taxes			80
	Income tax expense			28
	Income from discontinued operations		$	52
	Operating results from discontinued operations exclude building rent, property taxes, and other facility-related and administrative costs that continued to be incurred following the disposition of the product line.

Loss_Per_Common_Share

Loss Per Common Share	3 Months Ended
	Mar. 31, 2014
Earnings Per Share [Abstract]	'
Loss Per Common Share	'
	3	LOSS PER COMMON SHARE
	Basic and diluted loss per common share is computed by dividing net loss by the weighted-average number of common shares outstanding during each period. The computation of diluted loss per share excludes the impact of stock options because they would be antidilutive.

Fair_Value_Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2014
Fair Value Disclosures [Abstract]	'
Fair Value Measurements	'
	4	FAIR VALUE MEASUREMENTS
	We measure fair value for financial reporting purposes in accordance with ASC 820, “Fair Value Measurement and Disclosures.” ASC 820 provides a framework for measuring fair value. The framework includes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The three levels of the fair value hierarchy defined in ASC 820 include the following:
		●	Level 1 – Quoted prices in active markets for identical assets or liabilities.
		●	Level 2 – Observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
		●	Level 3 – Inputs that are generally unobservable and typically reflect management’s estimate of assumptions that market participants would use in pricing the asset or liability.
	Financial assets reported at fair value on a recurring basis include the following at March 31, 2014 (in thousands):
	Level 1		$	—
	Level 2			—
	Level 3 (contingent earn-out receivable)			400
	Total		$	400
	The contingent earn-out receivable is related to the sale of our RTP line of products on July 31, 2013. The sale agreement provides that if RTP net revenues for the nine months ended April 30, 2014 are in the range of $2,250,000 to $3,750,000 or more, a pro rata earn-out payment of up to $1.0 million will be payable to Aetrium on May 31, 2014. We determined the fair value of the contingent earn-out receivable as of the closing date and re-assess the fair value each quarter. Changes to the fair value are included in current period earnings. We estimate the fair value of the earn-out receivable using discounted cash flow techniques based on information available at the time, including reported revenues, reported unshipped orders and time remaining in the earn-out period. The following table summarizes the activity for our Level 3 contingent earn-out receivable (in thousands):
			Level 3
	Balance at December 31, 2013		$	325
	Add – increase in contingent earn-out receivable based on re-assessment at March 31, 2014 (included in earnings)			75
	Balance at March 31, 2014		$	400
	Quantitative information about Level 3 fair value measurements at March 31, 2014 is summarized in the table below:
	Fair Value Asset		Valuation Technique		Unobservable Input	Amount
	Earn-out receivable		Discounted cash flow		Performance risk factor	0 percent

Inventories

Inventories	3 Months Ended
	Mar. 31, 2014
Inventory Disclosure [Abstract]	'
Inventories	'
	5	INVENTORIES
	Inventories are comprised of the following (in thousands):
			31-Mar-14		31-Dec-13
	Purchased parts and completed subassemblies		$	375	$	563
	Work-in-process			332		439
	Finished goods, including saleable demonstration equipment			490		1,073
	Total inventories		$	1,197	$	2,075

Other_Current_Assets

Other Current Assets	3 Months Ended
	Mar. 31, 2014
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]	'
Other Current Assets	'
	6	OTHER CURRENT ASSETS
	Other current assets are comprised of the following (in thousands):
			31-Mar-14		31-Dec-13
	Holdback receivable – see Note 2		$	500	$	300
	Other			91		38
	Total other current assets		$	591	$	338

