Document And Entity Information

Document And Entity Information - USD ($)	12 Months Ended
Document And Entity Information - USD ($)	Dec. 31, 2016	Mar. 01, 2017	Jun. 30, 2016
Document And Entity Information [Abstract]
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2016
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2016
Entity Registrant Name	COMMUNICATIONS SYSTEMS INC
Entity Central Index Key	0000022701
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Public Float			$ 48,934,000
Entity Common Stock, Shares Outstanding		8,883,535

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Dec. 31, 2016	Dec. 31, 2015
CURRENT ASSETS:
Cash and cash equivalents	$ 10,443,274	$ 9,812,737
Investments	5,805,276	5,228,668
Trade accounts receivable, less allowance for doubtful accounts of $77,000 and $123,000, respectively	14,552,191	17,849,207
Inventories	22,204,902	24,985,560
Prepaid income taxes	1,400,118	2,972,271
Other current assets	967,332	1,041,303
TOTAL CURRENT ASSETS	55,373,093	61,889,746
PROPERTY, PLANT AND EQUIPMENT, net	15,719,403	17,468,420
OTHER ASSETS:
Investments		6,293,505
Goodwill	1,462,503	1,462,503
Other assets	622,017	802,056
TOTAL OTHER ASSETS	2,084,520	8,558,064
TOTAL ASSETS	73,177,016	87,916,230
CURRENT LIABILITIES:
Current portion of long-term debt		103,603
Accounts payable	6,953,710	8,373,292
Accrued compensation and benefits	2,149,973	3,050,822
Accrued consideration		442,234
Other accrued liabilities	1,851,938	1,996,609
Dividends payable	412,542	1,474,892
TOTAL CURRENT LIABILITIES	11,368,163	15,441,452
LONG TERM LIABILITIES:
Long-term compensation plans	16,299
Uncertain tax positions	106,864	102,633
Deferred income taxes	52,998	61,453
Pension liabilities		126,001
TOTAL LONG-TERM LIABILITIES	176,161	290,087
COMMITMENTS AND CONTINGENCIES (Footnote 8)
STOCKHOLDERS' EQUITY
Preferred stock, par value $1.00 per share; 3,000,000 shares authorized; none issued
Common stock, par value $.05 per share; 30,000,000 shares authorized; 8,877,379 and 8,754,550 shares issued and outstanding, respectively	443,869	437,727
Additional paid-in capital	41,279,281	40,129,285
Retained earnings	20,596,203	32,284,061
Accumulated other comprehensive loss	(686,661)	(666,382)
TOTAL STOCKHOLDERS' EQUITY	61,632,692	72,184,691
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 73,177,016	$ 87,916,230

Consolidated Balance Sheets (Parenthetical)

Consolidated Balance Sheets (Parenthetical) - USD ($)	Dec. 31, 2016	Dec. 31, 2015
Consolidated Balance Sheets [Abstract]
Trade accounts receivable, allowance for doubtful accounts	$ 77,000	$ 123,000
Preferred stock, par value	$ 1.00	$ 1.00
Preferred stock, shares authorized	3,000,000	3,000,000
Preferred stock, shares issued	0	0
Common stock, par value	$ 0.05	$ 0.05
Common stock, shares authorized	30,000,000	30,000,000
Common stock, shares issued	8,877,379	8,754,550
Common stock, shares outstanding	8,877,379	8,754,550

Consolidated Statements Of (Loss) Income And Comprehensive (Loss) Income

Consolidated Statements Of (Loss) Income And Comprehensive (Loss) Income - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Consolidated Statements Of (Loss) Income And Comprehensive (Loss) Income [Abstract]
Sales	$ 99,352,934	$ 107,669,524	$ 119,071,439
Costs and expenses:
Cost of sales	72,771,393	76,123,362	76,912,881
Selling, general and administrative expenses	35,185,924	40,829,755	38,627,801
Additional minimum pension liability adjustments	(4,147,836)
Plan settlement costs		1,222,276
Restructuring expense	0	0	237,838
Total costs and expenses	103,809,481	118,175,393	115,778,520
Operating (loss) income	(4,456,547)	(10,505,869)	3,292,919
Other (expenses) and income:
Investment and other income	208,564	216,491	80,392
Gain (loss) on sale of assets	749,509	8,090	(112,242)
Interest and other expense	(119,627)	(120,435)	(79,841)
Foreign currency translation loss	(4,238,497)
Other (expense) income, net	(3,400,051)	104,146	(111,691)
(Loss) income from operations before income taxes	(7,856,598)	(10,401,723)	3,181,228
Income tax expense (benefit)	256,950	(753,415)	1,219,355
Net (loss) income	(8,113,548)	(9,648,308)	1,961,873
Other comprehensive (loss) income, net of tax:
Additional minimum pension liability adjustments	(4,147,836)	2,197,000	155,000
Unrealized gains/(losses) on available-for-sale securities	29,736	28,161	(42,666)
Foreign currency translation adjustment	4,097,821	(2,196,385)	(567,480)
Total other comprehensive (loss) income	(20,279)	28,776	(455,146)
Comprehensive (loss) income	$ (8,133,827)	$ (9,619,532)	$ 1,506,727
Basic net (loss) income per share:	$ (0.92)	$ (1.11)	$ 0.23
Diluted net (loss) income per share:	$ (0.92)	$ (1.11)	$ 0.23
Weighted Average Basic Shares Outstanding	8,831,782	8,720,225	8,622,032
Weighted Average Dilutive Shares Outstanding	8,831,782	8,720,225	8,640,416

Consolidated Statements Of Changes In Stockholders' Equity

Consolidated Statements Of Changes In Stockholders' Equity - USD ($)	Common Stock [Member]	Additional Paid-In Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Total
BALANCE at Dec. 31, 2013	$ 427,666	$ 37,110,671	$ 51,323,718	$ (240,012)	$ 88,622,043
BALANCE, Shares at Dec. 31, 2013	8,553,320
Net (loss) income			1,961,873		1,961,873
Issuance of common stock under Employee Stock Purchase Plan	$ 705	166,637			167,342
Issuance of common stock under Employee Stock Purchase Plan, Shares	14,104
Issuance of common stock to Employee Stock Ownership Plan	$ 1,626	360,647			362,273
Issuance of common stock to Employee Stock Ownership Plan, Shares	32,520
Issuance of common stock under Employee Stock Option Plan	$ 600	98,760			99,360
Issuance of common stock under Employee Stock Option Plan, Shares	12,000
Issuance of common stock under Executive Stock Plan	$ 2,239	0			2,239
Issuance of common stock under Executive Stock Plan, Shares	44,769
Tax benefit from non-qualified stock options		80,402			80,402
Share based compensation		784,785			784,785
Purchase of common stock	$ (98)	(8,672)	(14,052)		(22,822)
Purchase of common stock, Shares	(1,957)
Shareholder dividends			(5,581,851)		(5,581,851)
Other comprehensive income				(455,146)	(455,146)
BALANCE at Dec. 31, 2014	$ 432,738	38,593,230	47,689,688	(695,158)	86,020,498
BALANCE, Shares at Dec. 31, 2014	8,654,756
Net (loss) income			(9,648,308)		(9,648,308)
Issuance of common stock under Employee Stock Purchase Plan	$ 1,012	201,552			202,564
Issuance of common stock under Employee Stock Purchase Plan, Shares	20,243
Issuance of common stock to Employee Stock Ownership Plan	$ 1,882	393,338			$ 395,220
Issuance of common stock to Employee Stock Ownership Plan, Shares	37,640				37,640
Issuance of common stock under Non-Employee Stock Option Plan	$ 600	121,920			$ 122,520
Issuance of common stock under Non-Employee Stock Option Plan, Shares	12,000
Issuance of common stock under Executive Stock Plan	$ 2,313	0			2,313
Issuance of common stock under Executive Stock Plan, Shares	46,254
Tax benefit from non-qualified stock options		(5,712)			(5,712)
Share based compensation		898,760			898,760
Other share retirements, Shares	(16,343)
Other share retirements	$ (818)	(73,803)	(107,260)		(181,881)
Shareholder dividends			(5,650,059)		(5,650,059)
Other comprehensive income				28,776	28,776
BALANCE at Dec. 31, 2015	$ 437,727	40,129,285	32,284,061	(666,382)	72,184,691
BALANCE, Shares at Dec. 31, 2015	8,754,550
Net (loss) income			(8,113,548)		(8,113,548)
Issuance of common stock under Employee Stock Purchase Plan	$ 1,219	156,153			157,372
Issuance of common stock under Employee Stock Purchase Plan, Shares	24,375
Issuance of common stock to Employee Stock Ownership Plan	$ 3,014	465,346			$ 468,360
Issuance of common stock to Employee Stock Ownership Plan, Shares	60,278				60,197
Issuance of common stock under Executive Stock Plan	$ 2,106	0			$ 2,106
Issuance of common stock under Executive Stock Plan, Shares	42,118
Tax benefit from non-qualified stock options		(85,102)			(85,102)
Share based compensation		631,875			631,875
Other share retirements, Shares	(3,942)
Other share retirements	$ (197)	(18,276)	(8,258)		(26,731)
Shareholder dividends			(3,566,052)		(3,566,052)
Other comprehensive income				(20,279)	(20,279)
BALANCE at Dec. 31, 2016	$ 443,869	$ 41,279,281	$ 20,596,203	$ (686,661)	$ 61,632,692
BALANCE, Shares at Dec. 31, 2016	8,877,379

Consolidated Statements Of Changes In Stockholders' Equity (Parenthetical)

Consolidated Statements Of Changes In Stockholders' Equity (Parenthetical) - $ / shares	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Retained Earnings [Member]
Shareholder dividends per share	$ 0.40	$ 0.64	$ 0.64

Consolidated Statements Of Cash Flows

Consolidated Statements Of Cash Flows	12 Months Ended
Consolidated Statements Of Cash Flows	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net (loss) income	$ (8,113,548)	$ (9,648,308)	$ 1,961,873
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Depreciation and amortization	3,683,009	3,312,587	2,482,300
Share based compensation	631,875	898,760	784,785
Deferred taxes	(8,456)	2,220,623	790,402
Change in fair value of acquisition-related contingent consideration	(142,234)	(20,636)
(Gain)/loss on sale of assets	(749,509)	(8,090)	112,242
Excess tax benefits from share-based payments		5,712	(80,402)
Changes in assets and liabilities:
Trade receivables	3,249,449	(3,979,435)	9,057,078
Inventories	2,682,835	6,097,476	(2,039,599)
Prepaid income taxes	1,567,676	(654,583)	(936,186)
Other assets	126,031	(393,105)	(282,456)
Accounts payable	(1,178,120)	2,941,322	105,602
Accrued compensation and benefits	(406,608)	(246,464)	139,698
Other accrued liabilities	(107,726)	(191,676)	405,424
Income taxes payable	(80,871)	19,642	(243,165)
Other	61,558	486,467	(85,519)
Net cash used in operating activities	1,215,361	840,292	12,172,077
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures	(2,286,027)	(2,394,261)	(5,577,039)
Purchases of investments			(12,682,351)
Acquisition of business		(917,363)
Proceeds from the sale of fixed assets	974,860	57,924	51,073
Proceeds from the sale of investments	5,746,633	4,648,965	6,160,000
Net cash provided by (used in) investing activities	4,435,466	1,395,265	(12,048,317)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings against line of credit	4,894,046	3,900,000
Payments against line of credit	(4,894,046)	(3,900,000)
Cash dividends paid	(4,628,402)	(5,621,665)	(5,571,672)
Mortgage principal payments	(103,603)	(524,220)	(489,706)
Proceeds from issuance of common stock, net of shares withheld	132,747	145,516	246,119
Excess tax benefit from stock based payments		(5,712)	80,402
Payment of deferred consideration related to acquisition	(300,000)		(565,647)
Net cash used in financing activities	(4,899,258)	(6,006,081)	(6,300,504)
EFFECT OF FOREIGN EXCHANGE RATE CHANGES ON CASH	(121,032)	(153,596)	(145,519)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	630,537	(3,924,120)	(6,322,263)
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR	9,812,737	13,736,857	20,059,120
CASH AND CASH EQUIVALENTS AT END OF YEAR	10,443,274	9,812,737	13,736,857
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Income taxes (refunded) paid	(1,232,979)	(2,364,994)	1,591,257
Interest paid	43,630	77,801	73,860
Dividends declared not paid	412,542	1,474,892	1,446,498
Capital expenditures in accounts payable	$ 6,621	190,888	$ 188,564
Acquisition costs in accrued consideration		$ 442,234

Summary Of Significant Accounting Policies

12 Months Ended

Dec. 31, 2016

Summary Of Significant Accounting Policies [Abstract]

Summary Of Significant Accounting Policies

NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Description of business: Communications Systems, Inc. (herein collectively called “CSI,” “our” or the “Company”) is a Minnesota corporation organized in 1969 that operates directly and through its subsidiaries located in the United States, Costa Rica, and the United Kingdom. CSI is principally engaged through its Suttle business unit in the manufacture and sale of connectivity infrastructure products for broadband and voice communications and through its Transition Networks business unit in the manufacture of core media conversion products, Ethernet switches, and other connectivity and data transmission products. Through its JDL Technologies business unit the Company provides technology solutions including virtualization, managed services, wired and wireless network design and implementation, HIPAA-compliant IT services, and converged infrastructure configuration and deployment. Through its Net2Edge business unit, the Company enables telecommunications carriers to connect legacy networks to high-speed services.

The Company classifies its businesses into four segments: Suttle, which manufactures connectivity infrastructure products for broadband and voice communications; Transition Networks, which designs and markets media conversion products, Ethernet switches, and other connectivity and data transmission products; JDL Technologies, which is an IT managed services provider and value-added reseller; and Net2Edge, which develops products to connect legacy networks to high-speed services. Non-allocated general and administrative expenses are separately accounted for as “Other” in the Company’s segment reporting. Intersegment revenues are eliminated upon consolidation.

Principles of consolidation: The consolidated financial statements include the accounts of the Company and its subsidiaries. All intercompany transactions and accounts have been eliminated.

Use of estimates: The presentation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company uses estimates based on the best information available in recording transactions and balances resulting from operations. Actual results could differ from those estimates. The Company’s estimates consist principally of reserves for doubtful accounts, sales returns, warranty costs, asset impairment evaluations, accruals for compensation plans, self-insured medical and dental accruals, lower of cost or market inventory adjustments, provisions for income taxes and deferred taxes and depreciable lives of fixed assets.

Cash equivalents: For purposes of the consolidated statements of cash flows, the Company considers all highly liquid investments with a maturity of three months or less at the time of purchase to be cash equivalents. As of December 31, 2016, the Company had $10,443,000 in cash and cash equivalents. Of this amount, $3,851,000 was invested in short-term money market funds that are not considered to be bank deposits and are not insured or guaranteed by the federal deposit insurance company (FDIC) or other government agency. These money market funds seek to preserve the value of the investment at $1.00 per share; however, it is possible to lose money investing in these funds. The remainder is operating cash and certificates of deposit which are fully insured through the FDIC.

Investments: Investments consist of certificates of deposit and corporate notes and bonds that are traded on the open market and are classified as available-for-sale at December 31, 2016. Available-for-sale investments are reported at fair value with unrealized gains and losses excluded from operations and reported as a separate component of stockholders’ equity, net of tax (see Accumulated other comprehensive loss below).

Inventories: Inventories are stated at the lower of cost or market. Cost is determined by the first-in, first-out method. Provision to reduce inventories to the lower of cost or market is made based on a review of excess and obsolete inventories, estimates of future sales, examination of historical consumption rates and the related value of component parts.

Property, plant and equipment: Property, plant and equipment are recorded at cost. Depreciation is computed using the straight-line method. Depreciation included in cost of sales and selling, general and administrative expenses for continuing operations was $3,609,000, $3,212,000 and $2,375,000 for 2016, 2015 and 2014, respectively. Maintenance and repairs are charged to operations and additions or improvements are capitalized. Items of property sold, retired or otherwise disposed of are removed from the asset and accumulated depreciation accounts and any gains or losses on disposal are reflected in operations.

