Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Mar. 28, 2014 | Jun. 27, 2014 | Sep. 27, 2013 | |
Document And Entity Information | ' | ' | ' |
Entity Registrant Name | 'IEH CORPORATION | ' | ' |
Entity Central Index Key | '0000050292 | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 28-Mar-14 | ' | ' |
Amendment Flag | 'false | ' | ' |
Current Fiscal Year End Date | '--03-28 | ' | ' |
Is Entity a Well-known Seasoned Issuer? | 'No | ' | ' |
Is Entity a Voluntary Filer? | 'No | ' | ' |
Is Entity's Reporting Status Current? | 'Yes | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Entity Public Float | ' | ' | $4,752,337 |
Entity Common Stock, Shares Outstanding | ' | 2,303,468 | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
BALANCE_SHEETS
BALANCE SHEETS (USD $) | Mar. 28, 2014 | Mar. 29, 2013 |
CURRENT ASSETS: | ' | ' |
Cash | $1,733,460 | $415,857 |
Accounts receivable, less allowances for doubtful accounts of $11,562 at March 28, 2014 and $11,562 at March 29, 2013 | 1,655,930 | 1,817,768 |
Inventories (Note 2) | 4,581,432 | 4,463,180 |
Excess payments to accounts receivable factor (Note 5) | 630,059 | 36,916 |
Prepaid expenses and other current assets (Note 3) | 780,173 | 955,226 |
Total Current Assets | 9,381,054 | 7,688,947 |
PROPERTY, PLANT AND EQUIPMENT, less accumulated depreciation and amortization of $7,939,106 at March 28, 2014 and $7,665,207 at March 29, 2013 (Note 4) | 1,576,476 | 1,497,690 |
OTHER ASSETS: | ' | ' |
Other assets | 46,284 | 34,220 |
Total Assets | 11,003,814 | 9,220,857 |
CURRENT LIABILITIES: | ' | ' |
Accounts payable | 267,599 | 85,548 |
Accrued corporate income taxes | 96,169 | ' |
Workers compensation insurance assessments- current portion (Note 8) | ' | 47,638 |
Other current liabilities (Note 6) | 559,143 | 439,117 |
Total Current Liabilities | 922,911 | 572,303 |
LONG-TERM LIABILITIES: | ' | ' |
Workers compensation insurance assessments- net of current portion (Note 8) | ' | 21,358 |
Total Long-Term Liabilities | ' | 21,358 |
Total Liabilities | 922,911 | 593,661 |
STOCKHOLDERS' EQUITY: | ' | ' |
Common stock, $.01 par value; 10,000,000 shares authorized; 2,303,468 shares issued and outstanding at March 28, 2014 and March 29, 2013 | 23,035 | 23,035 |
Capital in excess of par value | 2,744,573 | 2,744,573 |
Retained earnings | 7,313,295 | 5,859,588 |
Total Stockholders' Equity | 10,080,903 | 8,627,196 |
Total Liabilities and Stockholders' Equity | $11,003,814 | $9,220,857 |
BALANCE_SHEETS_Parenthetical
BALANCE SHEETS (Parenthetical) (USD $) | Mar. 28, 2014 | Mar. 29, 2013 |
Statement of Financial Position [Abstract] | ' | ' |
Allowances for doubtful accounts | $11,562 | $11,562 |
Accumulated depreciation and amortization | $7,939,106 | $7,665,207 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 10,000,000 | 10,000,000 |
Common stock, shares issued | 2,303,468 | 2,303,468 |
Common stock, shares outstanding | 2,303,468 | 2,303,468 |
STATEMENTS_OF_OPERATIONS
STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | |
Share data in Thousands, except Per Share data, unless otherwise specified | Mar. 28, 2014 | Mar. 29, 2013 |
Income Statement [Abstract] | ' | ' |
REVENUE, net sales (Note 13) | $15,431,944 | $13,330,097 |
COSTS AND EXPENSES | ' | ' |
Cost of products sold | 9,887,351 | 9,065,572 |
Selling, general and administrative | 2,702,742 | 2,220,444 |
Interest expense | 21,349 | 28,412 |
Depreciation | 273,899 | 235,336 |
[CostsAndExpenses] | 12,885,341 | 11,549,764 |
OPERATING INCOME | 2,546,603 | 1,780,333 |
OTHER INCOME | 54,720 | 561 |
INCOME BEFORE INCOME TAXES | 2,601,323 | 1,780,894 |
PROVISION FOR INCOME TAXES | -1,147,616 | -850,964 |
NET INCOME | $1,453,707 | $929,930 |
BASIC AND DILUTED EARNINGS PER SHARE (Note 1) | $0.63 | $0.40 |
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING (IN THOUSANDS) | 2,303 | 2,303 |
STATEMENTS_OF_STOCKHOLDERS_EQU
STATEMENTS OF STOCKHOLDERS' EQUITY (USD $) | Common Stock [Member] | Capital in Excess of Par Value [Member] | Retained Earnings [Member] | Total |
Balances, beginning at Mar. 30, 2012 | $23,035 | $2,744,573 | $4,929,658 | $7,697,266 |
Balances, beginning, shares at Mar. 30, 2012 | 2,303,468 | ' | ' | ' |
Net income | ' | ' | 929,930 | 929,930 |
Balances, ending at Mar. 29, 2013 | 23,035 | 2,744,573 | 5,859,588 | 8,627,196 |
Balances, ending, shares at Mar. 29, 2013 | 2,303,468 | ' | ' | 2,303,468 |
Net income | ' | ' | 1,453,707 | 1,453,707 |
Balances, ending at Mar. 28, 2014 | $23,035 | $2,744,573 | $7,313,295 | $10,080,903 |
Balances, ending, shares at Mar. 28, 2014 | 2,303,468 | ' | ' | 2,303,468 |
STATEMENTS_OF_CASH_FLOWS
STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | |
Mar. 28, 2014 | Mar. 29, 2013 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' |
Net income | $1,453,707 | $929,930 |
Adjustments to reconcile net income to net cash provided by operating activities | ' | ' |
Depreciation and amortization | 273,899 | 235,336 |
Changes in assets and liabilities: | ' | ' |
Decrease in accounts receivable | 161,838 | 226,214 |
(Increase) in excess payments to accounts receivable factor | -593,143 | -36,916 |
(Increase) in inventories | -118,252 | -229,920 |
(Increase) decrease in prepaid expenses and other current assets | 175,053 | -419,512 |
(Increase) in other assets | -12,064 | -3,043 |
Increase (decrease) in accounts payable | 193,095 | -220,237 |
Increase in other current liabilities | 108,980 | 34,444 |
Increase in accrued corporate income taxes | 96,169 | ' |
(Decrease) in workers compensation assessment | -68,995 | -44,066 |
Total adjustments | 216,580 | -457,700 |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 1,670,287 | 472,230 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Acquisition of property, plant and equipment | -352,684 | -287,539 |
NET CASH (USED) BY INVESTING ACTIVITIES | -352,684 | -287,539 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Net activity in accounts receivable financing | ' | -54,943 |
NET CASH (USED) BY FINANCING ACTIVITIES | ' | -54,943 |
INCREASE IN CASH | 1,317,603 | 129,748 |
CASH, beginning of period | 415,857 | 286,109 |
CASH, end of period | 1,733,460 | 415,857 |
Cash paid during the nine months for: | ' | ' |
Interest | 21,349 | 25,053 |
Income Taxes | $1,110,000 | $1,230,000 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended | ||||
Mar. 28, 2014 | |||||
Summary Of Significant Accounting Policies | ' | ||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | ||||
Note 1 - | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: | ||||
Description of Business: | |||||
The Company designs, develops and manufactures printed circuit connectors for high performance applications. We have also developed a high performance plastic circular connector line. All of our connectors utilize the HYPERBOLOID contact design, a rugged, high-reliability contact system ideally suited for high-stress environments. We are the only independent producer of HYPERBOLOID in the United States. | |||||
The Company’s customers consist of OEM’s (Original Equipment Manufacturers), companies manufacturing medical equipment, and distributors who resell the Company’s products to OEMs. The Company sells its products directly and through regional representatives located in all regions of the United States, Canada, Israel, India, various Pacific Rim countries, South Korea and the European Union (EU). | |||||
The customers the Company services are in the Government, Military, Aerospace, Medical, Automotive, Industrial, Test Equipment and Commercial Electronics markets. The Company appears on the Military Qualified Product Listing “QPL” to MIL-DTL-55302 and supply customer requested modifications to this specification. Sales to the commercial electronic and military markets were 35% and 58%, respectively, of the Company’s net sales for the year ended March 28, 2014. The Company’s offering of “QPL” items has recently been expanded to include additional products. | |||||
