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Discontinued Operations
 9 Months Ended
Sep. 30, 2012
Discontinued Operations [Abstract]  
Discontinued Operations

(4) Discontinued Operations

On October 26, 2009, the Company sold all of the stock of its wholly owned subsidiary, Sypris Test & Measurement, Inc. (“Sypris Test & Measurement”) for $39,000,000, of which $3,000,000 was deposited in an escrow account in connection with certain customary representations, warranties, covenants and indemnifications of the Company and is classified as restricted cash on the Company’s consolidated balance sheets. During 2010, the Company was made aware of a potential indemnification claim from the purchaser of Sypris Test & Measurement, and the parties engaged in binding arbitration during July 2012 to resolve the claim. During the three months ended September 30, 2012, the arbitration dispute was settled for $6,500,000, which includes the counterparty’s legal fees and expenses. Both parties have entered a mutual release of all related potential claims. This amount has been reserved in accrued liabilities on the Company’s consolidated balance sheets as of September 30, 2012 and was paid in October 2012. The Company also incurred legal expenses of $581,000 and $1,380,000 during the three and nine months ended September 30, 2012, respectively, in connection with the claim. These charges are included in loss from discontinued operations, net of tax in the consolidated statements of operations. As of September 30, 2012, the Company reclassified the $3,000,000 restricted cash balance from non-current assets to current assets on the Company’s consolidated balance sheets, reflecting the October 2012 payment.