Intangible Assets: Intangible assets with indefinite useful lives are not amortized, but are tested at least annually for impairment.

Recoverability of long-lived assets: The Company reviews its long-lived assets periodically when impairment indicators exist as required under generally accepted accounting principles. Potential impairment is determined by comparing the carrying value of the assets with expected net cash flows expected to be provided by operating activities of the business or related products. If the sum of the expected future net cash flows is less than the carrying value, an impairment loss would be measured by comparing the amount by which the carrying value exceeds the fair value of the asset.

Warranty: The Company reserves for the estimated cost of product warranties at the time revenue is recognized. We estimate the costs of our warranty obligations based on our warranty policy or applicable contractual warranty, historical experience of known product failure rates, and use of materials and service delivery costs incurred in correcting product failures. Management reviews the estimated warranty liability on a quarterly basis to determine its adequacy.

The following table presents the changes in the Company’s warranty liability for the years ended December 31, 2016 and 2015, which relate to normal product warranties and a five-year obligation to provide for potential future liabilities for certain network equipment sales:



	Year Ended December 31
		2016		2015
Beginning balance	$	554,000	$	434,000
Amounts charged to expense		147,000		231,000
Actual warranty costs paid		(101,000)		(111,000)
Ending balance	$	600,000	$	554,000

Accumulated other comprehensive loss: The components of accumulated other comprehensive loss are as follows:



	Foreign Currency Translation		Unrealized (loss)/gain on securities		Pension liability adjustment		Accumulated Other Comprehensive Loss
December 31, 2015	$	(4,801,000)	$	(13,000)	$	4,148,000	$	(666,000)

Net current period change		(141,000)		30,000				(111,000)
Reclassification adjustments into income		4,238,000				(4,148,000)		90,000

December 31, 2016	$	(704,000)	$	17,000	$	-	$	(687,000)

The Company recognized $4,238,000 in foreign currency translation losses within the income statement during the first quarter due to the substantial liquidation of our Austin Taylor subsidiary in the U.K. Refer to Note 7 for further information regarding the pension liability adjustment recognized in income in the first quarter of 2016. The functional currency of Austin Taylor and Net2Edge is the British pound. Assets and liabilities denominated in this foreign currency were translated into U.S. dollars at year-end exchange rates. Revenue and expense transactions were translated using average exchange rates. Suttle Costa Rica uses the U.S. dollar as their functional currency.

Revenue recognition: The Company’s manufacturing operations (Suttle, Transition Networks and Net2Edge) recognize revenue when the earnings process is complete, evidenced by persuasive evidence of an agreement, delivery has occurred or services have been rendered, the price is fixed or determinable, and collectability is reasonably assured. Revenue is recognized for domestic and international sales at the shipping point or delivery to customers, based on the related shipping terms. Risk of loss transfers at the point of shipment or delivery to customers, and the Company has no further obligation after such time. Sales are made directly to customers and through distributors. Payment terms for distributors are consistent with the terms of the Company’s direct customers. The Company records a provision for sales returns, sales incentives and warranty costs at the time of the sale based on historical experience and current trends.

JDL generally records revenue on hardware, software and related equipment sales and installation contracts when the revenue recognition criteria are met and products are installed and accepted by the customer. JDL records revenue on service contracts on a straight-line basis over the contract period, unless evidence suggests the revenue is earned in a different pattern. Each contract is individually reviewed to determine when the earnings process is complete.

Research and development: Research and development costs consist of outside testing services, equipment and supplies associated with enhancing existing products and developing new products. Research and development costs are expensed when incurred and totaled $5,366,000 in 2016, $8,291,000 in 2015 and $7,835,000 in 2014.

Net income per share: Basic net income per common share is based on the weighted average number of common shares outstanding during each year. Diluted net income per common share adjusts for the dilutive effect of potential common shares outstanding. The Company’s only potential common shares outstanding are stock options and shares associated with the long-term incentive compensation plans, which resulted in no dilutive effect for 2016 and 2015 and a dilutive effect of 18,384 shares in 2014. The Company calculates the dilutive effect of outstanding options and unvested shares using the treasury stock method. Due to the net loss in 2016 and 2015, there was no dilutive impact from outstanding stock options or unvested shares. The number of shares not included in the computation of diluted earnings per share because the options’ exercise price was greater than the average market price of common stock during the year for 2014 was 243,427. Options totaling 902,930 would have been excluded from the calculation of diluted earnings per share for year ended December 31, 2016, because the exercise price was greater than the average market price of common stock during the period and deferred stock awards totaling 133,982 shares would not have been included because of unmet performance conditions. Options totaling 691,924 would have been excluded from the calculation of diluted earnings per share for year ended December 31, 2015, because the exercise price was greater than the average market price of common stock during the period and deferred stock awards totaling 95,668 shares would not have been included because of unmet performance conditions.

Share based compensation: The Company accounts for share based compensation awards on a fair value basis. The estimated grant date fair value of each stock-based award is recognized in income over the requisite service period (generally the vesting period). The estimated fair value of each option is calculated using the Black-Scholes option-pricing model.

Accounting standards issued:

In May 2014, the Financial Accounting Standards Board (FASB) issued a new accounting standard update on revenue recognition from contracts with customers. The new guidance will replace all current U.S. GAAP guidance on this topic and eliminate all industry-specific guidance. According to the new guidance, revenue is recognized when promised goods or services are transferred to customers in an amount that reflects the consideration the Company expects to receive in exchange for those goods or services. As a result of the FASB’s July 2015 deferral of the standard’s required implementation date, the guidance is effective for interim and annual reporting periods beginning after December 15, 2017. The guidance permits companies to either apply the requirements retrospectively to all prior periods presented, or apply the requirements in the year of adoption, through a cumulative adjustment. We plan to adopt the modified retrospective approach. We are still evaluating the impact of this adoption and anticipate that the most significant impact will be within our JDL Technologies segment.

In July 2015, the FASB issued an accounting standard on inventory, which simplifies the subsequent measurement of inventory by requiring entities to measure inventory at the lower of cost or net realizable value, except for inventory measured using the last-in, first-out (LIFO) or the retail inventory methods. This standard requires entities to compare the cost of inventory to one measure – net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The standard is effective for the annual period beginning after December 15, 2016 and interim periods within those annual periods, with early adoption permitted, and is to be applied prospectively. The Company does not expect the adoption of this standard to have a material impact on its consolidated financial statements.

In November 2015, the FASB issued an accounting standard on deferred taxes, which removes the requirement to present deferred tax assets and liabilities as current and noncurrent on the balance sheet based on the classification of the related asset or liability, and instead requires classification of all deferred tax assets and liabilities as noncurrent. This guidance will be effective for interim and annual reporting periods beginning after December 15, 2016, and early adoption is permitted. Other than the prescribed classification of all deferred tax assets and liabilities as noncurrent, the Company does not expect the implementation of this standard to have a material impact on its consolidated financial statements.

In February 2016, the FASB issued new accounting requirements regarding accounting for leases, which requires an entity to recognize both assets and liabilities arising from financing and operating leases, along with additional qualitative and quantitative disclosures. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within that reporting period, and early adoption is permitted. The Company does not expect the adoption of this standard to have a material impact on its consolidated financial statements.

In March 2016, the FASB issued a new accounting standard that will change certain aspects of accounting for share-based payments to employees, including the accounting for income taxes, forfeitures and statutory withholding requirements, as well as classification in the statement of cash flows. The new standard is effective for annual and interim periods beginning after December 15, 2016. The Company does not expect the adoption of this standard to have a material impact on its consolidated financial statements.

In August 2016, the FASB issued new accounting guidance regarding the classification of cash receipts and payments in the Statement of Cash Flows. This guidance is intended to reduce diversity in practice in how certain cash receipts and cash payments are presented and classified in the Consolidated Statement of Cash Flows by providing guidance on eight specific cash flow issues. The new standard is effective retrospectively on January 1, 2018, with early adoption permitted. We have not yet determined the impact this standard will have on our financial condition or results of operations.

Accounting standards adopted:

In April 2015, the FASB issued accounting guidance that changes the presentation of debt issuance costs. The core principle of this revised accounting guidance is that debt issuance costs are not assets, but adjustments to the carrying cost of debt. The Company adopted this guidance in the first quarter of 2016 with no material impact on its consolidated financial statements.

In August 2014, the FASB issued accounting guidance that amended the existing requirements for disclosing information about an entity’s ability to continue as a going concern and explicitly requires management to assess an entity’s ability to continue as a going concern and to provide related footnote disclosure in certain circumstances. This guidance was effective for annual periods ending after December 15, 2016, and annual and interim periods thereafter. The Company adopted this guidance in 2016 and management does not believe there is substantial doubt about the entity’s ability to continue as a going concern.

Summary Of Significant Accounting Policies (Policy)

12 Months Ended

Dec. 31, 2016

Summary Of Significant Accounting Policies [Abstract]

Description Of Business

Principles Of Consolidation

Principles of consolidation: The consolidated financial statements include the accounts of the Company and its subsidiaries. All intercompany transactions and accounts have been eliminated.

Property, Plant And Equipment

Intangible Assets

Intangible Assets: Intangible assets with indefinite useful lives are not amortized, but are tested at least annually for impairment.

Recoverability Of Long-Lived Assets

Warranty



	Year Ended December 31
		2016		2015
Beginning balance	$	554,000	$	434,000
Amounts charged to expense		147,000		231,000
Actual warranty costs paid		(101,000)		(111,000)
Ending balance	$	600,000	$	554,000

Accumulated Other Comprehensive Loss

Accumulated other comprehensive loss: The components of accumulated other comprehensive loss are as follows:



	Foreign Currency Translation		Unrealized (loss)/gain on securities		Pension liability adjustment		Accumulated Other Comprehensive Loss
December 31, 2015	$	(4,801,000)	$	(13,000)	$	4,148,000	$	(666,000)

Net current period change		(141,000)		30,000				(111,000)
Reclassification adjustments into income		4,238,000				(4,148,000)		90,000

December 31, 2016	$	(704,000)	$	17,000	$	-	$	(687,000)

Revenue Recognition

Research And Development

Net Income Per Share

Share Based Compensation

Accounting Standards Issued

Accounting standards issued:

Accounting Standards Adopted

Accounting standards adopted:

Summary Of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2016

Summary Of Significant Accounting Policies [Abstract]

Schedule Of Warranty



	Year Ended December 31
		2016		2015
Beginning balance	$	554,000	$	434,000
Amounts charged to expense		147,000		231,000
Actual warranty costs paid		(101,000)		(111,000)
Ending balance	$	600,000	$	554,000

Components Of Accumulated Other Comprehensive Loss



	Foreign Currency Translation		Unrealized (loss)/gain on securities		Pension liability adjustment		Accumulated Other Comprehensive Loss
December 31, 2015	$	(4,801,000)	$	(13,000)	$	4,148,000	$	(666,000)

Net current period change		(141,000)		30,000				(111,000)
Reclassification adjustments into income		4,238,000				(4,148,000)		90,000

December 31, 2016	$	(704,000)	$	17,000	$	-	$	(687,000)

Summary Of Significant Accounting Policies (Narrative) (Details)

Summary Of Significant Accounting Policies (Narrative) (Details)	12 Months Ended
	Dec. 31, 2016 USD ($) segment $ / shares shares	Dec. 31, 2015 USD ($) shares	Dec. 31, 2014 USD ($) shares	Dec. 31, 2013 USD ($)
Summary Of Significant Accounting Policies [Line Items]
Number of segments \| segment	4
Cash and cash equivalents	$ 10,443,274	$ 9,812,737	$ 13,736,857	$ 20,059,120
Money market funds	$ 3,851,000
Value of the investment in short-term money market funds sought to be preserved (in dollars per share) \| $ / shares	$ 1.00
Depreciation	$ 3,609,000	3,212,000	2,375,000
Product warranty period	5 years
Foreign currency translation loss	$ 4,238,497
Research and development costs	$ 5,366,000	$ 8,291,000	$ 7,835,000
Dilutive shares \| shares			18,384
Shares not included in the computation of diluted earnings per share \| shares			243,427
Employee Stock Option [Member]
Summary Of Significant Accounting Policies [Line Items]
Shares not included in the computation of diluted earnings per share \| shares	902,930	691,924
Deferred Stock Awards [Member]
Summary Of Significant Accounting Policies [Line Items]
Shares not included in the computation of diluted earnings per share \| shares	133,982	95,668

Summary Of Significant Accounting Policies (Schedule Of Warranty) (Details)

Summary Of Significant Accounting Policies (Schedule Of Warranty) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Summary Of Significant Accounting Policies [Abstract]
Beginning Balance	$ 554	$ 434
Amounts charged to expense	147	231
Actual warranty costs paid	(101)	(111)
Ending balance	$ 600	$ 554

Summary Of Significant Accounting Policies (Components Of Accumulated Other Comprehensive Loss) (Details)

Summary Of Significant Accounting Policies (Components Of Accumulated Other Comprehensive Loss) (Details)	12 Months Ended
	Dec. 31, 2016 USD ($)
Accumulated Other Comprehensive Income (Loss) [Line Items]
BALANCE	$ 72,184,691
BALANCE	61,632,692
Foreign Currency Translation [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
BALANCE	(4,801,000)
Net current period change	(141,000)
Reclassification adjustments into income	4,238,000
BALANCE	(704,000)
Unrealized (Loss)/Gain On Securities [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
BALANCE	(13,000)
Net current period change	30,000
Reclassification adjustments into income
BALANCE	17,000
Pension Liability Adjustment [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
BALANCE	4,148,000
Net current period change
Reclassification adjustments into income	(4,148,000)
BALANCE
Accumulated Other Comprehensive Income (Loss) [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
BALANCE	(666,382)
Net current period change	(111,000)
Reclassification adjustments into income	90,000
BALANCE	$ (686,661)

Cash Equivalents And Investments

12 Months Ended

Dec. 31, 2016

Cash Equivalents And Investments [Abstract]

Cash Equivalents And Investments

NOTE 2 –CASH EQUIVALENTS AND INVESTMENTS

The following tables show the Company’s cash equivalents and available-for-sale securities’ amortized cost, gross unrealized gains, gross unrealized losses and fair value by significant investment category recorded as cash equivalents or short and long term investments as of December 31, 2016 and December 31, 2015:



December 31, 2016
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value		Cash Equivalents		Short-Term Investments		Long-Term Investments

Cash equivalents:
Money Market funds	$	3,851,000	$	-	$	-	$	3,851,000	$	3,851,000	$		$
Subtotal		3,851,000		-		-		3,851,000		3,851,000		-		-

Investments:
Certificates of deposit		4,291,000		4,000		(1,000)		4,294,000		-		4,294,000		-
Corporate Notes/Bonds		1,511,000		-		-		1,511,000		-		1,511,000		-
Subtotal		5,802,000		4,000		(1,000)		5,805,000		-		5,805,000		-


Total	$	9,653,000	$	4,000	$	(1,000)	$	9,656,000	$	3,851,000	$	5,805,000	$	-



December 31, 2015
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value		Cash Equivalents		Short-Term Investments		Long-Term Investments

Cash equivalents:
Money Market funds	$	1,944,000	$	-	$	-	$	1,944,000	$	1,944,000	$		$
Subtotal		1,944,000		-		-		1,944,000		1,944,000		-		-

Investments:
Certificates of deposit		5,493,000		3,000		(8,000)		5,488,000		-		1,202,000		4,286,000
Corporate Notes/Bonds		6,056,000		-		(22,000)		6,034,000		-		4,027,000		2,007,000
Subtotal		11,549,000		3,000		(30,000)		11,522,000		-		5,229,000		6,293,000


Total	$	13,493,000	$	3,000	$	(30,000)	$	13,466,000	$	1,944,000	$	5,229,000	$	6,293,000

The Company tests for other than temporary losses on a quarterly basis and has considered the unrealized losses indicated above to be temporary in nature. The Company intends to hold the investments until it can recover the full principal amount and has the ability to do so based on other sources of liquidity. The Company expects such recoveries to occur prior to the contractual maturities. All unrealized losses as of December 31, 2016 were in a continuous unrealized loss position for less than twelve months and are not deemed to be other than temporarily impaired as of December 31, 2016.