Accounting Period: | |||||
The Company maintains an accounting period based upon a 52-53 week year, which ends on the nearest Friday in business days to March 31st. The year ended March 28, 2014 was comprised of 52 weeks and the year ended March 29, 2013 was comprised of 52 weeks. | |||||
Revenue Recognition: | |||||
Revenues are recognized at the shipping date of the Company's products. The Company has historically adopted the shipping terms that title to merchandise passes to the customer at the shipping point (FOB Shipping Point). At this juncture, title has passed, the Company has recognized the sale, inventory has been relieved, and the customer has been invoiced. The Company does not offer any discounts, credits or other sales incentives. | |||||
The Company’s policy with respect to customer returns and allowances as well as product warranty is as follows: | |||||
The Company will accept a return of a defective product within one year from shipment for repair or replacement at the Company’s option. If the product is repairable, the Company at its own cost will repair and return to the customer. If unrepairable, the Company will either offer an allowance against payment or will reimburse the customer for the total cost of the defective product. | |||||
Most of the Company’s products are custom ordered by customers for a specific use. The Company provides engineering services as part of the relationship with its customers in developing the custom product. The Company is not obligated to provide such engineering service to its customers. The Company does not charge its customers separately for these services. | |||||
Inventories: | |||||
Inventories are stated at cost, on a first-in, first-out basis, which does not exceed market value. | |||||
The Company manufactures products pursuant to specific technical and contractual requirements. | |||||
The Company historically purchases material in excess of its requirements to avail itself of favorable pricing as well as the possibility of receiving additional orders from customers. This excess may result in material not being used in subsequent periods, which may result in this material being deemed obsolete. | |||||
The Company annually reviews its purchase and usage activity of its inventory of parts as well as work in process and finished goods to determine which items of inventory have become obsolete within the framework of current and anticipated orders. The Company based upon historical experience has determined that if a part has not been used and purchased or an item of finished goods has not been sold in three years, it is deemed to be obsolete. The Company estimates which materials may be obsolete and which products in work in process or finished goods may be sold at less than cost. A periodic adjustment, based upon historical experience is made to inventory in recognition of this impairment. | |||||
Concentration of Credit Risk: | |||||
Financial instruments which potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. | |||||
Under the provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act that was signed into law on July 21, 2010, the Federal Deposit Insurance Corporation (FDIC) will permanently insure all accounts maintained with financial institutions up to $250,000 in the aggregate. | |||||
As of March 28, 2014, the Company had funds on deposit in the amount of $1,733,460 in one financial institution comprised of the following: | |||||
Non-interest bearing accounts | $ | 1,327,413 | |||
Interest bearing account | 406,047 | ||||
$ | 1,733,460 | ||||
The Company has not experienced any losses in such accounts and believes its cash balances are not exposed to any significant risk. | |||||
Property, Plant and Equipment: | |||||
Property, plant and equipment are stated at cost less accumulated depreciation and amortization. The Company provides for depreciation and amortization using the Double Declining Balance method over the estimated useful lives (5-7 years) of the related assets. | |||||
Maintenance and repair expenditures are charged to operations, and renewals and betterments are capitalized. Items of property, plant and equipment, which are sold, retired or otherwise disposed of, are removed from the asset and accumulated depreciation or amortization account. Any gain or loss thereon is either credited or charged to operations. | |||||
Income Taxes: | |||||
The Company follows the policy of treating investment tax credits as a reduction in the provision for federal income tax in the year in which the credit arises or may be utilized. Deferred income taxes arise from temporary differences resulting from different depreciation methods used for financial and income tax purposes. The Company has adopted the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 740, Income Taxes which includes the provisions of Statement of Financial Accounting Standards (SFAS) No. 109, “Accounting for Income Taxes”. | |||||
Net Income Per Share: | |||||
The Company has adopted the provisions of ASC Topic 260, Earnings Per Share which includes the provisions of SFAS No. 128, “Earnings Per Share”, which requires the disclosure of “basic” and “diluted” earnings (loss) per share. Basic earnings per share is computed by dividing net income by the weighted average number of common shares outstanding during each period. Diluted earnings per share is similar to basic earnings per share except that the weighted average number of common shares outstanding is increased to reflect the dilutive effect of potential common shares, such as those issuable upon the exercise of stock or warrants, as if they had been issued. For the years ended March 28, 2014 and March 29, 2013, there were no items of potential dilution that would impact on the computation of diluted earnings or loss per share. | |||||
Fair Value of Financial Instruments: | |||||
The carrying value of the Company’s financial instruments, consisting of accounts receivable, accounts payable, and borrowings, approximate their fair value due to the relatively short maturity (three months) of these instruments. | |||||
Use of Estimates: | |||||
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and disclosure of contingent assets and liabilities at the date of the financial statements. Actual amounts could differ from those estimates. | |||||
Impairment of Long-Lived Assets: | |||||
The Company has adopted the provisions of ASC Topic 360, Property, Plant and Equipment-Impairment or Disposal of Long Lived Assets which includes the provisions of SFAS No. 144, “Accounting For The Impairment of Long-Lived Assets And Long-Lived Assets To Be Disposed Of”, and requires that long-lived assets and certain identifiable intangibles to be held and used by an entity be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The Company has adopted SFAS No. 144. There were no long-lived asset impairments recognized by the Company for the years ended March 28, 2014 and March 29, 2013. | |||||
Reporting Comprehensive Income: | |||||
The Company has adopted the provisions of ASC Topic 220, Comprehensive Income which includes the provisions of SFAS No. 130, “Reporting Comprehensive Income”. This Statement established standards for reporting and display of comprehensive income and its components (revenues, expenses, gains and losses) in an entity’s financial statements. This Statement requires an entity to classify items of other comprehensive income by their nature in a financial statement and display the accumulated balance of other comprehensive income separately from retained earnings and additional paid-in capital in the equity section of a statement of financial position. There were no material items of comprehensive income to report for the years ended March 28, 2014 and March 29, 2013. | |||||
Segment Information: | |||||