Other_Accrued_Liabilities

Other Accrued Liabilities	3 Months Ended
	Mar. 31, 2014
Payables and Accruals [Abstract]	'
Other Accrued Liabilities	'
	7	OTHER ACCRUED LIABILITIES
	Other accrued liabilities are comprised of the following (in thousands):
			31-Mar-14			31-Dec-13
	Accrued severance benefits		$	148		$	—
	Accrued retirement benefits			70			96
	Accrued warranty			23			16
	Customer deposit			26			108
	Other			61			39
	Total other current accrued liabilities		$	328		$	259
	In January 2014, in exchange for voiding a previously executed change of control agreement, we entered into an agreement with an employee that provided the employee will receive payments equal to twelve months’ of base salary plus reimbursement of the employer portion of group medical and group dental premiums under COBRA continuation coverage if we terminated employment without cause at any time, or if the employee voluntarily terminated employment at any time that is six months or more after the effective date of the agreement. We recorded a charge of $148,000 in the quarter ended March 31, 2014 related to the agreement. In April 2014, we terminated the employee. Pursuant to the terms of the agreement, severance payments will be made in equal bi-weekly installments through April 2015.
	The accrued retirement benefit was granted to a former officer in fiscal year 2010. The remaining benefit owing amounted to $70,300 at March 31, 2014 and $96,200 at December 31, 2013. The $70,300 balance at March 31, 2014 is scheduled to be paid in equal bi-weekly installments through December 2014.
	Changes in accrued warranty are summarized below (in thousands):
			Three months ended March 31,
				2014		2013
	Accrual balance, beginning of period		$	16		$	12
	Accruals for warranties			21			6
	Settlements made			(14	)		(6	)
	Accrual balance, end of period		$	23		$	12

Stock_Incentive_Plan_and_Share

Stock Incentive Plan and Share-Based Compensation	3 Months Ended
	Mar. 31, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
Stock Incentive Plan and Share-Based Compensation	'
	8	STOCK INCENTIVE PLAN AND SHARE-BASED COMPENSATION
	The following table summarizes stock option activity under our stock incentive plan for the three months ended March 31, 2014:
			Number			Weighted		Weighted		Aggregate
			of Shares			Average		Average		Intrinsic Value
						Exercise Price		Remaining		(in thousands)
								Contract Term
	Outstanding, January 1, 2014			88,384		$	10.96
	Options expired			(19,883	)		10.02
	Outstanding, March 31, 2014			68,501		$	11.05		2.80 years	$	0
	Exercisable, March 31, 2014			60,631		$	11.49		2.76 years	$	0
	All stock options outstanding at March 31, 2014 are nonqualified options. As explained in Note 10, sixteen of our employees were hired by Boston Semi Automation LLC (BSA) on April 22, 2014 in connection with the transfer of our Test Handler product line to BSA. Outstanding options held by certain of these former employees at March 31, 2014 (30,001 options) will expire on July 22, 2014 if not exercised. The remaining options outstanding at March 31, 2014 (38,500 options) will expire at the end of their respective remaining terms if not exercised. The aggregate intrinsic values in the table above are zero because the option exercise prices for all outstanding options exceeded Aetrium’s closing stock price on March 31, 2014.
	Aetrium uses the fair value method to measure and recognize share-based compensation. We determine the fair value of share-based awards on the grant date using the Black-Scholes option valuation model and recognize the compensation expense on a straight-line basis over the vesting period of the applicable awards. In March 2013, we entered into an agreement with an activist shareholder group pursuant to which our board of directors was reconstituted to include three incumbent directors and three members of the shareholder group. As a result of this change of control, unvested stock options held by certain of our officers at that time became immediately and fully exercisable pursuant to the terms of change of control agreements with such officers. Share-based compensation of approximately $77,000 was recorded in the three months ended March 31, 2013 as a result of the accelerated vesting of such options.
	Share-based compensation expense included in our condensed consolidated statements of operations was as follows (in thousands):
			Three months ended
			March 31,
			2014			2013
	Cost of goods sold		$	1		$	2
	Selling, general and administrative			1			125
	Research and development			2			5
	Income from discontinued operations			—			10
	Total share-based compensation expense		$	5		$	142
	As of March 31, 2014, unrecognized pretax share-based compensation expense was not significant.

Income_Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2014
Income Tax Disclosure [Abstract]	'
Income Taxes	'
	9	INCOME TAXES
	We record the benefit we will derive in future accounting periods from tax losses and credits and deductible temporary differences as “deferred tax assets.” In accordance with ASC 740, “Income Taxes,” we record a valuation allowance to reduce the carrying value of our deferred tax assets if, based on all available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. Since 2009, we have maintained a valuation allowance to fully reserve our deferred tax assets. We recorded a full valuation allowance in 2009 because we determined there was not sufficient positive evidence regarding our potential for future profits to outweigh the negative evidence of our three year cumulative loss position at that time under the guidance provided in ASC 740. We expect to continue to maintain a full valuation allowance until we determine that we can sustain a level of profitability that demonstrates our ability to realize these assets. To the extent we determine that the realization of some or all of these benefits is more likely than not based upon expected future taxable income, a portion or all of the valuation allowance will be reversed. Such a reversal would be recorded as an income tax benefit and, for some portion related to deductions for stock option exercises, an increase in shareholders’ equity.

