XML 27 R13.htm IDEA: XBRL DOCUMENT v3.19.1
Note 4 - Discontinued Operations
 12 Months Ended
Dec. 31, 2018
Notes to Financial Statements  
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]
4
.
DISCONTINUED OPERATIONS
:
 
On
December 
26,
2017,
the Company completed the sale of substantially all of the assets associated with the Company’s manufacturing facility in Atchison, Kansas (“Atchison facility”), including all of the real and tangible personal property located at the site of that manufacturing facility. Total consideration of
$37.2
 million in cash was paid by the buyer, resulting in a nominal gain recognized on the sale. Of the proceeds received,
$0.8
 million was placed in escrow until it was released in
February 2018
and
$3.7
 million was placed in escrow until it was released in
December 2018.
 
In accordance with applicable accounting guidance, the financial results of the Atchison facility are presented as discontinued operations in the Consolidated Statements of Operations. Cash flows from the Company’s discontinued operations are presented separately in the Consolidated Statements of Cash Flows. As the Atchison facility was the remaining Tubular Products business, the Company now operates in only
one
business segment, Water Transmission.
 
The following table presents the operating results for the Company’s discontinued operations prior to the sale (in thousands):
 
   
Year Ended December 31,
 
   
2017
    
2016
  
                 
Net sales
   $
12
     $
6,869
  
Cost of sales
    
1,792
      
9,777
  
Gross loss
    
(1,780
 )    
(2,908
 )
Selling, general, and administrative expense
    
(1
 )    
257
  
Gain on sale of facility
    
(6
 )    
-
  
Operating loss
    
(1,773
 )    
(3,165
 )
Other expense
    
-
      
(1
 )
Interest expense
    
-
      
(14
 )
Loss before income taxes
    
(1,773
 )    
(3,180
 )
Income tax benefit
    
(2
 )    
(658
 )
Net loss
   $
(1,771
 )   $
(2,522
 )