The Company has adopted the provisions of ASC Topic 280, Segment Reporting which includes the Provisions of SFAS No. 131, “Disclosures About Segment of An Enterprise and Related Information.” This Statement requires public enterprises to report financial and descriptive information about its reportable operating segments and establishes standards for related disclosures about product and services, geographic areas, and major customers. The adoption of ASC Topic 280 did not affect the Company’s presentation of its results of operations or financial position. | |||||
Research and Development: | |||||
The Company provides personalized engineering services to its customers by designing connectors for specific customer applications. The employment of electromechanical engineers is the anticipated cornerstone of the Company’s future growth. The Company maintains a testing laboratory where its engineers experiment with new connector designs based on changes in technology and in an attempt to create innovative, more efficient connector designs. | |||||
The Company did not expend any funds on, nor receive any revenues related to, customer sponsored research and development activities relating to the development of new designs, techniques and the improvement of existing designs during the years ended March 28, 2014 and March 29, 2013, respectively. | |||||
Effect of New Accounting Pronouncements: | |||||
In February 2013, the FASB issued ASU 2013-02, "Comprehensive Income (Topic 220), Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income". The amendments do not change the current requirements for reporting net income or other comprehensive income in financial statements. However, the amendments require an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under U.S. GAAP to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under U.S.GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under U.S. GAAP that provide additional detail about those amounts. The pronouncement is effective for fiscal years and interim periods ending after December 15, 2012. The adoption of this pronouncement did not have a material effect on our Company's financial position or results of operations. | |||||
In October 2012, the FASB issued ASU 2012-04 "Technical corrections and improvements". This ASU makes certain technical correction to the FASB Accounting Standards Codification. The new guidance will be effective for fiscal years beginning after December 15, 2012. The adoption of the new amendments did not have a significant impact on our financial statements. | |||||
In July, 2012, the FASB issued ASU 2012-02, "Intangibles - Goodwill and Other (Topic). ASU 2012-02 amends the required annual impairment testing of indefinite-lived intangible assets by providing an entity an option to first assess qualitative factors to determine whether it is more likely than not that the fair value of the indefinite-lived asset is less than its carrying amount. If, after assessing the totality of events and circumstances, an entity determines it is not more likely than not that the fair value of the indefinite-lived asset is less than its carrying amount, then performing the two-step impairment test under Topic 350-30 is unnecessary. However, if an entity concludes otherwise, then it is required to perform the impairment testing under Topic 350-30-35-18F by calculating the fair value of the reporting unit and comparing the results with the carrying amount. If the fair value exceeds the carrying amount, then the entity must perform the second step test of measuring the amount of the impairment test under Topic 350-30-35-19. An entity has the option to bypass the qualitative assessment and proceed directly to the two step goodwill impairment test. Additionally, the entity has the option to resume with the qualitative testing in any subsequent period. | |||||
The pronouncement is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012 and early adoption is permitted. Our Company's adoption of the new standard is not expected to have a material effect on our Company's financial position or results of operations. | |||||
In December 2011, the FASB issued ASU 2011-11 "Disclosures about offsetting assets and liabilities". Under the new guidance entities must disclose both gross information and net information on instruments and transactions eligible for offset on the balance sheet in accordance with the offsetting guidance in ASC 210-20-45 or ASC 815-10-45, and instruments and transactions subject to an agreement similar to a master netting arrangement. The new guidance will be effective for the Company beginning April 1, 2013. The adoption of the new amendments is not expected to have a significant impact on our Company’s financial statements. | |||||
Other accounting standards that have been issued or proposed by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on our Company's financial statements upon adoption. |
INVENTORIES
INVENTORIES | 12 Months Ended | ||||||||
Mar. 28, 2014 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
INVENTORIES | ' | ||||||||
Note 2 - | INVENTORIES: | ||||||||
Inventories are stated at cost, on a first-in, first-out basis, which does not exceed market value. | |||||||||
The Company manufactures products pursuant to specific technical and contractual requirements. The Company historically purchases material in excess of its requirements to avail itself of favorable pricing as well as the possibility of receiving additional orders from customers. This excess may result in material not being used in subsequent periods, which may result in this material being deemed obsolete. | |||||||||
The Company annually reviews its purchase and usage activity of its inventory of parts as well as work in process and finished goods to determine which items of inventory have become obsolete within the framework of current and anticipated orders. The Company based upon historical experience has determined that if a part has not been used and purchased or an item of finished goods has not been sold in three years, it is deemed to be obsolete. | |||||||||
The Company estimates which materials may be obsolete and which products in work in process or finished goods may be sold at less than cost. A periodic adjustment, based upon historical experience is made to inventory in recognition of this impairment. | |||||||||
Inventories are comprised of the following: | |||||||||
March 28, | March 29, | ||||||||
2014 | 2013 | ||||||||
Raw materials | $ | 2,655,600 | $ | 2,646,222 | |||||
Work in progress | 1,181,575 | 679,737 | |||||||
Finished goods | 744,257 | 1,137,221 | |||||||
$ | 4,581,432 | $ | 4,463,180 |
PREPAID_EXPENSES_AND_OTHER_CUR
PREPAID EXPENSES AND OTHER CURRENT ASSETS | 12 Months Ended | ||||||||
Mar. 28, 2014 | |||||||||
Prepaid Expenses And Other Current Assets | ' | ||||||||
PREPAID EXPENSES AND OTHER CURRENT ASSETS | ' | ||||||||
Note 3 - | PREPAID EXPENSES AND OTHER CURRENT ASSETS: | ||||||||
Prepaid expenses and other current assets are comprised of the following: | |||||||||
March 28, | March 29, | ||||||||
2014 | 2013 | ||||||||
Prepaid insurance | $ | 5,735 | $ | 63,897 | |||||
Prepaid corporate taxes | 774,438 | 805,885 | |||||||
Other current assets | — | 85,444 | |||||||
$ | 780,173 | $ | 955,226 | ||||||
PROPERTY_PLANT_AND_EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT | 12 Months Ended | ||||||||
Mar. 28, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||
PROPERTY, PLANT AND EQUIPMENT | ' | ||||||||
Note 4 - | PROPERTY, PLANT AND EQUIPMENT: | ||||||||
Property, plant and equipment are as follows: | |||||||||
March 28, | March 29, | ||||||||
2014 | 2013 | ||||||||
Computers | $ | 315,500 | $ | 308,080 | |||||
Leasehold improvements | 792,657 | 784,882 | |||||||
Machinery and equipment | 5,341,123 | 5,296,237 | |||||||
Tools and dies | 2,887,274 | 2,596,379 | |||||||
Furniture and fixture | 169,978 | 168,269 | |||||||
Website development cost | 9,050 | 9,050 | |||||||
9,515,582 | 9,162,897 | ||||||||