Subsequent_Events

Subsequent Events	3 Months Ended
	Mar. 31, 2014
Subsequent Events [Abstract]	'
Subsequent Events	'
	10	SUBSEQUENT EVENTS
		●	Securities Purchase Agreement
	On April 1, 2014, in order to finance the acquisition of KBS described below, we entered into a Securities Purchase Agreement (the “LSV Financing Agreement”) with Lone Star Value Investors, LP (“LSV”) pursuant to which LSV purchased for $6.5 million in cash, (i) an unsecured promissory note made by Aetrium in the principal amount of $6.0 million (the “LSV Promissory Note”), bearing interest at 10.0% per annum, with interest payable semiannually and any unpaid principal and interest due on April 1, 2019, and (ii) an unsecured convertible promissory note made by Aetrium in the principal amount of $0.5 million (the “LSV Convertible Promissory Note”, and together with the “LSV Promissory Note”, the “LSV Notes”), bearing interest at 5.0% per annum, with interest payable semiannually and any unpaid principal and interest due on April 1, 2019. At any time after July 30, 2014, at LSV’s option, the unpaid principal amount of the LSV Convertible Promissory Note may be converted into shares of our common stock at $4.66 per share. Aetrium may prepay the LSV Notes at any time after a specified amount of advance notice to LSV.
	The LSV Notes provide for customary events of default, the occurrence of any of which may result in the principal and unpaid interest then outstanding becoming immediately due and payable. Additionally, pursuant to the LSV Financing Agreement, we agreed to enter into a registration rights agreement with LSV on usual and customary terms and conditions approved by the parties in their reasonable discretion.
	LSV owns 60,588 shares of our common stock, or approximately 5.6% of the shares outstanding. Jeffrey E. Eberwein, Aetrium’s Chairman of the Board, is the founder and chief executive officer of Lone Star Value Management, LLC, the investment manager of LSV, and is the manager of Lone Star Value Investors GP, LLC, the general partner of LSV. LSV was granted a waiver under our Tax Benefits Preservation Plan to permit the purchase and conversion of the LSV Convertible Promissory Note.
	Aetrium’s entry into the LSV Financing Agreement was approved by a Special Committee of our Board of Directors consisting solely of independent directors.
		●	KBS Acquisition
	On April 2, 2014, Aetrium and KBS Builders, Inc., a wholly-owned subsidiary of Aetrium (“KBS Builders”), entered into an Asset Purchase Agreement (the “KBS Purchase Agreement”) with KBS Building Systems, Inc., Maine Modular Haulers, LLC, All-Set, LLC (d/b/a KBS Homes), Paris Holdings, LLC (collectively, “KBS”), and the principal owner of KBS, pursuant to which we purchased substantially all of KBS’s assets related to its business of manufacturing, selling, and distributing modular housing units for residential and commercial use. Consideration for the acquisition included (i) $5.0 million in cash, (ii) an unsecured promissory note issued to KBS by KBS Builders in the principal amount of $5.5 million, bearing interest at 4.0% per annum with all principal and interest due on October 1, 2014 (the “KBS Note”), (iii) the assumption and payoff of approximately $1.4 million of debt and (iv) the assumption of certain other liabilities of KBS related to the purchased assets.
	The KBS Purchase Agreement contains representations, warranties and covenants customary for transactions of this type. Under the KBS Purchase Agreement, Aetrium guarantees performance by KBS Builders of its obligations under the KBS Purchase Agreement, the KBS Note and related agreements, and the principal owner of KBS guarantees its performance of its obligations. The KBS Note provides for customary events of default, as well as an event of default if we fail to perform under the KBS Purchase Agreement, the occurrence of any of which may result in the principal and unpaid interest then outstanding becoming immediately due and payable.
		●	Transfer of Test Handler Product Line
	On April 22, 2014, we entered into an agreement (the “Agreement”) in which we transferred the assets related to our business of designing, manufacturing, marketing and servicing equipment used in the handling of integrated circuits to BSA, a wholly owned subsidiary of Boston Semi Equipment LLC (“BSE”). The Agreement contains representations, warranties and covenants customary for transactions of this type.
	The Agreement provided for the following:
		●	BSA will pay to Aetrium a royalty on all revenue related to the Test Handler product line over five years (April 22, 2014 through December 31, 2018) that will start at 15% and decline over time to 3%, subject to certain qualifications and adjustments.
		●	Aetrium transferred all inventories, certain equipment, intellectual property, and certain other assets associated with the Test Handler product line to BSA.
		●	BSA assumed certain liabilities related to the Test Handler product line, including certain accounts payable, accrued expenses and product support and warranty obligations.
		●	BSA and Aetrium executed a sublease and transition services agreement providing for BSA to continue to operate the Test Handler product line in approximately 15,000 square feet within Aetrium’s leased facility in North St. Paul, MN and for each party to provide certain administrative services to the other. The sublease provides for initial monthly rental payments of $19,930 and the term extends through August 31, 2015.
		●	Sixteen of Aetrium’s employees that were associated with the Test Handler product line were hired by BSA.
	We are in the process of fully evaluating the fair value of our contingent consideration, but we expect to record a pre-tax gain of approximately $0.9 million on the transfer of the Test Handler product line, estimated as follows (in thousands):
	Proceeds:
	Fair value of contingent consideration (royalty stream)		$	2,000
	Carrying value of net assets transferred:
	Inventories			1,230
	Equipment			26
	Accounts payable			(116	)
	Accrued liabilities			(82	)
	Total net assets transferred			1,058
	Gain on sale		$	942
	As of March 31, 2014, the decision to sell the Test Handler product line was not considered probable. As such, the operating results of the Test Handler product line were not included in discontinued operations.
		●	Employee Claim for Severance Benefits
	On April 25, 2014, we received notice that an employee is seeking to obtain severance benefits pursuant to a change of control agreement with Aetrium. We intend to vigorously challenge the employee’s claim for such benefits. We estimate the charges we may incur in the future related to this claim are in the range of $0 to $290,000.