The following table summarizes the estimated fair value of our investments, designated as available-for-sale and classified by the contractual maturity date of the securities as of December 31, 2016:



	Amortized Cost		Estimated Market Value

Due within one year	$	5,802,000	$	5,805,000
Due after one year through five years		0		0
	$	5,802,000	$	5,805,000

The Company did not recognize any gross realized gains or gross realized losses during the years ending December 31, 2016 and 2015, respectively. If the Company had realized gains or losses, they would be included within investment and other income in the accompanying consolidated statements of income.

- Definition

The entire disclosure for investments in certain debt and equity securities.

+ References + Details

Cash Equivalents And Investments (Tables)

12 Months Ended

Dec. 31, 2016

Cash Equivalents And Investments [Abstract]

Schedule Of Cash And Available-For-Sale Securities



December 31, 2016
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value		Cash Equivalents		Short-Term Investments		Long-Term Investments

Cash equivalents:
Money Market funds	$	3,851,000	$	-	$	-	$	3,851,000	$	3,851,000	$		$
Subtotal		3,851,000		-		-		3,851,000		3,851,000		-		-

Investments:
Certificates of deposit		4,291,000		4,000		(1,000)		4,294,000		-		4,294,000		-
Corporate Notes/Bonds		1,511,000		-		-		1,511,000		-		1,511,000		-
Subtotal		5,802,000		4,000		(1,000)		5,805,000		-		5,805,000		-


Total	$	9,653,000	$	4,000	$	(1,000)	$	9,656,000	$	3,851,000	$	5,805,000	$	-



December 31, 2015
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value		Cash Equivalents		Short-Term Investments		Long-Term Investments

Cash equivalents:
Money Market funds	$	1,944,000	$	-	$	-	$	1,944,000	$	1,944,000	$		$
Subtotal		1,944,000		-		-		1,944,000		1,944,000		-		-

Investments:
Certificates of deposit		5,493,000		3,000		(8,000)		5,488,000		-		1,202,000		4,286,000
Corporate Notes/Bonds		6,056,000		-		(22,000)		6,034,000		-		4,027,000		2,007,000
Subtotal		11,549,000		3,000		(30,000)		11,522,000		-		5,229,000		6,293,000


Total	$	13,493,000	$	3,000	$	(30,000)	$	13,466,000	$	1,944,000	$	5,229,000	$	6,293,000

Schedule Of Estimated Fair Value Of Available-For-Sale Securities



	Amortized Cost		Estimated Market Value

Due within one year	$	5,802,000	$	5,805,000
Due after one year through five years		0		0
	$	5,802,000	$	5,805,000

Cash Equivalents And Investments (Narrative) (Details)

Cash Equivalents And Investments (Narrative) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Cash Equivalents And Investments [Abstract]
Gross realized gains (losses)	$ 0	$ 0

Cash Equivalents And Investments (Schedule Of Cash And Available-For-Sale Securities) (Details)

Cash Equivalents And Investments (Schedule Of Cash And Available-For-Sale Securities) (Details) - USD ($)	Dec. 31, 2016	Dec. 31, 2015
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 9,653,000	$ 13,493,000
Gross Unrealized Gains	4,000	3,000
Gross Unrealized Losses	(1,000)	(30,000)
Fair Value	9,656,000	13,466,000
Cash Equivalents	3,851,000	1,944,000
Short-Term Investments	5,805,276	5,228,668
Long-Term Investments		6,293,505
Cash Equivalents [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	3,851,000	1,944,000
Fair Value	3,851,000	1,944,000
Cash Equivalents	3,851,000	1,944,000
Cash Equivalents [Member] \| Money Market Funds [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	3,851,000	1,944,000
Fair Value	3,851,000	1,944,000
Cash Equivalents	3,851,000	1,944,000
Investments [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	5,802,000	11,549,000
Gross Unrealized Gains	4,000	3,000
Gross Unrealized Losses	(1,000)	(30,000)
Fair Value	5,805,000	11,522,000
Short-Term Investments	5,805,000	5,229,000
Long-Term Investments		6,293,000
Investments [Member] \| Certificates Of Deposit [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	4,291,000	5,493,000
Gross Unrealized Gains	4,000	3,000
Gross Unrealized Losses	(1,000)	(8,000)
Fair Value	4,294,000	5,488,000
Short-Term Investments	4,294,000	1,202,000
Long-Term Investments		4,286,000
Investments [Member] \| Corporate Notes/Bonds [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	1,511,000	6,056,000
Gross Unrealized Losses		(22,000)
Fair Value	1,511,000	6,034,000
Short-Term Investments	$ 1,511,000	4,027,000
Long-Term Investments		$ 2,007,000

Cash Equivalents And Investments (Schedule Of Estimated Fair Value Of Available-For-Sale Securities) (Details)

Cash Equivalents And Investments (Schedule Of Estimated Fair Value Of Available-For-Sale Securities) (Details) - USD ($)	Dec. 31, 2016	Dec. 31, 2015
Schedule of Available-for-sale Securities [Line Items]
Fair Value	$ 9,656,000	$ 13,466,000
Investments [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost, Due within one year	5,802,000
Amortized Cost, Due after one year through five years	0
Amortized Cost	5,802,000
Fair Value, Due within one year	5,805,000
Fair Value, Due after one year through five years	0
Fair Value	$ 5,805,000	$ 11,522,000

Inventories

12 Months Ended

Dec. 31, 2016

Inventories [Abstract]

Inventories

NOTE 3 - INVENTORIES

Inventories consist of:



	December 31
	2016		2015
Finished goods	$	12,083,000	$	14,112,000
Raw and processed materials		10,122,000		10,874,000
	$	22,205,000	$	24,986,000

Inventories (Tables)

12 Months Ended

Dec. 31, 2016

Inventories [Abstract]

Schedule Of Inventories



	December 31
	2016		2015
Finished goods	$	12,083,000	$	14,112,000
Raw and processed materials		10,122,000		10,874,000
	$	22,205,000	$	24,986,000

Inventories (Schedule Of Inventories) (Details)

Inventories (Schedule Of Inventories) (Details) - USD ($)	Dec. 31, 2016	Dec. 31, 2015
Inventories [Abstract]
Finished goods	$ 12,083,000	$ 14,112,000
Raw and processed materials	10,122,000	10,874,000
Total	$ 22,204,902	$ 24,985,560

Property, Plant And Equipment

12 Months Ended

Dec. 31, 2016

Property, Plant And Equipment [Abstract]

Property, Plant And Equipment

NOTE 4 - PROPERTY, PLANT AND EQUIPMENT

Property, plant and equipment and the estimated useful lives are as follows:



	Estimated	December 31
	useful life	2016		2015
Land		$	2,951,000	$	3,099,000
Buildings and improvements	7-40 years		9,112,000		9,422,000
Machinery and equipment	3-15 years		31,394,000		28,985,000
Furniture and fixtures	5-10 years		4,811,000		5,225,000
Construction in progress			259,000		1,166,000
			48,527,000		47,897,000
Less accumulated depreciation			(32,807,000)		(30,429,000)
		$	15,720,000	$	17,468,000

Property, Plant And Equipment (Tables)

12 Months Ended

Dec. 31, 2016

Property, Plant And Equipment [Abstract]

Schedule Of Property, Plant And Equipment



	Estimated	December 31
	useful life	2016		2015
Land		$	2,951,000	$	3,099,000
Buildings and improvements	7-40 years		9,112,000		9,422,000
Machinery and equipment	3-15 years		31,394,000		28,985,000
Furniture and fixtures	5-10 years		4,811,000		5,225,000
Construction in progress			259,000		1,166,000
			48,527,000		47,897,000
Less accumulated depreciation			(32,807,000)		(30,429,000)
		$	15,720,000	$	17,468,000

Property, Plant And Equipment (Schedule Of Property, Plant And Equipment) (Details)

Property, Plant And Equipment (Schedule Of Property, Plant And Equipment) (Details) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Property, Plant and Equipment [Line Items]
Total property, plant and equipment	$ 48,527,000	$ 47,897,000
Less accumulated depreciation	(32,807,000)	(30,429,000)
Property, plant and equipment, net	15,719,403	17,468,420
Land [Member]
Property, Plant and Equipment [Line Items]
Total property, plant and equipment	2,951,000	3,099,000
Buildings And Improvements [Member]
Property, Plant and Equipment [Line Items]
Total property, plant and equipment	9,112,000	9,422,000
Machinery And Equipment [Member]
Property, Plant and Equipment [Line Items]
Total property, plant and equipment	31,394,000	28,985,000
Furniture And Fixtures [Member]
Property, Plant and Equipment [Line Items]
Total property, plant and equipment	4,811,000	5,225,000
Construction In Progress [Member]
Property, Plant and Equipment [Line Items]
Total property, plant and equipment	$ 259,000	$ 1,166,000
Minimum [Member] \| Buildings And Improvements [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	7 years
Minimum [Member] \| Machinery And Equipment [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	3 years
Minimum [Member] \| Furniture And Fixtures [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	5 years
Maximum [Member] \| Buildings And Improvements [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	40 years
Maximum [Member] \| Machinery And Equipment [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	15 years
Maximum [Member] \| Furniture And Fixtures [Member]
Property, Plant and Equipment [Line Items]
Estimated useful life	10 years

Acquisition

Acquisition	12 Months Ended
Acquisition	Dec. 31, 2016
Acquisition [Abstract]
Acquisition	NOTE 5 – ACQUISITION On June 1, 2015, the Company acquired all of the shares of Twisted Technologies, Inc. (“Twisted Technologies”). The purchase price was $1,463,000, with cash acquired totaling $83,000. The purchase price included initial consideration of $1,000,000, deferred consideration of $300,000 paid out on March 31, 2016, and $163,000 in estimated contingent consideration. The Company has agreed to pay consideration contingent upon the Twisted Technologies business meeting revenue targets over a three-year period, with the consideration to be paid after each annual period has lapsed. The Company has recognized $163,000 as the estimated fair value of the contingent consideration at the date of acquisition. The maximum payout is not limited. At December 31, 2016 and 2015, the Company had estimated liabilities of $0 and $442,000, respectively, related to these outstanding deferred and contingent consideration payments. The assets and liabilities of Twisted Technologies were recorded in the consolidated balance sheet within the JDL Technologies segment at December 31, 2016. The purchase price allocation was based on estimates of the fair value of assets acquired and liabilities assumed and included total assets of $1,591,000, including goodwill of $1,463,000, and total liabilities of $128,000. The entire goodwill balance is deductible for tax purposes. The pro forma impact of Twisted Technologies was not significant to the Company’s results for the year ended December 31, 2015.

- Definition

The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable).

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=65885119&loc=d3e1497-128463

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=65885119&loc=d3e1490-128463

Reference 3: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=65885119&loc=d3e1392-128463

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=35744584&loc=d3e7008-128479

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=65885119&loc=d3e1486-128463

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
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Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Publisher FASB
-Name Accounting Standards Codification
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Reference 12: http://www.xbrl.org/2003/role/presentationRef
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Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
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Reference 15: http://www.xbrl.org/2003/role/presentationRef
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+ Details

Acquisition (Narrative) (Details)

Acquisition (Narrative) (Details) - USD ($)	Jun. 01, 2015	Dec. 31, 2016	Dec. 31, 2015
Business Acquisition [Line Items]
Contingent consideration at fair value		$ 0	$ 142,000
Goodwill		1,462,503	1,462,503
Twisted Technologies, Inc. [Member]
Business Acquisition [Line Items]
Total purchase price of acquired entity	$ 1,463,000
Cash acquired in acquisition	83,000
Business acquisition, initial cash consideration paid	1,000,000
Business acquisition, deferred consideration	300,000
Business acquisition, liabliites arising from contingencies		0	$ 442,000
Contingent consideration at fair value	$ 163,000
Contingent consideration period	3 years
Business acquisition, fair value of assets acquired and liabilities assumed		1,591,000
Goodwill		1,463,000
Business acquisition, liabilities		$ 128,000

Goodwill And Intangible Assets

12 Months Ended

Dec. 31, 2016

Goodwill And Intangible Assets [Abstract]

Goodwill And Intangible Assets

NOTE 6 –GOODWILL AND INTANGIBLE ASSETS

The changes in the carrying amount of goodwill for the year ended December 31, 2016 by segment are as follows:



	JDL

January 1, 2016	$	1,463,000

Goodwill acquired		-

December 31, 2016	$	1,463,000

Gross goodwill		1,463,000
Accumulated impairment loss		-
Balance at December 31, 2016	$	1,463,000

The Company’s identifiable intangible assets with finite lives are being amortized over their estimated useful lives and are included within other assets in the consolidated balance sheets and were as follows:



		December 31, 2016
		Gross Carrying Amount		Accumulated Amortization		Foreign Currency Translation		Net

Trademarks	$	91,000	$	(50,000)	$	(20,000)	$	21,000
Customer relationships		491,000		(200,000)		(122,000)		169,000
Technology		229,000		(172,000)		(57,000)		-
	$	811,000	$	(422,000)	$	(199,000)	$	190,000


		December 31, 2015
		Gross Carrying Amount		Accumulated Amortization		Foreign Currency Translation		Net

Trademarks	$	91,000	$	(48,000)	$	(8,000)	$	35,000
Customer relationships		491,000		(197,000)		(46,000)		248,000
Technology		229,000		(183,000)		(22,000)		24,000
	$	811,000	$	(428,000)	$	(76,000)	$	307,000

Amortization expense on these identifiable intangible assets was $74,000, $101,000, and $107,000 in 2016, 2015, and 2014 respectively. The amortization expense is included in selling, general and administrative expenses. The estimated future amortization expense for identifiable intangible assets during the next five fiscal years is as follows:



Year Ending December 31:
2017	$	47,000
2018		43,000
2019		38,000
2020		38,000
2021		22,000

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References + Details

Goodwill And Intangible Assets (Tables)

12 Months Ended

Dec. 31, 2016

Goodwill And Intangible Assets [Abstract]

Schedule Of Changes In Carrying Amount Of Goodwill



	JDL

January 1, 2016	$	1,463,000

Goodwill acquired		-

December 31, 2016	$	1,463,000

Gross goodwill		1,463,000
Accumulated impairment loss		-
Balance at December 31, 2016	$	1,463,000

Schedule Of Finite-Lived Intangible Assets



		December 31, 2016
		Gross Carrying Amount		Accumulated Amortization		Foreign Currency Translation		Net

Trademarks	$	91,000	$	(50,000)	$	(20,000)	$	21,000
Customer relationships		491,000		(200,000)		(122,000)		169,000
Technology		229,000		(172,000)		(57,000)		-
	$	811,000	$	(422,000)	$	(199,000)	$	190,000


		December 31, 2015
		Gross Carrying Amount		Accumulated Amortization		Foreign Currency Translation		Net

Trademarks	$	91,000	$	(48,000)	$	(8,000)	$	35,000
Customer relationships		491,000		(197,000)		(46,000)		248,000
Technology		229,000		(183,000)		(22,000)		24,000
	$	811,000	$	(428,000)	$	(76,000)	$	307,000

Schedule Of Estimated Future Amortization Expense



Year Ending December 31:
2017	$	47,000
2018		43,000
2019		38,000
2020		38,000
2021		22,000

Goodwill And Intangible Assets (Narrative) (Details)

Goodwill And Intangible Assets (Narrative) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Goodwill And Intangible Assets [Abstract]
Amortization expense	$ 74	$ 101	$ 107

Goodwill And Intangible Assets (Schedule Of Changes In Carrying Amount Of Goodwill) (Details)

Goodwill And Intangible Assets (Schedule Of Changes In Carrying Amount Of Goodwill) (Details) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2016
Goodwill And Intangible Assets [Abstract]
January 1, 2016	$ 1,462,503
Goodwill acquired
December 31, 2016	1,462,503
Gross goodwill		$ 1,463,000
Accumulated impairment loss
Balance at December 31, 2016	$ 1,462,503	$ 1,462,503

Goodwill And Intangible Assets (Schedule Of Finite-Lived Intangible Assets) (Details)

Goodwill And Intangible Assets (Schedule Of Finite-Lived Intangible Assets) (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 811	$ 811
Accumulated Amortization	(422)	(428)
Foreign Currency Translation	(199)	(76)
Net	190	307
Trademarks [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	91	91
Accumulated Amortization	(50)	(48)
Foreign Currency Translation	(20)	(8)
Net	21	35
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	491	491
Accumulated Amortization	(200)	(197)
Foreign Currency Translation	(122)	(46)
Net	169	248
Technology [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	229	229
Accumulated Amortization	(172)	(183)
Foreign Currency Translation	$ (57)	(22)
Net		$ 24

Goodwill And Intangible Assets (Schedule Of Estimated Future Amortization Expense) (Details)

Goodwill And Intangible Assets (Schedule Of Estimated Future Amortization Expense) (Details) $ in Thousands	Dec. 31, 2016 USD ($)
Goodwill And Intangible Assets [Abstract]
2017	$ 47
2018	43
2019	38
2020	38
2021	$ 22

Employee Retirement Benefits

12 Months Ended

Dec. 31, 2016

Employee Retirement Benefits [Abstract]

Employee Retirement Benefits

NOTE 7 - EMPLOYEE RETIREMENT BENEFITS

The Company has an Employee Savings Plan (401(k)) and matches a percentage of employee contributions up to six percent of compensation. Contributions to the plan in 2016, 2015 and 2014 were $554,000, $591,000, and $528,000, respectively.

