Note 7 - Other Expense (Income), Net

9 Months Ended

Sep. 29, 2019

Other Income and Other Expense Disclosure [Text Block]

(

)

Other

Expense

(Income), Net

During the

nine

months ended

September 29, 2019,

the Company recognized a gain of

$1,500,000

as a result of a settlement agreement with

one

of its customers to resolve various outstanding disputes between the

two

parties. As a result of the agreement, the customer paid the Company

$1,500,000

in compensation during the

three

months ended

September

29,

2019.

Additionally, the Company recognized a net gain of

$467,000

for the

nine

months ended

September 29,

2019

related to the sale of idle assets, which was offset by pension expense of

$743,000.

Subsequent to the transfer of production from the Broadway Plant, the primary water supply and sprinkler pipes within the facility suffered freeze damage during an extended period of extreme cold temperatures. The Company and its insurer reached a full and final settlement agreement with respect to the claim during the

second

quarter of

2018.

During the

nine

months ended

September 30,

2018,

the Company received insurance proceeds of

$2,447,000

and recognized an insurance recovery gain of

$2,275,000,

net of expenses incurred for claim related expenses. Additionally, the Company recognized a net loss of

$241,000

related to the sale of certain idle assets and pension expense of

$483,000

for the

nine

months ended

September 30,

2018.