Discontinued_Operations_Tables

Discontinued Operations (Tables)	3 Months Ended
	Mar. 31, 2014
Discontinued Operations and Disposal Groups [Abstract]	'
Schedule of Disposal Groups Including Discontinued Operations Income	'
	Condensed results from discontinued operations included in our consolidated statement of operations for the three months ended March 31, 2013 are summarized below (in thousands).
	Net sales	$	729
	Cost of goods sold		220
	Gross profit		509
	Operating expenses		429
	Income before income taxes		80
	Income tax expense		28
	Income from discontinued operations	$	52

Fair_Value_Measurements_Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2014
Fair Value Disclosures [Abstract]	'
Schedule of Fair Value of Financial Assets Measured on Recurring Basis	'
	Financial assets reported at fair value on a recurring basis include the following at March 31, 2014 (in thousands):
	Level 1	$	—
	Level 2		—
	Level 3 (contingent earn-out receivable)		400
	Total	$	400
Schedule of Fair Value of Assets Activity	'
	The following table summarizes the activity for our Level 3 contingent earn-out receivable (in thousands):
		Level 3
	Balance at December 31, 2013	$	325
	Add – increase in contingent earn-out receivable based on re-assessment at March 31, 2014 (included in earnings)		75
	Balance at March 31, 2014	$	400
Schedule of Quantitative Information Level 3 Fair Value Measurements	'
	Quantitative information about Level 3 fair value measurements at March 31, 2014 is summarized in the table below:
	Fair Value Asset	Valuation Technique		Unobservable Input	Amount
	Earn-out receivable	Discounted cash flow		Performance risk factor	0 percent

Inventories_Tables

Inventories (Tables)	3 Months Ended
	Mar. 31, 2014
Inventory Disclosure [Abstract]	'
Schedule of Inventory, Current	'
	Inventories are comprised of the following (in thousands):
		31-Mar-14		31-Dec-13
	Purchased parts and completed subassemblies	$	375	$	563
	Work-in-process		332		439
	Finished goods, including saleable demonstration equipment		490		1,073
	Total inventories	$	1,197	$	2,075

