Document And Entity Information

Document And Entity Information - shares	9 Months Ended
Document And Entity Information - shares	Sep. 30, 2017	Nov. 01, 2017
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2017
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2017
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 Common Stock, Shares Outstanding		8,969,037

Condensed Consolidated Balance Sheets

Condensed Consolidated Balance Sheets - USD ($)	Sep. 30, 2017	Dec. 31, 2016
CURRENT ASSETS:
Cash and cash equivalents	$ 17,066,485	$ 10,443,274
Investments	725,112	5,805,276
Trade accounts receivable, less allowance for doubtful accounts of $117,000 and $77,000, respectively	13,807,564	14,552,191
Inventories	15,017,656	22,204,902
Prepaid income taxes	612,676	1,400,118
Other current assets	1,047,320	967,332
TOTAL CURRENT ASSETS	48,276,813	55,373,093
PROPERTY, PLANT AND EQUIPMENT, net	12,963,718	15,719,403
OTHER ASSETS:
Goodwill		1,462,503
Other assets, net	19,803	622,017
TOTAL OTHER ASSETS	19,803	2,084,520
TOTAL ASSETS	61,260,334	73,177,016
CURRENT LIABILITIES:
Accounts payable	5,391,519	6,953,710
Accrued compensation and benefits	2,618,752	2,149,973
Other accrued liabilities	1,711,065	1,851,938
Dividends payable	398,210	412,542
TOTAL CURRENT LIABILITIES	10,119,546	11,368,163
LONG TERM LIABILITIES:
Long-term compensation plans	34,287	16,299
Uncertain tax positions	3,649	106,864
Deferred income taxes		52,998
TOTAL LONG-TERM LIABILITIES	37,936	176,161
COMMITMENTS AND CONTINGENCIES (Footnote 7)
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; 8,963,516 and 8,877,379 shares issued and outstanding, respectively	448,176	443,869
Additional paid-in capital	41,894,426	41,279,281
Retained earnings	9,386,374	20,596,203
Accumulated other comprehensive loss	(626,124)	(686,661)
TOTAL STOCKHOLDERS' EQUITY	51,102,852	61,632,692
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 61,260,334	$ 73,177,016

Condensed Consolidated Balance Sheets (Parenthetical)

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Condensed Consolidated Balance Sheets [Abstract]
Trade accounts receivable, allowance for doubtful accounts	$ 117	$ 77
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	8,963,516	8,877,379
Common stock, shares outstanding	8,963,516	8,877,379

Condensed Consolidated Statements Of Loss And Comprehensive Loss

Condensed Consolidated Statements Of Loss And Comprehensive Loss - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Condensed Consolidated Statements Of Loss And Comprehensive Loss [Abstract]
Sales	$ 20,412,439	$ 25,616,640	$ 63,280,980	$ 76,594,526
Cost of sales	17,108,532	18,926,042	48,001,368	55,759,167
Gross profit	3,303,907	6,690,598	15,279,612	20,835,359
Operating expenses:
Selling, general and administrative expenses	7,161,323	7,866,009	21,516,625	27,550,271
Pension liability adjustment gains				(4,147,836)
Impairment loss			1,617,389
Restructuring expense	796,231		2,325,861
Total operating expenses	7,957,554	7,866,009	25,459,875	23,402,435
Operating loss	(4,653,647)	(1,175,411)	(10,180,263)	(2,567,076)
Other income (expenses):
Investment and other income	38,869	19,259	78,888	119,395
Gain (Loss) on sale of assets	26,222	(60,088)	(32,024)	748,234
Interest and other expense	(42,799)	(44,228)	(61,839)	(94,375)
Foreign currency translation loss				(4,238,497)
Other income (expense), net	22,292	(85,057)	(14,975)	(3,465,243)
Loss from operations before income taxes	(4,631,355)	(1,260,468)	(10,195,238)	(6,032,319)
Income tax (benefit) expense	(109,340)	3,301	(67,014)	242,617
Net loss	(4,522,015)	(1,263,769)	(10,128,224)	(6,274,936)
Other comprehensive income, net of tax:
Additional minimum pension liability adjustments				(4,147,836)
Unrealized (loss) gain on available-for-sale securities	(240)	(2,729)	(3,187)	35,575
Foreign currency translation adjustment	31,508	15,465	63,724	4,168,590
Total other comprehensive income	31,268	12,736	60,537	56,329
Comprehensive loss	$ (4,490,747)	$ (1,251,033)	$ (10,067,687)	$ (6,218,607)
Basic net loss per share:	$ (0.50)	$ (0.14)	$ (1.13)	$ (0.71)
Diluted net loss per share:	$ (0.50)	$ (0.14)	$ (1.13)	$ (0.71)
Weighted Average Basic Shares Outstanding	8,960,606	8,849,236	8,934,235	8,816,042
Weighted Average Dilutive Shares Outstanding	8,960,606	8,849,236	8,934,235	8,816,042
Dividends declared per share	$ 0.04	$ 0.04	$ 0.12	$ 0.36

Condensed Consolidated Statement Of Changes In Stockholders' Equity

Condensed Consolidated Statement Of Changes In Stockholders' Equity - 9 months ended Sep. 30, 2017 - USD ($)	Common Stock [Member]	Additional Paid-In Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Loss [Member]	Total
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
Net loss			(10,128,224)		(10,128,224)
Issuance of common stock under Employee Stock Purchase Plan	$ 907	79,857			80,764
Issuance of common stock under Employee Stock Purchase Plan, Shares	18,139
Issuance of common stock to Employee Stock Ownership Plan	$ 2,362	216,396			218,758
Issuance of common stock to Employee Stock Ownership Plan, Shares	47,248
Issuance of common stock under Executive Stock Plan	$ 1,128	0			1,128
Issuance of common stock under Executive Stock Plan, Shares	22,555
Share based compensation		327,261			327,261
Other share retirements, Shares	(1,805)
Other share retirements	$ (90)	(8,369)	789		(7,670)
Shareholder dividends			(1,082,394)		(1,082,394)
Other comprehensive income				60,537	60,537
BALANCE at Sep. 30, 2017	$ 448,176	$ 41,894,426	$ 9,386,374	$ (626,124)	$ 51,102,852
BALANCE, Shares at Sep. 30, 2017	8,963,516

Condensed Consolidated Statements Of Cash Flows

Condensed Consolidated Statements Of Cash Flows - USD ($)	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (10,128,224)	$ (6,274,936)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization	2,489,661	2,754,189
Share based compensation	327,261	505,306
Deferred taxes	(52,998)	(11,083)
Impairment loss	1,617,389
Change in fair value of acquisition-related contingent consideration		(135,316)
Loss (gain) on sale of assets	537,470	(748,234)
Excess tax benefit from share-based payments		63,304
Changes in assets and liabilities:
Trade accounts receivable	765,055	1,443,908
Inventories	7,232,732	352,653
Prepaid income taxes	789,209	(141,566)
Other assets, net	358,160	(148,010)
Accounts payable	(1,648,259)	(1,188,066)
Accrued compensation and benefits	701,546	224,713
Other accrued liabilities	(157,422)	352,789
Income taxes payable	(103,215)	(49,657)
Other		58,001
Net cash provided by (used in) operating activities	2,728,365	(2,942,005)
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures	(389,616)	(1,889,283)
Proceeds from the sale of property, plant and equipment	220,366	972,595
Proceeds from the sale of investments	5,076,978	2,014,023
Net cash provided by investing activities	4,907,728	1,097,335
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings on line of credit		4,894,046
Payments against line of credit		(4,894,046)
Cash dividends paid	(1,096,726)	(4,269,451)
Mortgage principal payments		(103,603)
Proceeds from issuance of common stock, net of shares withheld	74,222	92,191
Excess tax expense benefit from share-based payments		(63,304)
Payment of deferred consideration related to acquisition		(300,000)
Net cash used in financing activities	(1,022,504)	(4,644,167)
EFFECT OF FOREIGN EXCHANGE RATE CHANGES ON CASH	9,622	(90,510)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	6,623,211	(6,579,347)
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	10,443,274	9,812,737
CASH AND CASH EQUIVALENTS AT END OF PERIOD	17,066,485	3,233,390
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Income taxes (refunded) paid	(646,660)	443,106
Interest paid	29,297	43,630
Dividends declared not paid	398,210	413,966
Capital expenditures in accounts payable	$ 75,525	57,181
Acquisition costs in accrued consideration		$ 6,918

Summary Of Significant Accounting Policies

9 Months Ended

Sep. 30, 2017

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” or the “Company”) is a Minnesota corporation organized in 1969 that operates primarily as a holding company conducting its business through four business units having operations in the United States 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 corresponding to the Suttle, Transition Networks, JDL Technologies and Net2Edge business units. Non-allocated general and administrative expenses are separately accounted for as “Other” in the Company’s segment reporting. Intersegment revenues are eliminated upon consolidation.

