| Delaware                                |       | 84-1099587                           |
|-----------------------------------------|--------------------------------|--------------------------------------|
| (State or other jurisdiction of         |                           | (I.R.S. Employer Identification No.) |
| incorporation or organization)          |                           |                                 |
|                                    |                           |                                 |
| 14100 SW 72ndAvenue                     |                           |                                 |
| Portland, Oregon                        |                           | 97224                                |
| (Address of principal executive office) |                           | (Zip code)                           |

----

|      | Large accelerated filer [   ] |   | Accelerated filer [   ] |      |
|--------------------------|-----------------------------------------|--------|-----------------------------------|--------------------------|
|                     | Non-accelerated filer [   ]   |   | Smaller reporting company [ X ]   |                     |

----

|       |     |       |                                                                                        |       | Page   |
|--------------------------------|----------|--------------------------------|---------------------------------------------------------------------------------------------|--------------------------------|--------|
| Part I                         |     |                           |                                                                                        |                           |
|                           | Item 1.  |                           | Business                                                                                    |                           | 4-7    |
|                           | Item 1A. |                           | Risk Factors                                                                                |                           | 8-11   |
|                           | Item 2.  |                           | Properties                                                                                  |                           | 11     |
|                           | Item 3.  |                           | Legal Proceedings                                                                           |                           | 11     |
|                           | Item 4.  |                           | Submission of Matters to a Vote of Security Holders                                         |                           | 11     |
|                           |     |                           |                                                                                        |                           |   |
| Part II                        |     |                           |                                                                                        |                           |
|                           | Item 5.  |                           | Market for Registrant’s Common Equity, Related Stockholder Matters and                |                           | 12     |
|                           |     |                           | Issuer Purchases of Equity Securities                                                       |                           |   |
|                           | Item 6.  |                           | Selected Financial Data                                                                     |                           | 13     |
|                           | Item 7.  |                           | Management’s Discussion and Analysis of Financial Condition and Results of Operations |                           | 13-22  |
|                           | Item 7A. |                           | Quantitative and Qualitative Disclosures About Market Risk                                  |                           | 22     |
|                           | Item 8.  |                           | Financial Statements and Supplementary Data                                                 |                           | 23     |
|                           | Item 9.  |                           | Changes in and Disagreements with Accountants on Accounting and Financial Disclosure        |                           | 51     |
|                           | Item 9A. |                           | Controls and Procedures                                                                     |                           | 51     |
|                           | Item 9B. |                           | Other Information                                                                           |                           | 51     |
|                           |     |                           |                                                                                        |                           |   |
| Part III                       |     |                           |                                                                                        |                           |
|                           | Item 10. |                           | Directors, Executive Officers and Corporate Governance                                      |                           | 52     |
|                           | Item 11. |                           | Executive Compensation                                                                      |                           | 52     |
|                           | Item 12. |                           | Security Ownership of Certain Beneficial Owners and Management and Related                  |                           | 52     |
|                           |     |                           | Stockholder Matters                                                                         |                           |   |
|                           | Item 13. |                           | Certain Relationships and Related Transactions, and Director Independence                   |                           | 52     |
|                           | Item 14. |                           | Principal Accountant Fees and Services                                                      |                           | 52     |
|                           |     |                           |                                                                                        |                           |   |
| Part IV                        |     |                           |                                                                                        |                           |
|                           | Item 15. |                           | Exhibits and Financial Statement Schedules                                                  |                           | 53     |
|                           |     |                           |                                                                                        |                           |   |
| Signatures                     |     |                           | 54                                                                                          |

----

----

----

----

----

----

----

- our ability to maintain good relations with our overseas employees and distributors and to collect amounts owed from our overseas customers;  
- exposure to currency fluctuations;  
- potential difficulties in enforcing contractual obligations;  
- complying with a wide variety of laws and regulations, including product certification, environmental, and import and export laws;  
- the challenges of operating in disparate geographies and cultures;  
- political and economic instability; and   
- restrictions on our ability to repatriate dividends from our subsidiaries, particularly from our Chinese subsidiary. 