Other_Current_Assets_Tables

Other Current Assets (Tables)	3 Months Ended
	Mar. 31, 2014
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]	'
Schedule of Other Current Assets	'
	Other current assets are comprised of the following (in thousands):
		31-Mar-14		31-Dec-13
	Holdback receivable – see Note 2	$	500	$	300
	Other		91		38
	Total other current assets	$	591	$	338

Other_Accrued_Liabilities_Tabl

Other Accrued Liabilities (Tables)	3 Months Ended
	Mar. 31, 2014
Payables and Accruals [Abstract]	'
Schedule of Other Accrued Liabilities	'
	Other accrued liabilities are comprised of the following (in thousands):
		31-Mar-14			31-Dec-13
	Accrued severance benefits	$	148		$	—
	Accrued retirement benefits		70			96
	Accrued warranty		23			16
	Customer deposit		26			108
	Other		61			39
	Total other current accrued liabilities	$	328		$	259
Schedule of Accrued Warranty	'
	Changes in accrued warranty are summarized below (in thousands):
		Three months ended March 31,
			2014		2013
	Accrual balance, beginning of period	$	16		$	12
	Accruals for warranties		21			6
	Settlements made		(14	)		(6	)
	Accrual balance, end of period	$	23		$	12

Stock_Incentive_Plan_and_Share1

Stock Incentive Plan and Share-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
Schedule of Share-based Compensation, Stock Options, Activity	'
	The following table summarizes stock option activity under our stock incentive plan for the three months ended March 31, 2014:
		Number			Weighted		Weighted		Aggregate
		of Shares			Average		Average		Intrinsic Value
					Exercise Price		Remaining		(in thousands)
							Contract Term
	Outstanding, January 1, 2014		88,384		$	10.96
	Options expired		(19,883	)		10.02
	Outstanding, March 31, 2014		68,501		$	11.05		2.80 years	$	0
	Exercisable, March 31, 2014		60,631		$	11.49		2.76 years	$	0
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs	'
	Share-based compensation expense included in our condensed consolidated statements of operations was as follows (in thousands):
		Three months ended
		March 31,
		2014			2013
	Cost of goods sold	$	1		$	2
	Selling, general and administrative		1			125
	Research and development		2			5
	Income from discontinued operations		—			10
	Total share-based compensation expense	$	5		$	142

Subsequent_Events_Tables

Subsequent Events (Tables)	3 Months Ended
	Mar. 31, 2014
Subsequent Events [Abstract]	'
Estimated gain on transfer of net assets	'
	Proceeds:
	Fair value of contingent consideration (royalty stream)	$	2,000
	Carrying value of net assets transferred:
	Inventories		1,230
	Equipment		26
	Accounts payable		(116	)
	Accrued liabilities		(82	)
	Total net assets transferred		1,058
	Estimated gain on sale	$	942

Business_Presentation_Details_

Business Presentation (Details Narrative) (USD $)	1 Months Ended			1 Months Ended
	Apr. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Jul. 31, 2013
				Reliability Test Products [Member]
Accumulated deficit	'	$62,176,000	$61,980,000	'
Proceeds from sale of productive assets	'	'	'	1,700,000
Proceeds from issuance of promissory notes	$6,500,000	'	'	'

Discontinued_Operations_Detail

Discontinued Operations (Details Narrative) (USD $)	Mar. 31, 2014	Dec. 31, 2013	Jul. 31, 2013
			Reliability Test Products [Member]
Cash proceeds for divestiture of business	'	'	$1,900,000
Sale price of business divestiture of maximum contingent consideration	'	'	1,500,000
Proceeds from business divestiture holdback amounts	'	'	500,000
Holdback receivable due July 31, 2014	'	'	300,000
Holdback receivable due January 15, 2015	'	'	200,000
Sale of business maximum contingent earn out payment	'	'	1,000,000
Minimum net revenue amount from Reliability Test Products	'	'	2,250,000
Maximum net revenue amount from Reliability Test Products	'	'	3,750,000
Estimated earn out payment	400,000	'	'
Receivables related to holdbacks, current	500,000	300,000	'
Receivables related to holdbacks, noncurrent	$0	$200,000	'

Discontinued_Operations_Schedu

Discontinued Operations - Schedule of Disposal Groups Including Discontinued Operations Income (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Discontinued Operations and Disposal Groups [Abstract]	'	'
Net sales	'	$729
Cost of goods sold	'	220
Gross profit	'	509
Operating expenses	'	429
Income before income taxes	'	80
Income tax expense	'	28
Income from discontinued operations	'	$52

