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2008-12-01
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ACU:UnitedStatesMember
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ACU:CanadaMember
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iso4217:USD
xbrli:shares
iso4217:USD
xbrli:shares
xbrli:pure
ACU:Y
Q1
2014
3212352
11644000
3367000
8941000
9750000
15629000
16111000
1494000
1755000
56986000
50210000
597000
596000
5854000
5919000
8905000
9587000
9420000
9647000
1085000
1081000
68079000
61781000
57068000
51542000
5329000
5555000
5682000
4684000
4790000
4312000
5087000
4867000
9877000
9179000
22912000
17286000
33075000
26742000
11407000
11407000
68079000
61781000
15356000
16102000
5936000
6455000
286000
277000
12283000
12283000
2.50
2.50
8000000
8000000
4563174
4563174
1362072
1362072
256000
220000
65000
67000
126000
105000
651000
-1411000
871000
288000
-505000
-1637000
-140000
-1033000
-1973000
-1178000
762000
155000
28000
26000
-790000
-181000
9000
253000
23000
-1605000
-869000
-5626000
132000
-5882000
232000
-8277000
-809000
625000
564000
-10000
-41000
676000
32000
-83000
513000
3201000
3132000
3443000
3213000
165000
50000
-203000
-259000
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"> </font></p>
<table cellspacing="0" cellpadding="0" align="center" style="font: 10pt Times New Roman, Times, Serif; width: 80%; border-collapse: collapse">
<tr style="vertical-align: bottom">
<td style="width: 41%; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt/normal Times New Roman, Times, Serif"><b>Balance
at </b></font><font style="font: 9pt Times New Roman, Times, Serif"><br />
<font style="line-height: normal"><b>December 31, 2013</b></font></font></td>
<td style="width: 23%; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt/normal Times New Roman, Times, Serif"><b>Payments</b></font></td>
<td style="width: 36%; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt/normal Times New Roman, Times, Serif"><b>Balance
at </b></font><font style="font: 9pt Times New Roman, Times, Serif"><br />
<font style="line-height: normal"><b>March 31, 2014</b></font></font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td nowrap="nowrap" style="border-bottom: Black 1.5pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt/normal Times New Roman, Times, Serif">$  39</font></td>
<td nowrap="nowrap" style="border-bottom: Black 1.5pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt/normal Times New Roman, Times, Serif">$  (5)</font></td>
<td nowrap="nowrap" style="border-bottom: Black 1.5pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt/normal Times New Roman, Times, Serif">$  34</font></td></tr>
</table>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"> </font></p>
2500000
850000
2000000
<p style="margin: 0pt"><font style="font: 10pt Times New Roman, Times, Serif">In December 2008, the Company sold property it
owned in Bridgeport, Connecticut to B&E Juices, Inc. for $2.5 million, of which $2.0 million was secured by a mortgage
on the property.  The property consists of approximately four acres of land and 48,000 sq. feet of warehouse
space.  The property was the site of the Company’s original scissor factory which opened in 1887 and was
closed in 1996.</p>
1800000
16000
17000
17000
27000
2000
2000
46000
40000
22912000
17286000
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"><b>Note
5— Segment Information</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left"><font style="line-height: normal"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">The Company reports financial
information based on the organizational structure used by management for making operating and investment decisions and for assessing
performance. The Company’s reportable business segments consist of: (1) United States; (2) Canada and (3) Europe. As described
below, the activities of the Company’s Asian operations are closely linked to those of the U.S. operations; accordingly,
management reviews the financial results of both on a consolidated basis, and the results of the Asian operations have been aggregated
with the results of the United States operations to form one reportable segment called the “United States segment”
or “U.S. operating segment”. Each reportable segment derives its revenue from the sales of cutting devices, measuring
instruments and safety products for school, office, home, hardware and industrial use.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">Domestic sales orders are
filled from the Company’s distribution center in North Carolina. The Company is responsible for the costs of shipping, insurance,
customs clearance, duties, storage and distribution related to such products. Orders filled from the Company’s inventory
are generally for less than container-sized lots.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">Direct import sales are products
sold by the Company’s Asian subsidiary, directly to major U.S. retailers, who take ownership of the products in Asia. These
sales are completed by delivering product to the customers’ common carriers at the shipping points in Asia. Direct import
sales are made in larger quantities than domestic sales, typically full containers. Direct import sales represented approximately
10% and 12% of the Company’s total net sales for the three months ended March 31, 2014 and 2013, respectively.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">The chief operating decision
maker evaluates the performance of each operating segment based on segment revenues and operating income. Segment amounts are
presented after converting to U.S. dollars and consolidating eliminations.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">Financial data by segment
(in thousands):</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"></font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="7" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"><b>Three
months ended March 31</b></font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; vertical-align: top"><font style="font: 9pt Times New Roman, Times, Serif">Sales to external
customers:</font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>2014</b></font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>2013</b></font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 60%; text-align: left; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">United
States</font></td><td style="width: 2%"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="width: 14%; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">16,105</font></td><td style="width: 1%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="width: 4%"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="width: 14%; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">14,227</font></td><td style="width: 1%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Canada</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">1,510</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">1,625</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Europe</font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">1,537</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">1,799</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Consolidated</font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">19,152</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">17,651</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">Operating income:</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">United States</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">676</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">564</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Canada</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">32</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">(10</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Europe</font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">(83</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">(41</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Consolidated</font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">625</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">513</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-Serif; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-Serif; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-Serif; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-Serif; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Interest expense, net</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">83</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">69</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Other