Financial Statement Presentation

The condensed consolidated balance sheets and condensed consolidated statement of changes in stockholders’ equity as of September 30, 2017 and the related condensed consolidated statements of loss and comprehensive loss, and the condensed consolidated statements of cash flows for the periods ended September 30, 2017 and 2016 have been prepared by Company management. In the opinion of management, all adjustments (which include only normal recurring adjustments, except where noted) necessary to present fairly the financial position, results of operations, and cash flows at September 30, 2017 and 2016 and for the periods then ended have been made.

Certain information and footnote disclosures normally included in consolidated financial statements prepared in accordance with generally accepted accounting principles in the United States of America have been condensed or omitted. We recommend these condensed consolidated financial statements be read in conjunction with the financial statements and notes thereto included in the Company’s December 31, 2016 Annual Report to Shareholders on Form 10-K. The results of operations for the period ended September 30, 2017 are not necessarily indicative of operating results for the entire year.

The presentation of financial statements in conformity with generally accepted accounting principles 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 balance sheet date, and the reported amounts of revenues and expenses during the reporting period. The estimates and assumptions used in the accompanying condensed consolidated financial statements are based upon management’s evaluation of the relevant facts and circumstances as of the time of the financial statements. Actual results could differ from those estimates.

Except to the extent updated or described below, the significant accounting policies set forth in Note 1 to the consolidated financial statements in the Company's Annual Report on Form 10-K for the year ended December 31, 2016, appropriately represent, in all material respects, the current status of accounting policies, and are incorporated herein by reference.

Accumulated Other Comprehensive Loss

The components of accumulated other comprehensive loss, net of tax, are as follows:




	Foreign Currency Translation		Unrealized (loss)/gain on securities		Accumulated Other Comprehensive Loss
December 31, 2016	$	(704,000)	$	17,000	$	(687,000)

Net current period change		64,000		(3,000)		61,000

September 30, 2017	$	(640,000)	$	14,000	$	(626,000)

The Company recognized $4,238,000 in foreign currency translation losses within the statement of loss and comprehensive loss during the first quarter of 2016 due to the substantial liquidation of our Austin Taylor facility in the U.K. Refer to Note 11 for further information regarding the pension liability adjustment recognized in income in the first quarter of 2016.

Summary Of Significant Accounting Policies (Policy)

9 Months Ended

Sep. 30, 2017

Summary Of Significant Accounting Policies [Abstract]

Description Of Business

Description of Business

Financial Statement Presentation

Accumulated Other Comprehensive Loss

The components of accumulated other comprehensive loss, net of tax, are as follows:




	Foreign Currency Translation		Unrealized (loss)/gain on securities		Accumulated Other Comprehensive Loss
December 31, 2016	$	(704,000)	$	17,000	$	(687,000)

Net current period change		64,000		(3,000)		61,000

September 30, 2017	$	(640,000)	$	14,000	$	(626,000)

Summary Of Significant Accounting Policies (Tables)

9 Months Ended

Sep. 30, 2017

Summary Of Significant Accounting Policies [Abstract]

Components Of Accumulated Other Comprehensive Loss




	Foreign Currency Translation		Unrealized (loss)/gain on securities		Accumulated Other Comprehensive Loss
December 31, 2016	$	(704,000)	$	17,000	$	(687,000)

Net current period change		64,000		(3,000)		61,000

September 30, 2017	$	(640,000)	$	14,000	$	(626,000)

Summary Of Significant Accounting Policies (Narrative) (Details)

Summary Of Significant Accounting Policies (Narrative) (Details)	3 Months Ended	9 Months Ended
	Mar. 31, 2016 USD ($)	Sep. 30, 2017 segment	Sep. 30, 2016 USD ($)
Summary Of Significant Accounting Policies [Abstract]
Number of segments \| segment		4
Foreign currency translation loss \| $	$ 4,238,000		$ 4,238,497

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

Summary Of Significant Accounting Policies (Components Of Accumulated Other Comprehensive Loss) (Details)	9 Months Ended
	Sep. 30, 2017 USD ($)
Accumulated Other Comprehensive Income (Loss) [Line Items]
BALANCE	$ 61,632,692
BALANCE	51,102,852
Foreign Currency Translation [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
BALANCE	(704,000)
Net current period change	64,000
BALANCE	(640,000)
Unrealized (Loss)/Gain On Securities [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
BALANCE	17,000
Net current period change	(3,000)
BALANCE	14,000
Accumulated Other Comprehensive Loss [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
BALANCE	(686,661)
Net current period change	61,000
BALANCE	$ (626,124)

Cash Equivalents And Investments

9 Months Ended

Sep. 30, 2017

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 and cash equivalents or short and long term investments as of September 30, 2017 and December 31, 2016:



September 30, 2017
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value		Cash Equivalents		Short-Term Investments		Long-Term Investments

Cash equivalents:
Money Market funds	$	8,986,000	$	-	$	-	$	8,986,000	$	8,986,000	$	-	$	-
Subtotal		8,986,000		-		-		8,986,000		8,986,000		-		-

Investments:
Certificates of deposit		725,000		-		-		725,000		-		725,000		-
Subtotal		725,000		-		-		725,000		-		725,000		-


Total	$	9,711,000	$	-	$	-	$	9,711,000	$	8,986,000	$	725,000	$	-



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	$	-

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 September 30, 2017:

The Company did not recognize any gross realized gains or losses during the three and nine month periods ending September 30, 2017 and 2016, respectively. If the Company had realized gains or losses, they would be included within investment and other income in the accompanying condensed consolidated statement of loss and comprehensive loss.

Cash Equivalents And Investments (Tables)

9 Months Ended

Sep. 30, 2017

Cash Equivalents And Investments [Abstract]

Schedule Of Cash Equivalents And Available-For-Sale Securities



September 30, 2017
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value		Cash Equivalents		Short-Term Investments		Long-Term Investments

Cash equivalents:
Money Market funds	$	8,986,000	$	-	$	-	$	8,986,000	$	8,986,000	$	-	$	-
Subtotal		8,986,000		-		-		8,986,000		8,986,000		-		-

Investments:
Certificates of deposit		725,000		-		-		725,000		-		725,000		-
Subtotal		725,000		-		-		725,000		-		725,000		-


Total	$	9,711,000	$	-	$	-	$	9,711,000	$	8,986,000	$	725,000	$	-



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	$	-

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

Cash Equivalents And Investments (Narrative) (Details)

Cash Equivalents And Investments (Narrative) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Cash Equivalents And Investments [Abstract]
Gross realized gains (losses)	$ 0	$ 0	$ 0	$ 0

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

Cash Equivalents And Investments (Schedule Of Cash Equivalents And Available-For-Sale Securities) (Details) - USD ($)	Sep. 30, 2017	Dec. 31, 2016
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 9,711,000	$ 9,653,000
Gross Unrealized Gains		4,000
Gross Unrealized Losses		(1,000)
Fair Value	9,711,000	9,656,000
Cash Equivalents	8,986,000	3,851,000
Short-Term Investments	725,112	5,805,276
Cash Equivalents [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	8,986,000	3,851,000
Fair Value	8,986,000	3,851,000
Cash Equivalents	8,986,000	3,851,000
Cash Equivalents [Member] \| Money Market Funds [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	8,986,000	3,851,000
Fair Value	8,986,000	3,851,000
Cash Equivalents	8,986,000	3,851,000
Investments [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	725,000	5,802,000
Gross Unrealized Gains		4,000
Gross Unrealized Losses		(1,000)
Fair Value	725,000	5,805,000
Short-Term Investments	725,000	5,805,000
Investments [Member] \| Certificates Of Deposit [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	725,000	4,291,000
Gross Unrealized Gains		4,000
Gross Unrealized Losses		(1,000)
Fair Value	725,000	4,294,000
Short-Term Investments	$ 725,000	4,294,000
Investments [Member] \| Corporate Notes/Bonds [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost		1,511,000
Fair Value		1,511,000
Short-Term Investments		$ 1,511,000

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) - Investments [Member] $ in Thousands	Sep. 30, 2017 USD ($)
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost, Due within one year	$ 725
Estimated Fair Value, Due within one year	$ 725

Stock-Based Compensation

9 Months Ended

Sep. 30, 2017

Stock-Based Compensation [Abstract]

Stock-Based Compensation

NOTE 3 - STOCK-BASED COMPENSATION

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 September 30, 2017. The ESPP is considered compensatory under current Internal Revenue Service rules. At September 30, 2017, after giving effect to the shares issued as of that date, 58,726 shares remain available for purchase under the ESPP.

