Related Party Transactions

9 Months Ended

Sep. 30, 2011

Related Party Transactions [Abstract]

Related Party Transactions Disclosure [Text Block]

Note 8 - Related Party Transactions

Stephen M. Merrick, Executive Vice President, Secretary and a Director of the Company, is of counsel to the law firm of Vanasco Genelly and Miller PC which provides legal services to the Company. Legal fees paid by the Company with this firm for the three months ended September 30, 2011 and 2010, respectively, were $14,000 and $28,000.  Legal fees paid by the Company with this firm for the nine months ended September 30, 2011 and 2010, respectively, were $100,000 and $112,000.

John H. Schwan, Chairman of the Company, is a principal of Shamrock Specialty Packaging and affiliated companies.  The Company made payments for packaging materials, rent and temporary employees supplied by Shamrock of approximately $643,000 during the three months ended September 30, 2011 and $598,000 during the three months ended September 30, 2010.  The Company made payments for packaging materials, rent and temporary employees supplied by Shamrock of approximately $1,694,000 during the nine months ended September 30, 2011 and $1,586,000 during the nine months ended September 30, 2010.  At September 30, 2011 and 2010, outstanding accounts payable balances were $330,000 and $301,000, respectively.

Interest payments have been made to John H. Schwan and Stephen M. Merrick for loans made to the Company.  During the three months ended September 30, 2011 these interest payments totaled $25,000 and $1,000, respectively.  For the three months ended September 30, 2010 these interest payments totaled $33,000 and $9,000, respectively.  During the nine months ended September 30, 2011 these interest payments totaled $79,000 and $7,000, respectively.  During the nine months ended September 30, 2010 these interest payments totaled $113,000 and $41,000, respectively.

On July 1, 2011, Flexo Universal, S.A. de C.V. (“Flexo”) entered into a lease agreement with Venture Leasing S.A. de R.L. (“Venture Leasing Mexico”) for the lease of balloon production equipment financed and owned by Venture Leasing Mexico and used by Flexo for the production of latex balloons.  Venture Leasing Mexico is wholly owned by entities owned by John H. Schwan, Chairman of the Company and Stephen M. Merrick, Chief Financial Officer of the Company.  Venture Leasing Mexico and Venture Leasing L.L.C., also owned by entities owned by Mr. Schwan and Mr. Merrick are deemed variable interest entities and are consolidated with the accounts of the Company. During the three months ended September 30, 2011, Flexo made lease payments to Venture Leasing Mexico totaling $39,000.