----

----

|           | 2010                            |                           | 2009   |
|----------------|---------------------------------|--------------------------------|--------|
|           | High                            |       | Low    |       | High |       | Low |
| First Quarter  | $      | 8.73                           |   | $      | 7.74 |   | $      | 13.02 |   | $      | 6.21 |
| Second Quarter | $                               | 8.12                           |   | $ | 7.15 |   | $ | 7.81 |   | $ | 4.15 |
| Third Quarter  | $                               | 9.76                           |   | $ | 8.20 |   | $ | 7.25 |   | $ | 4.95 |
| Fourth Quarter | $                               | 10.47                          |   | $ | 7.51 |   | $ | 9.40 |   | $ | 5.90 |

| Total Return Analysis   |
|-------------------------|
|                    | 9/30/05 |       | 9/30/06 |       | 9/30/07 |       | 9/30/08 |       | 9/30/09 |       | 9/30/10 |
| Williams Controls, Inc. | $      | 100.00 |   | $      | 166.93 |   | $      | 237.42 |   | $      | 169.70 |   | $      | 118.31 |   | $      | 133.01 |
| NASDAQ Composite        | $ | 100.00 |   | $ | 106.39 |   | $ | 127.37 |   | $ | 96.70 |   | $ | 100.00 |   | $ | 112.86 |
| Peer Group              | $ | 100.00 |   | $ | 104.99 |   | $ | 144.38 |   | $ | 95.54 |   | $ | 96.05 |   | $ | 137.69 |

----

| Consolidated Statement of Operations Data:         | Year ended September 30         |
|----------------------------------------------------|---------------------------------|
|                                               | 2010                            |       | 2009 |       | 2008 |       | 2007 |       | 2006 |
| Net sales                                          | $      | 52,266 |   | $      | 38,809 |   |   | $      | 65,781 |   | $      | 68,924 |   | $      | 74,634 |
| Net income (loss)                                  |                            | 1,377 |   |   | (2,009 | ) |   |   | 7,830 |   |   | 7,937 |   |   | 9,549 |
| Net income (loss) per common share – basic   |                            | 0.19 |   |   | (0.27 | ) |   |   | 1.04 |   |   | 1.06 |   |   | 1.29 |
| Net income (loss) per common share – diluted |                            | 0.19 |   |   | (0.27 | ) |   |   | 1.01 |   |   | 1.03 |   |   | 1.25 |
| Cash dividends per common share                    |                            | 1.00 |   |   | - |   |   |   | - |   |   | - |   |   | - |
|                                               |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Consolidated Balance Sheet Data:                   | September 30                    |
|                                               | 2010                            |   | 2009 |   | 2008 |   | 2007 |   | 2006 |
| Current Assets                                     | $                               | 21,249 |   | $ | 24,104 |   |   | $ | 28,694 |   | $ | 21,041 |   | $ | 23,991 |
| Current Liabilities                                |                            | 10,503 |   |   | 7,707 |   |   |   | 9,447 |   |   | 9,857 |   |   | 17,651 |
| Working Capital                                    |                            | 10,746 |   |   | 16,397 |   |   |   | 19,247 |   |   | 11,184 |   |   | 6,340 |
| Total Assets                                       |                            | 34,205 |   |   | 36,384 |   |   |   | 39,762 |   |   | 32,078 |   |   | 35,703 |
| Long-Term Liabilities                              |                            | 8,938 |   |   | 8,587 |   |   |   | 4,667 |   |   | 5,052 |   |   | 9,790 |
| Stockholders’ Equity                         |                            | 14,764 |   |   | 20,090 |   |   |   | 25,648 |   |   | 17,169 |   |   | 8,262 |