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. The 2011 Incentive Plan, as amended, allows the issuance of up to 2,000,000 shares of common stock.

During 2017, stock options covering 259,686 shares have been awarded to key executive employees and directors. These options expire seven years from the date of award and generally vest 25% each year beginning one year after the date of award. The Company also granted deferred stock awards of 100,239 shares to key employees during the first quarter of 2017 under the Company’s long-term incentive plan for performance over the 2017 to 2019 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 at the end of the three-year period ending December 31, 2019 and any shares earned will be issued in the first quarter of 2020 to those key employees still with the Company at that time.

At September 30, 2017, 160,138 shares have been issued under the 2011 Incentive Plan, 1,292,968 shares are subject to currently outstanding options, deferred stock awards, and unvested restricted stock units, and 546,894 shares are eligible for grant under future awards.

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 shares of common stock were automatically granted to each non-employee director concurrent with annual meetings of shareholders in 2010 and earlier years, with the exercise price of options granted being 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. No options have been granted under the Director Plan since 2011 when the Company amended the Director Plan to prohibit future option grants. As of September 30, 2017, there were 51,000 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 limitations in the Stock Plan. The Company amended the Stock Plan in 2011 to prohibit future equity awards. At September 30, 2017, after reserving for stock options and deferred stock awards granted in prior years and adjusting for forfeitures and issuances during the year, there were 10,230 shares reserved for issuance under the Stock Plan.

Changes in Stock Options Outstanding

The following table summarizes changes in the number of outstanding stock options under the 2011 Incentive Plan, the Director Plan and Stock Plan over the period December 31, 2016 to September 30, 2017:



		Weighted average		Weighted average
		exercise price		remaining
	Options	per share		contractual term
Outstanding – December 31, 2016	922,930	$	10.10	4.90
Awarded	259,686		4.42
Exercised	-		-
Forfeited	(37,199)		11.57
Outstanding – September 30, 2017	1,145,417		8.76	4.74

Exercisable at September 30, 2017	669,186	$	10.50	3.97
Expected to vest September 30, 2017	1,145,417		8.76	4.74

The aggregate intrinsic value of all options (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) outstanding at September 30, 2017 was $0. The intrinsic value of all options exercised during the nine months ended September 30, 2017 was $0. Net cash proceeds from the exercise of all stock options were $0 in each of the nine month periods ended September 30, 2017 and 2016.

Changes in 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, 2016 to September 30, 2017:



		Weighted Average
		Grant Date
	Shares	Fair Value
Outstanding – December 31, 2016	149,260	$	9.55
Granted	100,239		4.42
Vested	(9,214)		12.29
Forfeited	(44,845)		10.28
Outstanding – September 30, 2017	195,440		6.62

Changes in 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, 2016 to September 30, 2017:



		Weighted Average
		Grant Date
	Shares	Fair Value
Outstanding – December 31, 2016	27,134	$	8.65
Granted	-		-
Issued	(13,341)		11.05
Forfeited	-		-
Outstanding – September 30, 2017	13,793		6.33

Compensation Expense

Share-based compensation expense recognized for the nine month period ended September 30, 2017 was $327,000 before income taxes and $213,000 after income taxes. Share-based compensation expense recognized for the nine month period ended September 30, 2016 was $505,000 before income taxes and $328,000 after income taxes. Unrecognized compensation expense for the Company’s plans was $378,000 at September 30, 2017 and is expected to be recognized over a weighted-average period of 2.1 years. Excess tax benefits from the exercise of stock options and issuance of stock included in financing cash flows for the nine month periods ended September 30, 2017 and 2016 were $ 0 and $ (63,000), respectively. Share-based compensation expense is recorded as a part of selling, general and administrative expenses.

Stock-Based Compensation (Tables)

9 Months Ended

Sep. 30, 2017

Stock-Based 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, 2016	922,930	$	10.10	4.90
Awarded	259,686		4.42
Exercised	-		-
Forfeited	(37,199)		11.57
Outstanding – September 30, 2017	1,145,417		8.76	4.74

Exercisable at September 30, 2017	669,186	$	10.50	3.97
Expected to vest September 30, 2017	1,145,417		8.76	4.74

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, 2016	149,260	$	9.55
Granted	100,239		4.42
Vested	(9,214)		12.29
Forfeited	(44,845)		10.28
Outstanding – September 30, 2017	195,440		6.62

Schedule Of Changes In Restricted Stock Units Outstanding



		Weighted Average
		Grant Date
	Shares	Fair Value
Outstanding – December 31, 2016	27,134	$	8.65
Granted	-		-
Issued	(13,341)		11.05
Forfeited	-		-
Outstanding – September 30, 2017	13,793		6.33

Stock-Based Compensation (Narrative) (Details)

Stock-Based Compensation (Narrative) (Details) - USD ($)	1 Months Ended	3 Months Ended	4 Months Ended	9 Months Ended		60 Months Ended
	Aug. 31, 2011	Mar. 31, 2017	Dec. 31, 2011	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016	May 19, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options outstanding				1,145,417		922,930
Aggregate intrinsic value of options outstanding				$ 0
Intrinsic value of all options exercised				0
Net cash proceeds from exercise of stock options				0	$ 0
Share based compensation expense before income taxes				327,000	505,000
Share based compensation expense after income taxes				213,000	328,000
Unrecognized compensation expense for awards				$ 378,000
Recognition period for unrecognized compensation expense				2 years 1 month 6 days
Excess tax benefits from the exercise of stock options and issuance of stock				$ 0	$ (63,000)
2011 Executive Incentive Compensation Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of awards authorized							2,000,000
Shares issued under Plan				160,138
Number of options outstanding				1,292,968
Awards eligible for grant				546,894
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 granted	0		0	0		0
Award expiration period				10 years
Number of options outstanding				51,000
1992 Stock Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available				10,230
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%
Shares available				58,726
Key Employees [Member] \| 2011 Executive Incentive Compensation Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Deferred stock awards granted		100,239
Key Executive Employees [Member] \| 2011 Executive Incentive Compensation Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options granted				259,686
Award expiration period				7 years

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

Stock-Based Compensation (Schedule Of Changes In Number Of Outstanding Stock Options Under Director Plan, Stock Plan And 2011 Incentive Plan) (Details) - $ / shares	9 Months Ended	12 Months Ended
	Sep. 30, 2017	Dec. 31, 2016
Stock-Based Compensation [Abstract]
Options, Outstanding	922,930
Options, Awarded	259,686
Options, Exercised
Options, Forfeited	(37,199)
Options, Outstanding	1,145,417	922,930
Options, Exercisable	669,186
Options, Expected to vest	1,145,417
Weighted average exercise price per share, Outstanding	$ 10.10
Weighted average exercise price per share, Awarded	4.42
Weighted average exercise price per share, Exercised
Weighted average exercise price per share, Forfeited	11.57
Weighted average exercise price per share, Outstanding	8.76	$ 10.10
Weighted average exercise price per share, Exercisable	10.50
Weighted average exercise price per share, Expected to vest	$ 8.76
Options, Outstanding - Weighted average remaining contractual term (in years)	4 years 8 months 27 days	4 years 10 months 24 days
Options, Exercisable - Weighted average remaining contractual term (in years)	3 years 11 months 19 days
Options, Expected to vest - Weighted average remaining contractual term (in years)	4 years 8 months 27 days

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

Stock-Based Compensation (Schedule Of Changes In The Number Of Deferred Stock Shares Under The Stock Plan And Incentive Plan) (Details) - Deferred Stock [Member]	9 Months Ended
	Sep. 30, 2017 $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Outstanding \| shares	149,260
Shares, Granted \| shares	100,239
Shares, Vested \| shares	(9,214)
Shares, Forfeited \| shares	(44,845)
Shares, Outstanding \| shares	195,440
Weighted Average Grant Date Fair Value, Outstanding \| $ / shares	$ 9.55
Weighted Average Grant Date Fair Value, Granted \| $ / shares	4.42
Weighted Average Grant Date Fair Value, Vested \| $ / shares	12.29
Weighted Average Grant Date Fair Value, Forfeited \| $ / shares	10.28
Weighted Average Grant Date Fair Value, Outstanding \| $ / shares	$ 6.62