Less: accumulated depreciation and amortization | (7,939,106 | ) | (7,665,207 | ) | |||||
$ | 1,576,476 | $ | 1,497,690 |
ACCOUNTS_RECEIVABLE_FINANCING
ACCOUNTS RECEIVABLE FINANCING | 12 Months Ended | |
Mar. 28, 2014 | ||
Receivables [Abstract] | ' | |
ACCOUNTS RECEIVABLE FINANCING | ' | |
Note 5 - | ACCOUNTS RECEIVABLE FINANCING: | |
The Company has an accounts receivable financing agreement with a non-bank lending institution (“Factor”) whereby it can borrow up to 80 percent of its eligible receivables (as defined in such financing agreement) at an interest rate of 2 ½% above JP Morgan Chase’s publicly announced rate with a minimum rate of 12% per annum. | ||
The financing agreement has an initial term of one year and automatically renews for successive one-year terms, unless terminated by the Company or its lender upon receiving 60 days prior notice. Funds advanced by the Factor are secured by the Company’s accounts receivable and inventories. As of March 28, 2014 the Company reported in the accompanying financial statements, excess payments to the Factor of $630,059 compared to March 29, 2013, when the Company had reported excess payments to the Factor of $36,916. | ||
OTHER_CURRENT_LIABILITIES
OTHER CURRENT LIABILITIES | 12 Months Ended | ||||||||
Mar. 28, 2014 | |||||||||
Other Current Liabilities | ' | ||||||||
OTHER CURRENT LIABILITIES | ' | ||||||||
Note 6 - | OTHER CURRENT LIABILITIES: | ||||||||
Other current liabilities are comprised of the following: | |||||||||
March 28, | March 29, | ||||||||
2014 | 2013 | ||||||||
Payroll and vacation accruals | $ | 496,388 | $ | 387,341 | |||||
Sales commissions | 46,758 | 40,214 | |||||||
Insurance | 6,487 | 7,362 | |||||||
Other | 9,510 | 4,200 | |||||||
$ | 559,143 | $ | 439,117 | ||||||
INCOME_TAXES
INCOME TAXES | 12 Months Ended | ||||
Mar. 28, 2014 | |||||
Income Tax Disclosure [Abstract] | ' | ||||
INCOME TAXES | ' | ||||
Note 7 - | INCOME TAXES: | ||||
The Company accounts for income taxes under the provisions of ASC Topic 740, Income Taxes which includes the provisions of SFAS No. 109 (“SFAS 109”). Under SFAS 109, deferred income tax assets or liabilities are computed based upon the temporary differences between the financial statement and income tax bases of assets and liabilities using the currently enacted marginal income tax rates. Deferred income tax expenses or credits are based on the changes in the deferred income tax assets or liabilities from period to period. | |||||
The provision for income taxes consists of the following: | |||||
March 28, | |||||
2014 | |||||
Current: | |||||
Federal | $ | 489,997 | |||
State and local | 346,492 | ||||
Total current tax provision | 836,489 | ||||
Deferred: | |||||
Federal | 242,708 | ||||
State and local | 68,419 | ||||
Total deferred tax benefit | 311,127 | ||||
Total provision (benefit) | $ | 1,147,616 | |||
The components of the Company’s deferred taxes at March 28, 2014 are as follows: | |||||
Deferred tax assets: | |||||
Accounts receivable reserves | $ | 11,562 | |||
Accrued expenses | 551,538 | ||||
Prepaid expenses | (48,019 | ) | |||
515,081 | |||||
Deferred tax liabilities: | |||||
Depreciation | 17,224 | ||||
Net deferred tax assets before valuation allowance | 532,305 | ||||
Valuation allowance | (532,305 | ) | |||
Net deferred tax assets | $ | — | |||
The Company has fully utilized its net operating loss carryovers in prior years. | |||||
The foregoing amounts are management’s estimates and the actual results could differ from those estimates. Future profitability in this competitive industry depends on continually obtaining and fulfilling net profitable contracts or the failure of the Company’s engineering development efforts could reduce estimates of future profitability, which could affect the Company’s ability to realize the deferred tax assets. | |||||
A reconciliation of the income tax benefit at the statutory Federal tax rate of 34 % to the income tax benefit recognized in the financial statements is as follows: | |||||
March 28, | |||||
2014 | |||||
Income tax expense (benefit) – statutory rate | 34 | % | |||
Income tax expenses – state and local, net of federal benefit | 12 | % | |||
Income tax expense (benefit) | 46 | % |
WORKERS_COMPENSATION_INSURANCE
WORKERS COMPENSATION INSURANCE ASSESSMENT | 12 Months Ended | ||||
Mar. 28, 2014 | |||||
Workers Compensation Insurance Assessment | ' | ||||
WORKERS COMPENSATION INSURANCE ASSESSMENT | ' | ||||
Note 8 - | WORKERS COMPENSATION INSURANCE ASSESSMENT: | ||||
On September 15, 2008, the Company was notified by the State of New York Workers’ Compensation Board (the “WC Board”) that the Trade Industry Workers’ Compensation Trust for Manufacturers (the “Trust”) had defaulted. As a member of this self-insured group, the Company was assessed on an estimated basis by the WC Board for its allocable share necessary to discharge all liabilities of the Trust. | |||||
The assessed amount for the years 2002 through 2006 was $101,362. The assessed amount for each year is detailed as follows: | |||||
2002 | $ | 16,826 | |||
2003 | 24,934 | ||||
2004 | 31,785 | ||||
2005 | 14,748 | ||||
2006 | 13,069 | ||||
$ | 101,362 | ||||
The Company did have the option of paying this assessment as a lump sum amount or paying off the assessment over a 60 month period. The Company elected the deferral option, and was obligated to making monthly payments of $1,689 for 59 months, and $1,711 for the 60th and final month. The Company had recorded this assessment as a charge to Cost of Sales in the quarter ended December 26, 2008. | |||||
The Company was subsequently notified that it was being assessed an additional $146,073 covering the years 2002 through 2007, bringing the total deficit allocation assessment to $247,435. | |||||
The total received assessment for the years 2002 to 2007 is as follows: | |||||
2002 | $ | 23,445 | |||
2003 | 43,797 | ||||
2004 | 51,381 | ||||
2005 | 38,309 | ||||
2006 | 46,477 | ||||
2007 | 44,026 | ||||
$ | 247,435 | ||||
Effective as of May 31, 2013, the Company and the WC Board executed a settlement agreement pursuant to which the Company entered into a final settlement of the outstanding liability to the Trust and paid a lump-sum settlement amount equal to $7,771. The Company has no further liability to the Trust. In connection with this final settlement, the WC Board executed and issued a general release to the Company. |
CHANGES_IN_STOCKHOLDERS_EQUITY
CHANGES IN STOCKHOLDERS' EQUITY | 12 Months Ended | |
Mar. 28, 2014 | ||
Changes In Stockholders Equity | ' | |
CHANGES IN STOCKHOLDERS' EQUITY | ' | |
Note 9 - | CHANGES IN STOCKHOLDERS’ EQUITY: | |
Stockholders’ equity increased by $1,453,707 which represented the reported net income for the year ended March 28, 2014. | ||
2011_EMPLOYEE_STOCK_OPTION_PLA
2011 EMPLOYEE STOCK OPTION PLAN | 12 Months Ended | |
Mar. 28, 2014 | ||
Employee Stock Option Plan | ' | |
2011 EMPLOYEE STOCK OPTION PLAN | ' | |
Note 10 - | 2011 EMPLOYEE STOCK OPTION PLAN: | |
On August 31, 2011, the Company’s shareholders approved the adoption of the Company’s 2011 Equity Incentive Plan (“2011 Plan”) to provide for the grant of stock options and restricted stock awards to purchase up to 750,000 shares of the Company’s common stock to all employees, consultants and other eligible participants including senior management and members of the Board of Directors of the Company. The 2011 Plan replaced the prior 2002 Employee Stock Option Plan which had expired in accordance with its terms. | ||
Options granted to employees under the 2011 Plan may be designated as options which qualify for incentive stock option treatment under Section 422A of the Internal Revenue Code, or options which do not qualify (non-qualified stock options). | ||
