Note 7 - Intangibles

12 Months Ended

Sep. 27, 2014

Intangible Assets Disclosure [Text Block]

7.	INTANGIBLES

	2014			2013
Patents and trademarks	$	2,153,717		$	2,103,647
Trade names		404,129			437,532
Non-competition agreements		177,090			191,727
Customer relationships		2,970,574			3,216,105
		5,705,510			5,949,011
Less accumulated amortization		(2,845,250	)		(2,518,662	)
Net intangibles	$	2,860,260		$	3,430,349

On December 9, 2011, we acquired, through a new wholly-owned subsidiary, substantially all of the assets of Old M.C. Healthcare and acquired intangibles of approximately $3,980,000. At September 27, 2014 and September 28, 2013 we had intangibles associated with the asset acquisition of M.C. Healthcare of trade names, non-competition agreements and customer relationships (net of accumulated amortization of $1,005,865 and $741,480, respectively) of $2,545,928 and $3,103,884, respectively. Changes in the balances shown for trade names, non-competition agreements and customer relationships result solely from foreign currency fluctuations.

In addition, we had patents and trademarks (net of accumulated amortization) of $314,332 as of September 27, 2014 and $326,465 as of September 28, 2013. We reviewed the useful lives of individual patents and trademarks and determined that the useful lives did not require any material changes. The intangibles and the patents and trademarks are primarily associated with the medical segment.

Amortization expense for intangibles, patents and trademarks during fiscal years 2014, 2013, and 2012 was $394,169, $479,247, and $422,670, respectively. Estimated amortization expense for the next five fiscal years based on existing intangibles is as follows:

	Estimated
	Amortization
Fiscal years	Expense
2015		350,525
2016		326,193
2017		315,359
2018		311,502
2019		309,595