Note 12 - Related Party Transactions

12 Months Ended

Dec. 31, 2012

Related Party Transactions [Abstract]

Related Party Transactions Disclosure [Text Block]

12. Related Party Transactions

Sale of Control Products Group

On January 25, 2010, we entered into an agreement to sell substantially all of the assets of a division known as the Control Products Group, a group within a business unit of Signature. The buyer, C&S Controls Limited, is a U.K. entity controlled by Gary Lawrence, the former manager of the Control Products division. The purchase price of £0.4 million (approximately $0.6 million on the date of sale) was represented, in part, by a secured promissory note in the original principal amount of £0.4 million (approximately $0.6 million on the date of sale) issued from the buyer to Signature, which called for monthly cash payments for approximately 5 years. During the fourth quarter of 2012, we agreed to discount the note in return for full payment of the outstanding balance, which was approximately £0.1 million (approximately $0.2 million on the date of discount). As a result of discounting the note, we recorded approximately £34,000 of interest expense (approximately $55,000) in discontinued operations. Previously, we had deferred a portion of the gain on the sale until collection of the note was assured. As a result of the full payment of the note, we recognized gain on the sale of approximately $0.1 million during the fourth quarter of 2012, which is included in the results of our discontinued operations.

Consulting Agreement with Joseph Grillo

For our employment and consulting arrangements with Mr. Grillo, see Note 3.

Also see Note 14 for additional related party transactions.