Under the 2011 Plan, the exercise price of an option designated as an incentive stock option shall not be less than the fair market value of the Company’s common stock on the day the option is granted. In the event an option designated as an incentive stock option is granted to a ten percent (10%) or greater shareholder, such exercise price shall be at least 110 percent (110%) of the fair market value of the Company’s common stock and the option must not be exercisable after the expiration of five years from the day of the grant. The 2011 Plan also provides that holders of options that wish to pay for the exercise price of their options with shares of the Company’s common stock must have beneficially owned such stock for at least six months prior to the exercise date. | ||
Exercise prices of non-incentive stock options may be less than the fair market value of the Company’s common stock. | ||
The aggregate fair market value of shares subject to options granted to a participant(s), which are designated as incentive stock options, and which become exercisable in any calendar year, shall not exceed $100,000. As of March 28, 2014, no options or restricted stock awards had been granted under the 2011 Plan. |
CASH_BONUS_PLAN
CASH BONUS PLAN | 12 Months Ended | |
Mar. 28, 2014 | ||
Cash Bonus Plan | ' | |
CASH BONUS PLAN | ' | |
Note 11 - | CASH BONUS PLAN: | |
In 1987, the Company adopted a cash bonus plan (“Cash Bonus Plan”) for Executive Officers. Contributions to the Bonus Plan are made by the Company only after pre-tax operating profits exceed $150,000 for a fiscal year, and then to the extent of 10% of the excess of the greater of $150,000 or 25% of pre-tax operating profits. For the year ended March 28, 2014, the Company’s contribution was $189,600. For the year ended March 29, 2013, the Company’s contribution was $159,000. |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended | ||||
Mar. 28, 2014 | |||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||
COMMITMENTS AND CONTINGENCIES | ' | ||||
Note 12 - | COMMITMENTS AND CONTINGENCIES: | ||||
The Company has renewed its lease for its manufacturing facility located at 140 58th Street, Suite E, Brooklyn, New York. The renewed lease term runs from December 1, 2010 through November 30, 2020. The basic minimum annual rentals are as follows: | |||||
Fiscal year ending March: | |||||
2015 | $ | 163,240 | |||
2016 | 168,120 | ||||
2017 | 173,180 | ||||
2018 | 178,360 | ||||
2019 | 183,720 | ||||
Thereafter | 317,840 | ||||
$ | 1,184,460 | ||||
The rental expense for the years ended March 28, 2014 and March 29, 2013, was $158,480 and $153,860, respectively. | |||||
The Company has a collective bargaining multi-employer pension plan (“Multi-Employer Plan”) with the United Auto Workers of America, Local 259. Contributions are made in accordance with a negotiated labor contract and are based on the number of covered employees employed per month. With the passage of the Multi-Employer Pension Plan Amendments Act of 1990 (the “1990 Act”), the Company may become subject to liabilities in excess of contributions made under the collective bargaining agreement. Generally, these liabilities are contingent upon the termination, withdrawal, or partial withdrawal from the Multi-Employer Plan. | |||||
The Company has not taken any action to terminate, withdraw or partially withdraw from the Multi-Employer Plan nor does it intend to do so in the future. Under the 1990 Act, liabilities would be based upon the Company’s proportional share of the Multi-Employer Plan’s unfunded vested benefits, which is currently not available. The amount of accumulated benefits and net assets of such Plan also is not currently available to the Company. The total contributions charged to operations under this pension plan were $118,695 for the year ended March 28, 2014 and $119,745 for the year ended March 29, 2013. |
REVENUES_FROM_MAJOR_CUSTOMERS
REVENUES FROM MAJOR CUSTOMERS | 12 Months Ended | |
Mar. 28, 2014 | ||
Revenues From Major Customers | ' | |
REVENUES FROM MAJOR CUSTOMERS | ' | |
Note 13 - | REVENUES FROM MAJOR CUSTOMERS: | |
In the fiscal year ended March 28, 2014 three customers accounted for $5,124,000 constituting approximately 33% of revenues. Two of such customers accounted for 15% and 11% of such revenues, respectively. During the year ended March 29, 2013 four customers accounted for $4,505,000 constituting approximately 34% of the Company’s rrevenues. Two of those customers accounted for 21% of the Company’s revenues. | ||
As of March 28, 2014, amounts due from four customers represented approximately 41% of the total amount of accounts receivable. |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 12 Months Ended | |
Mar. 28, 2014 | ||
Subsequent Events [Abstract] | ' | |
SUBSEQUENT EVENTS | ' | |
Note 14 - | SUBSEQUENT EVENTS: | |
The Company has evaluated all other subsequent events through June 27, 2014, the date the financial statements were available to be issued. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended | ||||
Mar. 28, 2014 | |||||
Summary Of Significant Accounting Policies Policies | ' | ||||
Accounting Period | ' | ||||
Accounting Period: | |||||
The Company maintains an accounting period based upon a 52-53 week year, which ends on the nearest Friday in business days to March 31st. The year ended March 28, 2014 was comprised of 52 weeks and the year ended March 29, 2013 was comprised of 52 weeks. | |||||
Revenue Recognition | ' | ||||
Revenue Recognition: | |||||
Revenues are recognized at the shipping date of the Company's products. The Company has historically adopted the shipping terms that title to merchandise passes to the customer at the shipping point (FOB Shipping Point). At this juncture, title has passed, the Company has recognized the sale, inventory has been relieved, and the customer has been invoiced. The Company does not offer any discounts, credits or other sales incentives. | |||||
The Company’s policy with respect to customer returns and allowances as well as product warranty is as follows: | |||||
The Company will accept a return of a defective product within one year from shipment for repair or replacement at the Company’s option. If the product is repairable, the Company at its own cost will repair and return to the customer. If unrepairable, the Company will either offer an allowance against payment or will reimburse the customer for the total cost of the defective product. | |||||
Most of the Company’s products are custom ordered by customers for a specific use. The Company provides engineering services as part of the relationship with its customers in developing the custom product. The Company is not obligated to provide such engineering service to its customers. The Company does not charge its customers separately for these services. | |||||
Inventories | ' | ||||
Inventories: | |||||
Inventories are stated at cost, on a first-in, first-out basis, which does not exceed market value. | |||||
The Company manufactures products pursuant to specific technical and contractual requirements. | |||||
The Company historically purchases material in excess of its requirements to avail itself of favorable pricing as well as the possibility of receiving additional orders from customers. This excess may result in material not being used in subsequent periods, which may result in this material being deemed obsolete. | |||||
The Company annually reviews its purchase and usage activity of its inventory of parts as well as work in process and finished goods to determine which items of inventory have become obsolete within the framework of current and anticipated orders. The Company based upon historical experience has determined that if a part has not been used and purchased or an item of finished goods has not been sold in three years, it is deemed to be obsolete. The Company estimates which materials may be obsolete and which products in work in process or finished goods may be sold at less than cost. A periodic adjustment, based upon historical experience is made to inventory in recognition of this impairment. | |||||
