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Balance Sheets - USD ($)
 12 Months Ended
Dec. 28, 2019
Dec. 29, 2018
Current assets:    
Cash and cash equivalents $ 133,965 $ 628,804
Accounts receivable-trade, net 4,086,945 3,053,091
Inventories 3,099,824 3,192,933
Prepaid expenses and other current assets 147,786 156,338
Total current assets 7,468,520 7,031,166
Property and equipment:    
Production equipment 9,649,169 9,550,043
Furniture and office equipment 508,423 519,779
Leasehold improvements 934,195 891,817
Total cost 11,091,787 10,961,639
Accumulated depreciation and amortization (10,110,663) (9,722,767)
Construction in progress 255,754 34,314
Net property and equipment 1,236,878 1,273,186
Right-of-use lease asset (note 4, leases) 171,000
Deferred taxes, net 147,873 186,747
Total assets 9,024,271 8,491,099
Current liabilities:    
Borrowings against line of credit 1,249,588
Accounts payable 1,436,417 1,680,263
Accrued expenses 815,166 975,315
Deferred revenue 21,110
Current portion lease liability 148,000
Total current liabilities 3,670,281 2,655,578
Long term lease liability 23,000
Total liabilities $ 3,693,281 2,655,578
Commitments & Contingencies

(4) Leases

The Company has two real estate leases—one expiring in February 2021 and one with a 12 month duration with options to extend additional years. Since the latter is not reasonably certain that any options will be exercised, it has not been recorded on the balance sheet in accordance with the accounting policy elected in Note 2.  CPS also has a few other leases for equipment which are minor in nature and are generally short-term in duration. None of these have been capitalized.

The lease expiring in 2021 (the “Norton facility lease’) is included as a right-of-use lease asset and corresponding lease liability on the balance sheet. This asset and liability was recognized on December 30, 2018 based on the present value of remaining lease payments over the remaining lease term using the Company’s incremental borrowing rate at date of adoption. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants.

The Norton facility lease comprises approximately 38 thousand square feet. The lease is a triple net lease wherein the Company is responsible for payment of all real estate taxes, operating costs and utilities. The Company also has an option to buy the property and a first right of refusal during the term of the lease. Annual rental payments are $152 thousand through maturity.

The following table presents information about the amount, timing and uncertainty of cash flows arising from the Company’s capitalized operating leases as of December 28, 2019

(Dollars in Thousands)    December 28, 2019  
Maturity of capitalized lease liabilities    Lease payments  
2020   152 
2021   26 
Total undiscounted operating lease payments  $178 
Less: Imputed interest   (7)
Present value of operating lease liability  $171 

 

Balance Sheet Classification     
Current lease liability  $148 
Long-term lease liability   23 
Total operating lease liability  $171 
Other Information     
Weighted-average remaining lease term for capitalized operating leases   14 months 
Weighted-average discount rate for capitalized operating leases   6.5%
      

 

Cash Flows

An initial right-of-use asset of $310 thousand was recognized as a non-cash asset addition with the adoption of the new lease accounting standard on December 30, 2018. Cash paid for the amounts included in the present value of operating lease liabilities was $152 thousand during 2019 and is included in operating cash flows.

 

Operating Lease Costs

Operating lease cost was $152 thousand during 2019. This cost is related to its long-term operating lease. All other short-term leases were immaterial.

 

Finance Leases

The company does not have any finance leases.

  
Stockholders’ Equity:    
Common stock, $0.01 par value, authorized 20,000,000 shares; issued 13,427,492 and 13,425,992 shares; outstanding 13,207,436 and 13,205,936; at December 28, 2019 and December 29, 2018, respectively $ 134,275 134,260
Additional paid-in capital 36,094,201 35,960,545
Accumulated deficit (30,380,433) (29,742,231)
Less cost of 220,056 common shares repurchased at December 28, 2019 and December 29, 2018 (517,053) (517,053)
Total stockholders’ equity 5,365,990 5,835,521
Total liabilities and stockholders’ equity $ 9,024,271 $ 8,491,099