Note 13 - New Accounting Standards

12 Months Ended

Dec. 28, 2019

Notes to Financial Statements

New Accounting Pronouncements and Changes in Accounting Principles [Text Block]

13. NEW ACCOUNTING STANDARDS

In

June 2016,

the FASB issued ASU

2016

-

13,

Financial Instruments - Credit Losses (Topic

326

).

The new standard amends guidance on reporting credit losses for assets held at amortized cost basis and available-for-sale debt securities.  In

February 2020,

the FASB issued ASU

2020

-

02,

Financial Instruments-Credit Losses (Topic

326

) and Leases (Topic

842

) - Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin

No.

119

and Update to SEC Section on Effective Date Related to Accounting Standards Update

No.

2016

-

02,

Leases (Topic

842

), 

which amends the effective date of the original pronouncement for smaller reporting companies. ASU

2016

-

13

and its amendments will be effective for the Company for interim and annual periods in fiscal years beginning after

December 15, 2022.

The Company believes the adoption will modify the way the Company analyzes financial instruments, but it does

not

anticipate a material impact on results of operations. The Company is in the process of determining the effects the adoption will have on its consolidated financial statements.

In

December 2019,

the FASB issued ASU

2019

-

12,

Income Taxes (Topic

740

)

, which enhances and simplifies various aspects of the income tax accounting guidance, including requirements such as tax basis step-up in goodwill obtained in a transaction that is

not

a business combination, ownership changes in investments, and interim-period accounting for enacted changes in tax law. The amendment will be effective for public companies with fiscal years beginning after

December 15, 2020;

early adoption is permitted. The Company is currently assessing the impact of this pronouncement to its consolidated financial statements.