INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Income before Income Tax, Domestic and Foreign

Consolidated income (loss) before income taxes for the years ended December 31, 2016, 2015 and 2014 consisted of the following:

(in thousands)	2016		2015		2014
U.S. operations	$	(8,442)	$	(5,937)	$	(870)
Foreign operations		1,214		(458)		(2,657)
(Loss) before income taxes	$	(7,228)	$	(6,395)	$	(3,527)

Schedule of Components of Income Tax Expense (Benefit)

The income tax provision (benefit) for the years ended December 31, 2016, 2015 and 2014 consisted of the following:

(in thousands)	2016		2015		2014
Current:
Federal	$	—	$	—	$	—
State and local		81		59		29
Foreign		64		67		(81)
Total current provision (benefit)		145		126		(52)
Deferred:
Federal		—		—		—
State and local		—		—		—
Foreign		(107)		(534)		(674)
Total deferred provision (benefit)		(107)		(534)		(674)
Total income tax provision (benefit)	$	38	$	(408)	$	(726)

Computation of Tax Expense Applying Federal Corporate Tax Rate

The following table provides a reconciliation of the federal statutory tax at 34% to the recorded tax provision (benefit) for the years ended December 31, 2016, 2015 and 2014, respectively:

(in thousands)	2016		2015		2014
Computed federal income taxes at the statutory rate (benefit)	$	(2,457)	$	(2,174)	$	(1,199)
State income taxes (net of federal benefit)		53		37		19
Permanent tax differences		(415)		(372)		(346)
Foreign tax rates and tax credits differing from USA		4		(60)		502
Net operating loss and other adjustment		216		—		—
Change in enacted tax rates applied to foreign deferred taxes		(38)		(114)		—
Change in valuation allowance		2,675		2,275		298
Total income tax provision (benefit)	$	38	$	(408)	$	(726)

Significant Portions of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities as of December 31, 2016 and 2015 are as follows:

(in thousands)	2016		2015
Deferred tax assets:
Net operating loss carryforwards	$	21,704	$	19,080
Property, plant and equipment		—		—
Contribution and other carryforwards		370		313
Inventory and accounts receivable reserves		441		537
Other		1,051		1,213
Valuation allowance		(23,503)		(20,828)
Deferred tax assets after valuation allowance		63		315
Deferred tax liabilities
Intangible Assets		(3,754)		(4,574)
Property, plant and equipment		(414)		(251)
Total deferred tax liabilities		(4,168)		(4,825)
Net deferred tax liabilities	$	(4,105)	$	(4,510)

Summary Of Deferred Tax Liability

The net deferred tax liability is recorded as of December 31, 2016 and December 31, 2015 as follows:

(in thousands)
	2016		2015
Noncurrent deferred tax assets	$	15	$	23
Noncurrent deferred tax liability		(4,120)		(4,533)
Net deferred tax liability	$	(4,105)	$	(4,510)