Note 16 - Discontinued Operations

12 Months Ended

Dec. 31, 2012

Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]

16.               DISCONTINUED OPERATIONS:

On September 9, 2010, the Company sold the assets of its John Deere construction equipment business, including its Rush Equipment Centers in Houston and Beaumont, Texas, to Doggett Heavy Machinery Services, LLC.  The total purchase price for the Rush Equipment Centers was $31.0 million.  The Company received cash of $26.2 million at closing and a $4.8 million note receivable to be paid over four years.  Before closing, the Company paid liabilities, related to the assets sold, of approximately $14.6 million.  The Company recorded a gain on the transaction of $10.1 million.  The Construction Equipment segment will no longer be reported as a separate business segment.

At closing, Doggett Heavy Machinery Services, LLC entered into a lease agreement to lease the facility where Rush Equipment Center, Houston was located from an affiliate of the Company.  The lease provides for an initial three year term with the option for the lessee to terminate the lease with 30 days notice.  The Company’s continuing involvement in the operations of the construction equipment business is not significant and will be limited to the facility lease agreement.

The results of operations of the construction equipment business have been classified as discontinued operations in the Company’s consolidated statements of operations for all periods presented, and excluded from business segment information.

Net sales and earnings before income taxes related to the discontinued business were as follows (in thousands):

	Year Ended December 31,
	2012		2011		2010
Net Sales	$	–	$	–	$	25,819
Earnings before income taxes:
Results of operations from discontinued operations before income taxes		–		–		917
Gain on disposition						10,091
Income tax (expense)		–		–		(4,293	)
Net income from discontinued operations	$	–	$	–	$	6,715
Basic earnings per common share from discontinued operations, net of tax	$	–	$	–	$	0.18
Diluted earnings per common share and common share equivalents from discontinued operations, net of tax	$	–	$	–	$	0.18