L.S. Starrett Co. - Ordinary Shares (SCX) 10-Q 5 Feb 15 2015 Q2 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	6 Months Ended
	Dec. 31, 2014	Jan. 31, 2015
Entity Registrant Name	STARRETT L S CO
Entity Central Index Key	93676
Current Fiscal Year End Date	-24
Entity Filer Category	Accelerated Filer
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Document Type	10-Q
Document Period End Date	31-Dec-14
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q2
Amendment Flag	FALSE
Common Class A [Member]
Entity Common Stock, Shares Outstanding (in shares)		6,208,300
Common Class B [Member]
Entity Common Stock, Shares Outstanding (in shares)		783,841

Consolidated_Balance_Sheets_Cu

Consolidated Balance Sheets (Current Period Unaudited) (USD $)	Dec. 31, 2014	Jun. 30, 2014
Current assets:
Cash	$16,139,000	$16,233,000
Short-term investments	7,790,000	8,723,000
Accounts receivable (less allowance for doubtful accounts of $766 and $704, respectively)	33,531,000	43,712,000
Inventories	66,418,000	65,582,000
Current deferred income tax assets	4,651,000	6,037,000
Prepaid expenses and other current assets	8,241,000	6,615,000
Total current assets	136,770,000	146,902,000
Property, plant and equipment, net	47,097,000	51,537,000
Long-term income taxes receivable	3,775,000	3,775,000
Long-term deferred income tax assets, net of current portion	16,199,000	16,537,000
Intangible assets, net	7,426,000	7,760,000
Goodwill	3,034,000	3,034,000
Other assets	2,015,000	1,898,000
Total assets	216,316,000	231,443,000
Current liabilities:
Notes payable and current maturities of long-term debt	11,501,000	10,548,000
Accounts payable	9,210,000	9,980,000
Accrued expenses	6,718,000	8,516,000
Accrued compensation	3,824,000	6,642,000
Total current liabilities	31,253,000	35,686,000
Long-term debt, net of current portion	10,005,000	10,804,000
Other income tax obligations	4,485,000	3,013,000
Deferred income tax liabilities	2,017,000	2,037,000
Postretirement benefit and pension obligations	41,624,000	43,589,000
Total liabilities	89,384,000	95,129,000
Stockholders' equity:
Additional paid-in capital	54,468,000	54,063,000
Retained earnings	97,689,000	95,715,000
Accumulated other comprehensive loss	-32,215,000	-20,425,000
Total stockholders' equity	126,932,000	136,314,000
Total liabilities and stockholders’ equity	216,316,000	231,443,000
Common Class A [Member]
Stockholders' equity:
Common stock	6,199,000	6,166,000
Common Class B [Member]
Stockholders' equity:
Common stock	$791,000	$795,000

Consolidated_Balance_Sheets_Cu1

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) (USD $)	Dec. 31, 2014	Jun. 30, 2014
In Thousands, except Share data, unless otherwise specified
Allowance for doubtful accounts	$766	$704
Common Class A [Member]
Common stock, par value (in dollars per share)	$1	$1
Common stock, authorized (in shares)	20,000,000	20,000,000
Common stock, outstanding (in shares)	6,198,381	6,165,838
Common Class B [Member]
Common stock, par value (in dollars per share)	$1	$1
Common stock, authorized (in shares)	10,000,000	10,000,000
Common stock, outstanding (in shares)	790,683	794,990

Consolidated_Statements_of_Ope

Consolidated Statements of Operations (Unaudited) (USD $)	3 Months Ended		6 Months Ended
Share data in Thousands, except Per Share data, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2014	Dec. 31, 2013
Net sales	$63,821,000	$61,841,000	$123,993,000	$119,328,000
Cost of goods sold	41,657,000	41,496,000	82,686,000	81,174,000
Gross margin	22,164,000	20,345,000	41,307,000	38,154,000
% of Net sales	34.70%	32.90%	33.30%	32.00%
Selling, general and administrative expenses	18,461,000	17,917,000	36,538,000	34,990,000
Operating income	3,703,000	2,428,000	4,769,000	3,164,000
Other income	620,000	513,000	1,295,000	622,000
Income before income taxes	4,323,000	2,941,000	6,064,000	3,786,000
Income tax expense	1,876,000	1,159,000	2,694,000	1,788,000
Net income	$2,447,000	$1,782,000	$3,370,000	$1,998,000
Basic and diluted income per share (in dollars per share)	$0.35	$0.26	$0.48	$0.29
Weighted average outstanding shares used in per share calculations:
Basic (in shares)	6,974	6,922	6,970	6,908
Diluted (in shares)	7,012	6,966	7,010	6,949
Dividends per share declared (in dollars per share)	$0.10	$0.10	$0.20	$0.20

Consolidated_Statements_of_Com

Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (USD $)	3 Months Ended		6 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2014	Dec. 31, 2013
Net income	$2,447,000	$1,782,000	$3,370,000	$1,998,000
Other comprehensive loss
Translation loss	-4,820,000	-2,120,000	-11,768,000	-945,000
Pension and postretirement plans, net of tax of $0,$0,$22, and $0 respectively		-15,000	-22,000	-30,000
Other comprehensive loss	-4,820,000	-2,135,000	-11,790,000	-975,000
Total comprehensive income (loss)	($2,373,000)	($353,000)	($8,420,000)	$1,023,000