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

Stock-Based Compensation (Schedule Of Changes In Restricted Stock Units Outstanding) (Details) - Restricted Stock Units (RSUs) [Member]	9 Months Ended
	Sep. 30, 2017 $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Outstanding \| shares	27,134
Shares, Granted \| shares
Shares, Vested \| shares	(13,341)
Shares, Forfeited \| shares
Shares, Outstanding \| shares	13,793
Weighted Average Grant Date Fair Value, Outstanding \| $ / shares	$ 8.65
Weighted Average Grant Date Fair Value, Granted \| $ / shares
Weighted Average Grant Date Fair Value, Vested \| $ / shares	11.05
Weighted Average Grant Date Fair Value, Forfeited \| $ / shares
Weighted Average Grant Date Fair Value, Outstanding \| $ / shares	$ 6.33

Inventories

9 Months Ended

Sep. 30, 2017

Inventories [Abstract]

Inventories

NOTE 4 - INVENTORIES

Inventories summarized below are priced at the lower of first-in, first-out cost or market:



	September 30		December 31
	2017		2016
Finished goods	$	8,406,000	$	12,083,000
Raw and processed materials		6,612,000		10,122,000
	$	15,018,000	$	22,205,000

The Company’s reserve for obsolete inventory increased by $3,131,000 during the nine months ended September 30, 2017, or $0.35 per basic and diluted share.

Inventories (Tables)

9 Months Ended

Sep. 30, 2017

Inventories [Abstract]

Schedule Of Inventories



	September 30		December 31
	2017		2016
Finished goods	$	8,406,000	$	12,083,000
Raw and processed materials		6,612,000		10,122,000
	$	15,018,000	$	22,205,000

Inventories (Details)

Inventories (Details) - USD ($)	9 Months Ended
Inventories (Details) - USD ($)	Sep. 30, 2017	Dec. 31, 2016
Inventories [Abstract]
Increase in inventory valualtion reserves	$ 3,131,000
Increase in inventory valuation reserves, per basic and diluted share	$ 0.35
Finished goods	$ 8,406,000	$ 12,083,000
Raw and processed materials	6,612,000	10,122,000
Total	$ 15,017,656	$ 22,204,902

Goodwill And Intangible Assets

9 Months Ended

Sep. 30, 2017

Goodwill And Intangible Assets [Abstract]

Goodwill And Intangible Assets

NOTE 5 –GOODWILL AND INTANGIBLE ASSETS

Goodwill is required to be evaluated for impairment on an annual basis and between annual tests upon the occurrence of certain events or circumstances. In January 2017, the FASB issued new accounting guidance regarding the simplification of the test for goodwill impairment. The new standard eliminates the quantitative goodwill impairment analysis requirement to determine the fair value of individual assets and liabilities of a reporting unit to determine the amount of any goodwill impairment and instead permits an entity to recognize goodwill impairment loss as the excess of a reporting unit's carrying value over the estimated fair value of the reporting unit, to the extent this amount does not exceed the carrying amount of goodwill. The Company chose to adopt this standard early for the annual impairment analysis in 2017. The Company performed the first step of the previous two-step process, which requires that the fair value of the reporting unit be compared to its book value including goodwill. If the fair value is higher than the book value, no impairment is recognized. If the fair value is lower than the book value, an impairment adjustment must be recorded.

The Company performs its annual impairment analysis as of April 1 each year. The Company analyzed the reporting unit that had the goodwill and also analyzed the company as a whole, including the Company’s four separate reporting units. Although JDL Technologies had been profitable for the prior eight quarters, the cyclical and unpredictable nature of revenues from its education sector raised issues in forecasting cash flows in future quarters used to estimate the reporting unit’s fair value. Based on this analysis of comparing the fair value of each reporting unit to the book value, and comparing the Company’s overall book value with its market capitalization, the Company determined that the book value exceeded the overall fair value of the reporting units as well as the Company’s overall market value. As a result, the Company recorded a goodwill impairment charge totaling $1,463,000 during the second quarter of 2017.

The changes in the carrying amount of goodwill in the JDL Technologies segment for the nine months ended September 30, 2017 are as follows:



	JDL Technologies

January 1, 2017	$	1,463,000

Impairment loss		(1,463,000)

September 30, 2017	$	-

Gross goodwill		1,463,000
Accumulated impairment loss		(1,463,000)
Balance at September 30, 2017	$	-

As part of the overall annual impairment analysis noted above, the Company also reviewed other intangible assets for potential impairment. Based on this analysis, the Company deemed the intangible assets related to customer relationships to be impaired and recorded a $154,000 impairment loss during the second quarter of 2017.

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



		September 30, 2017
		Gross Carrying Amount		Accumulated Amortization		Impairment loss		Foreign Currency Translation		Net

Trademarks	$	98,000	$	(63,000)	$	-	$	(16,000)	$	19,000
Customer relationships		491,000		(230,000)		(154,000)		(107,000)		-
Technology		229,000		(187,000)		-		(42,000)		-
	$	818,000	$	(480,000)	$	(154,000)	$	(165,000)	$	19,000



		December 31, 2016
		Gross Carrying Amount		Accumulated Amortization		Impairment loss		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

Amortization expense on these identifiable intangible assets was $27,000 and $63,000 2017 and 2016, respectively. The amortization expense is included in selling, general and administrative expenses. At September 30, 2017, the estimated future amortization expense for definite-lived intangible assets for the remainder of 2017 and all of the following four fiscal years is as follows:



Year Ending December 31:
2017	$	3,000
2018		7,000
2019		2,000
2020		2,000
2021		2,000
Thereafter		2,000

- 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)

9 Months Ended

Sep. 30, 2017

Goodwill And Intangible Assets [Abstract]

Schedule Of Changes In Carrying Amount Of Goodwill



	JDL Technologies

January 1, 2017	$	1,463,000

Impairment loss		(1,463,000)

September 30, 2017	$	-

Gross goodwill		1,463,000
Accumulated impairment loss		(1,463,000)
Balance at September 30, 2017	$	-

Schedule Of Finite-Lived Intangible Assets



		September 30, 2017
		Gross Carrying Amount		Accumulated Amortization		Impairment loss		Foreign Currency Translation		Net

Trademarks	$	98,000	$	(63,000)	$	-	$	(16,000)	$	19,000
Customer relationships		491,000		(230,000)		(154,000)		(107,000)		-
Technology		229,000		(187,000)		-		(42,000)		-
	$	818,000	$	(480,000)	$	(154,000)	$	(165,000)	$	19,000



		December 31, 2016
		Gross Carrying Amount		Accumulated Amortization		Impairment loss		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

Schedule Of Estimated Future Amortization Expense



Year Ending December 31:
2017	$	3,000
2018		7,000
2019		2,000
2020		2,000
2021		2,000
Thereafter		2,000

Goodwill And Intangible Assets (Narrative) (Details)

Goodwill And Intangible Assets (Narrative) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Jun. 30, 2017	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Goodwill And Intangible Assets [Line Items]
Impairment loss			$ 1,617,389
Impairment of intangible assets	$ 154,000	$ 154,000	154,000
Amortization expense			27,000	$ 63,000
JDL Technologies [Member]
Goodwill And Intangible Assets [Line Items]
Impairment loss	$ 1,463,000	$ 1,463,000	$ 1,463,000

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

Goodwill And Intangible Assets (Schedule Of Changes In Carrying Amount Of Goodwill - Roll Forward) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Jun. 30, 2017	Sep. 30, 2017
Goodwill [Line Items]
January 1, 2017			$ 1,462,503
Impairment loss			(1,617,389)
JDL Technologies [Member]
Goodwill [Line Items]
January 1, 2017			1,463,000
Impairment loss	$ (1,463,000)	$ (1,463,000)	(1,463,000)
September 30, 2017

Goodwill And Intangible Assets (Schedule Of Changes In Carrying Amount Of Goodwill - Impaired, Accumulated Impairment Loss) (Details)

Goodwill And Intangible Assets (Schedule Of Changes In Carrying Amount Of Goodwill - Impaired, Accumulated Impairment Loss) (Details) - USD ($)	Sep. 30, 2017	Dec. 31, 2016
Goodwill [Line Items]
Balance at September 30, 2017		$ 1,462,503
JDL Technologies [Member]
Goodwill [Line Items]
Gross goodwill	$ 1,463,000
Accumulated impairment loss	(1,463,000)
Balance at September 30, 2017		$ 1,463,000