Concentration of Credit Risk | ' | ||||
Concentration of Credit Risk: | |||||
Financial instruments which potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. | |||||
Under the provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act that was signed into law on July 21, 2010, the Federal Deposit Insurance Corporation (FDIC) will permanently insure all accounts maintained with financial institutions up to $250,000 in the aggregate. | |||||
As of March 28, 2014, the Company had funds on deposit in the amount of $1,733,460 in one financial institution comprised of the following: | |||||
Non-interest bearing accounts | $ | 1,327,413 | |||
Interest bearing account | 406,047 | ||||
$ | 1,733,460 | ||||
The Company has not experienced any losses in such accounts and believes its cash balances are not exposed to any significant risk. | |||||
Property, Plant and Equipment | ' | ||||
Property, Plant and Equipment: | |||||
Property, plant and equipment are stated at cost less accumulated depreciation and amortization. The Company provides for depreciation and amortization using the Double Declining Balance method over the estimated useful lives (5-7 years) of the related assets. | |||||
Maintenance and repair expenditures are charged to operations, and renewals and betterments are capitalized. Items of property, plant and equipment, which are sold, retired or otherwise disposed of, are removed from the asset and accumulated depreciation or amortization account. Any gain or loss thereon is either credited or charged to operations. | |||||
Income Taxes | ' | ||||
Income Taxes: | |||||
The Company follows the policy of treating investment tax credits as a reduction in the provision for federal income tax in the year in which the credit arises or may be utilized. Deferred income taxes arise from temporary differences resulting from different depreciation methods used for financial and income tax purposes. The Company has adopted the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 740, Income Taxes which includes the provisions of Statement of Financial Accounting Standards (SFAS) No. 109, “Accounting for Income Taxes”. | |||||
Net Income Per Share | ' | ||||
Net Income Per Share: | |||||
The Company has adopted the provisions of ASC Topic 260, Earnings Per Share which includes the provisions of SFAS No. 128, “Earnings Per Share”, which requires the disclosure of “basic” and “diluted” earnings (loss) per share. Basic earnings per share is computed by dividing net income by the weighted average number of common shares outstanding during each period. Diluted earnings per share is similar to basic earnings per share except that the weighted average number of common shares outstanding is increased to reflect the dilutive effect of potential common shares, such as those issuable upon the exercise of stock or warrants, as if they had been issued. For the years ended March 28, 2014 and March 29, 2013, there were no items of potential dilution that would impact on the computation of diluted earnings or loss per share. | |||||
Fair Value of Financial Instruments | ' | ||||
Fair Value of Financial Instruments: | |||||
The carrying value of the Company’s financial instruments, consisting of accounts receivable, accounts payable, and borrowings, approximate their fair value due to the relatively short maturity (three months) of these instruments. | |||||
Use of Estimates | ' | ||||
Use of Estimates: | |||||
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and disclosure of contingent assets and liabilities at the date of the financial statements. Actual amounts could differ from those estimates. | |||||
Impairment of Long-Lived Assets | ' | ||||
Impairment of Long-Lived Assets: | |||||
The Company has adopted the provisions of ASC Topic 360, Property, Plant and Equipment-Impairment or Disposal of Long Lived Assets which includes the provisions of SFAS No. 144, “Accounting For The Impairment of Long-Lived Assets And Long-Lived Assets To Be Disposed Of”, and requires that long-lived assets and certain identifiable intangibles to be held and used by an entity be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The Company has adopted SFAS No. 144. There were no long-lived asset impairments recognized by the Company for the years ended March 28, 2014 and March 29, 2013. | |||||
Reporting Comprehensive Income | ' | ||||
Reporting Comprehensive Income: | |||||
The Company has adopted the provisions of ASC Topic 220, Comprehensive Income which includes the provisions of SFAS No. 130, “Reporting Comprehensive Income”. This Statement established standards for reporting and display of comprehensive income and its components (revenues, expenses, gains and losses) in an entity’s financial statements. This Statement requires an entity to classify items of other comprehensive income by their nature in a financial statement and display the accumulated balance of other comprehensive income separately from retained earnings and additional paid-in capital in the equity section of a statement of financial position. There were no material items of comprehensive income to report for the years ended March 28, 2014 and March 29, 2013. | |||||
Segment Information | ' | ||||
Segment Information: | |||||
The Company has adopted the provisions of ASC Topic 280, Segment Reporting which includes the Provisions of SFAS No. 131, “Disclosures About Segment of An Enterprise and Related Information.” This Statement requires public enterprises to report financial and descriptive information about its reportable operating segments and establishes standards for related disclosures about product and services, geographic areas, and major customers. The adoption of ASC Topic 280 did not affect the Company’s presentation of its results of operations or financial position. | |||||
Research and Development | ' | ||||
Research and Development: | |||||
The Company provides personalized engineering services to its customers by designing connectors for specific customer applications. The employment of electromechanical engineers is the anticipated cornerstone of the Company’s future growth. The Company maintains a testing laboratory where its engineers experiment with new connector designs based on changes in technology and in an attempt to create innovative, more efficient connector designs. | |||||
The Company did not expend any funds on, nor receive any revenues related to, customer sponsored research and development activities relating to the development of new designs, techniques and the improvement of existing designs during the years ended March 28, 2014 and March 29, 2013, respectively. | |||||
Effect of New Accounting Pronouncements | ' | ||||
Effect of New Accounting Pronouncements: | |||||
In February 2013, the FASB issued ASU 2013-02, "Comprehensive Income (Topic 220), Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income". The amendments do not change the current requirements for reporting net income or other comprehensive income in financial statements. However, the amendments require an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under U.S. GAAP to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under U.S.GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under U.S. GAAP that provide additional detail about those amounts. The pronouncement is effective for fiscal years and interim periods ending after December 15, 2012. The adoption of this pronouncement did not have a material effect on our Company's financial position or results of operations. | |||||
In October 2012, the FASB issued ASU 2012-04 "Technical corrections and improvements". This ASU makes certain technical correction to the FASB Accounting Standards Codification. The new guidance will be effective for fiscal years beginning after December 15, 2012. The adoption of the new amendments did not have a significant impact on our financial statements. | |||||