Consolidated_Statements_of_Com1

Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (Parentheticals) (USD $)	3 Months Ended		6 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2014	Dec. 31, 2013
Pension and postretirement plans, tax	$0	$0	$22,000	$0

Consolidated_Statements_of_Sto

Consolidated Statements of Stockholders' Equity (Unaudited) (USD $)	Total	Accumulated Other Comprehensive Income (Loss) [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Common Class A [Member]	Common Class B [Member]	The 1984 ESOP [Member]	The 1984 ESOP [Member]	The 1984 ESOP [Member]
In Thousands, unless otherwise specified					Common Stock [Member]	Common Stock [Member]		Additional Paid-in Capital [Member]	Common Class A [Member]
									Common Stock [Member]
Balance, beginning of period at Jun. 30, 2014	$136,314	($20,425)	$54,063	$95,715	$6,166	$795
Total comprehensive income (loss)	-8,420	-11,790		3,370
Dividends ($0.20 per share)	-1,396			-1,396
Repurchase of shares	-33		-31			-2
Issuance of stock under ESOP							131	122	9
Issuance of stock under Long Term Incentive Plan	48		45		3
Issuance of stock under ESPP	125		111			14
Issuance of stock for length of service awards	76		71		5
Stock-based compensation	87		87
Conversion of common stock					16	-16
Accumulated balance consists of:
Translation loss		-30,079
Pension and postretirement plans, net of taxes		-2,136
	-32,215	-32,215
Balance, end of period at Dec. 31, 2014	$126,932	($32,215)	$54,468	$97,689	$6,199	$791

Consolidated_Statements_of_Sto1

Consolidated Statements of Stockholders' Equity (Unaudited) (Parentheticals) (USD $)	6 Months Ended
	Dec. 31, 2014
Dividends per share declared (in dollars per share)	$0.20
Retained Earnings [Member]
Dividends per share declared (in dollars per share)	$0.20

Consolidated_Statements_of_Cas

Consolidated Statements of Cash Flows (Unaudited) (USD $)	6 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Cash flows from operating activities:
Net income	$3,370,000	$1,998,000
Non-cash operating activities:
Depreciation	3,959,000	4,070,000
Amortization	634,000	578,000
Stock-based compensation	87,000	94,000
Stock based compensation length of service awards	76,000	59,000
Issuance of stock under Long Term Incentive Plan	48,000
Net long-term tax obligations	1,723,000
Deferred taxes	1,301,000	370,000
Unrealized transaction gain	-6,000	-13,000
Income on equity method investment	-116,000	-152,000
Working capital changes:
Accounts receivable	5,928,000	3,003,000
Inventories	-6,158,000	-4,159,000
Other current assets	-2,219,000	-313,000
Other current liabilities	-2,986,000	-1,133,000
Postretirement benefit and pension obligations	-866,000	925,000
Other	-761,000	-316,000
Net cash provided by operating activities	5,536,000	5,643,000
Cash flows from investing activities:
Additions to property, plant and equipment	-2,768,000	-4,277,000
Purchase of investments	-45,000	-52,000
Proceeds from sale of investments	201,000	0
Net cash used in investing activities	-2,612,000	-4,329,000
Cash flows from financing activities:
Proceeds from short-term borrowings	921,000	100,000
Short-term debt repayments		-25,000
Long-term debt repayments	-767,000	-3,268,000
Proceeds from common stock issued	256,000	270,000
Shares repurchased	-33,000
Dividends paid	-1,396,000	-1,383,000
Net cash used in financing activities	-1,019,000	-4,306,000
Effect of exchange rate changes on cash	-1,999,000	-206,000
Net decrease in cash	-94,000	-3,198,000
Cash, beginning of period	16,233,000	19,755,000
Cash, end of period	16,139,000	16,557,000
Supplemental cash flow information:
Interest paid	363,000	439,000
Income taxes paid, net	1,183,000	2,353,000
The 2013 ESOP [Member]
Supplemental disclosure of non-cash activities:
Issuance of stock under 2013 ESOP		$773,000

Note_1_Basis_of_Presentation_a

Note 1 - Basis of Presentation and Summary of Significant Accounting Policies	6 Months Ended
	Dec. 31, 2014
Notes to Financial Statements
Basis of Presentation and Significant Accounting Policies [Text Block]	Note 1:   Basis of Presentation and Summary of Significant Account Policies
	The balance sheet as of June 30, 2014, which has been derived from audited financial statements, and the unaudited interim financial statements have been prepared by The L.S. Starrett Company (the “Company”) in accordance with accounting principles generally accepted in the United States of America for interim financial reporting.  Accordingly, they do not include all of the information and notes required by generally accepted accounting principles for complete financial statements.  These unaudited financial statements, which, in the opinion of management, reflect all adjustments (including normal recurring adjustments) necessary for a fair presentation, should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended June 30, 2014.  Operating results are not necessarily indicative of the results that may be expected for any future interim period or for the entire fiscal year.
	The preparation of financial statements and related disclosures in conformity with accounting principles generally accepted in the United States of America requires management to make judgments, assumptions and estimates that affect amounts reported in the consolidated financial statements and accompanying notes.  Note 2 to the Company’s Consolidated Financial Statements included in the Annual Report on Form 10-K for the year ended June 30, 2014 describes the significant accounting policies and methods used in the preparation of the consolidated financial statements.