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

Goodwill And Intangible Assets (Schedule Of Finite-Lived Intangible Assets) (Details) - USD ($)	Sep. 30, 2017	Jun. 30, 2017	Dec. 31, 2016
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 818,000		$ 811,000
Accumulated Amortization	(480,000)		(422,000)
Impairment loss	(154,000)	$ (154,000)
Foreign Currency Translation	(165,000)		(199,000)
Net	19,000		190,000
Trademarks [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	98,000		91,000
Accumulated Amortization	(63,000)		(50,000)
Impairment loss
Foreign Currency Translation	(16,000)		(20,000)
Net	19,000		21,000
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	491,000		491,000
Accumulated Amortization	(230,000)		(200,000)
Impairment loss	(154,000)
Foreign Currency Translation	(107,000)		(122,000)
Net			169,000
Technology [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	229,000		229,000
Accumulated Amortization	(187,000)		(172,000)
Impairment loss
Foreign Currency Translation	(42,000)		(57,000)
Net

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

Goodwill And Intangible Assets (Schedule Of Estimated Future Amortization Expense) (Details)	Sep. 30, 2017 USD ($)
Goodwill And Intangible Assets [Abstract]
2017	$ 3,000
2018	7,000
2019	2,000
2020	2,000
2021	2,000
Thereafter	$ 2,000

Warranty

9 Months Ended

Sep. 30, 2017

Warranty [Abstract]

Warranty

NOTE 6 – WARRANTY

We provide 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 actual warranty expense could differ from the estimates made by the Company based on product performance. The warranty liability is included in other accrued liabilities on the condensed consolidated balance sheet.

The following table presents the changes in the Company’s warranty liability for the nine month periods ended September 30, 2017 and 2016, respectively, the majority of which relates to a five-year obligation to provide for potential future liabilities for network equipment sales.



		2017		2016
Beginning balance	$	600,000	$	554,000
Amounts charged to expense		43,000		119,000
Actual warranty costs paid		(57,000)		(75,000)
Ending balance	$	586,000	$	598,000

Warranty (Tables)

9 Months Ended

Sep. 30, 2017

Warranty [Abstract]

Schedule Of Warranty



		2017		2016
Beginning balance	$	600,000	$	554,000
Amounts charged to expense		43,000		119,000
Actual warranty costs paid		(57,000)		(75,000)
Ending balance	$	586,000	$	598,000

Warranty (Details)

Warranty (Details) - USD ($) $ in Thousands	9 Months Ended
Warranty (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Sep. 30, 2016
Warranty [Abstract]
Product Warranty Period	5 years
Beginning balance	$ 600	$ 554
Amounts charged to expense	43	119
Actual warranty costs paid	(57)	(75)
Ending balance	$ 586	$ 598

Contingencies

Contingencies	9 Months Ended
Contingencies	Sep. 30, 2017
Contingencies [Abstract]
Contingencies	NOTE 7 – CONTINGENCIES In the ordinary course of business, the Company is exposed to legal actions and claims and incurs costs to defend against these actions and claims. Company management is not aware of any outstanding or pending legal actions or claims that could materially affect the Company’s financial position or results of operations.

Debt

Debt	9 Months Ended
Debt	Sep. 30, 2017
Debt [Abstract]
Debt	NOTE 8 – DEBT 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 paid $104,000 in the first quarter of 2016 to fully settle the liability. 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 September 30, 2017 and December 31, 2016. 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 September 30, 2017 was $11,200,000, based on the borrowing base calculation. Interest on borrowings on the credit line is at LIBOR plus 2.0% (3.2% at September 30, 2017). 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. The Company was in compliance with its financial covenants at September 30, 2017.

Debt (Narrative) (Details)

Debt (Narrative) (Details) - USD ($)	3 Months Ended	9 Months Ended
Debt (Narrative) (Details) - USD ($)	Mar. 31, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Debt Instrument [Line Items]
Mortgage principal payments			$ 103,603
Mortgage [Member]
Debt Instrument [Line Items]
Interest rate		6.83%
Maturity date		Mar. 01, 2016
Mortgage principal payments	$ 104,000
Line of Credit [Member]
Debt Instrument [Line Items]
Line of credit, maximum borrowing capacity		$ 15,000,000
Line of credit, amount outstanding		0		$ 0
Line of credit, remaining borrowing capacity		$ 11,200,000
Line of credit facility, interest rate at period end		3.20%
Line of credit, expiration date		Aug. 12, 2021
Minimum liquidity		$ 10,000,000
Line of Credit [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Line of credit, basis spread on variable rate		2.00%

Income Taxes

Income Taxes	9 Months Ended
Income Taxes	Sep. 30, 2017
Income Taxes [Abstract]
Income Taxes	NOTE 9 – INCOME TAXES In the preparation of the Company’s consolidated financial statements, management calculates income taxes based upon the estimated effective rate applicable to operating results for the full fiscal year. This includes estimating the current tax liability as well as assessing differences resulting from different treatment of items for tax and book accounting purposes. These differences result in deferred tax assets and liabilities, which are recorded on the balance sheet. Management analyzes these assets and liabilities regularly and assesses the likelihood that deferred tax assets will be recovered from future taxable income. At September 30, 2017 there was $44,000 of net uncertain tax benefit positions that would reduce the effective income tax rate if recognized. The Company records interest and penalties related to income taxes as income tax expense in the condensed consolidated statements of loss and comprehensive loss. The Company is subject to U.S. federal income tax as well as income tax of multiple state and foreign jurisdictions. The tax years 2014-2016 remain open to examination by the Internal Revenue Service and the years 2012-2016 remain open to examination by various state tax departments. The tax years from 2013-2016 remain open in Costa Rica. 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 September 30, 2017, the examination was complete. The settlement and payment that resulted from the examination did not have a material effect on our results of operations. The Company’s effective income tax rate was 0.7% for the first nine months of 2017. The effective tax rate differs from the federal tax rate of 35% due to state income taxes, foreign tax rate differences, foreign losses not deductible for U.S. income tax purposes, provisions for interest charges for uncertain income tax positions, stock compensation shortfalls and changes in valuation allowances related to deferred tax assets. The foreign operating losses may ultimately be deductible in the countries in which they occurred; however the Company has not recorded a deferred tax asset for these losses due to uncertainty regarding the eventual realization of the benefit. The effect of the foreign operations was an overall rate decrease of approximately (14.0%) for the nine months ended September 30, 2017. There were no additional uncertain tax positions identified in the first nine months of 2017. The Company's effective income tax rate for the nine months ended September 30, 2016 was (4.0%), and differed from the federal tax rate due to state income taxes, foreign tax rate differences, foreign losses not deductible for U.S. income tax purposes, provisions for interest charges for uncertain income tax positions, and changes in valuation allowances related to deferred tax assets.

Income Taxes (Narrative) (Details)

Income Taxes (Narrative) (Details) - USD ($)	9 Months Ended
Income Taxes (Narrative) (Details) - USD ($)	Sep. 30, 2017	Sep. 30, 2016
Income Taxes [Abstract]
Uncertain tax benefit positions that would reduce the effective income tax rate if recognized	$ 44,000
Effective tax rate	0.70%	(4.00%)
Federal tax rate	35.00%
Increase (decrease) in income tax rate due to the effect of foreign operations	(14.00%)
Uncertain tax positions	$ 0

Segment Information

9 Months Ended

Sep. 30, 2017

Segment Information [Abstract]

Segment Information

NOTE 10 – SEGMENT INFORMATION

The Company classifies its businesses into the following four segments:

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 our products and services. Intersegment revenues are eliminated upon consolidation.

