Annual report pursuant to Section 13 and 15(d)

Note 5 - Discontinued Operations

Note 5 - Discontinued Operations
12 Months Ended
Apr. 01, 2012
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]
Note 5 – Discontinued Operations

During the first quarter of fiscal year 2008, the operations of Churchill Weavers, Inc. (“Churchill”), a wholly-owned subsidiary of the Company, ceased and all employees were terminated.  The Company is actively marketing Churchill’s land and building for sale, and a portion of the property was sold in July 2008.  The Churchill property is recorded at fair value, less estimated cost to sell, and is classified as assets held for sale in the accompanying consolidated balance sheets.  The Company determined that the fair value of the property had fallen below its carrying value during fiscal year 2011 and recorded an impairment charge of $121,000, which did not result in any cash expenditures, did not have an adverse effect on the Company’s compliance with the covenants under its financing agreement and did not affect the Company’s availability under its revolving line of credit.  The operations of Churchill are classified as discontinued operations in the accompanying consolidated statements of income.

The following table sets forth the loss from discontinued operations for fiscal years 2012 and 2011 (in thousands):

Loss from discontinued operations
  $ (19 )   $ (21 )
Impairment charge
    -       (121 )
      (19 )     (142 )
Income tax benefit
    (6 )     (45 )
Net loss from discontinued operations
  $ (13 )   $ (97 )