The Company’s U.K.-based subsidiary Austin Taylor maintained a defined benefit pension plan for its employees through March 31, 2016. The Company does not provide any other post-retirement benefits to its employees.

Components of the Company’s net periodic pension (benefit) cost are:



		2016		2015		2014
Service cost	$	-	$	50,000	$	8,000
Interest cost		26,000		122,000		143,000
Expected return on assets		(24,000)		(162,000)		(188,000)
Plan settlement costs		(43,000)		1,720,000		-
Amortization of prior service cost		-		-		-
Net periodic pension (benefit) cost	$	(41,000)	$	1,730,000	$	(37,000)

The Company settled all its obligations under the Austin Taylor pension plan in the first quarter of 2016. The Company had contributed $650,000 toward the settlement of the pension into annuities in 2015, which resulted in the recognition of $1,222,000 of pension settlement costs in the income statement in the fourth quarter of 2015. The Company contributed an additional $68,000 toward the settlement in the first quarter of 2016, which resulted in a benefit of $43,000 recorded within operating expenses. As a result of the final settlement of all of its pension obligations, in the first quarter of 2016, the Company recorded $4,148,000 in pension liability adjustment gains previously recorded in accumulated other comprehensive income within operating expenses in the consolidated statement of income.

Employee Retirement Benefits (Tables)

12 Months Ended

Dec. 31, 2016

Employee Retirement Benefits [Abstract]

Summary Of Components Of Net Periodic (Benefit) Cost



		2016		2015		2014
Service cost	$	-	$	50,000	$	8,000
Interest cost		26,000		122,000		143,000
Expected return on assets		(24,000)		(162,000)		(188,000)
Plan settlement costs		(43,000)		1,720,000		-
Amortization of prior service cost		-		-		-
Net periodic pension (benefit) cost	$	(41,000)	$	1,730,000	$	(37,000)

Employee Retirement Benefits (Narrative) (Details)

Employee Retirement Benefits (Narrative) (Details) - USD ($)	3 Months Ended		12 Months Ended
	Mar. 31, 2016	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan Disclosure [Line Items]
Contributions to the plan			$ 554,000	$ 591,000	$ 528,000
Pension settlement costs				1,222,276
Pension liability adjustments			$ (4,147,836)
Maximum matching percentage by employer			6.00%
Austin Taylor Pension Plan [Member]
Defined Benefit Plan Disclosure [Line Items]
Contributions to the plan	$ 68,000			650,000
Pension settlement costs	$ 43,000	$ 1,222,000	$ 43,000	$ (1,720,000)

Employee Retirement Benefits (Summary Of Components Of Net Periodic (Benefit) Cost) (Details)

Employee Retirement Benefits (Summary Of Components Of Net Periodic (Benefit) Cost) (Details) - USD ($)	3 Months Ended		12 Months Ended
	Mar. 31, 2016	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan Disclosure [Line Items]
Plan settlement costs				$ (1,222,276)
Austin Taylor Pension Plan [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost				50,000	$ 8,000
Interest cost			$ 26,000	122,000	143,000
Expected return on assets			(24,000)	(162,000)	(188,000)
Plan settlement costs	$ (43,000)	$ (1,222,000)	(43,000)	1,720,000
Amortization of prior service cost
Net periodic pension (benefit) cost			$ (41,000)	$ 1,730,000	$ (37,000)

Commitments And Contingencies

12 Months Ended

Dec. 31, 2016

Commitments And Contingencies [Abstract]

Commitments And Contingencies

NOTE 8 – COMMITMENTS AND CONTINGENCIES

Operating leases: The Company leases land, buildings and equipment under operating leases with original terms from 1 to 5 years. Total rent expense was $620,000, $517,000 and $546,000 in 2016, 2015 and 2014 respectively. At December 31, 2016, the Company was obligated under non-cancelable operating leases to make minimum annual future lease payments as follows:



Year Ending December 31:
2017	$	253,000
2018		205,000
2019		125,000
2020		83,000
2021		83,000
Thereafter		447,000
	$	1,196,000

Long-term debt: The mortgage on the Company’s headquarters building was payable in monthly installments and carried an interest rate of 6.83%. The mortgage matured on March 1, 2016 and the Company made payments totaling $104,000 in the first quarter of 2016 to fully settle the liability. The mortgage was secured by the building.

Line of credit: The Company has a $15,000,000 line of credit from Wells Fargo Bank. The Company had no outstanding borrowings against the line of credit at December 31, 2016 and 2015. Due to the revolving nature of loans under our credit facility, additional borrowings and periodic repayments and re-borrowings may be made until the maturity date. The total amount available for borrowings under our credit facility at December 31, 2016 was $10,901,000, based on the borrowing base calculation. Interest on borrowings on the credit line is at LIBOR plus 2.0% (2.8% at December 31, 2016). The credit agreement expires August 12, 2021 and is secured by assets of the Company. Our credit agreement contains financial covenants including a minimum liquidity balance of $10,000,000. Liquidity is calculated as the sum of unrestricted cash, marketable securities and the availability on the line of credit.

As of December 31, 2016, the Company had no other material commitments (either cancelable or non-cancelable) for capital expenditures or other purchase commitments related to ongoing operations.

Long-term compensation plans: The Company has a long term incentive plan. The plan provides long-term competitive compensation to enable the Company to attract and retain qualified executive talent and to reward employees for achieving goals and improving company performance. The plan provides grants of “performance units” made at the beginning of performance periods and paid at the end of the period if performance goals are met. Awards were previously made every other year and are paid following the end of the cycle with annual vesting. Payment in the case of retirement, disability or death will be on a pro rata basis. The Company recognized expense of $16,000, $0 and $0 in 2016, 2015 and 2014, respectively. Accrual balances for long-term compensation plans at December 31, 2016 and 2015 were $16,000 and $0, respectively. Awards paid were $0 in 2016, $0 in 2015 and $199,000 in 2014. Awards for the 2012 to 2014 cycles were paid out 25% in cash and 75% in stock. Awards for the 2013 to 2015 cycles, 2014 to 2016 cycles, and 2015 to 2017 cycles will be paid out 100% in stock. Awards under the 2016 to 2018 plan will be paid out 50% in cash and 50% in stock. The stock portion of these awards are treated as equity plans and included within the Stock Compensation footnote within the Deferred Stock Outstanding section below.

Other contingencies: In the ordinary course of business, the Company is exposed to legal actions and claims and incurs costs to defend against such actions and claims. Company management is not aware of any outstanding or pending legal actions or claims that would materially affect the Company’s financial position, results of operations, or cash flows.

Commitments And Contingencies (Tables)

12 Months Ended

Dec. 31, 2016

Commitments And Contingencies [Abstract]

Minimum Future Lease Payments



Year Ending December 31:
2017	$	253,000
2018		205,000
2019		125,000
2020		83,000
2021		83,000
Thereafter		447,000
	$	1,196,000

Commitments And Contingencies (Narrative) (Details)

Commitments And Contingencies (Narrative) (Details) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2016	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Commitments and Contingencies [Line Items]
Rent expense		$ 620,000	$ 517,000	$ 546,000
Accrued (income)/expense for long-term compensation plans		16,000	0	0
Accrual for long-term compensation plans		16,000	0
Long-term compensation plan, payments for awards		$ 0	0	$ 199,000
Long-term compensation plan, percentage paid out in cash, cycle 1		25.00%
Long-term compensation plan, percentage paid out in stock, cycle 1		75.00%
Long-term compensation plan, percentage paid out in stock, cycle 2		100.00%
Long-term compensation plan, percentage paid out in cash, cycle 3		50.00%
Long-term compensation plan, percentage paid out in stock, cycle 3		50.00%
Mortgage [Member]
Commitments and Contingencies [Line Items]
Interest rate		6.83%
Payment to settle mortgage	$ 104,000
Line of Credit [Member]
Commitments and Contingencies [Line Items]
Line of credit, amount outstanding		$ 0	$ 0
Line of credit, maximum borrowing capacity		15,000,000
Line of credit, remaining borrowing capacity		$ 10,901,000
Line of credit, basis spread on variable rate		2.00%
Line of credit facility, interest rate at period end		2.80%
Maximum [Member]
Commitments and Contingencies [Line Items]
Operating lease terms		5 years
Minimum [Member]
Commitments and Contingencies [Line Items]
Operating lease terms		1 year
Minimum [Member] \| Line of Credit [Member]
Commitments and Contingencies [Line Items]
Line of credit, covenant, liquidity requirement		$ 10,000,000

Commitments And Contingencies (Minimum Future Lease Payments) (Details)

Commitments And Contingencies (Minimum Future Lease Payments) (Details) $ in Thousands	Dec. 31, 2016 USD ($)
Commitments And Contingencies [Abstract]
2017	$ 253
2018	205
2019	125
2020	83
2021	83
Thereafter	447
Total minimum future lease payments	$ 1,196

Stock Compensation

12 Months Ended

Dec. 31, 2016

Stock Compensation [Abstract]

Stock Compensation

NOTE 9 – STOCK COMPENSATION

2011 Executive Incentive Compensation Plan

On March 28, 2011 the Board adopted and on May 19, 2011 the Company’s shareholders approved the Company’s 2011 Executive Incentive Compensation Plan (“2011 Incentive Plan”). The 2011 Incentive Plan authorizes incentive awards to officers, key employees and non-employee directors in the form of options (incentive and non-qualified), stock appreciation rights, restricted stock, restricted stock units, performance stock units (“deferred stock”), performance cash units, and other awards in stock, cash, or a combination of stock and cash. On May 21, 2015, the Company’s shareholders approved an amendment to the 2011 Incentive Plan to increase the authorized shares by 1,000,000 to 2,000,000. As a result, up to 2,000,000 shares of our common stock may be issued pursuant to awards under the 2011 Incentive Plan, as amended.

During 2016, stock options covering 325,968 shares were awarded to key executive employees and non-employee directors, which options expire seven years from the date of award and vest 25% each year beginning one year after the date of award. The Company also granted deferred stock awards of 93,828 shares to key employees during 2016 under the Company’s long-term incentive plan for the 2016 to 2018 period. The actual number of shares of deferred stock, if any, that are ultimately earned by the respective employees will be determined based on achievement against performance goals for each of the three years ending December 31, 2018 and the shares earned will be issued in the first quarter of 2019 to those key employees still with the Company at that time.

At December 31, 2016, 137,583 shares have been issued under the 2011 Incentive Plan, 1,026,094 shares are subject to currently outstanding options, deferred stock awards, and unvested restricted stock units, and 836,323 shares remained available for future issuance under the 2011 Incentive Plan.

Stock Option Plan for Directors

Shares of common stock are reserved for issuance to non-employee directors under options granted by the Company prior to 2011 under its Stock Option Plan for Non-Employee Directors (the “Director Plan”). Under the Director Plan nonqualified stock options to acquire 3,000 shares of common stock were automatically granted to each non-employee director concurrent with annual meetings of shareholders in 2010 and earlier years and vested immediately. The exercise price of options granted was the fair market value of the common stock on the date of the respective shareholder meetings. Options granted under the Director Plan expire 10 years from date of grant.

The Director Plan was suspended as of May 19, 2011 to prohibit automatic option grants in 2011 in connection with seeking and receiving shareholder approval of the 2011 Incentive Plan, at the 2011 Annual Meeting of Shareholders. As shareholder approval was received, the Board amended the Director Plan to prohibit any future option awards under that plan on August 11, 2011. As of December 31, 2016, there were 63,000 shares subject to outstanding options under the Director Plan.

1992 Stock Plan

Under the Company’s 1992 Stock Plan (“the Stock Plan”), shares of common stock may be issued pursuant to stock options, restricted stock or deferred stock grants to officers and key employees. Exercise prices of stock options under the Stock Plan cannot be less than fair market value of the stock on the date of grant. Rules and conditions governing awards of stock options, restricted stock and deferred stock are determined by the Compensation Committee of the Board of Directors, subject to certain limitations in the Stock Plan. When seeking approval of the 2011 Incentive Plan at the 2011 Annual Meeting of Shareholders, the Company committed to amending the Stock Plan to prohibit the issuance of future equity awards if such approval was given. Effective August 11, 2011, the amendment to prohibit future stock options or other equity awards was approved by the Board.

At December 31, 2016 after reserving for stock options and deferred stock awards described in the two preceding paragraphs and adjusting for forfeitures and issuances during the year, there were 10,230 shares reserved for issuance under the Stock Plan. The Company has not awarded stock options or deferred stock under the Stock Plan since 2011.

Stock Options Outstanding

The following table summarizes changes in the number of outstanding stock options under the Director Plan, Stock Plan and the 2011 Incentive Plan during the three years ended December 31, 2016.



		Weighted average		Weighted average
		exercise price		remaining
	Options	per share		contractual term
Outstanding – December 31, 2013	309,439	$	11.66	4.13 years
Awarded	317,722		12.30
Exercised	(12,000)		8.28
Forfeited	(74,757)		13.20
Outstanding – December 31, 2014	540,404	$	11.90	5.13 years
Awarded	248,258		11.31
Exercised	(12,000)		10.21
Forfeited	(54,738)		12.21
Outstanding – December 31, 2015	721,924	$	11.70	4.89 years
Awarded	325,968		6.66
Exercised	-		-
Forfeited	(124,962)		10.39
Outstanding – December 31, 2016	922,930		10.10	4.9 years

Exercisable at December 31, 2016	501,599	$	11.30	4.18 years
Expected to vest December 31, 2016	922,930		10.10	4.9 years

The fair value of awards issued under the Company’s stock option plan is estimated at grant date using the Black-Scholes option-pricing model. The following table displays the assumptions used in the model.