expense, net</font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">19</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">3</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 2.5pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Consolidated
income before income taxes</font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">523</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">441</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="font: 9pt/normal Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"></font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"><b>March
31</b></font></td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"><b>December
31</b></font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 9pt Times New Roman, Times, Serif">Assets by segment</font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>2014</b></font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>2013</b></font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 60%; text-align: left; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">United States</font></td><td style="width: 2%"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="width: 14%; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">51,542</font></td><td style="width: 1%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="width: 4%"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="width: 14%; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">57,068</font></td><td style="width: 1%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Canada</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">5,555</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">5,329</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Europe</font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">4,684</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">5,682</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Consolidated</font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">61,781</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">68,079</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"></font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="7" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"><b>Three
months ended March 31</b></font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left; vertical-align: top"><font style="font: 9pt Times New Roman, Times, Serif">Sales to external
customers:</font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>2014</b></font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>2013</b></font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 60%; text-align: left; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">United
States</font></td><td style="width: 2%"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="width: 14%; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">16,105</font></td><td style="width: 1%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="width: 4%"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="width: 14%; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">14,227</font></td><td style="width: 1%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Canada</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">1,510</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">1,625</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Europe</font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">1,537</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">1,799</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Consolidated</font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">19,152</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">17,651</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">Operating income:</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">United States</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">676</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">564</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Canada</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">32</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">(10</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Europe</font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">(83</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">(41</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Consolidated</font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">625</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">513</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-Serif; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-Serif; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-Serif"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="font-family: Arial, Helvetica, Sans-Serif; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-Serif; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-family: Arial, Helvetica, Sans-Serif; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Interest expense, net</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">83</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">69</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Other
expense, net</font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">19</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">3</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 2.5pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Consolidated
income before income taxes</font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">523</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">441</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="font: 9pt/normal Times New Roman, Times, Serif"> </font></p>
30000000
40000000
-35000
-39000
0000002098
10-Q
2014-03-31
false
--12-31
No
No
Yes
Smaller Reporting Company
26004000
26961000
187000
48000
2028000
1968000
6466000
6592000
30099000
30211000
106000
-97000
6877000
6427000
6252000
5914000
89000
127000
6000
58000
-83000
-69000
-19000
-3000
-102000
-72000
523000
441000
155000
132000
242000
81000
256000
35004000
35039000
<p style="font: bold 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">Note 1 —
Basis of Presentation</font></p>
<p style="font: bold 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0in"><font style="line-height: normal">In
the opinion of management, the accompanying condensed consolidated financial statements include all adjustments necessary to present
fairly the financial position, results of operations and cash flows of Acme United Corporation (the “Company”). These
adjustments are of a normal, recurring nature. However, the financial statements do not include all of the disclosures normally
required by accounting principles generally accepted in the United States of America or those normally made in the Company's Annual
Report on Form 10-K. Please refer to the Company's Annual Report on Form 10-K for the year ended December 31, 2013 for such disclosures.