Note_2_Recent_Accounting_Prono

Note 2 - Recent Accounting Pronouncements	6 Months Ended
	Dec. 31, 2014
Notes to Financial Statements
New Accounting Pronouncements and Changes in Accounting Principles [Text Block]	Note 2:
	Recent A
	ccounting Pronouncements
	In May 2014, the FASB issued a new standard related to the “Revenue from Contracts with Customers” which amends the existing accounting standards for revenue recognition. The standard requires entities to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration the entity expects to be entitled to in exchange for those goods or services. This standard is applicable for fiscal years beginning after December 15, 2016 and for interim periods within those years and early adoption is not permitted. The Company expects to adopt this standard on July 1, 2017. The Company is currently evaluating the impact of the adoption of this standard on its consolidated financial statements.
	Accounting Standards Update 2013-11,
	Income Taxes: Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists
	was approved by the FASB in July 2013 and requires that companies report their tax reserves net of the impact of tax loss and credit carryforwards for years beginning after December 15, 2013. The Company has implemented this pronouncement in the first quarter of fiscal 2015 with retrospective application as permitted by the standard. Amounts presented for prior periods have been reclassified to conform. There is no effect on tax expense and net income. On the balance sheet, there is a reduction in deferred tax assets of $7.8 million and a reduction in Other Tax Obligations of $7.8M for all periods presented.

Note_3_Stockbased_Compensation

Note 3 - Stock-based Compensation	6 Months Ended
	Dec. 31, 2014
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	Note 3:  Stock-based Compensation
	On September 5, 2012, the Board of Directors adopted The
	L.S. Starrett Company 2012 Long Term Incentive Plan (the “2012 Stock Plan”). The 2012 stock plan was approved by shareholders October 17, 2012. The 2012 Stock Plan permits the granting of the following types of awards to officers, other employees and non-employee directors: stock options; restricted stock awards; unrestricted stock awards; stock appreciation rights; stock units including restricted stock units; performance awards; cash-based awards; and awards other than previously described that are convertible or otherwise based on stock. The 2012 Stock Plan provides for the issuance of up to 500,000 shares of common stock.
	Options granted vest in periods ranging from one year to three years and expire ten years after the grant date. Restricted stock units (“RSU”) granted generally vest from one year to three years. Vested restricted stock units will be settled in shares of common stock. As of December 31, 2014, there were 20,500 stock options and 42,233 restricted stock units outstanding. In addition, there were 431,800 shares available for grant under the 2012 Stock Plan as of December 31, 2014.
	For the stock option grant the fair value of each grant was estimated at the date of grant using the Binomial Options pricing model. The Binomial Options pricing model utilizes assumptions related to stock volatility, the risk-free interest rate, the dividend yield and employee exercise behavior. Expected volatilities utilized in the model are based on the historic volatility of the Company’s stock price. The risk free interest rate is derived from the U.S. Treasury Yield curve in effect at the time of the grant. The expected life is determined using the average of the vesting period and contractual term of the options (Short-cut method).
	8
	The fair value of stock options issued during the 6 months ended December 31, 2014 of $3.82 was estimated using the following assumptions:
	Risk-free interest rate	1	%
	Expected life (years)	6
	Expected stock volatility	52.3	%
	Expected dividend yield	4	%
	The weighted average contractual term for stock options outstanding as of December 31, 2014 was 8 years.  The aggregate intrinsic value of stock options outstanding as of December 31, 2014 was $0.1 million. Stock options exercisable as of December 31, 2014 were 13,667.
	The Company accounts for stock options and RSU awards by recognizing the expense of the fair value ratably over vesting periods generally ranging from one year to three years. The related expense is included in selling, general and administrative expenses.
	There were 39,500 RSU awards issued during the six months ended December 31, 2014. There were 2,733 RSUs vested during the six months ended December 31, 2014.  The aggregate intrinsic value of RSU awards outstanding as of December 31, 2014 was $0.8 million.  RSU awards granted and vested as of December 31, 2014 were 5,466.
	On February 5, 2013, the Board of Directors adopted The L.S. Starrett Company 2013 Employee Stock Ownership Plan (the “2013 ESOP”).
	The purpose of the plan is to supplement existing Company programs through an employer funded individual account plan dedicated to investment in common stock of the Company, thereby encouraging increased ownership of the Company while providing an additional source of retirement income.  The plan is intended as an employee stock ownership plan within the meaning of Section 4975 (e) (7) of the Internal Revenue Code of 1986, as amended. U.S. employees who have completed a year of service are eligible to participate.
	Compensation expense related to all stock based plans for the six month period ended December 31, 2014 and December 31, 2013 was $0.1 million and $0.1 million, respectively.  As of December 31, 2014, there was $0.7 million of total unrecognized compensation costs related to outstanding stock-based compensation arrangements. Of this cost $0.3 million
	is expected to be recognized over a weighted average period of 2.5
	years and $0.4 million relates to performance based RSU awards that are not expected to vest.