	Year Ended December 31
	2016	2015	2014
Expected volatility	29.5%	30.7%	31.4%
Risk free interest rate	1.5%	1.6%	2.7%
Expected holding period	6 years	6 years	6 years
Dividend yield	9.1%	5.7%	5.2%

Total unrecognized compensation expense was $168,000 as of December 31, 2016, which is expected to be recognized over the next 2.1 years. The aggregate intrinsic value of all outstanding options, exercisable options, and options expected to vest (the amount by which the market price of the stock on the last day of the period exceeded the market price of the stock on the date of grant) was $0 based on the Company’s stock price at December 31, 2016. The intrinsic value of options exercised during the year was $0, $10,000 and $40,000 in 2016, 2015 and 2014, respectively. Net cash proceeds from the exercise of all stock options were $0, $0 and $99,000 for 2016, 2015 and 2014, respectively. The following table summarizes the status of stock options outstanding at December 31, 2016:



		Weighted Average	Weighted
		Remaining	Average
Range of Exercise Prices	Shares	Option Life	Exercise Price
$5.50 to $7.99	289,200	6.3 years		6.61
$8.00 to $9.99	18,000	2.4 years		9.73
$10.00 to $12.00	466,824	4.5 years		11.32
$12.01 to $14.50	148,906	3.7 years		13.07

The Company receives an income tax benefit related to the gains received by officers and key employees who make disqualifying dispositions of stock received on exercise of qualified incentive stock options and on non-qualified options. The amount of tax benefit received by the Company was $0, $4,000 and $14,000 in 2016, 2015 and 2014 respectively. The tax benefit amounts have been credited to additional paid-in capital.

Deferred Stock Outstanding

The following table summarizes the changes in the number of deferred stock shares under the Stock Plan and 2011 Incentive Plan over the period December 31, 2013 to December 31, 2016:



		Weighted Average
		Grant Date
	Shares	Fair Value
Outstanding – December 31, 2013	200,140	$	11.47
Granted	48,824		12.52
Vested	(16,754)		13.81
Forfeited	(70,896)		13.02
Outstanding – December 31, 2014	161,314		10.87
Granted	103,017		11.52
Vested	(18,940)		12.37
Forfeited	(118,964)		10.27
Outstanding – December 31, 2015	126,427		11.73
Granted	102,161		7.28
Vested	(23,095)		11.36
Forfeited	(56,233)		9.60
Outstanding – December 31, 2016	149,260		9.55

The grant date fair value is calculated based on the Company’s closing stock price as of the grant date. As of December 31, 2016, the total unrecognized compensation expense related to the deferred stock shares was $171,000 and is expected to be recognized over a weighted-average period of 1.2 years.

Restricted Stock Units Outstanding

The following table summarizes the changes in the number of restricted stock units under the 2011 Incentive Plan over the period December 31, 2013 to December 31, 2016:



		Weighted Average
		Grant Date
	Shares	Fair Value
Outstanding – December 31, 2013	53,193	$	10.44
Granted	13,973		11.98
Vested	(28,015)		10.89
Forfeited	-		-
Outstanding – December 31, 2014	39,151		10.67
Granted	20,979		11.06
Vested	(27,314)		10.08
Forfeited	-		-
Outstanding – December 31, 2015	32,816		11.41
Granted	13,793		6.33
Vested	(19,023)		10.90
Forfeited	(452)		11.05
Outstanding – December 31, 2016	27,134		8.65

The grant date fair value is calculated based on the Company’s closing stock price as of the grant date. As of December 31, 2016, the total unrecognized compensation expense related to the restricted stock units was $33,000 and is expected to be recognized over a weighted-average period of 0.4 years.

Compensation Expense

Share-based compensation expense is recognized based on the fair value of awards granted over the vesting period of the award. Share-based compensation expense recognized for 2016, 2015 and 2014 was $632,000, $899,000 and $785,000 before income taxes and $411,000, $584,000 and $510,000 after income taxes, respectively. Share-based compensation expense is recorded as a part of selling, general and administrative expenses.

Employee Stock Purchase Plan

Under the Company’s Employee Stock Purchase Plan (“ESPP”) employees are able to acquire shares of common stock at 85% of the price at the end of each current quarterly plan term. The most recent term ended December 31, 2016. The ESPP is considered compensatory under current rules. At December 31, 2016, after giving effect to the shares issued as of that date, 76,865 shares remain available for purchase under the ESPP.

Employee Stock Ownership Plan (ESOP)

All eligible employees of the Company participate in the ESOP after completing one year of service. Contributions are allocated to each participant based on compensation and vest 20% after two years of service and incrementally thereafter, with full vesting after six years. At December 31, 2016, the ESOP held 595,959 shares of the Company’s common stock, all of which have been allocated to the accounts of eligible employees. Contributions to the plan are determined by the Board of Directors and can be made in cash or shares of the Company’s stock. The 2016 ESOP contribution was $218,758 for which the Company will issue 47,248 shares in March 2016. The 2015 ESOP contribution was $467,731 for which the Company issued 60,197 shares in 2016. The Company’s 2014 ESOP contribution was $395,220 for which the Company issued 37,640 shares of common stock to the ESOP in 2015.

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References + Details

Stock Compensation (Tables)

12 Months Ended

Dec. 31, 2016

Stock Compensation [Abstract]

Schedule Of Changes In Number Of Outstanding Stock Options Under Director Plan, Stock Plan And 2011 Incentive Plan



		Weighted average		Weighted average
		exercise price		remaining
	Options	per share		contractual term
Outstanding – December 31, 2013	309,439	$	11.66	4.13 years
Awarded	317,722		12.30
Exercised	(12,000)		8.28
Forfeited	(74,757)		13.20
Outstanding – December 31, 2014	540,404	$	11.90	5.13 years
Awarded	248,258		11.31
Exercised	(12,000)		10.21
Forfeited	(54,738)		12.21
Outstanding – December 31, 2015	721,924	$	11.70	4.89 years
Awarded	325,968		6.66
Exercised	-		-
Forfeited	(124,962)		10.39
Outstanding – December 31, 2016	922,930		10.10	4.9 years

Exercisable at December 31, 2016	501,599	$	11.30	4.18 years
Expected to vest December 31, 2016	922,930		10.10	4.9 years

Valuation Assumptions Of Stock Option Plan



	Year Ended December 31
	2016	2015	2014
Expected volatility	29.5%	30.7%	31.4%
Risk free interest rate	1.5%	1.6%	2.7%
Expected holding period	6 years	6 years	6 years
Dividend yield	9.1%	5.7%	5.2%

Summary Of The Status Of Stock Options Outstanding



		Weighted Average	Weighted
		Remaining	Average
Range of Exercise Prices	Shares	Option Life	Exercise Price
$5.50 to $7.99	289,200	6.3 years		6.61
$8.00 to $9.99	18,000	2.4 years		9.73
$10.00 to $12.00	466,824	4.5 years		11.32
$12.01 to $14.50	148,906	3.7 years		13.07

Schedule Of Changes In The Number Of Deferred Stock Shares Under The Stock Plan And Incentive Plan



		Weighted Average
		Grant Date
	Shares	Fair Value
Outstanding – December 31, 2013	200,140	$	11.47
Granted	48,824		12.52
Vested	(16,754)		13.81
Forfeited	(70,896)		13.02
Outstanding – December 31, 2014	161,314		10.87
Granted	103,017		11.52
Vested	(18,940)		12.37
Forfeited	(118,964)		10.27
Outstanding – December 31, 2015	126,427		11.73
Granted	102,161		7.28
Vested	(23,095)		11.36
Forfeited	(56,233)		9.60
Outstanding – December 31, 2016	149,260		9.55

Schedule Of Changes In Restricted Stock Units Outstanding



		Weighted Average
		Grant Date
	Shares	Fair Value
Outstanding – December 31, 2013	53,193	$	10.44
Granted	13,973		11.98
Vested	(28,015)		10.89
Forfeited	-		-
Outstanding – December 31, 2014	39,151		10.67
Granted	20,979		11.06
Vested	(27,314)		10.08
Forfeited	-		-
Outstanding – December 31, 2015	32,816		11.41
Granted	13,793		6.33
Vested	(19,023)		10.90
Forfeited	(452)		11.05
Outstanding – December 31, 2016	27,134		8.65

Stock Compensation (Narrative) (Details)

Stock Compensation (Narrative) (Details) - USD ($)		1 Months Ended	12 Months Ended
Stock Compensation (Narrative) (Details) - USD ($)	May 21, 2015	Mar. 31, 2016	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options outstanding			922,930	721,924	540,404	309,439
Unrecognized compensation expense related to stock options			$ 168,000
Aggregate intrinsic value of options outstanding			0
Intrinsic value of all options exercised			0	$ 10,000	$ 40,000
Net cash proceeds from exercise of stock options			0	0	99,000
Share based compensation expense before income taxes			632,000	899,000	785,000
Share based compensation expense after income taxes			411,000	584,000	510,000
Excess tax benefits from exercise of stock options			$ 0	4,000	$ 14,000
Shares of ESOP allocated to accounts of eligible employees			595,959
ESOP contributions		$ 218,758	$ 467,731	$ 395,220
Issuance of common stock to Employee Stock Ownership Plan, Shares		47,248	60,197	37,640
2011 Executive Incentive Compensation Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of additional awards authorized	1,000,000
Number of awards authorized	2,000,000
Number of options granted			325,968
Award expiration period			7 years
Shares issued under Plan			137,583
Number of options outstanding			1,026,094
Awards eligible for grant			836,323
2011 Executive Incentive Compensation Plan [Member] \| Share-based Compensation Award, Tranche One [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage			25.00%
Stock Option Plan For Directors [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options outstanding			63,000
1992 Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards eligible for grant			10,230
Employee Stock Ownership Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period			6 years
Initial award vesting period			2 years
Requisite service period			1 year
Employee Stock Ownership Plan [Member] \| Share-based Compensation Award, Tranche One [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage			20.00%
Non-Employee Directors [Member] \| Stock Option Plan For Directors [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award expiration period			10 years
Number of shares automatically granted to each non-employee director			3,000
Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Recognition period for unrecognized compensation expense			2 years 1 month 6 days
Deferred Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense for awards			$ 171,000
Recognition period for unrecognized compensation expense			1 year 2 months 12 days
Deferred Stock [Member] \| Key Employees [Member] \| 2011 Executive Incentive Compensation Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Deferred stock awards granted			93,828
Employee Stock Purchase Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage of price of common stock at which employees are able to acquire			85.00%
Awards eligible for grant			76,865
Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense for awards			$ 33,000
Recognition period for unrecognized compensation expense			4 months 24 days

Stock Compensation (Schedule Of Changes In Number Of Outstanding Stock Options Under Director Plan, Stock Plan And 2011 Incentive Plan) (Details)

Stock Compensation (Schedule Of Changes In Number Of Outstanding Stock Options Under Director Plan, Stock Plan And 2011 Incentive Plan) (Details) - $ / shares	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Stock Compensation [Abstract]
Options, Outstanding	721,924	540,404	309,439
Options, Awarded	325,968	248,258	317,722
Options, Exercised		(12,000)	(12,000)
Options, Forfeited	(124,962)	(54,738)	(74,757)
Options, Outstanding	922,930	721,924	540,404	309,439
Options, Exercisable	501,599
Options, Expected to vest	922,930
Weighted average exercise price per share, Outstanding	$ 11.70	$ 11.90	$ 11.66
Weighted average exercise price per share, Awarded	6.66	11.31	12.30
Weighted average exercise price per share, Exercised		10.21	8.28
Weighted average exercise price per share, Forfeited	10.39	12.21	13.20
Weighted average exercise price per share, Outstanding	10.10	$ 11.70	$ 11.90	$ 11.66
Weighted average exercise price per share, Exercisable	11.30
Weighted average exercise price per share, Expected to vest	$ 10.10
Options, Outstanding - Weighted average remaining contractual term (in years)	4 years 10 months 24 days	4 years 10 months 21 days	5 years 1 month 17 days	4 years 1 month 17 days
Options, Exercisable - Weighted average remaining contractual term (in years)	4 years 2 months 5 days
Options, Expected to vest - Weighted average remaining contractual term (in years)	4 years 10 months 24 days

Stock Compensation (Valuation Assumptions Of Stock Option Plan) (Details)

Stock Compensation (Valuation Assumptions Of Stock Option Plan) (Details)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Stock Compensation [Abstract]
Expected volatility	29.50%	30.70%	31.40%
Risk free interest rate	1.50%	1.60%	2.70%
Expected holding period	6 years	6 years	6 years
Dividend yield	9.10%	5.70%	5.20%

Stock Compensation (Summary Of The Status Of Stock Options Outstanding) (Details)

Stock Compensation (Summary Of The Status Of Stock Options Outstanding) (Details)	12 Months Ended
	Dec. 31, 2016 $ / shares shares
$5.50 to $7.99 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, lower limit	$ 5.50
Range of Exercise Prices, upper limit	$ 7.99
Shares \| shares	289,200
Weighted Average Remaining Option Life	6 years 3 months 18 days
Weighted Average Exercise Price	$ 6.61
$8.00 to $9.99 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, lower limit	8.00
Range of Exercise Prices, upper limit	$ 9.99
Shares \| shares	18,000
Weighted Average Remaining Option Life	2 years 4 months 24 days
Weighted Average Exercise Price	$ 9.73
$10.00 to $12.00 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, lower limit	10.00
Range of Exercise Prices, upper limit	$ 12.00
Shares \| shares	466,824
Weighted Average Remaining Option Life	4 years 6 months
Weighted Average Exercise Price	$ 11.32
$12.01 to $14.50 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, lower limit	12.01
Range of Exercise Prices, upper limit	$ 14.50
Shares \| shares	148,906
Weighted Average Remaining Option Life	3 years 8 months 12 days
Weighted Average Exercise Price	$ 13.07

Stock Compensation (Schedule Of Changes In The Number Of Deferred Stock Shares Under The Stock Plan And Incentive Plan) (Details)

Stock Compensation (Schedule Of Changes In The Number Of Deferred Stock Shares Under The Stock Plan And Incentive Plan) (Details) - Deferred Stock [Member] - $ / shares	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Outstanding	126,427	161,314	200,140
Shares, Granted	102,161	103,017	48,824
Shares, Vested	(23,095)	(18,940)	(16,754)
Shares, Forfeited	(56,233)	(118,964)	(70,896)
Shares, Outstanding	149,260	126,427	161,314
Weighted Average Grant Date Fair Value, Outstanding	$ 11.73	$ 10.87	$ 11.47
Weighted Average Grant Date Fair Value, Granted	7.28	11.52	12.52
Weighted Average Grant Date Fair Value, Vested	11.36	12.37	13.81
Weighted Average Grant Date Fair Value, Forfeited	9.60	10.27	13.02
Weighted Average Grant Date Fair Value, Outstanding	$ 9.55	$ 11.73	$ 10.87

Stock Compensation (Schedule Of Changes In Restricted Stock Units Outstanding) (Details)

Stock Compensation (Schedule Of Changes In Restricted Stock Units Outstanding) (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Outstanding	32,816	39,151	53,193
Shares, Granted	13,793	20,979	13,973
Shares, Vested	(19,023)	(27,314)	(28,015)
Shares, Forfeited	(452)
Shares, Outstanding	27,134	32,816	39,151
Weighted Average Grant Date Fair Value, Outstanding	$ 11.41	$ 10.67	$ 10.44
Weighted Average Grant Date Fair Value, Granted	6.33	11.06	11.98
Weighted Average Grant Date Fair Value, Vested	10.90	10.08	10.89
Weighted Average Grant Date Fair Value, Forfeited	11.05
Weighted Average Grant Date Fair Value, Outstanding	$ 8.65	$ 11.41	$ 10.67

