COMMITMENTS AND CONTINGENCIES

12 Months Ended

Oct. 31, 2013

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies Disclosure [Text Block]

COMMITMENTS AND CONTINGENCIES

Lease Commitments

The Company leases certain property and equipment, including manufacturing facilities and office equipment under operating leases.  Some of these leases provide the Company with the option after the initial lease term either to purchase the property at the then fair market value or renew the lease at the then fair rental value.  Generally, management expects that leases will be renewed or replaced by other leases in the normal course of business.

Future minimum payments under non-cancelable operating leases for the next five fiscal years and thereafter are estimated to be as follows (in thousands):

Year ending October 31,
2014		$9,581
2015	9,182
2016	8,152
2017	6,102
2018	2,839
Thereafter	5,240
Total minimum lease commitments		$41,096

Total rent expense charged to operations for operating leases in fiscal 2013, 2012 and 2011 amounted to $9.8 million, $7.9 million and $7.6 million, respectively.

Guarantees

The Company has arranged for a standby letter of credit in the amount of $1.5 million to meet the security requirement of its insurance company for potential workers’ compensation claims, which is supported by the Company’s revolving credit facility.

Product Warranty

Changes in the Company’s product warranty liability in fiscal 2013 and 2012 are as follows (in thousands):

	Year ended October 31,
	2013			2012
Balances as of beginning of year		$2,571			$2,231
Accruals for warranties	1,308			1,621
Acquired warranty liabilities	556			18
Warranty claims settled	(1,202		)	(1,299		)
Balances as of end of year		$3,233			$2,571

Litigation

The Company is involved in various legal actions arising in the normal course of business.  Based upon the Company’s and its legal counsel’s evaluations of any claims or assessments, management is of the opinion that the outcome of these matters will not have a material adverse effect on the Company’s results of operations, financial position or cash flows.