Fair_Value_Measurements_Detail

Fair Value Measurements (Details Narrative) (Reliability Test Products [Member], USD $)	1 Months Ended
	Jul. 31, 2013
Reliability Test Products [Member]	'
Maximum net revenue amount from Reliability Test Products	$3,750,000
Minimum net revenue amount from Reliability Test Products	2,250,000
Sale of business maximum contingent earn out payment	$1,000,000

Fair_Value_Measurements_Schedu

Fair Value Measurements - Schedule of Fair Value of Financial Assets Measured on Recurring Basis (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Fair value of financial assets measured under recurring basis, total	$400	$325
Level 1 [Member]	'	'
Fair value of financial assets measured under recurring basis, total	'	'
Level 2 [Member]	'	'
Fair value of financial assets measured under recurring basis, total	'	'
Level 3 (Contingent earn-out receivable) [Member]	'	'
Fair value of financial assets measured under recurring basis, total	$400	'

Fair_Value_Measurements_Schedu1

Fair Value Measurements - Schedule of Fair Value of Assets Activity (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014
Fair Value Disclosures [Abstract]	'
Balance, beginning	$325
Add - increase in contingent earn-out receivable based on re-assessment at March 31, 2014 (included in earnings)	75
Balance, end	$400

Fair_Value_Measurements_Schedu2

Fair Value Measurements - Schedule of Quantitative Information Level 3 Fair Value Measurements (Details)	3 Months Ended
	Mar. 31, 2014
Fair Value Disclosures [Abstract]	'
Fair Value Asset	'Earn-out receivable
Fair value of assets, Valuation Technique	'Discounted cash flow
Fair value of assets, Unobservable Input	'Performance risk factor
Amount	0.00%

Inventories_Schedule_of_Invent

Inventories - Schedule of Inventory, Current (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Inventory Disclosure [Abstract]	'	'
Purchased parts and completed subassemblies	$375	$563
Work-in-process	332	439
Finished goods, including saleable demonstration equipment	490	1,073
Total inventories	$1,197	$2,075

Other_Current_Assets_Schedule_

Other Current Assets - Schedule of Other Current Assets (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]	'	'
Holdback receivable - see note 3	$500	$300
Other	91	38
Total other current assets	$591	$338

Other_Accrued_Liabilities_Deta

Other Accrued Liabilities (Details Narrative) (USD $)	3 Months Ended
	Mar. 31, 2014	Dec. 31, 2013
Payables and Accruals [Abstract]	'	'
Severance costs	$148,000	'
Accrued retirement benefits, current	70,300	96,200
Accrued retirement benefits, current	$70,300	'

Other_Accrued_Liabilities_Sche

Other Accrued Liabilities - Schedule of Other Accrued Liabilities (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Payables and Accruals [Abstract]	'	'
Accrued severance benefits	$148,000	'
Accrued retirement benefits	70,300	96,200
Accrued warranty	23,000	16,000
Customer deposit	26,000	108,000
Other	61,000	39,000
Total other current accrued liabilities	$328,000	$259,000

Other_Accrued_Liabilities_Sche1

Other Accrued Liabilities - Schedule of Product Warranty Liability (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Payables and Accruals [Abstract]	'	'
Accrual balance, beginning of period	$16	$12
Accrual for warrenties	21	6
Settlement made	-14	-6
Accrual balance, end of period	$23	$12

Stock_Incentive_Plan_and_Share2

Stock Incentive Plan and Share-Based Compensation (Details Narrative) (USD $)	3 Months Ended			3 Months Ended
	Mar. 31, 2013	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2014	Mar. 31, 2014
				Stock Option One [Member]	Stock Option Two [Member]
Stock option outstanding	'	68,501	88,384	30,001	38,500
Stock option expiration date	'	'	'	22-Jul-14	'
Share based compensation based on vesting of such options	$77,000	'	'	'	'

