Property, Plant and Equipment

9 Months Ended

Sep. 30, 2014

Property, Plant and Equipment [Abstract]

4.	Property, Plant and Equipment

	September 30,			December 31,
	2014			2013
	($000’s omitted)
Land	$	21		$	21
Buildings		7,892			7,851
Machinery, equipment and tooling		13,291			12,781
Construction in progress		1,702			477

		22,906			21,130
Less accumulated depreciation and amortization		(14,749	)		(14,270	)

Total property, plant and equipment	$	8,157		$	6,860

Property, plant and equipment includes land and building in Elma, New York, under a $5,000,000 capital lease which can be purchased for a nominal amount at the end of the lease term. As of September 30, 2014 and December 31, 2013, accumulated amortization on the building amounted to approximately $2,779,000 and $2,682,000, respectively. Amortization expense amounted to $32,000 for the three month periods ended September 30, 2014 and 2013, respectively, and amounted to $97,000 for the nine month periods ended September 30, 2014 and 2013, respectively. The associated current and long-term liabilities are discussed in Note 5, Long-Term Debt, of the accompanying consolidated financial statements.

Depreciation expense amounted to $115,000 and $117,000 for the three month periods ended September 30, 2014 and 2013, respectively and amounted to $383,000 and $355,000 for the nine month periods ended September 30, 2014 and 2013, respectively. The combined depreciation and amortization expense amounted to $150,000 and $152,000 for the three month periods ended September 30, 2014 and 2013, respectively, and amounted to $490,000 and $460,000 for the nine month periods ended September 30, 2014 and 2013, respectively. The Company believes that it maintains property and casualty insurance in amounts adequate for the risk and nature of its assets and operations and which are generally customary in its industry.

As of September 30, 2014, there is approximately $1,702,000 of construction in progress included in property, plant and equipment related to facility expansion and renovation projects at both the CPG and ATG. At December 31, 2013 there was approximately $477,000 of construction in progress related to these projects. See Note 8, Commitments and Contingencies, of the accompanying consolidated financial statements.

- Definition

The entire disclosure for long-lived, physical assets used in the normal conduct of business and not intended for resale. Includes, but is not limited to, accounting policies and methodology, roll forwards, depreciation, depletion and amortization expense, including composite depreciation, accumulated depreciation, depletion and amortization expense, useful lives and method used, income statement disclosures, assets held for sale and public utility disclosures.

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