Common Stock

Common Stock	12 Months Ended
Common Stock	Dec. 31, 2016
Common Stock [Abstract]
Common Stock	NOTE 10 – COMMON STOCK PURCHASES OF COMMUNICATIONS SYSTEMS, INC. COMMON STOCK In October 2008, the Company’s Board of Directors authorized the repurchase of shares of the Company’s stock pursuant to Exchange Act Rule 10b-18 on the open market, in block trades or in private transactions. At December 31, 2016, 411,910 additional shares could be repurchased under outstanding Board authorizations. SHAREHOLDER RIGHTS PLAN On December 23, 2009 the Board of Directors adopted a shareholders’ rights plan. Under this plan, the Board of Directors declared a distribution of one right per share of common stock. Each right entitles the holder to purchase 1/100th of a share of a new series of Junior Participating Preferred Stock of the Company at an initial exercise price of $41. The rights expire on December 23, 2019. The rights will become exercisable only following the acquisition by a person or group, without the prior consent of the Board of Directors, of 16.5% or more of the Company’s voting stock, or following the announcement of a tender offer or exchange offer to acquire an interest of 16.5% or more. If the rights become exercisable, each rightholder will be entitled to purchase, at the exercise price, common stock with a market value equal to twice the exercise price. Should the Company be acquired, each right would entitle the holder to purchase, at the exercise price, common stock of the acquiring company with a market value equal to twice the exercise price. Any rights owned by the acquiring person or group would become void.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section S99
-Paragraph 4
-Subparagraph (SAB Topic 4.E)
-URI http://asc.fasb.org/extlink&oid=27010918&loc=d3e74567-122707

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21484-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(29))
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21488-112644

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(e))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(31))
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 4
-Subparagraph (SAB Topic 4.C)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187143-122770

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(30))
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(d))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 30
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6405834&loc=d3e23285-112656

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Preferred Stock
-URI http://asc.fasb.org/extlink&oid=6521494

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21463-112644

Reference 16: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21564-112644

+ Details

Common Stock (Narrative) (Details)

Common Stock (Narrative) (Details) - $ / shares	Dec. 31, 2016	Dec. 23, 2009
Common Stock [Abstract]
Remaining number of shares authorized to be repurchased	411,910
Number of rights distributed for each share of common stock		1
Number of securities into which each right may be converted		0.01
Exercise price of right		$ 41
Percentage of common stock required to be purchased for rights to become exercisable		16.50%

Income Taxes

12 Months Ended

Dec. 31, 2016

Income Taxes [Abstract]

Income Taxes

NOTE 11 - INCOME TAXES

Income tax expense from continuing operations consists of the following:



	Year Ended December 31
	2016		2015		2014
Current year income taxes:
Federal	$	27,000	$	(3,142,000)	$	328,000
State		(20,000)		(85,000)		(12,000)
Foreign		258,000		254,000		113,000
		265,000		(2,973,000)	$	429,000

Deferred income taxes (benefit):
Federal	$	48,000	$	2,191,000	$	761,000
State		5,000		38,000		40,000
Foreign		(61,000)		(9,000)		(11,000)
		(8,000)		2,220,000		790,000

	$	257,000	$	(753,000)	$	1,219,000

Austin Taylor Communications, Ltd. operates in the United Kingdom (U.K.) and is subject to U.K. rather than U.S. income taxes. Austin Taylor had pretax income of $615,000 in 2016 and pretax losses of $1,742,000 and $389,000 in 2015 and 2014 respectively. At the end of 2016, Austin Taylor’s net operating loss carry-forward was $7,462,000. The Company remains uncertain that it will be able to generate the future income needed to realize the tax benefit of the carry-forward. Accordingly, the Company has continued to maintain its deferred tax valuation allowance against any potential carry-forward benefit from Austin Taylor.

Net2Edge, formally known as Transition Networks EMEA, Ltd., operates in the U.K. and is subject to U.K. rather than U.S. income taxes. Transition Networks EMEA, Ltd. had pretax losses of $2,114,000 and $54,000 in 2016 and 2014, respectively and pretax losses of $558,000 in 2015. Austin Taylor's net operating loss provided group relief to Transition Networks EMEA, Ltd. during 2015. At the end of 2016, Transition Networks EMEA, Ltd.’s net operating loss carry-forward was $2,040,000.

In 2007, Transition Networks China began operations in China and is subject to Chinese taxes rather than U.S. income taxes. Transition Networks China had pretax loss of $0 and $29,000 in 2016 and 2015, respectively, and pretax income of $345,000 in 2014. At the end of 2016, Transition Networks China's net operating loss carry-forward was $374,000. Due to the history of losses in China the Company remains uncertain that it will be able to generate the future income needed to realize the tax benefit of the carry-forward. Accordingly, the Company has continued to maintain its deferred tax valuation reserve against the potential carry-forward benefit. Transition Networks China ceased operations in 2014 and incurred minor non-operating expenditures in 2015 to close the operations. As of 2016, Transition Networks China no longer has any operational activity.

Suttle Costa Rica operates in Costa Rica and is subject to Costa Rica income taxes. In 2005, the Board of Directors of Suttle Costa Rica declared a dividend in the amount of $3,500,000 payable to the Company. The dividend and related “dividend reinvestment plan” qualify under Internal Revenue Code Sec. 965, which allows the Company to receive an 85% dividend-received deduction if the amount of the dividend is reinvested in the United States pursuant to a domestic reinvestment plan. The Company made the required qualified capital expenditures in 2006. It is the Company’s intention to maintain the remaining undistributed earnings in its Costa Rica subsidiary to support continued operations there. No deferred taxes have been provided for the undistributed earnings. As of December 31, 2016, the amount of unremitted earnings outside of the United States was not significant to the Company’s liquidity and was available to fund investments abroad.

Suttle Costa Rica had pretax income of $463,000, $446,000 and $321,000 in 2016, 2015 and 2014 respectively.

In April 2016, we received notification from the Internal Revenue Service that they would be performing an examination of our 2012 and 2013 federal consolidated income tax returns. As of December 31, 2016, the examination was still in progress. We do not expect that any settlement or payment that may result from the examination will have a material effect on our results of operations.

The provision for income taxes for continuing operations varied from the federal statutory tax rate as follows:



	Year Ended December 31
	2016	2015	2014
Tax at U.S. statutory rate	35.0%	35.0%	35.0%
Surtax exemption	(0.6)	(1.1)	(0.7)
State income taxes, net of federal benefit	0.2	0.6	1.0
Foreign income taxes, net of
foreign tax credits	(7.2)	(3.6)	7.8
Other nondeductible items	(0.9)	0.0	3.1
Effect of (decrease) increase in uncertain tax positions	0.0	(1.4)	(10.2)
Federal credits	-	15.1	-
Change in valuation allowance	(30.1)	(35.2)	-
Other	0.3	(2.2)	2.3
Effective tax rate	-3.3%	7.2%	38.3%

Deferred tax assets and liabilities as of December 31 related to the following:



		2016		2015
Deferred tax assets:
Allowance for doubtful accounts	$	26,000	$	41,000
Inventory		2,381,000		2,016,000
Accrued and prepaid expenses		449,000		440,000
Domestic net operating loss carry-forward		2,784,000		1,208,000
Long-term compensation plans		344,000		351,000
Nonemployee director stock compensation		663,000		554,000
Other stock compensation		210,000		195,000
Foreign net operating loss carry-forwards and credits		2,129,000		2,008,000
Federal and state credits		926,000		927,000
Other		38,000		30,000


Gross deferred tax assets		9,950,000		7,770,000
Valuation allowance		(8,117,000)		(5,668,000)

Net deferred tax assets		1,833,000		2,102,000

Deferred tax liabilities
Depreciation		(1,817,000)		(2,141,000)
Intangible assets		(69,000)		(22,000)

Net deferred tax liability		(1,886,000)		(2,163,000)

Total net deferred tax (liability) asset	$	(53,000)	$	(61,000)

The Company assesses the available positive and negative evidence to estimate if sufficient future taxable income will be generated to use the existing deferred tax assets. A significant piece of objective negative evidence evaluated was the cumulative loss incurred over the three-year period ending December 31, 2016. Such objective evidence limits the ability to consider other subjective evidence such as the projections for future growth. On the basis of this evaluation, as of December 31, 2016, a valuation allowance of $8,117,000 has been recorded to reflect the portion of the deferred tax asset that is more likely than not to be realized. The amount of deferred tax asset considered realizable, however, could be adjusted if estimates of future taxable income during the carryforward period are reduced or increased or if objective negative evidence in the form of cumulative losses is no longer present and additional weight may be given to subjective evidence such as the Company’s projections for growth.

At December 31, 2016, the Company has a federal net operating loss carryforward from 2016 activity of approximately $8,432,000 that is available to offset future taxable income and begins to expire in 2035. Included in the federal net operating loss amount is approximately $203,000 of deductions relating from the exercise of stock options.

During 2015, the Company engaged in a research and development tax credit study for the tax years 2011 to 2014. As a result of this study, the Company claimed $1,554,000 of federal and $1,024,000 of state research and development credits. The Company amended prior year tax returns to claim these credits and offset prior year taxes paid. Credits not utilized to reduce taxes are available to be carried forward. At December 31, 2016, the Company has an estimated federal research and development credit carryforward of approximately $496,000 and a state research and development credit carryforward of approximately $594,000.

The Company assesses uncertain tax positions in accordance with ASC 740. Under this method, the Company must recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such uncertain tax positions are measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate resolution. The Company’s practice is to recognize interest and penalties related to income tax matters in income tax expense.

Changes in the Company’s uncertain tax positions are summarized as follows:



		2016		2015		2014
Uncertain tax positions – January 1	$	217,000	$	75,000	$	240,000
Gross increases - tax positions in prior period		0		142,000		0
Gross decreases - tax positions in prior period		0		0		(73,000)
Settlements		0		0		(85,000)
Expiration of statute of limitations		(10,000)		0		(7,000)
Uncertain tax positions – December 31, 2016	$	207,000	$	217,000	$	75,000

Included in the balance of uncertain tax positions at December 31, 2016 are $219,000 of tax benefits that if recognized would affect the tax rate. There are no expected significant changes in the Company’s uncertain tax positions in the next twelve months. The Company’s income tax liability accounts included accruals for interest and penalties of $19,000 at December 31, 2016. The Company’s 2016 income tax expense decreased by $15,000 due to net decreases for accrued interest and penalties.

The Company’s federal and state tax returns and tax returns it has filed in Costa Rica and the United Kingdom are open for review going back to the 2012 tax year.

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2016

Income Taxes [Abstract]

Income Tax Expense By Jurisdiction



	Year Ended December 31
	2016		2015		2014
Current year income taxes:
Federal	$	27,000	$	(3,142,000)	$	328,000
State		(20,000)		(85,000)		(12,000)
Foreign		258,000		254,000		113,000
		265,000		(2,973,000)	$	429,000

Deferred income taxes (benefit):
Federal	$	48,000	$	2,191,000	$	761,000
State		5,000		38,000		40,000
Foreign		(61,000)		(9,000)		(11,000)
		(8,000)		2,220,000		790,000

	$	257,000	$	(753,000)	$	1,219,000

Reconciliation Of Effective Tax Rate, By Percentage



	Year Ended December 31
	2016	2015	2014
Tax at U.S. statutory rate	35.0%	35.0%	35.0%
Surtax exemption	(0.6)	(1.1)	(0.7)
State income taxes, net of federal benefit	0.2	0.6	1.0
Foreign income taxes, net of
foreign tax credits	(7.2)	(3.6)	7.8
Other nondeductible items	(0.9)	0.0	3.1
Effect of (decrease) increase in uncertain tax positions	0.0	(1.4)	(10.2)
Federal credits	-	15.1	-
Change in valuation allowance	(30.1)	(35.2)	-
Other	0.3	(2.2)	2.3
Effective tax rate	-3.3%	7.2%	38.3%

Schedule Of Deferred Tax Assets And Liabilities



		2016		2015
Deferred tax assets:
Allowance for doubtful accounts	$	26,000	$	41,000
Inventory		2,381,000		2,016,000
Accrued and prepaid expenses		449,000		440,000
Domestic net operating loss carry-forward		2,784,000		1,208,000
Long-term compensation plans		344,000		351,000
Nonemployee director stock compensation		663,000		554,000
Other stock compensation		210,000		195,000
Foreign net operating loss carry-forwards and credits		2,129,000		2,008,000
Federal and state credits		926,000		927,000
Other		38,000		30,000


Gross deferred tax assets		9,950,000		7,770,000
Valuation allowance		(8,117,000)		(5,668,000)

Net deferred tax assets		1,833,000		2,102,000

Deferred tax liabilities
Depreciation		(1,817,000)		(2,141,000)
Intangible assets		(69,000)		(22,000)

Net deferred tax liability		(1,886,000)		(2,163,000)

Total net deferred tax (liability) asset	$	(53,000)	$	(61,000)

Schedule Of Unrecognized Tax Benefits



		2016		2015		2014
Uncertain tax positions – January 1	$	217,000	$	75,000	$	240,000
Gross increases - tax positions in prior period		0		142,000		0
Gross decreases - tax positions in prior period		0		0		(73,000)
Settlements		0		0		(85,000)
Expiration of statute of limitations		(10,000)		0		(7,000)
Uncertain tax positions – December 31, 2016	$	207,000	$	217,000	$	75,000

Income Taxes (Narrative) (Details)

Income Taxes (Narrative) (Details) - USD ($)	12 Months Ended
Income Taxes (Narrative) (Details) - USD ($)	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2005
Income Taxes [Line Items]
Uncertain tax benefit positions that would reduce the effective income tax rate if recognized	$ 219,000
Effective tax rate	(3.30%)	7.20%	38.30%
Federal tax rate	35.00%	35.00%	35.00%
Decrease in income tax rate due to the effect of foreign operations	7.20%	3.60%	(7.80%)
Dividends declared not paid	$ 412,542	$ 1,474,892	$ 1,446,498
Dividend-received deduction	85.00%
Cumulative loss, period used to evaluate negative objective evidence	3 years
Valuation allowance	$ 8,117,000
Accrual for interest and penalties	19,000
Net increase (decrease) in accrued interest and penalties	(15,000)
Domestic Tax Authority [Member]
Income Taxes [Line Items]
Net operating loss carryforwards	8,432,000
Income tax benefit related to research and development credits	1,554,000
Tax credit carryforward related to research and development	$ 496,000
Operating loss carryforward expiration date	Dec. 31, 2035
Stock options exercised, deduction to federal net operating loss	$ 203,000
State and Local Jurisdiction [Member]
Income Taxes [Line Items]
Income tax benefit related to research and development credits	1,024,000
Tax credit carryforward related to research and development	594,000
Austin Taylor Communications, Ltd. [Member]
Income Taxes [Line Items]
Pretax income (losses)	615,000	(1,742,000)	(389,000)
Net operating loss carryforwards	7,462,000
Transition Networks EMEA, Ltd. [Member]
Income Taxes [Line Items]
Pretax income (losses)	(2,114,000)	(558,000)	(54,000)
Net operating loss carryforwards	2,040,000
Transition Networks China [Member]
Income Taxes [Line Items]
Pretax income (losses)	0	(29,000)	345,000
Net operating loss carryforwards	374,000
Suttle Costa Rica, S.A. [Member]
Income Taxes [Line Items]
Pretax income (losses)	$ 463,000	$ 446,000	$ 321,000
Dividends declared not paid				$ 3,500,000

Income Taxes (Income Tax Expense By Jurisdiction) (Details)

Income Taxes (Income Tax Expense By Jurisdiction) (Details) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income Taxes [Abstract]
Current year income taxes: Federal	$ 27,000	$ (3,142,000)	$ 328,000
Current year income taxes: State	(20,000)	(85,000)	(12,000)
Current year income taxes: Foreign	258,000	254,000	113,000
Current year income taxes	265,000	(2,973,000)	429,000
Deferred income taxes (benefit): Federal	48,000	2,191,000	761,000
Deferred income taxes (benefit): State	5,000	38,000	40,000
Deferred income taxes (benefit): Foreign	(61,000)	(9,000)	(11,000)
Deferred income taxes (benefit)	(8,456)	2,220,623	790,402
Income taxes (benefit)	$ 256,950	$ (753,415)	$ 1,219,355

Income Taxes (Reconciliation Of Effective Tax Rate, By Percentage) (Details)