Note_4_Inventories

Note 4 - Inventories	6 Months Ended
	Dec. 31, 2014
Notes to Financial Statements
Inventory Disclosure [Text Block]	Note 4:   Inventories
	Inventories consist of the following (in thousands):
		12/31/14			6/30/14
		(Unaudited)
	Raw material and supplies	$	33,405		$	31,303
	Goods in process and finished parts		19,498			19,148
	Finished goods		40,895			42,459
			93,798			92,910
	LIFO Reserve		(27,380	)		(27,328	)
	Inventories	$	66,418		$	65,582
	LIFO inventories were $15.6
	million and $14.1 million at December 31, 2014
	and June 30, 2014, respectively, or approximately $ 27.4 million and $ 27.3 million, respectively, less than their balances accounted for on a FIFO basis.  The use of LIFO, as compared to FIFO, resulted in a $0.1 million increase in cost of sales for the six months ended December 31, 2014
	compared to a $0.4 million decrease for the six months ended December 31, 2013
	.

Note_5_Goodwill_and_Intangible

Note 5 - Goodwill and Intangible Assets	6 Months Ended
	Dec. 31, 2014
Notes to Financial Statements
Goodwill and Intangible Assets Disclosure [Text Block]	Note 5:   Goodwill and Intangible Assets
	Goodwill is measured as the excess of the cost of acquisition over the sum of the amounts assigned to identifiable tangible and intangible assets acquired less liabilities assumed. The Company’s acquisition of Bytewise in 2011 gave rise to goodwill. The Company performs an impairment assessment on an annual basis as of the end of our October month end or more frequently if circumstances warrant. For fiscal year 2015, our impairment assessment was a two-step process. The first step requires a comparison of the implied fair value of the reporting unit to its carrying value. If the carrying value of the reporting unit is higher than its fair value, there is an indication that impairment may exist and the second step of the evaluation must be performed. In the second step, the potential impairment is calculated by comparing the implied fair value of the reporting unit’s goodwill with the carrying value of the goodwill. If the carrying value of the reporting unit’s goodwill is greater than the implied fair value of its goodwill, an impairment loss will be recognized for the excess.
	9
	Determining the fair value of a reporting unit is subjective and requires the use of significant estimates and assumptions. With the assistance of an independent third-party appraisal firm, the Company estimates the fair value using an income approach based on the present value of future cash flows. The Company believes this approach yields the most appropriate evidence of fair value. The Company also utilizes the comparable company multiples method and market transaction fair value method to validate the fair value amount obtained using the income approach. The key assumptions utilized in the discounted cash flow model includes estimates of future cash flows from operating activities offset by estimated capital expenditures of the reporting unit, the estimated terminal value for the reporting unit, a discount rate based on a weighted average cost of capital, overall economic conditions, and an assessment of current market capitalization. Any unfavorable material changes to these key assumptions could potentially impact the Company’s fair value determinations.
	The fair value of the 2015 goodwill assessment exceeded the carrying amount by approximately 37.4%.
	Therefore no goodwill impairment was recorded. If future results significantly vary from current estimates, related projections, or business assumptions in the future due to changes in industry or market conditions, the Company may be required to record impairment charges.
	Amortizable intangible assets consist of the following (in thousands):
		12/31/14			6/30/14
		(Unaudited)
	Non-compete agreement	$	600		$	600
	Trademarks and trade names		1,480			1,480
	Completed technology		2,358			2,358
	Customer relationships		4,950			4,950
	Software development		1,307			1,007
	Other intangible assets		325			325
	Total		11,020			10,720
	Accumulated amortization		(3,594	)		(2,960	)
	Total net balance	$	7,426		$	7,760
	Amortizable intangible assets are being amortized on a straight-line basis over the period of expected economic benefit.
	The estimated useful lives of the intangible assets subject to amortization are 14 years for trademarks and trade names, 8 years for non-compete agreements, 10 years for completed technology, 8 years for customer relationships and 5 years for software development.
	The estimated aggregate amortization expense for the remainder of fiscal 2015 and for each of the next five years and thereafter, is as follows (in thousands):
	2015 (Remainder of year)	$	682
	2016		1,364
	2017		1,362
	2018		1,294
	2019		1,215
	2020		659
	Thereafter		850

