NOTE 3 - DISPOSAL OF CONTINUING OPERATIONS

6 Months Ended

Jun. 28, 2014

Disclosure Text Block Supplement [Abstract]

Mergers, Acquisitions and Dispositions Disclosures [Text Block]

NOTE 3 – DISPOSAL OF CONTINUING OPERATIONS

On August 30, 2013, the Company completed the sale of substantially all of its Gulf Coast engineering and in-plant operations to a subsidiary of Furmanite Corporation. The total value of the transaction to the Company was $18 million, consisting primarily of $15 million of cash and a $3.0  million promissory note issued at 4% interest with a Furmanite Corporation guarantee.  The transaction resulted in a $721,000 gain on the sale of these operations.  The Company used most of the net proceeds from this transaction to repay advances under the PNC Credit Facility.  As a result of this transaction, approximately 900 employees transferred from the Company to Furmanite.  In conjunction with this sale, the Company reduced its corporate selling, general and administrative expenses to support ongoing continuing operations.  The impact of the sale of these operations for the six months ended June 28, 2014 and the comparable period in 2013 is summarized as follows (dollars in thousands):

2014 Continuing Operations:	For the Six Months Ended June 28, 2014		Disposed Operations		Pro Forma For the Six Months Ended June 28, 2014
Operating revenues	$	54,068	$	—	$	54,068
Operating costs		42,194		—		42,194
Gross profit		11,874		—		11,874
Selling, general and administrative expenses		8,365		—		8,365
Operating income (loss)	$	3,509	$	—	$	3,509

2013 Continuing Operations:	For the Six Months Ended June 29, 2013			Disposed Operations		Pro Forma For the Six Months Ended June 29, 2013
Operating revenues	$	100,411		$	59,560	$	40,851
Operating costs		89,100			54,214		34,886
Gross profit		11,311			5,346		5,965
Selling, general and administrative expenses		12,579			2,104		10,475
Operating income (loss)	$	(1,268	)	$	3,242	$	(4,510	)