In July, 2012, the FASB issued ASU 2012-02, "Intangibles - Goodwill and Other (Topic). ASU 2012-02 amends the required annual impairment testing of indefinite-lived intangible assets by providing an entity an option to first assess qualitative factors to determine whether it is more likely than not that the fair value of the indefinite-lived asset is less than its carrying amount. If, after assessing the totality of events and circumstances, an entity determines it is not more likely than not that the fair value of the indefinite-lived asset is less than its carrying amount, then performing the two-step impairment test under Topic 350-30 is unnecessary. However, if an entity concludes otherwise, then it is required to perform the impairment testing under Topic 350-30-35-18F by calculating the fair value of the reporting unit and comparing the results with the carrying amount. If the fair value exceeds the carrying amount, then the entity must perform the second step test of measuring the amount of the impairment test under Topic 350-30-35-19. An entity has the option to bypass the qualitative assessment and proceed directly to the two step goodwill impairment test. Additionally, the entity has the option to resume with the qualitative testing in any subsequent period. | |||||
The pronouncement is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012 and early adoption is permitted. Our Company's adoption of the new standard is not expected to have a material effect on our Company's financial position or results of operations. | |||||
In December 2011, the FASB issued ASU 2011-11 "Disclosures about offsetting assets and liabilities". Under the new guidance entities must disclose both gross information and net information on instruments and transactions eligible for offset on the balance sheet in accordance with the offsetting guidance in ASC 210-20-45 or ASC 815-10-45, and instruments and transactions subject to an agreement similar to a master netting arrangement. The new guidance will be effective for the Company beginning April 1, 2013. The adoption of the new amendments is not expected to have a significant impact on our Company’s financial statements. | |||||
Other accounting standards that have been issued or proposed by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on our Company's financial statements upon adoption. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended | ||||
Mar. 28, 2014 | |||||
Summary Of Significant Accounting Policies Tables | ' | ||||
Schedule of funds on deposit | ' | ||||
As of March 28, 2014, the Company had funds on deposit in the amount of $1,733,460 in one financial institution comprised of the following: | |||||
Non-interest bearing accounts | $ | 1,327,413 | |||
Interest bearing account | 406,047 | ||||
$ | 1,733,460 | ||||
INVENTORIES_Tables
INVENTORIES (Tables) | 12 Months Ended | ||||||||
Mar. 28, 2014 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Schedule of inventories | ' | ||||||||
Inventories are comprised of the following: | |||||||||
March 28, | March 29, | ||||||||
2014 | 2013 | ||||||||
Raw materials | $ | 2,655,600 | $ | 2,646,222 | |||||
Work in progress | 1,181,575 | 679,737 | |||||||
Finished goods | 744,257 | 1,137,221 | |||||||
$ | 4,581,432 | $ | 4,463,180 |
PREPAID_EXPENSES_AND_OTHER_CUR1
PREPAID EXPENSES AND OTHER CURRENT ASSETS (Tables) | 12 Months Ended | ||||||||
Mar. 28, 2014 | |||||||||
Prepaid Expenses And Other Current Assets Tables | ' | ||||||||
Schedule of prepaid expenses and other current assets | ' | ||||||||
Prepaid expenses and other current assets are comprised of the following: | |||||||||
March 28, | March 29, | ||||||||
2014 | 2013 | ||||||||
Prepaid insurance | $ | 5,735 | $ | 63,897 | |||||
Prepaid corporate taxes | 774,438 | 805,885 | |||||||
Other current assets | — | 85,444 | |||||||
$ | 780,173 | $ | 955,226 |
PROPERTY_PLANT_AND_EQUIPMENT_T
PROPERTY, PLANT AND EQUIPMENT (Tables) | 12 Months Ended | ||||||||
Mar. 28, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||
Schedule of property, plant and equipment | ' | ||||||||
Property, plant and equipment are as follows: | |||||||||
March 28, | March 29, | ||||||||
2014 | 2013 | ||||||||
Computers | $ | 315,500 | $ | 308,080 | |||||
Leasehold improvements | 792,657 | 784,882 | |||||||
Machinery and equipment | 5,341,123 | 5,296,237 | |||||||
Tools and dies | 2,887,274 | 2,596,379 | |||||||
Furniture and fixture | 169,978 | 168,269 | |||||||
Website development cost | 9,050 | 9,050 | |||||||
9,515,582 | 9,162,897 | ||||||||
Less: accumulated depreciation and amortization | (7,939,106 | ) | (7,665,207 | ) | |||||
$ | 1,576,476 | $ | 1,497,690 |
OTHER_CURRENT_LIABILITIES_Tabl
OTHER CURRENT LIABILITIES (Tables) | 12 Months Ended | ||||||||
Mar. 28, 2014 | |||||||||
Other Current Liabilities Tables | ' | ||||||||
Schedule of other current liabilities | ' | ||||||||
Other current liabilities are comprised of the following: | |||||||||
March 28, | March 29, | ||||||||
2014 | 2013 | ||||||||
Payroll and vacation accruals | $ | 496,388 | $ | 387,341 | |||||
Sales commissions | 46,758 | 40,214 | |||||||
Insurance | 6,487 | 7,362 | |||||||
Other | 9,510 | 4,200 | |||||||
$ | 559,143 | $ | 439,117 | ||||||
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | ||||
Mar. 28, 2014 | |||||
Income Tax Disclosure [Abstract] | ' | ||||
Schedule of provision for income taxes | ' | ||||
The provision for income taxes consists of the following: | |||||
March 28, | |||||
2014 | |||||
Current: | |||||
Federal | $ | 489,997 | |||
State and local | 346,492 | ||||
Total current tax provision | 836,489 | ||||
Deferred: | |||||
Federal | 242,708 | ||||
State and local | 68,419 | ||||
Total deferred tax benefit | 311,127 | ||||
Total provision (benefit) | $ | 1,147,616 | |||
Schedule of components of the Company's deferred taxes | ' | ||||
The components of the Company’s deferred taxes at March 28, 2014 are as follows: | |||||
Deferred tax assets: | |||||
Accounts receivable reserves | $ | 11,562 | |||
Accrued expenses | 551,538 | ||||
Prepaid expenses | (48,019 | ) | |||
515,081 | |||||
Deferred tax liabilities: | |||||
Depreciation | 17,224 | ||||
Net deferred tax assets before valuation allowance | 532,305 | ||||
Valuation allowance | (532,305 | ) | |||
Net deferred tax assets | $ | — | |||
Schedule of reconciliation of the income tax benefit | ' | ||||
A reconciliation of the income tax benefit at the statutory Federal tax rate of 34 % to the income tax benefit recognized in the financial statements is as follows: | |||||
March 28, | |||||
2014 | |||||
Income tax expense (benefit) – statutory rate | 34 | % | |||
Income tax expenses – state and local, net of federal benefit | 12 | % | |||
Income tax expense (benefit) | 46 | % |
WORKERS_COMPENSATION_INSURANCE1
WORKERS COMPENSATION INSURANCE ASSESSMENT (Tables) | 12 Months Ended | ||||
Mar. 28, 2014 | |||||
Workers Compensation Insurance Assessment Tables | ' | ||||
Schedule of workers compensation assessment | ' | ||||
The assessed amount for the years 2002 through 2006 was $101,362. The assessed amount for each year is detailed as follows: | |||||
2002 | $ | 16,826 | |||
2003 | 24,934 | ||||
2004 | 31,785 | ||||
2005 | 14,748 | ||||
2006 | 13,069 | ||||
$ | 101,362 | ||||
Schedule of workers compensation assessment revised | ' | ||||
The total revised assessment for the years 2002 to 2007 was as follows: | |||||
2002 | $ | 23,445 | |||
2003 | 43,797 | ||||
2004 | 51,381 | ||||
2005 | 38,309 | ||||
2006 | 46,477 | ||||
2007 | 44,026 | ||||
$ | 247,435 | ||||
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended | ||||
Mar. 28, 2014 | |||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||
Schedule of basic minimum annual rental payments | ' | ||||
The basic minimum annual rentals are as follows: | |||||
Fiscal year ending March: | |||||
2015 | $ | 163,240 | |||
2016 | 168,120 | ||||
2017 | 173,180 | ||||
2018 | 178,360 | ||||
2019 | 183,720 | ||||
Thereafter | 317,840 | ||||
