Property, Plant & Equipment

6 Months Ended

Jun. 30, 2019

Property, Plant and Equipment [Abstract]

PROPERTY, PLANT & EQUIPMENT

4. PROPERTY, PLANT & EQUIPMENT

The Company’s property, plant and equipment at June 30, 2019 and December 31, 2018 consisted of the following:

	Estimated Useful Life	June 30, 2019			December 31, 2018
Land		$	278,325		$	278,325
Building and Improvements	30 years		9,565,791			9,548,922
Manufacturing and warehouse equipment	6-20 years		11,085,125			10,736,161
Office equipment and furniture	3-5 years		1,804,159			1,838,360
Leasehold improvements	10-15 years		577,068			577,068
Finance leases – right to use	5 years		45,951			-
Vehicles	3 years		10,020			10,020
Construction in process			87,871			80,682
Property, plant and equipment, gross			23,454,310			23,069,538
Less accumulated depreciation			(13,866,474	)		(13,420,301	)
Property, plant and equipment, net		$	9,587,836		$	9,649,237

The Company is engaged in a project involving the expansion of the manufacturing, warehouse and distribution facilities of the Company’s wholly-owned subsidiary, KINPAK Inc. (“Kinpak”) in Montgomery, Alabama, as well as the purchase and installation of associated machinery and equipment (the “Expansion Project”). As of June 30, 2019, the remaining work on the Expansion Project involves the purchase and installation of additional equipment. At June 30, 2019, the Company’s expenditures on the Expansion Project aggregated approximately $6.1 million. The total cost of the Expansion Project is estimated to be approximately $6.7 million. Construction in progress at June 30, 2019 and December 31, 2018 includes $43,201 and $46,996, respectively, relating to the expansion of Kinpak’s manufacturing, warehouse and distribution facilities.