Subsequent Events

3 Months Ended

Mar. 31, 2016

Subsequent Events [Abstract]

Subsequent Events

Subsequent Events

On April 12, 2016, the Company announced that it had entered into an asset purchase agreement (the “Asset Purchase Agreement”) to sell its assets and certain of its liabilities, comprising the Company’s microelectronics product line, to Data Device Corporation, a privately-held Delaware corporation. The transaction contemplated by the Asset Purchase Agreement (the “Transaction”) was completed on April 27, 2016. The Transaction purchase price was $21.0 million, subject to a working capital adjustment and a $1.5 million escrow holdback on the purchase price. In the second quarter of 2016, upon completion of the sale, the Company expects to record a gain of approximately $7 million.

In connection with the Transaction, on April 12, 2016, the Company also entered into a first amendment (the “First Amendment”) to the Loan Agreement, to align certain financial covenants with the Company’s remaining business following the Transaction. Among other things, the First Amendment amended certain financial covenants, including decreasing minimum EBITDA requirements for the period of September 30, 2016 through June 30, 2017 and increasing minimum consolidated cash requirements beginning with the fiscal quarter ending September 30, 2016.