DISCONTINUED OPERATIONS

12 Months Ended

Dec. 31, 2011

DISCONTINUED OPERATIONS [Abstract]

DISCONTINUED OPERATIONS

NOTE 4. DISCONTINUED OPERATIONS

During 2009, the Company engaged an investment banker, and in the fourth quarter entered into a plan to sell Metrigraphics as management determined that Metrigraphics was not core to the Company’s mission and strategy. As of December 31, 2009, Metrigraphics was classified as held for sale as a discontinued operation and the Company’s consolidated financial statements and notes thereto were restated to reflect the discontinuation of Metrigraphics for all periods presented. 

Effective July 19, 2010, the Company sold Metrigraphics for consideration of $2.5 million, which consisted of $1.75 million in cash and $0.75 million in the form of a subordinated note.  Interest on the subordinated note is payable quarterly and the repayment of principal is due in full on July 20, 2012, the maturity date of the subordinated note.

The operating results of Metrigraphics classified as discontinued operations are summarized below:

	Year ended December 31,
	2010			2009
Product revenue	$	4,790		$	6,611
Gain (loss) before benefit for income taxes	$	806		$	(314	)
(Provision) benefit for income taxes		(322	)		173
Income (loss) from operations of discontinued operations, net of income taxes		484			(141	)
Loss on sale of discontinued operations, net of income taxes		(92	)		-
Effect of discontinued operations, net of income taxes	$	392		$	(141	)