----

|                                                                                   |                            |                           |   |                           |                            |                           |   |                           |                            |   |   |   | 2009 to                            |   | 2008 to |
|----------------------------------------------------------------------------------------|---------------------------------|--------------------------------|--------|--------------------------------|---------------------------------|--------------------------------|--------|--------------------------------|---------------------------------|--------|--------|--------|------------------------------------|--------|---------|
|                                                                                   | 2010                            |       | 2009   |       | 2008                            |       | 2010   |       | 2009                            |
| Net sales                                                                              | $      | 52,266                         |   |                           | $      | 38,809                         |   |                           | $      | 65,781 |   |   |      34.7 | %      |    |      (41.0 | %) |
| Cost of sales                                                                          |                            | 37,446                         |   |                           |                            | 30,173                         |   |                           |                            | 42,960 |   |   | 24.1                               | %      |    | (29.8 | %) |
|                                                                                   |                            |                           |   |                           |                            |                           |   |                           |                            |   |   |   |                               |   |    |   |   |
| Gross profit                                                                           |                            | 14,820                         |   |                           |                            | 8,636                          |   |                           |                            | 22,821 |   |   | 71.6                               | %      |    | (62.2 | %) |
|                                                                                   |                            |                           |   |                           |                            |                           |   |                           |                            |   |   |   |                               |   |    |   |   |
| Research and development                                                               |                            | 4,505                          |   |                           |                            | 3,981                          |   |                           |                            | 4,015  |   |   | 13.2                               | %      |    | (0.8 | %) |
| Selling                                                                                |                            | 2,836                          |   |                           |                            | 2,425                          |   |                           |                            | 2,727  |   |   | 16.9                               | %      |    | (11.1 | %) |
| Administration                                                                         |                            | 5,480                          |   |                           |                            | 5,522                          |   |                           |                            | 5,500  |   |   | (0.8                               | %)     |    | 0.4 | % |
| Class action settlement                                                                |                            | 775                            |   |                           |                            | -                              |   |                           |                            | -      |   |   | NM                                 |   | NM      |
| Gain from settlement of environmental claims                                           |                            | -                              |   |                           |                            | -                              |   |                           |                            | (1,072 | )      |   | NM                                 |   | NM      |
|                                                                                   |                            |                           |   |                           |                            |                           |   |                           |                            |   |   |   |                               |   |    |   |   |
| Operating income (loss)                                                                | $                               | 1,224                          |   |                           | $                               | (3,292                         | )      |                           | $                               | 11,651 |   |   |                               |   |    |   |   |
|                                                                                   |                            |                           |   |                           |                            |                           |   |                           |                            |   |   |   |                               |   |    |   |   |
| As a percentage of net sales:                                                          |                            |                           |   |                           |                            |                           |   |                           |                            |   |   |   |                               |   |    |   |   |
|        Cost of sales                                |                            | 71.6                           | %      |                           |                            | 77.7                           | %      |                           |                            | 65.3   | %      |   |                               |   |    |   |   |
|        Gross margin                                 |                            | 28.4                           | %      |                           |                            | 22.3                           | %      |                           |                            | 34.7   | %      |   |                               |   |    |   |   |
|        Research and development                     |                            | 8.6                            | %      |                           |                            | 10.3                           | %      |                           |                            | 6.1    | %      |   |                               |   |    |   |   |
|        Selling                                      |                            | 5.4                            | %      |                           |                            | 6.2                            | %      |                           |                            | 4.1    | %      |   |                               |   |    |   |   |
|        Administration                               |                            | 10.5                           | %      |                           |                            | 14.2                           | %      |                           |                            | 8.4    | %      |   |                               |   |    |   |   |
|        Class action settlement                      |                            | 1.5                            | %      |                           |                            | -                              |   |                           |                            | -      |   |   |                               |   |    |   |   |
|        Gain from settlement of environmental claims |                            | -                              |   |                           |                            | -                              |   |                           |                            | (1.6   | %)     |   |                               |   |    |   |   |
|        Operating income (loss)                      |                            | 2.3                            | %      |                           |                            | (8.5                           | %)     |                           |                            | 17.7   | %      |   |                               |   |    |   |   |

| Comparative Years Ended September 30, 2010, 2009 and 2008 |
|-----------------------------------------------------------|
|                                                      |   |   |   |   |   |   |   |   |   |   | Percent Change |
|                                                      |   |   |   |   |   |   |   |   |   |   | 2009 to |   | 2008 to |
| For the Year Ended September 30:                          |       | 2010 |       | 2009 |       | 2008 |       | 2010 |       | 2009 |
| Net sales                                                 |   | $      | 52,266 |   | $      | 38,809 |   | $      | 65,781 |   |      34.7 | % |   |      (41.0 | %) |

----

|                             |   |       |                                         |       |                                         |       |                                         |       | Percent Change                             |
|----------------------------------|--------|--------------------------------|----------------------------------------------|--------------------------------|----------------------------------------------|--------------------------------|----------------------------------------------|--------------------------------|--------------------------------------------|
|                             |   |                           |                                         |                           |                                         |                           |                                         |                           | 2009 to                                    |       | 2008 to |
| For the Year Ended September 30: |   |                           | 2010                                         |                           | 2009                                         |                           | 2008                                         |                           | 2010                                       |   | 2009 |
| Cost of sales                    |   |                           | $       37,446 |                           | $       30,173 |                           | $       42,960 |                           |        24.1% |   |        (29.8%) |

|                             |   |       |                                         |       |                                        |       |                                         |       | Percent Change                             |
|----------------------------------|--------|--------------------------------|----------------------------------------------|--------------------------------|---------------------------------------------|--------------------------------|----------------------------------------------|--------------------------------|--------------------------------------------|
|                             |   |                           |                                         |                           |                                        |                           |                                         |                           | 2009 to                                    |       | 2008 to |
| For the Year Ended September 30: |   |                           | 2010                                         |                           | 2009                                        |                           | 2008                                         |                           | 2010                                       |   | 2009 |
| Gross profit                     |   |                           | $       14,820 |                           | $       8,636 |                           | $       22,821 |                           |        71.6% |   |        (62.2%) |

