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Consolidated Balance Sheets (Unaudited) - USD ($)
Apr. 30, 2016
Oct. 31, 2015
Current assets:    
Cash and cash equivalents $ 707,756 $ 540,909
Accounts receivable, net of allowance of $466,000 and $531,000 8,998,550 8,651,745
Inventories 3,978,172 3,568,665
Other current assets 1,087,751 890,165
Assets held for sale 256,832 256,832
Total current assets 15,029,061 13,908,316
Property and equipment, at cost:    
Land 1,254,195 1,254,195
Buildings and improvements 4,683,225 4,676,290
Machinery and equipment 34,117,953 34,130,233
Equipment under capital lease 72,528 72,528
Furniture and fixtures 3,743,347 3,734,959
Vehicles 2,777,554 2,756,086
Property and equipment, gross 46,648,802 46,624,291
Less accumulated depreciation (40,319,395) (39,911,447)
Property and equipment, net 6,329,407 6,712,844
Goodwill 1,230,485 1,230,485
Deferred financing costs 14,465 3,040
Other intangibles, net of accumulated amortization 996,796 1,057,845
Other assets 12,669 13,996
Total noncurrent assets 2,254,415 2,305,366
Total assets 23,612,883 22,926,526
Current liabilities:    
Accounts payable 5,075,679 4,730,286
Accrued payroll and commissions 557,373 528,855
Taxes accrued and withheld 709,485 635,131
Accrued expenses 1,687,741 1,763,929
Notes payable (Note 5) 10,794,319 1,929,358
Notes payable - related party (Note 5) [1] 2,500,000 2,500,000
Capital lease obligations (Note 5) 16,334 15,852
Total current liabilities 21,340,931 12,103,411
Long-term debt, net of current portion:    
Notes payable (Note 5) 579,010 8,796,542
Capital lease obligations (Note 5) 4,239 12,528
Other Liabilities 26,280 0
Total liabilities 21,950,460 20,912,481
Shareholders' equity:    
Additional paid-in capital 24,279,179 24,279,179
Retained deficit (33,916,284) (33,564,662)
Total shareholders' equity 1,662,423 2,014,045
Total liabilities and shareholders' equity 23,612,883 22,926,526
Class A Voting Shares [Member]    
Shareholders' equity:    
Common stock $ 11,299,528 $ 11,299,528
[1] On June 15, 2015 the Company's Board of Directors approved the conversion of the Company's $2.5 million related party debt to Preferred Stock equity. The Preferred Stock will pay a 6.00% or 0.00% annual dividend contingent on the Company's income after income taxes. If the Company's income after income taxes is $1.0 million or greater, the dividend rate is 6.00%; if the Company's income after income taxes is less than $1.0 million, the dividend rate is 0.00%. This conversion will reduce the Company's liabilities by $2.5 million and increase its equity by $2.5 million. In addition, this conversion will reduce the Company's annual interest expense by $0.1 million. However, contingent on the after income tax income, this conversion could trigger the payment of an annual Preferred Stock dividend of $0.2 million or zero. If the $1.0 million after income tax income target is achieved, the Company's annual cash outflow would increase $0.1 million, or decrease $0.1 million if the $1.0 million after income tax income target is not achieved. This conversion is pending a shareholder vote on June 30, 2016 to amend the Company's Articles of Incorporation to allow for the issuance of Preferred Stock. The proposed amendment to the Company's Articles of Incorporation was approved by the Company's Board of Directors on January 18, 2016. This conversion will be consummated in July 2016.