Income Taxes (Reconciliation Of Effective Tax Rate, By Percentage) (Details)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income Taxes [Abstract]
Tax at U.S. statutory rate	35.00%	35.00%	35.00%
Surtax exemption	(0.60%)	(1.10%)	(0.70%)
State income taxes, net of federal benefit	0.20%	0.60%	1.00%
Foreign income taxes, net of foreign tax credits	(7.20%)	(3.60%)	7.80%
Other nondeductible items	(0.90%)	0.00%	3.10%
Effect of (decrease) increase in uncertain tax positions	0.00%	(1.40%)	(10.20%)
Federal credits		15.10%
Change in valuation allowance	(30.10%)	(35.20%)
Other	0.30%	(2.20%)	2.30%
Effective tax rate	(3.30%)	7.20%	38.30%

Income Taxes (Schedule Of Deferred Tax Assets And Liabilities) (Details)

Income Taxes (Schedule Of Deferred Tax Assets And Liabilities) (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Income Taxes [Abstract]
Allowance for doubtful accounts	$ 26	$ 41
Inventory	2,381	2,016
Accrued and prepaid expenses	449	440
Domestic net operating loss carry-forward	2,784	1,208
Long-term compensation plans	344	351
Nonemployee director stock compensation	663	554
Other stock compensation	210	195
Foreign net operating loss carry-forwards and credits	2,129	2,008
Federal and state credits	926	927
Other	38	30
Gross deferred tax assets	9,950	7,770
Valuation allowance	(8,117)	(5,668)
Net deferred tax assets	1,833	2,102
Depreciation	(1,817)	(2,141)
Intangible assets	(69)	(22)
Net deferred tax liability	(1,886)	(2,163)
Total net deferred tax (liability) asset	$ (53)	$ (61)

Income Taxes (Schedule Of Unrecognized Tax Benefits) (Details)

Income Taxes (Schedule Of Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income Taxes [Abstract]
Unrecognized tax benefits - January 1	$ 217	$ 75	$ 240
Gross increases - tax positions in prior period	0	142	0
Gross decreases - tax positions in prior period	0	0	(73)
Settlements	0	0	(85)
Expiration of statute of limitations	(10)	0	(7)
Uncertain tax positions - December 31, 2016	$ 207	$ 217	$ 75

Information Concerning Industry Segments And Major Customers

12 Months Ended

Dec. 31, 2016

Information Concerning Industry Segments And Major Customers [Abstract]

Information Concerning Industry Segments And Major Customers

NOTE 12- INFORMATION CONCERNING INDUSTRY SEGMENTS AND MAJOR CUSTOMERS

Effective January 1, 2016, the Company realigned its business operations. As a result of the realignment, the Company has segregated its Transition Networks subsidiary TN EMEA (now renamed Net2Edge) as a separate operating segment because Net2Edge’s business has a distinct product offering, requires different management and addresses a different market opportunity. Following this realignment, the Company classifies its businesses into four segments as follows:

Suttle manufactures and markets connectivity infrastructure products for broadband and voice communications;

Transition Networks manufactures media converters, NIDs, NICs, Ethernet switches and other connectivity products that offer the ability to affordably integrate the benefits of fiber optics into any data network;

JDL Technologies provides technology solutions that address prevalent IT challenges, including virtualization and cloud solutions, managed services, wired and wireless network design and implementation, and converged infrastructure configuration and deployment; and

Net2Edge develops, manufactures and sells products that enable telecommunications carriers to connect legacy networks to high-speed services.

Management has chosen to organize the enterprise and disclose reportable segments based on products and services. Intersegment revenues are eliminated upon consolidation. To conform to the 2016 presentation, the Company has reclassified 2015 and 2014 segment information to present the Net2Edge business unit as a separate segment.

Suttle products are sold principally to U.S. customers. Suttle operates manufacturing facilities in the U.S. and Costa Rica. Net long-lived assets held in foreign countries were approximately $2,914,000 and $2,932,000 at December 31, 2016 and 2015, respectively. Transition Networks manufactures its products in the United States and makes sales in both the U.S. and international markets. JDL Technologies operates in the U.S. and makes sales in the U.S. Net2Edge operates in the U.K. and primarily makes sales in the international markets. Consolidated sales to U.S. customers were approximately 85%, 81% and 86% of sales from continuing operations in 2016, 2015 and 2014 respectively. In 2016, sales to one of Suttle’s customers accounted for 12.0% of consolidated sales and one of JDL’s customers accounted for 11.3% of consolidated sales. In 2015, sales to one of Suttle’s customers accounted for 16.2% of consolidated sales and one of JDL’s customers accounted for 10.9% of consolidated sales. In 2014, sales to one of Suttle’s customers accounted for 33.6% of consolidated sales. At December 31, 2016, Suttle had one customer that made up 25% of consolidated accounts receivables and Transition Networks had one customer that made up 17% of consolidated accounts receivable. At December 31, 2015, Suttle had one customer that made up 29% of consolidated accounts receivable and Transition Networks had one customer that made up 15% of consolidated accounts receivable.

Information concerning the Company’s operations in the various segments for the twelve-month periods ended December 31, 2016, 2015 and 2014 is as follows:



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
2016
Sales	$	42,076,000	$	41,093,000	$	15,464,000	$	1,873,000	$	-	$	(1,153,000)	$	99,353,000
Cost of sales		38,193,000		23,607,000		10,245,000		904,000		-		(177,000)		72,772,000
Gross profit		3,883,000		17,486,000		5,219,000		969,000		-		(976,000)		26,581,000
Selling, general and
administrative expenses		12,525,000		17,180,000		3,296,000		3,141,000		-		(956,000)		35,186,000
Pension liability adjustments		-		-		-		-		(4,148,000)		-		(4,148,000)
Operating (loss) income	$	(8,642,000)	$	306,000	$	1,923,000	$	(2,172,000)	$	4,148,000	$	(20,000)	$	(4,457,000)

Depreciation and amortization	$	2,461,000	$	852,000	$	267,000	$	103,000	$	-	$	-	$	3,683,000

Capital expenditures	$	1,625,000	$	188,000	$	232,000	$	18,000	$	244,000	$	(20,000)	$	2,287,000

Assets	$	33,555,000	$	17,518,000	$	4,767,000	$	1,464,000	$	15,900,000	$	(27,000)	$	73,177,000



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
2015
Sales	$	50,082,000	$	41,469,000	$	15,672,000	$	1,353,000	$	-	$	(906,000)	$	107,670,000
Cost of sales		41,232,000		23,702,000		10,866,000		638,000		-		(314,000)		76,124,000
Gross profit		8,850,000		17,767,000		4,806,000		715,000		-		(592,000)		31,546,000
Selling, general and
administrative expenses		15,285,000		19,005,000		3,635,000		3,490,000		-		(585,000)		40,830,000
Pension settlement costs		-		-		-		-		1,222,000		-		1,222,000
Operating income (loss)	$	(6,435,000)	$	(1,238,000)	$	1,171,000	$	(2,775,000)	$	(1,222,000)	$	(7,000)	$	(10,506,000)

Depreciation and amortization	$	2,125,000	$	897,000	$	150,000	$	141,000	$	-	$	-	$	3,313,000

Capital expenditures	$	1,710,000	$	288,000	$	263,000	$	25,000	$	115,000	$	(7,000)	$	2,394,000

Assets	$	38,163,000	$	21,729,000	$	5,964,000	$	1,783,000	$	20,284,000	$	(7,000)	$	87,916,000



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
2014
Sales	$	67,331,000	$	41,945,000	$	8,567,000	$	1,619,000	$	-	$	(390,000)	$	119,072,000
Cost of sales		46,339,000		23,539,000		6,599,000		826,000		-		(390,000)		76,913,000
Gross profit		20,992,000		18,406,000		1,968,000		793,000		-		-		42,159,000
Selling, general and
administrative expenses		14,389,000		18,645,000		2,846,000		2,748,000		-		-		38,628,000
Restructuring expense		-		238,000		-				-		-		238,000
Operating income (loss)	$	6,603,000	$	(477,000)	$	(878,000)	$	(1,955,000)	$	-	$	-	$	3,293,000

Depreciation and amortization	$	1,386,000	$	797,000	$	152,000	$	147,000	$	-	$	-	$	2,482,000

Capital expenditures	$	4,471,000	$	563,000	$	43,000	$	26,000	$	474,000	$	-	$	5,577,000

Assets	$	38,083,000	$	24,123,000	$	3,816,000	$	2,385,000	$	31,879,000	$	-	$	100,286,000

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 34
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8981-108599

Reference 2: http://www.xbrl.org/2003/role/presentationRef
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 4: http://www.xbrl.org/2003/role/presentationRef
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Reference 5: http://www.xbrl.org/2003/role/presentationRef
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Reference 6: http://www.xbrl.org/2003/role/presentationRef
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Reference 7: http://www.xbrl.org/2003/role/presentationRef
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Reference 8: http://www.xbrl.org/2003/role/presentationRef
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Reference 9: http://www.xbrl.org/2003/role/presentationRef
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Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
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+ Details

Information Concerning Industry Segments And Major Customers (Tables)

12 Months Ended

Dec. 31, 2016

Information Concerning Industry Segments And Major Customers [Abstract]

Schedule Of Segment Information



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
2016
Sales	$	42,076,000	$	41,093,000	$	15,464,000	$	1,873,000	$	-	$	(1,153,000)	$	99,353,000
Cost of sales		38,193,000		23,607,000		10,245,000		904,000		-		(177,000)		72,772,000
Gross profit		3,883,000		17,486,000		5,219,000		969,000		-		(976,000)		26,581,000
Selling, general and
administrative expenses		12,525,000		17,180,000		3,296,000		3,141,000		-		(956,000)		35,186,000
Pension liability adjustments		-		-		-		-		(4,148,000)		-		(4,148,000)
Operating (loss) income	$	(8,642,000)	$	306,000	$	1,923,000	$	(2,172,000)	$	4,148,000	$	(20,000)	$	(4,457,000)

Depreciation and amortization	$	2,461,000	$	852,000	$	267,000	$	103,000	$	-	$	-	$	3,683,000

Capital expenditures	$	1,625,000	$	188,000	$	232,000	$	18,000	$	244,000	$	(20,000)	$	2,287,000

Assets	$	33,555,000	$	17,518,000	$	4,767,000	$	1,464,000	$	15,900,000	$	(27,000)	$	73,177,000



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
2015
Sales	$	50,082,000	$	41,469,000	$	15,672,000	$	1,353,000	$	-	$	(906,000)	$	107,670,000
Cost of sales		41,232,000		23,702,000		10,866,000		638,000		-		(314,000)		76,124,000
Gross profit		8,850,000		17,767,000		4,806,000		715,000		-		(592,000)		31,546,000
Selling, general and
administrative expenses		15,285,000		19,005,000		3,635,000		3,490,000		-		(585,000)		40,830,000
Pension settlement costs		-		-		-		-		1,222,000		-		1,222,000
Operating income (loss)	$	(6,435,000)	$	(1,238,000)	$	1,171,000	$	(2,775,000)	$	(1,222,000)	$	(7,000)	$	(10,506,000)

Depreciation and amortization	$	2,125,000	$	897,000	$	150,000	$	141,000	$	-	$	-	$	3,313,000

Capital expenditures	$	1,710,000	$	288,000	$	263,000	$	25,000	$	115,000	$	(7,000)	$	2,394,000

Assets	$	38,163,000	$	21,729,000	$	5,964,000	$	1,783,000	$	20,284,000	$	(7,000)	$	87,916,000



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
2014
Sales	$	67,331,000	$	41,945,000	$	8,567,000	$	1,619,000	$	-	$	(390,000)	$	119,072,000
Cost of sales		46,339,000		23,539,000		6,599,000		826,000		-		(390,000)		76,913,000
Gross profit		20,992,000		18,406,000		1,968,000		793,000		-		-		42,159,000
Selling, general and
administrative expenses		14,389,000		18,645,000		2,846,000		2,748,000		-		-		38,628,000
Restructuring expense		-		238,000		-				-		-		238,000
Operating income (loss)	$	6,603,000	$	(477,000)	$	(878,000)	$	(1,955,000)	$	-	$	-	$	3,293,000

Depreciation and amortization	$	1,386,000	$	797,000	$	152,000	$	147,000	$	-	$	-	$	2,482,000

Capital expenditures	$	4,471,000	$	563,000	$	43,000	$	26,000	$	474,000	$	-	$	5,577,000

Assets	$	38,083,000	$	24,123,000	$	3,816,000	$	2,385,000	$	31,879,000	$	-	$	100,286,000

Information Concerning Industry Segments And Major Customers (Narrative) (Details)

Information Concerning Industry Segments And Major Customers (Narrative) (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2016 USD ($) segment customer	Dec. 31, 2015 USD ($) customer	Dec. 31, 2014 customer
Segment Reporting Information [Line Items]
Number of segments \| segment	4
Foreign Countries [Member] \| Suttle [Member]
Segment Reporting Information [Line Items]
Long-lived assets \| $	$ 2,914	$ 2,932
United States [Member] \| Sales [Member]
Segment Reporting Information [Line Items]
Concentration risk percentage	85.00%	81.00%	86.00%
One Customer [Member] \| Sales [Member] \| JDL Technologies [Member]
Segment Reporting Information [Line Items]
Concentration risk percentage	11.30%	10.90%
Number of customers	1	1
One Customer [Member] \| Sales [Member] \| Suttle [Member]
Segment Reporting Information [Line Items]
Concentration risk percentage	12.00%	16.20%	33.60%
Number of customers	1	1	1
One Customer [Member] \| Accounts Receivable [Member] \| Suttle [Member]
Segment Reporting Information [Line Items]
Concentration risk percentage	25.00%	29.00%
Number of customers	1	1
One Customer [Member] \| Accounts Receivable [Member] \| Transition Networks [Member]
Segment Reporting Information [Line Items]
Concentration risk percentage	17.00%	15.00%
Number of customers	1	1

Information Concerning Industry Segments And Major Customers (Schedule Of Segment Information) (Details)

