Business Segments

3 Months Ended

Mar. 31, 2014

Segment Reporting [Abstract]

Business Segments

10. Business Segments

The Company operates in two business segments, Advanced Technology Group (“ATG”) and Consumer Products Group (“CPG”). The Company’s reportable segments are strategic business units that offer different products and services. The segments are composed of separate corporations and are managed separately. Operations in ATG primarily involve the design, manufacture, and marketing of servo-control components (i.e., torque motors, control valves, actuators, etc.) for government, commercial and industrial applications. CPG’s operations involve the design, manufacture and marketing of a variety of cutlery products for use by consumers and government agencies. The Company derives its primary sales revenue from domestic customers, although a portion of finished products are for foreign end use.

As of March 31, 2014, the Company had identifiable assets of approximately $30,424,000 ($30,003,000 – December 31, 2013) of which approximately $20,158,000 ($19,816,000 – December 31, 2013) was for ATG and approximately $10,266,000 ($10,187,000 – December 31, 2013) was for CPG.

Information regarding the Company’s operations in these segments is summarized as follows ($000’s omitted):

	ATG						CPG						Consolidated
	Three Months Ended						Three Months Ended						Three Months Ended
	March 31,						March 31,						March 31,
	2014			2013			2014			2013			2014			2013
Revenues from unaffiliated customers	$	5,305		$	5,383		$	1,685		$	1,959		$	6,990		$	7,342
Cost of goods sold, exclusive of depreciation and amortization		(3,840	)		(3,986	)		(1,598	)		(1,711	)		(5,438	)		(5,697	)
Selling, general and administrative		(1,140	)		(889	)		(436	)		(410	)		(1,576	)		(1,299	)
Interest expense		(9	)		(10	)		-			-			(9	)		(10	)
Depreciation and amortization		(122	)		(108	)		(47	)		(45	)		(169	)		(153	)
Other income, net		-			-			1			1			1			1
(Loss) income before income tax provision		194			390			(395	)		(206	)		(201	)		184
Income tax (benefit) provision		54			60			(110	)		(53	)		(56	)		7
Net (loss) income	$	140		$	330		$	(285	)	$	(153	)	$	(145	)	$	177
Capital expenditures	$	372		$	384		$	46		$	94		$	418		$	478