Accrued Expenses and Other Liabilities

12 Months Ended

Jan. 31, 2012

Accounts Payable and Accrued Liabilities [Abstract]

Accounts Payable and Accrued Liabilities Disclosure [Text Block]

8. Accrued Expenses and Other Liabilities

Accrued expenses and other liabilities at January 31, 2012 and 2011 consisted of the following:

	2012		2011
Environmental liability (see Note 13)	$	788,000	$	808,000
Contract loss provision		1,086,000		1,500,000
Warranty liability		226,000		144,000
Product development programs		-		-
Other		398,000		456,000
Accrued expenses and other liabilities	$	2,498,000	$	2,908,000

Contract Loss Provision

As of January 31, 2012 and January 31, 2011, the Company recognized contract loss provisions of $1,086,000 and $1,500,000, respectively, associated with several customer funded fixed price development contracts. As of January 31, 2012, remaining revenues associated to one uncompleted project is fixed at $308,000. As of January 31, 2012, the Company estimates total costs of the uncompleted project to approximate $1,394,000.

Warranty Liability

The Company has established a liability for warranty claims based on historical experience, which has not been significant. The Company’s warranty activity for the years ended January 31, 2012 and 2011 was as follows:

	2012			2011
Beginning balance	$	144,000		$	167,000
Cost incurred		(162,000	)		(46,000	)
Provision for warranty cost		244,000			23,000
Ending balance	$	226,000		$	144,000