The condensed consolidated balance sheet as of December 31, 2013 was derived from the audited consolidated balance sheet as of
that date. The results of operations for interim periods are not necessarily indicative of the results to be expected for the
full year. The information included in this Quarterly Report on Form 10-Q should be read in conjunction with the Management’s
Discussion and Analysis of Financial Condition and Results of Operations and the financial statements and notes thereto, included
in the Company’s 2013 Annual Report on Form 10-K.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0in"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0in"><font style="line-height: normal">The
Company has evaluated events and transactions subsequent to March 31, 2014 and through the date these condensed consolidated financial
statements were included in this Form 10-Q and filed with the SEC. On April 7, 2014 the Company sold its Fremont, NC distribution
facility for $850,000.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0in"><font style="line-height: normal"> </font></p>
<p style="font: bold 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">Note 2 —
Contingencies</font></p>
<p style="font: bold 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal">The
Company is involved from time to time in disputes and other litigation in the ordinary course of business and may encounter other
contingencies, which may include environmental and other matters. The Company presently has no matters other than the environmental
remediation accrual described below.</font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"> </font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">In December 2008, the
Company sold property it owned in Bridgeport, Connecticut to B&E Juices, Inc. for $2.5 million, of which $2.0 million was
secured by a mortgage on the property. The property consists of approximately four acres of land and 48,000 sq. feet of warehouse
space. The property was the site of the Company’s original scissor factory which opened in 1887 and was closed in 1996.</font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">Under the terms of the sale
agreement, and as required by the Connecticut Transfer Act, the Company is required to remediate any environmental contamination
on the property. During 2008, the Company hired an independent environmental consulting firm to conduct environmental studies
in order to identify the extent of the environmental contamination on the property and to develop a remediation plan. As a result
of those studies and the estimates prepared by the independent environmental consulting firm, the Company recorded an undiscounted
liability of approximately $1.8 million related to the remediation of the property. This accrual included the costs of required
investigation, remedial activities, and post-remediation operating and maintenance.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">Remediation work on the project
began in the third quarter of 2009 and was completed during the third quarter of 2012. At March 31, 2014, the Company had approximately
$34,000 remaining in its accrual for environmental remediation, all of which was classified as a current liability at that date.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">In addition to the remediation
work, the Company, with the assistance of its independent environmental consulting firm, must continue to monitor contaminant
levels on the property to ensure they comply with set governmental standards. The Company expects that the entire project will
be completed by the end of 2014.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"><font style="line-height: normal"> </font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal">The
change in the accrual for environmental remediation for the three months ended March 31, 2014 follows (in thousands):</font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"> </font></p>
<table cellspacing="0" cellpadding="0" align="center" style="font: 10pt Times New Roman, Times, Serif; width: 80%; border-collapse: collapse">
<tr style="vertical-align: bottom">
<td style="width: 41%; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt/normal Times New Roman, Times, Serif"><b>Balance
at </b></font><font style="font: 9pt Times New Roman, Times, Serif"><br />
<font style="line-height: normal"><b>December 31, 2013</b></font></font></td>
<td style="width: 23%; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt/normal Times New Roman, Times, Serif"><b>Payments</b></font></td>
<td style="width: 36%; border-bottom: Black 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt/normal Times New Roman, Times, Serif"><b>Balance
at </b></font><font style="font: 9pt Times New Roman, Times, Serif"><br />
<font style="line-height: normal"><b>March 31, 2014</b></font></font></td></tr>
<tr style="vertical-align: bottom">
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td nowrap="nowrap" style="padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td nowrap="nowrap" style="border-bottom: Black 1.5pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt/normal Times New Roman, Times, Serif">$  39</font></td>
<td nowrap="nowrap" style="border-bottom: Black 1.5pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt/normal Times New Roman, Times, Serif">$  (5)</font></td>
<td nowrap="nowrap" style="border-bottom: Black 1.5pt double; padding-right: 5.4pt; padding-left: 5.4pt; text-align: center"><font style="font: 9pt/normal Times New Roman, Times, Serif">$  34</font></td></tr>
</table>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"> </font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"></font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"></font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal">Also,
as part of the sale of the Bridgeport property, the Company provided the buyer with a mortgage of $2.0 million at six percent
interest per year. During the third quarter of 2013, the Company received $1,726,888 from B&E Juices, Inc. as an early repayment
in full of the outstanding balance on the mortgage.</font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"><b>Note
3 —</b> <b>Pension</b></font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"><b> </b></font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal">Components
of net periodic pension cost are as follows (in thousands):</font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"> </font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"></font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td colspan="7" style="font-size: 9pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>Three
Months Ended</b></font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"><b>March
31</b></font></td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"><b>March
31</b></font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>2014</b></font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>2013</b></font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">Components of net periodic benefit cost:</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 60%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">Interest cost</font></td><td style="width: 2%"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="width: 14%; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">16</font></td><td style="width: 1%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="width: 4%"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="width: 14%; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">17</font></td><td style="width: 1%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">Service cost</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">10</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">9</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">Expected return on plan assets</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">(17</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">)</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">(27</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">Amortization of prior service costs</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">2</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">2</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif">Amortization of actuarial
loss</font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">35</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">39</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">46</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">4</font><font style="font-family: Times New Roman, Times, Serif">0</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"> </font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"></font>The Company’s funding policy with respect to its qualified