Note_6_Pension_and_Postretirem

Note 6 - Pension and Post-retirement Benefits	6 Months Ended
	Dec. 31, 2014
Notes to Financial Statements
Pension and Other Postretirement Benefits Disclosure [Text Block]	Note 6:  Pension and Post-retirement Benefits
	Net periodic benefit costs for the Company's defined benefit pension plans consist of the following (in thousands):
		Three Months Ended						Six Months Ended
		12/31/14			12/31/13			12/31/14			12/31/13
		(Unaudited)						(Unaudited)
	Service cost	$	694		$	714		$	1,388		$	1,423
	Interest cost		1,722			1,736			3,412			3,451
	Expected return on plan assets		(1,772	)		(1,581	)		(3,512	)		(3,143	)
	Amortization of prior service cost		-			29			-			58
	Amortization of net gain		7			3			14			6
		$	651		$	901		$	1,302		$	1,795
	10
	Net periodic benefit costs for the Company's Postretirement Medical Plan consists of the following (in thousands):
		Three Months Ended						Six Months Ended
		12/31/14			12/31/13			12/31/14			12/31/13
		(Unaudited)						(Unaudited)
	Service cost	$	29		$	89		$	57		$	177
	Interest cost		61			132			122			265
	Amortization of prior service credit		(200	)		(125	)		(400	)		(251	)
		$	(110	)	$	96		$	(221	)	$	191
	The Company’s pension plans use fair value as the market-related value of plan assets and recognize net actuarial gains or losses in excess of ten percent (10%) of the greater of the market-related value of plan assets or of the plans’ projected benefit obligation in net periodic (benefit) cost as of the plan measurement date, which is the same as the fiscal year end of the Company. Net actuarial gains or losses that are less than 10% of the thresholds noted above are accounted for as part of the accumulated other comprehensive income (loss).
	Effective December 31, 2013, the Company terminated the eligibility of employees ages 55 -64 years old to enter into the Postretirement Medical Plan.

Note_7_Debt

Note 7 - Debt	6 Months Ended
	Dec. 31, 2014
Notes to Financial Statements
Debt Disclosure [Text Block]	Note 7:   Debt
	Debt, including capitalized lease obligations, is comprised of the following (in thousands):
		12/31/14		6/30/14
		(Unaudited)
	Notes payable and current maturities of long term debt
	Loan and Security Agreement	$	11,342	$	10,410
	Capitalized leases		159		138
			11,501		10,548
	Long-term debt
	Loan and Security Agreement		9,997		10,726
	Capitalized leases		8		78
			10,005		10,804
		$	21,506	$	21,352
	The Company executed an amendment to its Loan and Security Agreement (Line of Credit) as of April 25, 2012.  The Line of Credit is effective for three years commencing April 25, 2012 and was due to expire on April 30, 2015.  The agreement continued the previous line of $23.0 million, of which $12.2 million is available as of December 31, 2014, with an interest rate of LIBOR plus 1.5%.
	As of December 31, 2014 the material financial covenants of the amended Loan and Security Agreement were: 1) funded debt to EBITDA, excluding non-cash and retirement benefit expenses (“maximum leverage”), not to exceed 2.25 to 1, 2) annual capital expenditures not to exceed $15.0 million, 3) maintain a Debt Service Coverage Rate of a minimum of 1.25 to 1 and 4) maintain consolidated cash plus liquid investments of not less than $10.0 million at any time.
	11
	The Company was in compliance with all debt covenants as of December 31, 2014.
	The effective interest rate on the Line of Credit under the Loan and Security Agreement for the six months ended December 31, 2014 and 2013 was 2.0% and 2.0%, respectively.
	On January 26, 2015 the Line of Credit was amended based on the current debt limits and financial covenants and will expire on April 30, 2018.
	On November 22, 2011, in conjunction with the Bytewise acquisition, the Company entered into a $15.5 million term loan (the “Term Loan”) under the existing Loan and Security Agreement with TD Bank N.A.  The term loan is a ten year loan bearing a fixed interest rate of 4.5% and is payable in fixed monthly payments of principal and interest of $160,640.  The term loan, which had a balance of $11.4 million at December 31, 2014, is subject to the same financial covenants as the Loan and Security Agreement.