Information Concerning Industry Segments And Major Customers (Schedule Of Segment Information) (Details) - USD ($)	3 Months Ended								12 Months Ended
	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Segment Reporting Information [Line Items]
Sales	$ 22,759,000	$ 25,617,000	$ 26,311,000	$ 24,666,000	$ 27,681,000	$ 32,246,000	$ 28,198,000	$ 19,545,000	$ 99,352,934	$ 107,669,524	$ 119,071,439
Cost of sales									72,771,393	76,123,362	76,912,881
Gross profit									26,581,000	31,546,000	42,159,000
Selling, general and administrative expenses									35,185,924	40,829,755	38,627,801
Pension liability adjustments									(4,147,836)
Pension settlement costs										1,222,276
Restructuring expense									0	0	237,838
Operating (loss) income	(1,891,000)	$ (1,175,000)	$ (2,671,000)	$ 1,280,000	(3,528,000)	$ 431,000	$ (1,718,000)	$ (5,691,000)	(4,456,547)	(10,505,869)	3,292,919
Depreciation and amortization									3,683,009	3,312,587	2,482,300
Capital expenditures									2,287,000	2,394,000	5,577,000
Assets	73,177,016				87,916,230				73,177,016	87,916,230	100,286,000
Intersegment Eliminations [Member]
Segment Reporting Information [Line Items]
Sales									(1,153,000)	(906,000)	(390,000)
Cost of sales									(177,000)	(314,000)	(390,000)
Gross profit									(976,000)	(592,000)
Selling, general and administrative expenses									(956,000)	(585,000)
Operating (loss) income									(20,000)	(7,000)
Capital expenditures									(20,000)	(7,000)
Assets	(27,000)				(7,000)				(27,000)	(7,000)
Suttle [Member]
Segment Reporting Information [Line Items]
Sales									42,076,000	50,082,000	67,331,000
Cost of sales									38,193,000	41,232,000	46,339,000
Gross profit									3,883,000	8,850,000	20,992,000
Selling, general and administrative expenses									12,525,000	15,285,000	14,389,000
Operating (loss) income									(8,642,000)	(6,435,000)	6,603,000
Depreciation and amortization									2,461,000	2,125,000	1,386,000
Capital expenditures									1,625,000	1,710,000	4,471,000
Assets	33,555,000				38,163,000				33,555,000	38,163,000	38,083,000
Transition Networks [Member]
Segment Reporting Information [Line Items]
Sales									41,093,000	41,469,000	41,945,000
Cost of sales									23,607,000	23,702,000	23,539,000
Gross profit									17,486,000	17,767,000	18,406,000
Selling, general and administrative expenses									17,180,000	19,005,000	18,645,000
Restructuring expense											238,000
Operating (loss) income									306,000	(1,238,000)	(477,000)
Depreciation and amortization									852,000	897,000	797,000
Capital expenditures									188,000	288,000	563,000
Assets	17,518,000				21,729,000				17,518,000	21,729,000	24,123,000
JDL Technologies [Member]
Segment Reporting Information [Line Items]
Sales									15,464,000	15,672,000	8,567,000
Cost of sales									10,245,000	10,866,000	6,599,000
Gross profit									5,219,000	4,806,000	1,968,000
Selling, general and administrative expenses									3,296,000	3,635,000	2,846,000
Operating (loss) income									1,923,000	1,171,000	(878,000)
Depreciation and amortization									267,000	150,000	152,000
Capital expenditures									232,000	263,000	43,000
Assets	4,767,000				5,964,000				4,767,000	5,964,000	3,816,000
Net2Edge [Member]
Segment Reporting Information [Line Items]
Sales									1,873,000	1,353,000	1,619,000
Cost of sales									904,000	638,000	826,000
Gross profit									969,000	715,000	793,000
Selling, general and administrative expenses									3,141,000	3,490,000	2,748,000
Operating (loss) income									(2,172,000)	(2,775,000)	(1,955,000)
Depreciation and amortization									103,000	141,000	147,000
Capital expenditures									18,000	25,000	26,000
Assets	1,464,000				1,783,000				1,464,000	1,783,000	2,385,000
Other [Member]
Segment Reporting Information [Line Items]
Pension liability adjustments									(4,148,000)
Pension settlement costs										1,222,000
Operating (loss) income									4,148,000	(1,222,000)
Capital expenditures									244,000	115,000	474,000
Assets	$ 15,900,000				$ 20,284,000				$ 15,900,000	$ 20,284,000	$ 31,879,000

Fair Value Measurements

12 Months Ended

Dec. 31, 2016

Fair Value Measurements [Abstract]

Fair Value Measurements

NOTE 13 – FAIR VALUE MEASUREMENTS

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Assets and liabilities measured at fair value are classified using the following hierarchy, which is based upon the transparency of inputs to the valuation as of the measurement date:

Level 1 – Observable inputs that reflect unadjusted quoted prices for identical assets or liabilities in active markets that the Company has the ability to access at the measurement date.

Level 2 – Observable inputs such as quoted prices for similar instruments and quoted prices in markets that are not active, and inputs that are directly observable or can be corroborated by observable market data. The types of assets and liabilities included in Level 2 are typically either comparable to actively traded securities or contracts, such as treasury securities with pricing interpolated from recent trades of similar securities, or priced with models using highly observable inputs, such as commodity options priced using observable forward prices and volatilities.

Level 3 – Significant inputs to pricing that have little or no observability as of the reporting date. The types of assets and liabilities included in Level 3 are those with inputs requiring significant management judgment or estimation, such as the complex and subjective models and forecasts used to determine the fair value of financial instruments.

Financial assets and liabilities measured at fair value as of December 31, 2016 and December 31, 2015, are summarized below:



		December 31, 2016

	Level 1		Level 2		Level 3		Total Fair Value

Cash equivalents:
Money Market funds	$	3,851,000	$	-	$	-	$	3,851,000
Subtotal		3,851,000		-		-		3,851,000

Short-term investments:
Certificates of deposit		-		4,294,000		-		4,294,000
Corporate Notes/Bonds		-		1,511,000		-		1,511,000
Subtotal		-		5,805,000		-		5,805,000

Long-term investments:
Certificates of deposit		-		-		-		-
Corporate Notes/Bonds		-		-		-		-
Subtotal		-		-		-		-

Current Liabilities:		-
Accrued Consideration		-		-		-		-
Subtotal		-		-		-		-

Total	$	3,851,000	$	5,805,000	$	-	$	9,656,000



		December 31, 2015

	Level 1		Level 2		Level 3		Total Fair Value

Cash equivalents:
Money Market funds	$	1,944,000	$	-	$	-	$	1,944,000
Subtotal		1,944,000		-		-		1,944,000

Short-term investments:
Certificates of deposit		-		1,202,000		-		1,202,000
Corporate Notes/Bonds				4,027,000				4,027,000
Subtotal		-		5,229,000		-		5,229,000

Long-term investments:
Certificates of deposit		-		4,286,000		-		4,286,000
Corporate Notes/Bonds				2,007,000				2,007,000
Subtotal		-		6,293,000		-		6,293,000

Total	$	1,944,000	$	11,522,000	$	(142,000)	$	13,324,000

The estimated fair value of contingent consideration as of December 31, 2015 and 2016 was $142,000 and $0, respectively, as noted above. The estimated fair value is considered a level 3 measurement because the probability weighted discounted cash flow methodology used to estimate fair value includes the use of significant unobservable inputs, primarily the contractual contingent consideration revenue targets and assumed probabilities. The change in the estimated contingent consideration during the year ended December 31, 2016 resulted in a gain of $142,000 included in operating income. The gains were the result of a change in future assumptions related to the contingent consideration.

We record transfers between levels of the fair value hierarchy, if necessary, at the end of the reporting period. There were no transfers between levels during 2016 and 2015.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2016

Fair Value Measurements [Abstract]

Schedule Of Financial Assets And Liabilities Measured At Fair Value



		December 31, 2016

	Level 1		Level 2		Level 3		Total Fair Value

Cash equivalents:
Money Market funds	$	3,851,000	$	-	$	-	$	3,851,000
Subtotal		3,851,000		-		-		3,851,000

Short-term investments:
Certificates of deposit		-		4,294,000		-		4,294,000
Corporate Notes/Bonds		-		1,511,000		-		1,511,000
Subtotal		-		5,805,000		-		5,805,000

Long-term investments:
Certificates of deposit		-		-		-		-
Corporate Notes/Bonds		-		-		-		-
Subtotal		-		-		-		-

Current Liabilities:		-
Accrued Consideration		-		-		-		-
Subtotal		-		-		-		-

Total	$	3,851,000	$	5,805,000	$	-	$	9,656,000



		December 31, 2015

	Level 1		Level 2		Level 3		Total Fair Value

Cash equivalents:
Money Market funds	$	1,944,000	$	-	$	-	$	1,944,000
Subtotal		1,944,000		-		-		1,944,000

Short-term investments:
Certificates of deposit		-		1,202,000		-		1,202,000
Corporate Notes/Bonds				4,027,000				4,027,000
Subtotal		-		5,229,000		-		5,229,000

Long-term investments:
Certificates of deposit		-		4,286,000		-		4,286,000
Corporate Notes/Bonds				2,007,000				2,007,000
Subtotal		-		6,293,000		-		6,293,000

Total	$	1,944,000	$	11,522,000	$	(142,000)	$	13,324,000

Fair Value Measurements (Narrative) (Details)

Fair Value Measurements (Narrative) (Details) - USD ($)	12 Months Ended
Fair Value Measurements (Narrative) (Details) - USD ($)	Dec. 31, 2016	Dec. 31, 2015
Fair Value Measurements [Abstract]
Contingent consideration at fair value	$ 0	$ 142,000
Change in fair value of acquisition-related contingent consideration	(142,234)	(20,636)
Transfers between levels	$ 0	$ 0

Fair Value Measurements (Schedule Of Financial Assets And Liabilities Measured At Fair Value) (Details)

Fair Value Measurements (Schedule Of Financial Assets And Liabilities Measured At Fair Value) (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	$ 3,851	$ 1,944
Assets (Liabilities) Net, fair value	9,656	13,324
Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	3,851	1,944
Assets (Liabilities) Net, fair value	3,851	1,944
Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets (Liabilities) Net, fair value	5,805	11,522
Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets (Liabilities) Net, fair value		(142)
Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	3,851	1,944
Money Market Funds [Member] \| Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	3,851	1,944
Short-Term Investments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	5,805	5,229
Short-Term Investments [Member] \| Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	5,805	5,229
Short-Term Investments [Member] \| Certificates Of Deposit [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	4,294	1,202
Short-Term Investments [Member] \| Certificates Of Deposit [Member] \| Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	4,294	1,202
Short-Term Investments [Member] \| Corporate Notes/Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	1,511	4,027
Short-Term Investments [Member] \| Corporate Notes/Bonds [Member] \| Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	$ 1,511	4,027
Long-Term Investments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments		6,293
Long-Term Investments [Member] \| Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments		6,293
Long-Term Investments [Member] \| Certificates Of Deposit [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments		4,286
Long-Term Investments [Member] \| Certificates Of Deposit [Member] \| Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments		4,286
Long-Term Investments [Member] \| Corporate Notes/Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments		2,007
Long-Term Investments [Member] \| Corporate Notes/Bonds [Member] \| Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments		$ 2,007

Restructuring Charges

Restructuring Charges	12 Months Ended
Restructuring Charges	Dec. 31, 2016
Restructuring Charges [Abstract]
Restructuring Charges	NOTE 14 – RESTRUCTURING CHARGES During the year ended December 31, 2014, the Company recorded $238,000 in restructuring expense. This consisted of severance and related benefits costs due to the restructuring within the Transition Networks business segment, including ongoing costs related to the closure of the China facility. The facility was completely closed in the second quarter of 2014. The Company had no restructuring expenses for the years ended December 31, 2015 and 2016. In January 2017, the Company announced that it will be closing its Costa Rica facility in 2017.

Restructuring Charges (Details)

Restructuring Charges (Details) - USD ($)	12 Months Ended
Restructuring Charges (Details) - USD ($)	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Restructuring Charges [Abstract]
Restructuring expense	$ 0	$ 0	$ 237,838

Subsequent Events

Subsequent Events	12 Months Ended
Subsequent Events	Dec. 31, 2016
Subsequent Events [Abstract]
Subsequent Events	NOTE 15 – SUBSEQUENT EVENTS The Company has evaluated subsequent events through the date of this filing. We do not believe there are any material subsequent events which would require further disclosure.

Quarterly Operating Results

12 Months Ended

Dec. 31, 2016

Quarterly Operating Results [Abstract]

Quarterly Operating Results

(in thousands except per share amounts)

Unaudited



	Quarter Ended
		March 31		June 30		Sep 30		Dec 31
2016
Sales	$	24,666	$	26,311	$	25,617	$	22,759
Operating income (loss)1		1,280		(2,671)		(1,175)		(1,891)
Net loss		(2,467)		(2,544)		(1,264)		(1,839)

Basic net loss per share	$	(0.28)	$	(0.29)	$	(0.14)	$	(0.21)
Diluted net loss per share	$	(0.28)	$	(0.29)	$	(0.14)	$	(0.21)


2015
Sales	$	19,545	$	28,198	$	32,246	$	27,681
Operating (loss) income		(5,691)		(1,718)		431		(3,528)
Net (loss) income		(4,163)		(1,028)		1,284		(5,741)

Basic net (loss) income per share	$	(0.48)	$	(0.12)	$	0.15	$	(0.66)
Diluted net (loss) income per share	$	(0.48)	$	(0.12)	$	0.15	$	(0.66)

1 As part of the settlement of our pension plan, the Company recorded $4.1 million in pension liability gains previously recorded in accumulated other comprehensive income within operating expenses during 2016. Additionally, the Company recognized $4.2 million in foreign currency translation losses within Other (Expense) Income due to the substantial liquidation of our Austin Taylor subsidiary in the U.K.

Quarterly Operating Results (Tables)

12 Months Ended

Dec. 31, 2016

Quarterly Operating Results [Abstract]

Schedule Of Quarterly Operating Results



	Quarter Ended
		March 31		June 30		Sep 30		Dec 31
2016
Sales	$	24,666	$	26,311	$	25,617	$	22,759
Operating income (loss)1		1,280		(2,671)		(1,175)		(1,891)
Net loss		(2,467)		(2,544)		(1,264)		(1,839)

Basic net loss per share	$	(0.28)	$	(0.29)	$	(0.14)	$	(0.21)
Diluted net loss per share	$	(0.28)	$	(0.29)	$	(0.14)	$	(0.21)


2015
Sales	$	19,545	$	28,198	$	32,246	$	27,681
Operating (loss) income		(5,691)		(1,718)		431		(3,528)
Net (loss) income		(4,163)		(1,028)		1,284		(5,741)

Basic net (loss) income per share	$	(0.48)	$	(0.12)	$	0.15	$	(0.66)
Diluted net (loss) income per share	$	(0.48)	$	(0.12)	$	0.15	$	(0.66)

Quarterly Operating Results (Schedule Of Quarterly Operating Results) (Details)

Quarterly Operating Results (Schedule Of Quarterly Operating Results) (Details) - USD ($)	3 Months Ended								12 Months Ended
	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Quarterly Operating Results [Abstract]
Sales	$ 22,759,000	$ 25,617,000	$ 26,311,000	$ 24,666,000	$ 27,681,000	$ 32,246,000	$ 28,198,000	$ 19,545,000	$ 99,352,934	$ 107,669,524	$ 119,071,439
Operating income (loss)	(1,891,000)	(1,175,000)	(2,671,000)	1,280,000	(3,528,000)	431,000	(1,718,000)	(5,691,000)	(4,456,547)	(10,505,869)	3,292,919
Net (loss) income	$ (1,839,000)	$ (1,264,000)	$ (2,544,000)	$ (2,467,000)	$ (5,741,000)	$ 1,284,000	$ (1,028,000)	$ (4,163,000)	$ (8,113,548)	$ (9,648,308)	$ 1,961,873
Basic net (loss) income per share	$ (0.21)	$ (0.14)	$ (0.29)	$ (0.28)	$ (0.66)	$ 0.15	$ (0.12)	$ (0.48)	$ (0.92)	$ (1.11)	$ 0.23
Diluted net (loss) income per share	$ (0.21)	$ (0.14)	$ (0.29)	$ (0.28)	$ (0.66)	$ 0.15	$ (0.12)	$ (0.48)	$ (0.92)	$ (1.11)	$ 0.23
Additional minimum pension liability adjustments									$ (4,147,836)	$ 2,197,000	$ 155,000
Foreign currency translation loss									$ (4,238,497)

Valuation And Qualifying Accounts And Reserves

12 Months Ended

Dec. 31, 2016

Valuation And Qualifying Accounts And Reserves [Abstract]

Valuation And Qualifying Accounts And Reserves



COMMUNICATIONS SYSTEMS, INC. AND SUBSIDIARIES
Schedule II - Valuation and Qualifying Accounts and Reserves
(in thousands)

	Balance at		Additions		Deductions		Balance
	Beginning of		Charged to		from		at End
	Period		Cost and		Reserves		of Period
Description			Expenses

Income Tax Valuation Allowance

Year ended:

December 31, 2016	$	5,668	$	2,449	$	-	$	8,117

December 31, 2015	$	1,734	$	3,934	$	-	$	5,668

December 31, 2014	$	1,618	$	116	$	-	$	1,734

Valuation And Qualifying Accounts And Reserves (Details)

Valuation And Qualifying Accounts And Reserves (Details) - Allowance for Doubtful Accounts [Member] - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at Beginning of Period	$ 5,668	$ 1,734	$ 1,618
Additions Charged to Cost and Expenses	2,449	3,934	116
Deductions from Reserves
Balance at End of Period	$ 8,117	$ 5,668	$ 1,734