Note 4. EARNINGS (LOSS) PER SHARE

3 Months Ended

Mar. 28, 2014

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

Note 4. EARNINGS (LOSS) PER SHARE

The consolidated financial statements include basic and diluted earnings (loss) per share. Diluted per share information is calculated by considering the impact of potential common stock on the weighted average shares outstanding. Potential common stock consists of (a) incremental shares that would be available for issuance upon the assumed exercise of stock options “in the money” based on the average stock price for the respective period and (b) convertible preferred shares, owned by Kohlberg & Co. LLC (see Note 9), accounted for using the “if converted” basis, which assumes their conversion to common stock at a ratio of 16.6:1. The basic and diluted earnings per share (“EPS”) calculations are as follows:

	Three Months Ended
	March 28,		March 29,
	2014		2013
Income (loss) from continuing operations	$	1,162	$	(1,399	)
Income from discontinued operations		-		569
Net income (loss)	$	1,162	$	(830	)
Average common shares outstanding - Basic		7,951		7,951
Dilutive effect of stock options		-		-
Dilutive effect of convertible preferred stock		18,859		-
Average common shares outstanding - Diluted		26,810		7,951
Per share amount - Basic:
Income (loss) from continuing operations	$	0.15	$	(0.17	)
Discontinued operations		-		0.07
Net income (loss)	$	0.15	$	(0.10	)
Per share amount - Diluted:
Income (loss) from continuing operations	$	0.04	$	(0.17	)
Discontinued operations		-		0.07
Net income (loss)	$	0.04	$	(0.10	)

As of March 28, 2014, no options were in the money and 12,000 options were out of the money. As of March 29, 2013, no options were in the money and 18,000 options were out of the money. At March 28, 2014 and March 29, 2013, 1,131,551 convertible preferred shares were outstanding, which are in total convertible into 18,859,183 shares of the Company’s common stock. Convertible preferred shares were not included in the calculation of diluted earnings (loss) per share for the three months ended March 29, 2013 because of their anti-dilutive impact as a result of the Company’s net loss position.