plan is to contribute at least the minimum amount required by applicable laws and regulations. In 2014, the Company is required
to contribute approximately $235,000.</p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"><b>Note 4 — Long Term
Debt and Stockholders Equity</b><br />
<br />
On April 25, 2013, the Company amended its revolving loan agreement with HSBC Bank N.A. dated April 5, 2012. The amendment increased
the borrowing limit to $40 million from $30 million. The interest rate remains the same at LIBOR plus 1.75%. All principal amounts
outstanding under the agreement are required to be repaid in a single amount on April 5, 2017, the date the agreement expires;
interest is payable monthly. Funds borrowed under the agreement may be used for working capital, general operating expenses, share
repurchases, acquisitions and certain other purposes. Under the amended loan agreement, the Company is required to maintain specific
amounts of tangible net worth, a debt/net worth ratio, and a fixed charge coverage ratio. At March 31, 2014 the Company was in
compliance with the financial covenants referenced above.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">As of March 31, 2014 and
December 31, 2013, the Company had outstanding borrowings of $17,285,829 and $22,911,829, respectively, under the Company’s
revolving loan agreement with HSBC.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 10pt; text-indent: -10pt"><font style="line-height: normal"><b>Note
6 – Stock Based Compensation</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 10pt; text-indent: -10pt"><font style="line-height: normal"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">The Company recognizes share-based
compensation at fair value of the equity instrument on the grant date. Compensation expense is recognized over the required service
period. Share-based compensation expenses were $126,000 and $105,000 for the quarters ended March 31, 2014 and March 31, 2013,
respectively. During the three months ended March 31, 2014 and 2013, the Company granted 34,000 and 37,500 employee stock options,
respectively, with a weighted average fair value of $3.33 and $2.65, respectively. As of March 31, 2014, there was a total of
$913,766 of unrecognized compensation cost, adjusted for estimated forfeitures, related to non-vested, share –based payments
granted to the Company’s employees.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"><b>Note 7 – Fair Value
Measurements</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal">The carrying value of the
Company’s bank debt and note receivable approximates fair value. Fair value was determined using a discounted cash flow
analysis.</font></p>
34000
.06
10000
9000
2017-04-05
Under the amended loan agreement, the Company is required to maintain specific amounts of tangible net worth, a debt/net
worth ratio, and a fixed charge coverage ratio. At March 31, 2014 the Company was in compliance with the
financial covenants referenced above.
Interest rate of LIBOR plus 1.75%
ACME UNITED CORP
28219000
28977000
19152000
14227000
1625000
1799000
16105000
1510000
1537000
17651000
12275000
11224000
368000
309000
.12
.10
.11
.10
4072000
4035000
791000
791000
-685000
-888000
.08
.07
39000
34000
5000
126000
105000
34000
37500
3.33
2.65
914000
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"> </font></p>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"></font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td colspan="7" style="font-size: 9pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>Three
Months Ended</b></font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"><b>March
31</b></font></td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"><b>March
31</b></font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>2014</b></font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>2013</b></font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">Components of net periodic benefit cost:</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 60%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">Interest cost</font></td><td style="width: 2%"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="width: 14%; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">16</font></td><td style="width: 1%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="width: 4%"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="width: 14%; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">17</font></td><td style="width: 1%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">Service cost</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">10</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">9</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">Expected return on plan assets</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">(17</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">)</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">(27</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">Amortization of prior service costs</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">2</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">2</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif">Amortization of actuarial
loss</font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">35</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">39</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">46</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">4</font><font style="font-family: Times New Roman, Times, Serif">0</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt/12pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><font style="line-height: normal"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="font: 9pt/normal Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"></font></p>
<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
<tr style="vertical-align: bottom">
<td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td colspan="3" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"><b>March
31</b></font></td><td style="font-weight: bold"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center"><font style="font: 9pt Times New Roman, Times, Serif"><b>December
31</b></font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 9pt Times New Roman, Times, Serif">Assets by segment</font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>2014</b></font></td><td style="font-weight: bold; padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"><b> </b></font></td>
<td colspan="3" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><font style="font: 9pt Times New Roman, Times, Serif"><b>2013</b></font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 60%; text-align: left; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">United States</font></td><td style="width: 2%"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="width: 14%; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">51,542</font></td><td style="width: 1%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="width: 4%"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 2%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="width: 14%; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">57,068</font></td><td style="width: 1%; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Canada</font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">5,555</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">5,329</font></td><td style="text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Europe</font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">4,684</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1pt solid; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1pt solid; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">5,682</font></td><td style="padding-bottom: 1pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 2.5pt; padding-left: 22pt"><font style="font: 9pt Times New Roman, Times, Serif">Consolidated</font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">61,781</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 2.5pt"><font style="font: 9pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 2.5pt double; text-align: left"><font style="font: 9pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 2.5pt double; text-align: right"><font style="font: 9pt Times New Roman, Times, Serif">68,079</font></td><td style="padding-bottom: 2.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="line-height: normal"> </font></p>
.10
.12
1727000
100000
235000
0.0175
0.0175