Note_8_Income_Taxes

Note 8 - Income Taxes	6 Months Ended
	Dec. 31, 2014
Notes to Financial Statements
Income Tax Disclosure [Text Block]	Note 8:   Income Taxes
	The Company is subject to U.S. federal income taxes and various state, local and foreign income taxes in numerous jurisdictions.  The Company’s domestic and foreign tax liabilities are subject to the allocation of revenues and expenses in different jurisdictions and the timing of recognizing revenues and expenses.  Additionally, the amount of income taxes paid is subject to the Company’s interpretation of applicable tax laws in the jurisdictions in which it files.
	The Company provides for income taxes on an interim basis based on an estimate of the effective tax rate for the year. This estimate is reassessed on a quarterly basis. Discrete tax items are accounted for in the quarterly period in which they occur.
	The effective tax rate for the second quarter of fiscal 2015 was 43.4%. The effective tax rate for the second quarter of fiscal 2014 was 39.4%. For the first half of fiscal 2015, the effective tax rate was 44.4% and for the first half of fiscal 2014, it was 47.2%. The tax rate is higher than the U.S. federal and state statutory rate in part due to losses in some foreign jurisdictions for which no tax benefit is recognized. In the first half of fiscal 2015, there was a discrete reduction to tax expense of $108,000 related to use of tax loss carryforwards and the reduction of the tax liability for audits related to the expiration of the statute of limitations; $33,000 of this was recorded in the second quarter. In the first half of fiscal 2014 there was a discrete tax expense of $278,000 for the effect of a tax rate change in the UK applied to the net deferred tax assets in that jurisdiction.
	U.S. Federal tax returns through fiscal 2010 are generally no longer subject to review by tax authorities; however, tax loss carryforwards from years before fiscal 2011 are still subject to adjustment. As of December 31, 2014, the Company has substantially resolved all open income tax audits and there were no other local or federal income tax audits in progress. In international jurisdictions including Australia, Brazil, Canada, China, Germany, Mexico, New Zealand, Singapore and the UK, which comprise a significant portion of the Company’s operations, the years that may be examined vary by country. The Company’s most significant foreign subsidiary in Brazil is subject to audit for the years 2009 – 2014. The Company has identified no new uncertain tax positions during the six month period ended December 31, 2014 for which it is currently likely that the total amount of unrecognized tax benefits will significantly increase or decrease within the next twelve months.
	Accounting for income taxes requires estimates of future benefits and tax liabilities. Due to the temporary differences in the timing of recognition of items included in income for accounting and tax purposes, deferred tax assets or liabilities are recorded to reflect the impact arising from these differences on future tax payments. With respect to recorded deferred tax assets, the Company assesses the likelihood that the asset will be realized by addressing the positive and negative evidence to determine whether realization is more likely than not to occur. If realization is in doubt because of uncertainty regarding future profitability, the Company provides a valuation allowance related to the asset to the extent that it is more likely than not that the deferred tax asset will not be realized. Should any significant changes in the tax law or the estimate of the necessary valuation allowance occur, the Company would record the impact of the change, which could have a material effect on the Company’s financial position.
	No valuation allowance has been recorded for the Company’s domestic federal net operating loss (NOL) carry forwards. The Company continues to believe that due to forecasted future taxable income and certain tax planning strategies available, it is more likely than not that it will be able to utilize the U.S. federal NOL carryforwards. In certain other countries where Company operations are in a loss position, the deferred tax assets for tax loss carryforwards and other temporary differences are fully offset by a valuation allowance.

Note_9_Contingencies

Note 9 - Contingencies	6 Months Ended
	Dec. 31, 2014
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	Note 9:  Contingencies
	The Company is involved in certain legal matters which arise in the normal course of business. These matters are not expected to have a material impact on the Company’s financial condition, results of operations or cash flows.

Note_3_Stockbased_Compensation1

Note 3 - Stock-based Compensation (Tables)	6 Months Ended
	Dec. 31, 2014
Notes Tables
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	Risk-free interest rate	1	%
	Expected life (years)	6
	Expected stock volatility	52.3	%
	Expected dividend yield	4	%

Note_4_Inventories_Tables

Note 4 - Inventories (Tables)	6 Months Ended
	Dec. 31, 2014
Notes Tables
Schedule of Inventory, Current [Table Text Block]		12/31/14			6/30/14
		(Unaudited)
	Raw material and supplies	$	33,405		$	31,303
	Goods in process and finished parts		19,498			19,148
	Finished goods		40,895			42,459
			93,798			92,910
	LIFO Reserve		(27,380	)		(27,328	)
	Inventories	$	66,418		$	65,582

Note_5_Goodwill_and_Intangible1

Note 5 - Goodwill and Intangible Assets (Tables)	6 Months Ended
	Dec. 31, 2014
Notes Tables
Schedule of Finite-Lived Intangible Assets [Table Text Block]		12/31/14			6/30/14
		(Unaudited)
	Non-compete agreement	$	600		$	600
	Trademarks and trade names		1,480			1,480
	Completed technology		2,358			2,358
	Customer relationships		4,950			4,950
	Software development		1,307			1,007
	Other intangible assets		325			325
	Total		11,020			10,720
	Accumulated amortization		(3,594	)		(2,960	)
	Total net balance	$	7,426		$	7,760
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]	2015 (Remainder of year)	$	682
	2016		1,364
	2017		1,362
	2018		1,294
	2019		1,215
	2020		659
	Thereafter		850

Note_6_Pension_and_Postretirem1

Note 6 - Pension and Post-retirement Benefits (Tables)	6 Months Ended
	Dec. 31, 2014
Notes Tables
Schedule of Net Benefit Costs [Table Text Block]		Three Months Ended						Six Months Ended
		12/31/14			12/31/13			12/31/14			12/31/13
		(Unaudited)						(Unaudited)
	Service cost	$	694		$	714		$	1,388		$	1,423
	Interest cost		1,722			1,736			3,412			3,451
	Expected return on plan assets		(1,772	)		(1,581	)		(3,512	)		(3,143	)
	Amortization of prior service cost		-			29			-			58
	Amortization of net gain		7			3			14			6
		$	651		$	901		$	1,302		$	1,795
Post Retirement Medical and Life Insurance Plan [Member]
Notes Tables
Schedule of Net Benefit Costs [Table Text Block]		Three Months Ended						Six Months Ended
		12/31/14			12/31/13			12/31/14			12/31/13
		(Unaudited)						(Unaudited)
	Service cost	$	29		$	89		$	57		$	177
	Interest cost		61			132			122			265
	Amortization of prior service credit		(200	)		(125	)		(400	)		(251	)
		$	(110	)	$	96		$	(221	)	$	191