$ | 1,184,460 | ||||
SUMMARY_OF_SIGNIFICANT_ACCOUNT3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) (USD $) | 12 Months Ended | |
Mar. 28, 2014 | Mar. 29, 2013 | |
Weeks | Weeks | |
Company's net sales percentage to commercial electronic markets | 35.00% | ' |
Company's net sales percentage to military markets | 58.00% | ' |
Number of weeks in fiscal period | 52 | 52 |
FDIC coverage of deposits | $250,000 | ' |
Minimum [Member] | ' | ' |
Number of weeks in fiscal period | 52 | ' |
Maximum [Member] | ' | ' |
Number of weeks in fiscal period | 53 | ' |
Property, Plant and Equipment | Minimum [Member] | ' | ' |
Useful lives of property plant and equipment | '5 years | ' |
Property, Plant and Equipment | Maximum [Member] | ' | ' |
Useful lives of property plant and equipment | '7 years | ' |
SUMMARY_OF_SIGNIFICANT_ACCOUNT4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $) | Mar. 28, 2014 | Mar. 29, 2013 | Mar. 30, 2012 |
Funds on deposit: | ' | ' | ' |
Non-interest bearing accounts | $1,327,413 | ' | ' |
Interest bearing account | 406,047 | ' | ' |
Cash | $1,733,460 | $415,857 | $286,109 |
INVENTORIES_Details
INVENTORIES (Details) (USD $) | Mar. 28, 2014 | Mar. 29, 2013 |
Outstanding Inventory | ' | ' |
Raw Materials | $2,655,600 | $2,646,222 |
Work in Progress | 1,181,575 | 679,737 |
Finished Goods | 744,257 | 1,137,221 |
Inventories | $4,581,432 | $4,463,180 |
PREPAID_EXPENSES_AND_OTHER_CUR2
PREPAID EXPENSES AND OTHER CURRENT ASSETS (Details) (USD $) | Mar. 28, 2014 | Mar. 29, 2013 |
Prepaid Expenses and Other Current Assets | ' | ' |
Prepaid Insurance | $5,735 | $63,897 |
Prepaid corporate taxes | 774,438 | 805,885 |
Other current assets | ' | 85,444 |
Prepaid expenses and other current assets | $780,173 | $955,226 |
PROPERTY_PLANT_AND_EQUIPMENT_D
PROPERTY, PLANT AND EQUIPMENT (Details) (USD $) | Mar. 28, 2014 | Mar. 29, 2013 |
Property, Plant and Equipment, Gross | $9,515,582 | $9,162,897 |
Accumulated depreciation and amortization | -7,939,106 | -7,665,207 |
PROPERTY, PLANT AND EQUIPMENT, NET | 1,576,476 | 1,497,690 |
Computers [Member] | ' | ' |
Property, Plant and Equipment, Gross | 315,500 | 308,080 |
Leasehold Improvements [Member] | ' | ' |
Property, Plant and Equipment, Gross | 792,657 | 784,882 |
Machinery and Equipment [Member] | ' | ' |
Property, Plant and Equipment, Gross | 5,341,123 | 5,296,237 |
Tools and Dies [Member] | ' | ' |
Property, Plant and Equipment, Gross | 2,887,274 | 2,596,379 |
Furniture and Fixture [Member] | ' | ' |
Property, Plant and Equipment, Gross | 169,978 | 168,269 |
Website Development Cost [Member] | ' | ' |
Property, Plant and Equipment, Gross | $9,050 | $9,050 |
ACCOUNTS_RECEIVABLE_FINANCING_
ACCOUNTS RECEIVABLE FINANCING (Details Narrative) | 12 Months Ended |
Mar. 28, 2014 | |
Receivables [Abstract] | ' |
Financing agreement - percentage of eligible receivables that may be borrowed | 80.00% |
Interest rate above JPMC rate, ceiling | 2.50% |
Interest rate floor | 12.00% |
Financing agreement term (years) | '1 year |
Financing agreement notice (days) | '60 days |
OTHER_CURRENT_LIABILITIES_Deta
OTHER CURRENT LIABILITIES (Details) (USD $) | Mar. 28, 2014 | Mar. 29, 2013 |
Other Current Liabilities | ' | ' |
Payroll and vacation accruals | $496,388 | $387,341 |
Sales commissions | 46,758 | 40,214 |
Insurance | 6,487 | 7,362 |
Other | 9,510 | 4,200 |
[us-gaap:OtherLiabilitiesCurrent] | $559,143 | $439,117 |
INCOME_TAXES_Details
INCOME TAXES (Details) (USD $) | 12 Months Ended | |
Mar. 28, 2014 | Mar. 29, 2013 | |
Current: | ' | ' |
Federal | $489,997 | ' |
State and local | 346,492 | ' |
Total current tax provision | 836,489 | ' |
Deferred: | ' | ' |
Federal | 242,708 | ' |
State and local | 68,419 | ' |
Total deferred tax benefit | 311,127 | ' |
Total provision (benefit) | $1,147,616 | $850,964 |
INCOME_TAXES_Details_1
INCOME TAXES (Details 1) (USD $) | Mar. 28, 2014 |
Deferred tax assets: | ' |
Accounts receivable reserves | $11,562 |
Accrued expenses | 551,538 |
Prepaid expenses | -48,019 |
[DeferredTaxAssetsGross] | 515,081 |
Deferred tax liabilities: | ' |
Depreciation | 17,224 |
Net deferred tax assets before valuation allowance | 532,305 |
Valuation allowance | -532,305 |
Net deferred tax assets | $0 |
INCOME_TAXES_Details_2
INCOME TAXES (Details 2) | 12 Months Ended |
Mar. 28, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income tax expense (benefit) - statutory rate | 34.00% |
Income tax expenses - state and local, net of federal benefit | 12.00% |
Income tax expense (benefit) | 46.00% |
WORKERS_COMPENSATION_INSURANCE2
WORKERS COMPENSATION INSURANCE ASSESSMENT (Details Narrative) (USD $) | 12 Months Ended |
Mar. 28, 2014 | |
Workers Compensation Insurance Assessment Details Narrative | ' |
Notification date of assessment | '2008-09-15 |
Deferral payment period, in months | '60 months |
Monthly payment | $1,689 |
Number of monthly payments | 59 |
Monthly payment for last month | 1,711 |
Additional workers compensation assessment | 146,703 |
Amount paid to trust for lump-sum settlement of assessment | 7,771 |
Debt forgiven due to settlement of workers compensation claim | $54,078 |
WORKERS_COMPENSATION_INSURANCE3
WORKERS COMPENSATION INSURANCE ASSESSMENT (Details) (USD $) | Mar. 28, 2014 |
Workers Compensation Assessment | ' |
2002 | $16,826 |
2003 | 24,934 |
2004 | 31,785 |
2005 | 14,748 |
2006 | 13,069 |
Total | $101,362 |
WORKERS_COMPENSATION_INSURANCE4
WORKERS COMPENSATION INSURANCE ASSESSMENT (Details 1) (USD $) | Mar. 28, 2014 |
Workers Compensation Assessment Revised | ' |
2002 | $23,445 |
2003 | 43,797 |
2004 | 51,381 |
2005 | 38,309 |
2006 | 46,477 |
2007 | 44,026 |
Total | $247,435 |
2011_EMPLOYEE_STOCK_OPTION_PLA1
2011 EMPLOYEE STOCK OPTION PLAN (Details Narrative) (USD $) | Mar. 28, 2014 |
Employee Stock Option Plan Details Narrative | ' |
Number of Stock Options and Restricted Stock Awards authorized under 2011 Equity Incentive Plan | 750,000 |
Incentive stock options, granted to shareholder holdings (percent) | 10.00% |
Incentive stock options, exercise price as compared to fair market value (percent) to majority shareholder | 110.00% |
FMV of shares subject to options granted to participants and designated as incentive stock options, maximum amount | $100,000 |
CASH_BONUS_PLAN_Details_Narrat
CASH BONUS PLAN (Details Narrative) (USD $) | 12 Months Ended | |
Mar. 28, 2014 | Mar. 29, 2013 | |
Cash Bonus Plan Details Narrative | ' | ' |
Cash Bonus plan, threshold of pre-tax operating profits | $150,000 | ' |
Cash Bonus plan, contribution tier 1 | 10.00% | ' |
Cash Bonus plan, contribution tier 2 | 25.00% | ' |
Cash Bonus plan, contribution | $189,600 | $159,000 |
COMMITMENTS_AND_CONTINGENCIES_1
COMMITMENTS AND CONTINGENCIES (Details Narrative) (USD $) | 12 Months Ended | |
Mar. 28, 2014 | Mar. 29, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | ' | ' |
Rental expense | $158,480 | $153,860 |
Pension plan contributions | $118,695 | $119,745 |
COMMITMENTS_AND_CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Details) (USD $) | Mar. 28, 2014 |
Commitments and Contingencies Disclosure [Abstract] | ' |
2015 | $163,240 |
2016 | 168,120 |
2017 | 173,180 |
2018 | 178,360 |
2019 | 183,720 |
Thereafter | 317,840 |
Total | $1,184,460 |
REVENUES_FROM_MAJOR_CUSTOMERS_
REVENUES FROM MAJOR CUSTOMERS (Details Narrative) (USD $) | 12 Months Ended | |
Mar. 28, 2014 | Mar. 29, 2013 | |
Customer Concentration Risk [Member] | ' | ' |
Concentration risk | 33.00% | 34.00% |
Number of customers | 3 | 4 |
Revenue derived from customers | $5,124,000 | $4,505,000 |
Major Customer Concentration Risk [Member] | ' | ' |
Concentration risk | ' | 21.00% |
Number of customers | 2 | 2 |
Major Customer #1 Concentration Risk [Member] | ' | ' |
Concentration risk | 15.00% | ' |
Major Customer #2 Concentration Risk [Member] | ' | ' |
Concentration risk | 11.00% | ' |
Accounts Receivable [Member] | ' | ' |
Concentration risk | 41.00% | ' |
Number of customers | 4 | ' |