Information concerning the Company’s continuing operations in the various segments for the three and nine month periods ended September 30, 2017 and 2016 is as follows:



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
Three Months Ended September 30, 2017
Sales	$	7,536,000	$	9,327,000	$	3,613,000	$	182,000	$	-	$	(245,000)	$	20,413,000
Cost of sales		8,967,000		5,342,000		2,730,000		122,000		-		(52,000)		17,109,000
Gross profit		(1,431,000)		3,985,000		883,000		60,000		-		(193,000)		3,304,000
Selling, general and
administrative expenses		2,239,000		3,809,000		471,000		836,000		-		(193,000)		7,162,000
Impairment loss		-		-		-		-		-		-		-
Restructuring expense		796,000		-		-		-		-		-		796,000
Operating (loss) income	$	(4,466,000)	$	176,000	$	412,000	$	(776,000)	$	-	$	-	$	(4,654,000)

Depreciation and amortization	$	525,000	$	158,000	$	76,000	$	9,000	$	-	$	-	$	768,000

Capital expenditures	$	52,000	$	174,000	$	-	$	3,000	$	23,000	$	-	$	252,000

Assets	$	21,389,000	$	12,593,000	$	4,809,000	$	1,258,000	$	21,239,000	$	(27,000)	$	61,261,000



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
Three Months Ended September 30, 2016
Sales	$	10,420,000	$	11,789,000	$	3,397,000	$	275,000	$	-	$	(264,000)	$	25,617,000
Cost of sales		10,080,000		6,350,000		2,384,000		128,000		-		(16,000)		18,926,000
Gross profit		340,000		5,439,000		1,013,000		147,000		-		(248,000)		6,691,000
Selling, general and
administrative expenses		2,891,000		3,824,000		563,000		836,000		-		(248,000)		7,866,000
Operating (loss) income	$	(2,551,000)	$	1,615,000	$	450,000	$	(689,000)	$	-	$	-	$	(1,175,000)

Depreciation and amortization	$	627,000	$	205,000	$	65,000	$	23,000	$	-	$	-	$	920,000

Capital expenditures	$	593,000	$	26,000	$	44,000	$	16,000	$	(4,000)	$	-	$	675,000

Assets	$	36,830,000	$	17,758,000	$	3,729,000	$	1,488,000	$	16,692,000	$	(26,000)	$	76,471,000



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
Nine Months Ended September 30, 2017
Sales	$	24,888,000	$	27,831,000	$	10,504,000	$	719,000	$	-	$	(661,000)	$	63,281,000
Cost of sales		24,447,000		15,667,000		7,699,000		262,000		-		(74,000)		48,001,000
Gross profit		441,000		12,164,000		2,805,000		457,000		-		(587,000)		15,280,000
Selling, general and
administrative expenses		6,775,000		11,481,000		1,604,000		2,244,000		-		(587,000)		21,517,000
Impairment loss		-		-		1,463,000		154,000		-		-		1,617,000
Restructuring expense		2,326,000		-		-		-		-		-		2,326,000
Operating (loss) income	$	(8,660,000)	$	683,000	$	(262,000)	$	(1,941,000)	$	-	$	-	$	(10,180,000)

Depreciation and amortization	$	1,695,000	$	518,000	$	230,000	$	47,000	$	-	$	-	$	2,490,000

Capital expenditures	$	100,000	$	199,000	$	5,000	$	63,000	$	23,000	$	-	$	390,000



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
Nine Months Ended September 30, 2016
Sales	$	33,424,000	$	30,294,000	$	12,360,000	$	1,434,000	$	-	$	(918,000)	$	76,594,000
Cost of sales		29,939,000		17,270,000		8,025,000		682,000		-		(157,000)		55,759,000
Gross profit		3,485,000		13,024,000		4,335,000		752,000		-		(761,000)		20,835,000
Selling, general and
administrative expenses		10,038,000		13,224,000		2,531,000		2,499,000		-		(742,000)		27,550,000
Pension liability adjustment gains		-		-		-		-		(4,148,000)		-		(4,148,000)
Operating (loss) income	$	(6,553,000)	$	(200,000)	$	1,804,000	$	(1,747,000)	$	4,148,000	$	(19,000)	$	(2,567,000)

Depreciation and amortization	$	1,819,000	$	658,000	$	189,000	$	88,000	$	-	$	-	$	2,754,000

Capital expenditures	$	1,414,000	$	185,000	$	128,000	$	18,000	$	220,000	$	(19,000)	$	1,946,000

Segment Information (Tables)

9 Months Ended

Sep. 30, 2017

Segment Information [Abstract]

Schedule Of Segment Information



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
Three Months Ended September 30, 2017
Sales	$	7,536,000	$	9,327,000	$	3,613,000	$	182,000	$	-	$	(245,000)	$	20,413,000
Cost of sales		8,967,000		5,342,000		2,730,000		122,000		-		(52,000)		17,109,000
Gross profit		(1,431,000)		3,985,000		883,000		60,000		-		(193,000)		3,304,000
Selling, general and
administrative expenses		2,239,000		3,809,000		471,000		836,000		-		(193,000)		7,162,000
Impairment loss		-		-		-		-		-		-		-
Restructuring expense		796,000		-		-		-		-		-		796,000
Operating (loss) income	$	(4,466,000)	$	176,000	$	412,000	$	(776,000)	$	-	$	-	$	(4,654,000)

Depreciation and amortization	$	525,000	$	158,000	$	76,000	$	9,000	$	-	$	-	$	768,000

Capital expenditures	$	52,000	$	174,000	$	-	$	3,000	$	23,000	$	-	$	252,000

Assets	$	21,389,000	$	12,593,000	$	4,809,000	$	1,258,000	$	21,239,000	$	(27,000)	$	61,261,000



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
Three Months Ended September 30, 2016
Sales	$	10,420,000	$	11,789,000	$	3,397,000	$	275,000	$	-	$	(264,000)	$	25,617,000
Cost of sales		10,080,000		6,350,000		2,384,000		128,000		-		(16,000)		18,926,000
Gross profit		340,000		5,439,000		1,013,000		147,000		-		(248,000)		6,691,000
Selling, general and
administrative expenses		2,891,000		3,824,000		563,000		836,000		-		(248,000)		7,866,000
Operating (loss) income	$	(2,551,000)	$	1,615,000	$	450,000	$	(689,000)	$	-	$	-	$	(1,175,000)

Depreciation and amortization	$	627,000	$	205,000	$	65,000	$	23,000	$	-	$	-	$	920,000

Capital expenditures	$	593,000	$	26,000	$	44,000	$	16,000	$	(4,000)	$	-	$	675,000

Assets	$	36,830,000	$	17,758,000	$	3,729,000	$	1,488,000	$	16,692,000	$	(26,000)	$	76,471,000



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
Nine Months Ended September 30, 2017
Sales	$	24,888,000	$	27,831,000	$	10,504,000	$	719,000	$	-	$	(661,000)	$	63,281,000
Cost of sales		24,447,000		15,667,000		7,699,000		262,000		-		(74,000)		48,001,000
Gross profit		441,000		12,164,000		2,805,000		457,000		-		(587,000)		15,280,000
Selling, general and
administrative expenses		6,775,000		11,481,000		1,604,000		2,244,000		-		(587,000)		21,517,000
Impairment loss		-		-		1,463,000		154,000		-		-		1,617,000
Restructuring expense		2,326,000		-		-		-		-		-		2,326,000
Operating (loss) income	$	(8,660,000)	$	683,000	$	(262,000)	$	(1,941,000)	$	-	$	-	$	(10,180,000)

Depreciation and amortization	$	1,695,000	$	518,000	$	230,000	$	47,000	$	-	$	-	$	2,490,000

Capital expenditures	$	100,000	$	199,000	$	5,000	$	63,000	$	23,000	$	-	$	390,000



				Transition		JDL						Intersegment
		Suttle		Networks		Technologies		Net2Edge		Other		Eliminations		Total
Nine Months Ended September 30, 2016
Sales	$	33,424,000	$	30,294,000	$	12,360,000	$	1,434,000	$	-	$	(918,000)	$	76,594,000
Cost of sales		29,939,000		17,270,000		8,025,000		682,000		-		(157,000)		55,759,000
Gross profit		3,485,000		13,024,000		4,335,000		752,000		-		(761,000)		20,835,000
Selling, general and
administrative expenses		10,038,000		13,224,000		2,531,000		2,499,000		-		(742,000)		27,550,000
Pension liability adjustment gains		-		-		-		-		(4,148,000)		-		(4,148,000)
Operating (loss) income	$	(6,553,000)	$	(200,000)	$	1,804,000	$	(1,747,000)	$	4,148,000	$	(19,000)	$	(2,567,000)

Depreciation and amortization	$	1,819,000	$	658,000	$	189,000	$	88,000	$	-	$	-	$	2,754,000

Capital expenditures	$	1,414,000	$	185,000	$	128,000	$	18,000	$	220,000	$	(19,000)	$	1,946,000

Segment Information (Narrative) (Details)

Segment Information (Narrative) (Details)	9 Months Ended
Segment Information (Narrative) (Details)	Sep. 30, 2017 segment
Segment Information [Abstract]
Number of segments	4

Segment Information (Schedule Of Segment Information) (Details)

