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Controlling Shareholder
12 Months Ended
Sep. 30, 2011
Controlling Shareholder [Abstract]  
Controlling Shareholder

3. CONTROLLING SHAREHOLDER

 

On April 30, 2010, we prepaid $15,000 of the original $25,000 principal outstanding on the Tontine Term Loan. and $10,000 remains outstanding on the Tontine Term Loan.

 

Although Tontine has not indicated any plans to alter its ownership level, should Tontine reconsider its investment plans and sell its controlling interest in the Company, a change in ownership would occur. A change in ownership, as defined by Internal Revenue Code Section 382, could reduce the availability of net operating losses for federal and state income tax purposes. Furthermore, a change in control would trigger the change of control provisions in a number of our material agreements, including our $40,000 Revolving Credit Facility, bonding agreements with our sureties and certain employment contracts with certain officers and employees of the Company.