SUBSEQUENT EVENTS

6 Months Ended

Jun. 26, 2021

SUBSEQUENT EVENTS

NOTE 12 - SUBSEQUENT EVENTS

NOTE 12 – SUBSEQUENT EVENTS

The Company has evaluated subsequent events through the date these financial statements were issued. The Company determined there were no events, other than as described below, that required disclosure or recognition in these financial statements.

PPP Loan Forgiveness

On July 12, 2021, the Company received notification from its lender that the PPP Loan was forgiven in full by the U.S. Small Business Administration at which time the Company recognized the extinguishment of debt as Other Income.

Major Customer Bankruptcy

On July 12, 2021, one of the Company’s major customers filed bankruptcy. The customer had suspended operations during the second quarter of 2021, which led to the Company’s recording of a $1.4 million bad debt reserve and a $0.5 million reduction in backlog as of June 26, 2021. The reserve is recorded within the Commercial segment sales, general, and administrative expense in the second quarter of 2021.