Note H – Intangibles

Patents are recorded at cost and are amortized using the straight-line method over the lives of the patents. Technology and licenses are recorded at cost and are generally amortized on a straight-line basis over periods ranging from 5 to 17 years. Non-compete agreements and customer relationships are being amortized using the straight-line method over a period of 5 years. Trademarks are not amortized as their lives are deemed to be indefinite.

The gross carrying amount and accumulated amortization of amortizable intangible assets:

	Industrial Hardware Segment		Security Products Segment		Metal Products Segment		Total		Weighted-Average Amortization Period (Years)
2012 Gross Amount:
Patents and developed technology	$	2,756,757	$	1,026,011	$	5,839	$	3,788,607		15.8
Customer relationships		45,825		—		—		45,825		5.0
Non-compete agreements		30,000		—		—		30,000		5.0
Total Gross Intangibles	$	2,832,582	$	1,026,011	$	5,839	$	3,864,432		15.6

2012 Accumulated Amortization:
Patents and developed technology	$	1,642,935	$	455,420	$	5,581	$	2,103,936
Customer relationships		43,534		—		—		43,534
Non-compete agreements		28,500		—		—		28,500
Total Gross Amortization	$	1,714,969	$	455,420	$	5,581	$	2,175,970

Net September 29, 2012 per Balance Sheet	$	1,117,613	$	570,591	$	258	$	1,688,462

	Industrial Hardware Segment		Security Products Segment		Metal Products Segment		Total		Weighted-Average Amortization Period (Years)
2011 Gross Amount:
Patents and developed technology	$	2,714,900	$	1,062,652	$	5,839	$	3,783,391		15.5
Customer relationships		45,825		1,921,811		—		1,967,636		5.0
Non-compete agreements		30,000		90,735		—		120,735		5.0
Total Gross Intangibles	$	2,790,725	$	3,075,198	$	5,839	$	5,871,762		11.7

2011 Accumulated Amortization:
Patents and developed technology	$	1,528,007	$	495,218	$	5,323	$	2,028,548
Customer relationships		36,660		1,921,811		—		1,958,471
Non-compete agreements		24,000		90,735		—		114,735
Total Gross Amortization	$	1,588,667	$	2,507,764	$	5,323	$	4,101,754

Net December 31, 2011 per Balance Sheet	$	1,202,058	$	567,434	$	516	$	1,770,008