Stock_Incentive_Plan_and_Share3

Stock Incentive Plan and Share-Based Compensation - Schedule of Share-based Compensation, Stock Options, Activity (Details) (USD $)	3 Months Ended
In Thousands, except Share data, unless otherwise specified	Mar. 31, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
Number of Shares, Outstanding, Beginning balance	88,384
Number of Shares, Expired	-19,883
Number of Shares, Outstanding, Ending balance	68,501
Number of Shares, Exercisable, Balance	60,631
Weighted Average Exercise Price, Outstanding, Beginning balance	$10.96
Weighted Average Exercise Price, Expired	$10.02
Weighted Average Exercise Price, Outstanding, Ending balance	$11.05
Weighted Average Exercise Price, Exercisable, Balance	$11.49
Weighted Average Remaining Contract Term, Outstanding, Balance	'2 years 9 months 18 days
Weighted Average Remaining Contract Term, Exercisable, Balance	'2 years 9 months 4 days
Aggregate Intrinsic Value, Outstanding, Balance	$0
Aggregate Intrinsic Value, Exercisable, Balance	$0

Stock_Incentive_Plan_and_Share4

Stock Incentive Plan and Share-Based Compensation - Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Share-based compensation expense	$5	$142
Income from Discontinued Operations [Member]	'	'
Share-based compensation expense	'	10
Cost Of Goods Sold [Member]	'	'
Share-based compensation expense	1	2
Selling, General and Administrative Expenses [Member]	'	'
Share-based compensation expense	1	125
Research and Development [Member]	'	'
Share-based compensation expense	$2	$5

Subsequent_Events_Details_Narr

Subsequent Events (Details Narrative) (USD $)	0 Months Ended			3 Months Ended			0 Months Ended		0 Months Ended
	Apr. 25, 2014	Apr. 25, 2014	Mar. 31, 2014	Mar. 31, 2014	Mar. 31, 2014	Mar. 31, 2014	Apr. 01, 2014	Jul. 30, 2014	Apr. 01, 2014	Apr. 02, 2014
	Minimum [Member]	Maximum [Member]	Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]
			Test Handler Products [Member]	Test Handler Products [Member]	Test Handler Products [Member]	Test Handler Products [Member]	Lone Star Value Investors LP [Member]	Lone Star Value Investors LP [Member]	Lone Star Value Investors LP [Member]	KBS Builders Inc [Member]
			sqft	Minimum [Member]	Maximum [Member]				Unsecured Debt [Member]
Proceeds from issuance of debt	'	'	'	'	'	'	$6,500,000	'	'	'
Proceeds from issuance of debt	'	'	'	'	'	'	6,000,000	'	'	5,500,000
Debt instrument bearing interest	'	'	'	'	'	'	10.00%	'	5.00%	4.00%
Unpaid principal and interest due date	'	'	'	'	'	'	1-Apr-19	'	1-Apr-19	1-Oct-14
Proceeds from convertible debt	'	'	'	'	'	'	'	'	500,000	'
Conversion of common stock price per share	'	'	'	'	'	'	'	$4.66	'	'
Number of common stock owns by entity	'	'	'	'	'	'	60,588	'	'	'
Percentage of common shares outstanding	'	'	'	'	'	'	5.60%	'	'	'
Payments To Acquire Business gross	'	'	'	'	'	'	'	'	'	5,000,000
Repayment of debt	'	'	'	'	'	'	'	'	'	1,400,000
Test handler product line	'	'	'	'	'	'5 years	'	'	'	'
Percentage of royalty	'	'	'	3.00%	15.00%	'	'	'	'	'
Area of test handler product	'	'	15,000	'	'	'	'	'	'	'
Sub leases, monthly rental income	'	'	'	'	'	19,930	'	'	'	'
Lease expiration date	'	'	'	'	'	31-Aug-15	'	'	'	'
Expected fair value on the transfer of the Test Handler product line	'	'	'	'	'	900,000	'	'	'	'
Estimated future charges related to claim	$0	$290,000	'	'	'	'	'	'	'	'

Subsequent_Events_Estimated_ga

Subsequent Events - Estimated gain on transfer of net assets (Details) (Subsequent Event [Member], USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014
Test Handler Products [Member]	'
Fair value of contingent consideration (royalty stream)	$2,000
Carrying value of net assets transferred - Inventories	1,230
Carrying value of net assets transferred - Equipment	26
Carrying value of net assets transferred - Accounts payable	-116
Carrying value of net assets transferred - Accrued liabilities	-82
Total net assets transferred	1,058
Test Handler Products [Member]	'
Estimated gain on sale	$942