Segment Information (Schedule Of Segment Information) (Details) - USD ($)	3 Months Ended			9 Months Ended
	Sep. 30, 2017	Jun. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Segment Reporting Information [Line Items]
Sales	$ 20,412,439		$ 25,616,640	$ 63,280,980	$ 76,594,526
Cost of sales	17,108,532		18,926,042	48,001,368	55,759,167
Gross profit	3,303,907		6,690,598	15,279,612	20,835,359
Selling, general and administrative expenses	7,161,323		7,866,009	21,516,625	27,550,271
Impairment loss				1,617,389
Pension liability adjustment gains					(4,147,836)
Restructuring expense	796,231			2,325,861
Operating loss	(4,653,647)		(1,175,411)	(10,180,263)	(2,567,076)
Depreciation and amortization	768,000		920,000	2,489,661	2,754,189
Capital expenditures	252,000		675,000	390,000	1,946,000
Assets	61,260,334		76,471,000	61,260,334	76,471,000	$ 73,177,016
Intersegment Eliminations [Member]
Segment Reporting Information [Line Items]
Sales	(245,000)		(264,000)	(661,000)	(918,000)
Cost of sales	(52,000)		(16,000)	(74,000)	(157,000)
Gross profit	(193,000)		(248,000)	(587,000)	(761,000)
Selling, general and administrative expenses	(193,000)		(248,000)	(587,000)	(742,000)
Operating loss					(19,000)
Depreciation and amortization
Capital expenditures					(19,000)
Assets	(27,000)		(26,000)	(27,000)	(26,000)
Suttle [Member]
Segment Reporting Information [Line Items]
Sales	7,536,000		10,420,000	24,888,000	33,424,000
Cost of sales	8,967,000		10,080,000	24,447,000	29,939,000
Gross profit	(1,431,000)		340,000	441,000	3,485,000
Selling, general and administrative expenses	2,239,000		2,891,000	6,775,000	10,038,000
Restructuring expense	796,000			2,326,000
Operating loss	(4,466,000)		(2,551,000)	(8,660,000)	(6,553,000)
Depreciation and amortization	525,000		627,000	1,695,000	1,819,000
Capital expenditures	52,000		593,000	100,000	1,414,000
Assets	21,389,000		36,830,000	21,389,000	36,830,000
Transition Networks [Member]
Segment Reporting Information [Line Items]
Sales	9,327,000		11,789,000	27,831,000	30,294,000
Cost of sales	5,342,000		6,350,000	15,667,000	17,270,000
Gross profit	3,985,000		5,439,000	12,164,000	13,024,000
Selling, general and administrative expenses	3,809,000		3,824,000	11,481,000	13,224,000
Operating loss	176,000		1,615,000	683,000	(200,000)
Depreciation and amortization	158,000		205,000	518,000	658,000
Capital expenditures	174,000		26,000	199,000	185,000
Assets	12,593,000		17,758,000	12,593,000	17,758,000
JDL Technologies [Member]
Segment Reporting Information [Line Items]
Sales	3,613,000		3,397,000	10,504,000	12,360,000
Cost of sales	2,730,000		2,384,000	7,699,000	8,025,000
Gross profit	883,000		1,013,000	2,805,000	4,335,000
Selling, general and administrative expenses	471,000		563,000	1,604,000	2,531,000
Impairment loss	1,463,000	$ 1,463,000		1,463,000
Operating loss	412,000		450,000	(262,000)	1,804,000
Depreciation and amortization	76,000		65,000	230,000	189,000
Capital expenditures			44,000	5,000	128,000
Assets	4,809,000		3,729,000	4,809,000	3,729,000
Net2Edge [Member]
Segment Reporting Information [Line Items]
Sales	182,000		275,000	719,000	1,434,000
Cost of sales	122,000		128,000	262,000	682,000
Gross profit	60,000		147,000	457,000	752,000
Selling, general and administrative expenses	836,000		836,000	2,244,000	2,499,000
Impairment loss				154,000
Operating loss	(776,000)		(689,000)	(1,941,000)	(1,747,000)
Depreciation and amortization	9,000		23,000	47,000	88,000
Capital expenditures	3,000		16,000	63,000	18,000
Assets	1,258,000		1,488,000	1,258,000	1,488,000
Other [Member]
Segment Reporting Information [Line Items]
Sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Pension liability adjustment gains					(4,148,000)
Operating loss					4,148,000
Depreciation and amortization
Capital expenditures	23,000		(4,000)	23,000	220,000
Assets	$ 21,239,000		$ 16,692,000	$ 21,239,000	$ 16,692,000

Pensions

9 Months Ended

Sep. 30, 2017

Pensions [Abstract]

Pensions

NOTE 11 – PENSIONS

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 net periodic benefit of the pension plans for the three and nine months ended September 30, 2017 and 2016 were:



	Three Months Ended September 30				Nine Months Ended September 30
		2017		2016		2017		2016
Service cost	$	-	$	-	$	-	$	-
Interest cost		-		-		-		26,000
Expected return on assets		-		-		-		(24,000)
Settlement benefit		-		-		-		(43,000)
Net periodic pension benefit	$	-	$	-	$	-	$	(41,000)

The Company settled all its obligations under this 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.

Pensions (Tables)

9 Months Ended

Sep. 30, 2017

Pensions [Abstract]

Summary Of Components Of Net Periodic (Benefit) Cost



	Three Months Ended September 30				Nine Months Ended September 30
		2017		2016		2017		2016
Service cost	$	-	$	-	$	-	$	-
Interest cost		-		-		-		26,000
Expected return on assets		-		-		-		(24,000)
Settlement benefit		-		-		-		(43,000)
Net periodic pension benefit	$	-	$	-	$	-	$	(41,000)

Pensions (Narrative) (Details)

Pensions (Narrative) (Details) - USD ($)	3 Months Ended		9 Months Ended	12 Months Ended
Pensions (Narrative) (Details) - USD ($)	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2016	Dec. 31, 2015
Pensions [Abstract]
Contributions to the plan	$ 68,000			$ 650,000
Pension settlement costs	$ 43,000	$ 1,222,000	$ 43,000
Pension liability adjustment gains			$ (4,147,836)

Pensions (Summary Of Components Of Net Periodic (Benefit) Cost) (Details)

Pensions (Summary Of Components Of Net Periodic (Benefit) Cost) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2016
Pensions [Abstract]
Interest cost			$ 26,000
Expected return on assets			(24,000)
Settlement benefit	$ (43,000)	$ (1,222,000)	(43,000)
Net periodic pension benefit			$ (41,000)

Net Loss Per Share

Net Loss Per Share	9 Months Ended
Net Loss Per Share	Sep. 30, 2017
Net Loss Per Share [Abstract]
Net Loss Per Share	NOTE 12 – NET LOSS 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 takes into effect 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 the three and nine month periods ended September 30, 2017 and 2016. The Company calculates the dilutive effect of outstanding options using the treasury stock method. Due to the net losses in the first three and nine months of 2017 and 2016, there was no dilutive impact from stock options or unvested shares. Options totaling 1,145,417 were excluded from the calculation of diluted earnings per share for the three months and nine ended September 30, 2017 because the exercise price was greater than the average market price of common stock during the period and deferred stock awards totaling 181,224 shares would not have been included for the three and nine months ended September 30, 2017 because of unmet performance conditions. Options totaling 964,563 and 846,584 were excluded from the calculation of diluted earnings per share for the three and nine months ended September 30, 2016 because the exercise price was greater than the average market price of common stock during the period and deferred stock awards totaling 159,689 shares would not have been included for the three and nine months ended September 30, 2016 because of unmet performance conditions.

Net Loss Per Share (Narrative) (Details)

Net Loss Per Share (Narrative) (Details) - shares	3 Months Ended		9 Months Ended
Net Loss Per Share (Narrative) (Details) - shares	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Dilutive effect of outstanding stock options and shares associated with long-term incentive compensation plans	0	0	0	0
Stock Compensation Plan [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Dilutive effect of outstanding stock options and shares associated with long-term incentive compensation plans	0	0	0	0
Shares not included in the computation of diluted earnings per share	1,145,417	964,563	1,145,417	846,584
Deferred Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Shares not included in the computation of diluted earnings per share	181,224	159,689	181,224	159,689

Fair Value Measurements

9 Months Ended

Sep. 30, 2017

Fair Value Measurements [Abstract]

Fair Value Measurements

NOTE 13 – FAIR VALUE MEASUREMENTS

The accounting guidance establishes a valuation hierarchy for disclosure of the inputs to valuation used to measure fair value. This hierarchy prioritizes the inputs into three broad levels as follows:

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.

As discussed in Note 5, we tested our goodwill for impairment as of April 1, 2017. As part of this impairment testing, the Company determined the fair value of the net assets of the JDL Technologies reporting unit, based primarily on discounted cash flows and forecasted future operating results, which represent Level 3 inputs. As a result of our analysis, the Company recorded a non-cash impairment charge of $1,463,000 to fully impair goodwill. A reconciliation of the beginning and ending balances of goodwill are included in Note 5.

