ART INVENTORY HELD FOR SALE

12 Months Ended

Oct. 31, 2011

ART INVENTORY HELD FOR SALE [Text Block]

7. ART INVENTORY HELD FOR SALE

Antiquities art represented 100% of total art inventory at both October 31, 2011 and 2010, respectively. The Company has recorded a valuation allowance of $416,000 and $396,000 against its inventory to reduce it, to reflect management’s estimate, of its net realizable value at October 31, 2011 and 2010, respectively, based on the history of losses sustained on inventory items sold in the current and previous years. During fiscal 2011, Canal sold one piece of antiquity art for $12,000 generating a loss of $8,000 and recorded a $70,500 impairment charge. There were no art sales in fiscal 2010.