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Note 4 - Accounts Receivable
 12 Months Ended
Jan. 03, 2015
Receivables [Abstract]  
Loans, Notes, Trade and Other Receivables Disclosure [Text Block]

4.     ACCOUNTS RECEIVABLE


The Company’s accounts receivable are comprised as follows:


   

January 3,

2015

   

December 28,

2013

 

Billed

  $ 47,318     $ 35,415  

Accrued and unbilled

    4,853       7,895  

Work-in-progress

    8,027       13,394  

Allowance for doubtful accounts and sales discounts

    (1,011

)

    (978

)

                 

Accounts receivable, net

  $ 59,187     $ 55,726  

Unbilled receivables primarily represent revenues earned whereby those services are ready to be billed as of the balance sheet date. Work-in-process primarily represents revenues earned under contracts which the Company contractually invoices at future dates.


The Company has a subcontract agreement with Black & McDonald Limited (“B&M”) to provide engineering and procurement services under B&M’s master services agreement with Ontario Power Generation (“OPG”).  The Company understands that in October 2014, OPG provided to B&M notice of default and termination of a large purchase order from OPG to B&M with respect to which B&M had engaged several subcontractors, including the Company. B&M notified the Company that it is disputing OPG’s default claim on this purchase order. As of January 3, 2015 the Company had outstanding accounts receivable to B&M of $4.9 million under the disputed purchase order and, including such amount, a total of $12.2 million of outstanding accounts receivable to B&M for work performed by the Company as a subcontractor to B&M.  OPG has indicated to the Company that it will not make any further payments to B&M on the project in dispute.  The Company has received notice from B&M that while B&M disputes OPG’s assertion it is in default, B&M believes that in the event that it is in default under its agreement with OPG, then the Company may also be in default under its agreement with B&M.  The Company does not agree with this assertion.  The Company does not believe that any of its account receivables with B&M have been materially impaired and believes that its accounts receivable with B&M remain collectible, subject to existing reserves.  However, it is possible that a protracted dispute between OPG and B&M may impact the Company’s ability to collect its outstanding accounts receivable in a timely manner.