Financial assets and liabilities measured at fair value on a recurring basis as of September 30, 2017 and December 31, 2016, are summarized below:



		September 30, 2017

	Level 1		Level 2		Level 3		Total Fair Value

Cash equivalents:
Money Market funds	$	8,986,000	$	-	$	-	$	8,986,000
Subtotal		8,986,000		-		-		8,986,000

Short-term investments:
Certificates of deposit		-		725,000		-		725,000
Subtotal		-		725,000		-		725,000

Total	$	8,986,000	$	725,000	$	-	$	9,711,000



		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

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

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 the nine months ended September 30, 2017.

- 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)

9 Months Ended

Sep. 30, 2017

Fair Value Measurements [Abstract]

Schedule Of Financial Assets And Liabilities Measured At Fair Value On A Recurring Basis



		September 30, 2017

	Level 1		Level 2		Level 3		Total Fair Value

Cash equivalents:
Money Market funds	$	8,986,000	$	-	$	-	$	8,986,000
Subtotal		8,986,000		-		-		8,986,000

Short-term investments:
Certificates of deposit		-		725,000		-		725,000
Subtotal		-		725,000		-		725,000

Total	$	8,986,000	$	725,000	$	-	$	9,711,000



		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

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

Fair Value Measurements (Narrative) (Details)

Fair Value Measurements (Narrative) (Details) - USD ($)	3 Months Ended		9 Months Ended
Fair Value Measurements (Narrative) (Details) - USD ($)	Sep. 30, 2017	Jun. 30, 2017	Sep. 30, 2017
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Impairment loss			$ 1,617,389
Transfers between levels			0
JDL Technologies [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Impairment loss	$ 1,463,000	$ 1,463,000	$ 1,463,000

Fair Value Measurements (Schedule Of Financial Assets And Liabilities Measured At Fair Value On A Recurring Basis) (Details)

Fair Value Measurements (Schedule Of Financial Assets And Liabilities Measured At Fair Value On A Recurring Basis) (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	$ 8,986	$ 3,851
Assets (Liabilities) Net, fair value	9,711	9,656
Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	8,986	3,851
Assets (Liabilities) Net, fair value	8,986	3,851
Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets (Liabilities) Net, fair value	725	5,805
Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	8,986	3,851
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	8,986	3,851
Short-Term Investments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	725	5,805
Short-Term Investments [Member] \| Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	725	5,805
Short-Term Investments [Member] \| Certificates Of Deposit [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments	725	4,294
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	$ 725	4,294
Short-Term Investments [Member] \| Corporate Notes/Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments		1,511
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

Restructuring

Restructuring	9 Months Ended
Restructuring	Sep. 30, 2017
Restructuring [Abstract]
Restructuring	NOTE 14 – RESTRUCTURING During the nine months ended September 30, 2017, the Company recorded $2,326,000 in restructuring expense. This consisted of severance and related benefits costs due to the restructuring within the Suttle business segment, including ongoing costs related to the closure of the Costa Rica facility. We transferred substantially all of the production from Costa Rica to Minnesota by the end of the second quarter of 2017 completed the closure in the third quarter of 2017. In the third quarter of 2017, we identified $505,000 of equipment, net of accumulated depreciation, that we determined we would no longer use as a result of consolidating our operations in the Minnesota location. We were not able to make this determination until we observed and assessed the condition of the equipment once it arrived in Minnesota. We included the loss on the disposal of this equipment has been included in restructuring expense on the consolidated statement of loss and comprehensive loss. The Company paid $1,821,000 in restructuring charges during the first nine months of 2017 and had $0 in restructuring accruals recorded in accrued compensation and benefits at September 30, 2017. We do not expect any material restructuring costs in the fourth quarter of 2017.

Restructuring (Narrative) (Details)

Restructuring (Narrative) (Details)	3 Months Ended	9 Months Ended
Restructuring (Narrative) (Details)	Sep. 30, 2017 USD ($)	Sep. 30, 2017 USD ($)
Restructuring [Abstract]
Restructuring expense	$ 796,231	$ 2,325,861
Loss on equipment disposal	505,000
Restructuring payments		1,821,000
Restructuring accruals	$ 0	$ 0

Recent Accounting Pronouncements

Recent Accounting Pronouncements	9 Months Ended
Recent Accounting Pronouncements	Sep. 30, 2017
Recent Accounting Pronouncements [Abstract]
Recent Accounting Pronouncements	NOTE 15 – RECENT ACCOUNTING PRONOUNCEMENTS 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 Company will adopt the accounting standard using the modified retrospective transition approach. The modified retrospective transition approach will recognize any changes from the beginning of the year of initial application through retained earnings with no restatement of comparative periods. We have established an implementation team and engaged a third-party consultant to assist with our assessment of the impact of the new revenue guidance on our operations, consolidated financial statements and related disclosures. To date, this assessment has included (1) utilizing questionnaires to assist with the identification of our revenue streams, (2) performing detailed contract analyses for each material revenue stream identified, and (3) assessing the noted differences in recognition and measurement that may result from adopting this new standard. Based on the preliminary results of the evaluation, which is expected to be completed during the fourth quarter of 2017, we currently believe the most significant potential changes relate to variable consideration, the timing of recognition for certain promises included within service contracts, and net recognition of third-party maintenance and support services, although our technical analysis of these potential impacts is still on-going. We also anticipate changes to the consolidated balance sheet related to accounts receivable, contract assets, and contract liabilities. The Company expects to adopt certain practical expedients and make certain policy elections related to the accounting for significant finance components, sales taxes, shipping and handling, right to invoice, costs to obtain a contract and immaterial promised goods or services, which will mitigate certain impacts of adopting this new standard. The Company is also currently reviewing the tax impact, if any, that the new standard will have on the financial statements. We are in the process of evaluating and designing the necessary changes to our business processes, policies, systems and controls to support recognition and disclosure under the new standard. Further, we are continuing to assess what incremental disaggregated revenue disclosures will be required in our consolidated financial statements. 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 adopted this standard in the first quarter of 2017 with no 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. The Company adopted this guidance in the first quarter of 2017 and other than the prescribed classification of all deferred tax assets and liabilities as noncurrent, there was no 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. We have not yet determined the potential effects on our financial condition or results of operations. In March 2016, the FASB issued a new accounting standard that changed 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 adopted this standard during the first quarter of 2017 with no material impact on our financial condition or results of operations. 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 are still evaluating the impact of this standard, but do not believe it will have a material impact on our Consolidated Statement of Cash Flows. In January 2017, the FASB issued new accounting guidance regarding the simplification of the test for goodwill impairment. The new standard eliminates the quantitative goodwill impairment analysis requirement to determine the fair value of individual assets and liabilities of a reporting unit to determine the amount of any goodwill impairment and instead permits an entity to recognize goodwill impairment loss as the excess of a reporting unit's carrying value over the estimated fair value of the reporting unit, to the extent this amount does not exceed the carrying amount of goodwill. The new guidance continues to allow an entity to perform a qualitative assessment over goodwill impairment indicators in lieu of a quantitative assessment in certain situations. The standard will be effective for annual and interim periods beginning January 1, 2020, with early adoption permitted. The Company adopted this standard during 2017. As noted above in Note 5, the Company analyzed the reporting unit that had the goodwill and also analyzed the Company as a whole, including the Company’s four separate reporting units. Based on this analysis of comparing the fair value of each reporting unit to the book value and comparing the Company’s overall book value with its market capitalization, the Company determined that the book value exceeds the overall fair value of the reporting units as well as the Company’s overall market value. As a result, the Company recorded a goodwill impairment charge totaling $1,463,000 during the second quarter of 2017.

Recent Accounting Pronouncements (Narrative) (Details)

Recent Accounting Pronouncements (Narrative) (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Jun. 30, 2017	Sep. 30, 2017
Goodwill And Intangible Assets [Line Items]
Impairment loss			$ 1,617,389
JDL Technologies [Member]
Goodwill And Intangible Assets [Line Items]
Impairment loss	$ 1,463,000	$ 1,463,000	$ 1,463,000

Subsequent Events

Subsequent Events	9 Months Ended
Subsequent Events	Sep. 30, 2017
Subsequent Events [Abstract]
Subsequent Events	NOTE 16 – SUBSEQUENT EVENTS The Company has evaluated subsequent events through the date of this filing. We do not believe there are any material subsequent events that would require further disclosure.

Amortized Cost

Estimated Market Value

Due within one year