Note_7_Debt_Tables

Note 7 - Debt (Tables)	6 Months Ended
	Dec. 31, 2014
Notes Tables
Schedule of Debt [Table Text Block]		12/31/14		6/30/14
		(Unaudited)
	Notes payable and current maturities of long term debt
	Loan and Security Agreement	$	11,342	$	10,410
	Capitalized leases		159		138
			11,501		10,548
	Long-term debt
	Loan and Security Agreement		9,997		10,726
	Capitalized leases		8		78
			10,005		10,804
		$	21,506	$	21,352

Note_2_Recent_Accounting_Prono1

Note 2 - Recent Accounting Pronouncements (Details Textual) (USD $)	6 Months Ended
In Millions, unless otherwise specified	Dec. 31, 2014
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Decrease in Long-term Tax Liabilities Resulting from Adoption of New Accounting Pronouncements	$7.80
Decrease in Long-term Deferred Tax Asset resulting from Adoption of New Accounting Pronouncements	$7.80

Note_3_Stockbased_Compensation2

Note 3 - Stock-based Compensation (Details Textual) (USD $)	6 Months Ended
In Millions, except Share data, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Share-based Compensation [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	500,000
Allocated Share-based Compensation Expense	$0.10	$0.10
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	0.7
Employee Stock Option [Member] | The 2012 Stock Incentive Plan [Member]
Share-based Compensation [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period	10 years
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number	20,500
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant	431,800
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value	$3.82
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value	0.1
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Number	13,667
Employee Stock Option [Member] | The 2012 Stock Incentive Plan [Member] | Maximum [Member]
Share-based Compensation [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	3 years
Employee Stock Option [Member] | The 2012 Stock Incentive Plan [Member] | Minimum [Member]
Share-based Compensation [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	1 year
Performance Shares [Member]
Share-based Compensation [Abstract]
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	0.4
Restricted Stock [Member] | The 2012 Stock Incentive Plan [Member]
Share-based Compensation [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number	42,233
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term	8 years
Restricted Stock Units (RSUs) [Member] | The 2012 Stock Incentive Plan [Member]
Share-based Compensation [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	39,500
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period	2,733
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Aggregate Intrinsic Value	0.8
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number	5,466
Restricted Stock Units (RSUs) [Member] | The 2012 Stock Incentive Plan [Member] | Maximum [Member]
Share-based Compensation [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	3 years
Restricted Stock Units (RSUs) [Member] | The 2012 Stock Incentive Plan [Member] | Minimum [Member]
Share-based Compensation [Abstract]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	1 year
Expected to be Recognized [Member]
Share-based Compensation [Abstract]
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	2 years 182 days
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	$0.30

Recovered_Sheet1

Note 3 - Stock-Based Compensation - Weighted Average Assumptions (Details) (The 2012 Stock Incentive Plan [Member])	6 Months Ended
	Dec. 31, 2014
	Rate
The 2012 Stock Incentive Plan [Member]
Risk-free interest rate	1.00%
Expected life (years)	6 years
Expected stock volatility	52.30%
Expected dividend yield	4.00%

Note_4_Inventories_Details_Tex

Note 4 - Inventories (Details Textual) (USD $)	6 Months Ended
In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Jun. 30, 2014
Inventory Disclosure [Abstract]
LIFO Inventory Amount	$15.60		$14.10
Inventory Difference Using FIFO Basis	27.4		27.3
Cost of Sales [Member]
Inventory Disclosure [Abstract]
Inventory, LIFO Reserve, Effect on Income, Net	$0.10	($0.40)

Note_4_Inventories_Inventory_D

Note 4 - Inventories - Inventory (Details) (USD $)	Dec. 31, 2014	Jun. 30, 2014
In Thousands, unless otherwise specified
Raw material and supplies	$33,405	$31,303
Goods in process and finished parts	19,498	19,148
Finished goods	40,895	42,459
	93,798	92,910
LIFO Reserve	-27,380	-27,328
Inventories, net	$66,418	$65,582

Note_5_Goodwill_and_Intangible2

Note 5 - Goodwill and Intangible Assets (Details Textual) (USD $)	6 Months Ended
	Dec. 31, 2014
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill, Impairment Loss	$0
Reporting Unit, Percentage of Fair Value in Excess of Carrying Amount	37.40%
Customer Relationships [Member]
Goodwill and Intangible Assets Disclosure [Abstract]
Finite-Lived Intangible Asset, Useful Life	8 years
Noncompete Agreements [Member]
Goodwill and Intangible Assets Disclosure [Abstract]
Finite-Lived Intangible Asset, Useful Life	8 years
Trademarks and Trade Names [Member]
Goodwill and Intangible Assets Disclosure [Abstract]
Finite-Lived Intangible Asset, Useful Life	14 years
Completed Technology [Member]
Goodwill and Intangible Assets Disclosure [Abstract]
Finite-Lived Intangible Asset, Useful Life	10 years
Software Developement [Member]
Goodwill and Intangible Assets Disclosure [Abstract]
Finite-Lived Intangible Asset, Useful Life	5 years

