Discontinued Operations

6 Months Ended

Jun. 30, 2012

Discontinued Operations [Abstract]

DISCONTINUED OPERATIONS

10. DISCONTINUED OPERATIONS

On June 4, 2012, the Company sold substantially all of the assets and liabilities of its railway securement business, Shipping Systems Division, for $8,579,000 to Holland, L.P., resulting in a pre-tax gain of approximately $3,508,000. The operations of the division qualify as a "component of an entity" under FASB ASC 205-20, "Presentation of Financial Statements – Discontinued Operations" and thus, the operations have been reclassified as discontinued and prior periods have been reclassified to conform with this presentation. Future expenses are not expected to be material.

Net sales and income, including the pre-tax gain of $3,508,000, from discontinued operations were as follows:

	Three Months Ended		Six Months Ended
	June 30,		June 30,
	2012	2011	2012	2011
	In thousands
Net sales	$1,544	$2,191	$4,108	$3,949
Income from discontinued operations	3,320	302	3,608	434
Income tax expense	2,217	106	2,325	153
Income from discontinued operations	$1,103	$196	$1,283	$281

The effective tax rates in the current periods were significantly impacted by $2,588,000 of goodwill allocated to discontinued operations which was not deductible for income tax purposes.

The following table details balance sheet information for discontinued operations:

		June 30,	December 31,
		2012	2011
		In thousands
Current Assets		$138	$2,545
Other Assets
	Property, plant and equipment-net	0	127
	Goodwill	0	2,588
	Other intangibles – net	0	177
	Total Other Assets	0	2,892
Total Assets		138	5,437
Current Liabilities		121	862
Net assets of discontinued operations		$17	$4,575