10.	Subsequent Event.

The Company finances a substantial portion of its working capital requirements with borrowings under a long-term revolving bank line of credit, which is governed by that certain Third Amended and Restated Loan and Security Agreement, as amended (the “Credit Line Agreement”) entered into by the Company with Bank of America N. A., as lender (the “Bank”). The maturity date of the revolving line of credit is July 10, 2017.

Effective November 13, 2014, the Company and the Bank entered into the 19th Amendment to the Credit Line Agreement (the “19th Amendment”), primarily to enable the Company to finance increases in its inventories during calendar 2015. Accordingly, that Amendment increases the maximum borrowings that will be available to the Company under the line of credit to amounts up to: (i) $27 million during the months of February and July 2015, (ii) $30 million during the months of March, April and May 2015; and (iii) $29 million during the month of June 2015; but in no event more than the sum of between 50% and 55% of the value of the Company’s eligible inventories plus 85% of the value of its eligible accounts receivable. On the other hand, the maximum amount of borrowings that will be available under the credit line for the months of January, August, September, October, November and December 2015 will remain unchanged at $25 million, when, due to the seasonality of our business, customer orders usually decline. The Bank has the right to increase or decrease these amounts, but only in the exercise in good faith of its reasonable business judgment.

The Credit Line Agreement, as amended, requires us to achieve a fixed charge coverage ratio of at least 1.10 to 1.0 for successive rolling 12 month periods ending on the last day of each fiscal quarter. The next compliance date for the fixed this covenant, which was to have been September 30, 2014, was extended to March 31, 2015 by the 19th Amendment. As a result, the Company was in compliance with all of its covenants under the Credit Line Agreement as of September 30, 2014. The 19th Amendment also added another financial covenant which will require the Company to achieve earnings before interest, taxes, depreciation and amortization (commonly referred to as “EBITDA”) of at least $800,000 for the 12 months ending December 31, 2014.

The foregoing is a summary of the 19th Amendment. It is not intended to be complete and is qualified in its entirety by reference to that Amendment, a copy of which is attached as Exhibit 10.99 to this Report.