Note_5_Goodwill_and_Intangible3

Note 5 - Goodwill and Intangible Assets - Finite-lived Intangible Assets (Details) (USD $)	Dec. 31, 2014	Jun. 30, 2014
In Thousands, unless otherwise specified
Non-compete agreement	$11,020	$10,720
Accumulated amortization	-3,594	-2,960
Total net balance	7,426	7,760
Customer Relationships [Member]
Non-compete agreement	4,950	4,950
Noncompete Agreements [Member]
Non-compete agreement	600	600
Other Intangible Assets [Member]
Non-compete agreement	325	325
Trademarks and Trade Names [Member]
Non-compete agreement	1,480	1,480
Completed Technology [Member]
Non-compete agreement	2,358	2,358
Software Developement [Member]
Non-compete agreement	$1,307	$1,007

Note_5_Goodwill_and_Intangible4

Note 5 - Goodwill and Intangible Assets - Estimated Aggregate Amortization Expense (Details) (USD $)	Dec. 31, 2014
In Thousands, unless otherwise specified
2015 (Remainder of year)	$682
2016	1,364
2017	1,362
2018	1,294
2019	1,215
2020	659
Thereafter	$850

Recovered_Sheet2

Note 6 - Pension and Post-Retirement Benefits - Net Periodic Costs (Details) (Pension Plan [Member], USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2014	Dec. 31, 2013
Pension Plan [Member]
Service cost	$694	$714	$1,388	$1,423
Interest cost	1,722	1,736	3,412	3,451
Expected return on plan assets	-1,772	-1,581	-3,512	-3,143
Amortization of prior service cost		29		58
Amortization of net gain	-7	-3	-14	-6
	$651	$901	$1,302	$1,795

Note_6_Net_Periodic_Benefit_Co

Note 6 - Net Periodic Benefit Costs for Postretirement Medical Plan (Details) (Post Retirement Medical and Life Insurance Plan [Member], USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2014	Dec. 31, 2013
Post Retirement Medical and Life Insurance Plan [Member]
Service cost	$29	$89	$57	$177
Interest cost	61	132	122	265
Amortization of prior service credit	200	125	400	251
	($110)	$96	($221)	$191

Note_7_Debt_Details_Textual

Note 7 - Debt (Details Textual) (USD $)	6 Months Ended		1 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Nov. 22, 2011
	Rate	Rate	Rate
Debt Disclosure [Abstract]
Line of Credit Facility, Maximum Borrowing Capacity	$23,000,000
Line of Credit Facility, Remaining Borrowing Capacity	12,200,000
Minimum Consolidated Cash and Liquid Investments Pursuant to New Loan and Security Agreement	10,000,000
Line of Credit Facility, Interest Rate During Period	2.00%	2.00%
London Interbank Offered Rate (LIBOR) [Member]
Debt Disclosure [Abstract]
Debt Instrument, Basis Spread on Variable Rate	1.50%
Maximum [Member]
Debt Disclosure [Abstract]
Annual Capital Expenditures	15,000,000
Minimum [Member]
Debt Disclosure [Abstract]
Debt Service Coverage Rate	1.25
Term Loan [Member]
Debt Disclosure [Abstract]
Debt Instrument, Face Amount			15,500,000
Debt Instrument, Term			10 years
Debt Instrument, Interest Rate, Stated Percentage			4.50%
Line of Credit Facility, Periodic Payment			160,640
Loans Payable to Bank	$11,400,000
Amended Agreement [Member] | Maximum [Member]
Debt Disclosure [Abstract]
Current Funded Debt to EBITDA Ratio	2.25

Note_7_Debt_Debt_Schedule_Deta

Note 7 - Debt - Debt Schedule (Details) (USD $)	Dec. 31, 2014	Jun. 30, 2014
In Thousands, unless otherwise specified
Notes payable and current maturities of long term debt
Loan and Security Agreement	$11,342	$10,410
Capitalized leases	159	138
	11,501	10,548
Long-term debt
Loan and Security Agreement	9,997	10,726
Capitalized leases	8	78
	10,005	10,804
	$21,506	$21,352

Note_8_Income_Taxes_Details_Te

Note 8 - Income Taxes (Details Textual) (USD $)	3 Months Ended		6 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2014	Dec. 31, 2013
Income Tax Disclosure [Abstract]
Effective Income Tax Rate Reconciliation, Percent	43.40%	39.40%	44.40%	47.20%
Other Tax Expense (Benefit)	($33,000)		($108,000)
Her Majesty's Revenue and Customs (HMRC) [Member]
Income Tax Disclosure [Abstract]
Effective Income Tax Rate Reconciliation, Change in Enacted Tax Rate, Amount				278,000