----

|                             |   |       |                                        |       |                                        |       |                                        |       | Percent Change                             |
|----------------------------------|--------|--------------------------------|---------------------------------------------|--------------------------------|---------------------------------------------|--------------------------------|---------------------------------------------|--------------------------------|--------------------------------------------|
|                             |   |                           |                                        |                           |                                        |                           |                                        |                           | 2009 to                                    |       | 2008 to |
| For the Year Ended September 30: |   |                           | 2010                                        |                           | 2009                                        |                           | 2008                                        |                           | 2010                                       |   | 2009 |
| Research and development         |   |                           | $       4,505 |                           | $       3,981 |                           | $       4,015 |                           |        13.2% |   |        (0.8%) |

|                             |   |       |                                        |       |                                        |       |                                        |       | Percent Change                             |
|----------------------------------|--------|--------------------------------|---------------------------------------------|--------------------------------|---------------------------------------------|--------------------------------|---------------------------------------------|--------------------------------|--------------------------------------------|
|                             |   |                           |                                        |                           |                                        |                           |                                        |                           | 2009 to                                    |       | 2008 to |
| For the Year Ended September 30: |   |                           | 2010                                        |                           | 2009                                        |                           | 2008                                        |                           | 2010                                       |   | 2009 |
| Selling                          |   |                           | $       2,836 |                           | $       2,425 |                           | $       2,727 |                           |        16.9% |   |        (11.1%) |

|                             |   |       |                                        |       |                                        |       |                                       |       | Percent Change                              |
|----------------------------------|--------|--------------------------------|---------------------------------------------|--------------------------------|---------------------------------------------|--------------------------------|--------------------------------------------|--------------------------------|---------------------------------------------|
|                             |   |                           |                                        |                           |                                        |                           |                                       |                           | 2009 to                                     |       | 2008 to |
| For the Year Ended September 30: |   |                           | 2010                                        |                           | 2009                                        |                           | 2008                                       |                           | 2010                                        |   | 2009 |
| Administration                   |   |                           | $       5,480 |                           | $       5,522 |                           | $      5,500 |                           |        (0.8%) |   |        0.4% |

----

|                             |   |       |                                      |       |                                    |       |                                   |       | Percent Change                                      |
|----------------------------------|--------|--------------------------------|-------------------------------------------|--------------------------------|-----------------------------------------|--------------------------------|----------------------------------------|--------------------------------|-----------------------------------------------------|
|                             |   |                           |                                      |                           |                                    |                           |                                   |                           | 2009 to                                             |       | 2008 to |
| For the Year Ended September 30: |   |                           | 2010                                      |                           | 2009                                    |                           | 2008                                   |                           | 2010                                                |   | 2009 |
| Class action settlement          |   |                           | $       775 |                           | $       - |                           | $      - |                           |      NM     |   |      NM     |

|                                         |   |       |                                    |       |                                    |       |     |       | Percent Change                                      |
|----------------------------------------------|--------|--------------------------------|-----------------------------------------|--------------------------------|-----------------------------------------|--------------------------------|----------|--------------------------------|-----------------------------------------------------|
|                                         |   |                           |                                    |                           |                                    |                           |     |                           | 2009 to                                             |       | 2008 to |
| For the Year Ended September 30:             |   |                           |                                    | 2010                           |                                    | 2009                           |     | 2008                           |                                                | 2010 |   | 2009 |
| Gain from settlement of environmental claims |   |                           | $       - |                           | $       - |                           | ($1,072) |                           |      NM     |   |      NM     |

|                             |   |       |                                        |       |                                    |       |                                    |       | Percent Change                                      |
|----------------------------------|--------|--------------------------------|---------------------------------------------|--------------------------------|-----------------------------------------|--------------------------------|-----------------------------------------|--------------------------------|-----------------------------------------------------|
|                             |   |                           |                                        |                           |                                    |                           |                                    |                           | 2009 to                                             |       | 2008 to |
| For the Year Ended September 30: |   |                           |                                        | 2010                           |                                    | 2009                           |                                    | 2008                           |                                                | 2010 |   | 2009 |
| Gain on sale of investments      |   |                           | $       (441) |                           | $       - |                           | $       - |                           |      NM     |   |      NM     |

|                              |   |       |                                    |       |                                      |       |                                    |       | Percent Change                                      |
|-----------------------------------|--------|--------------------------------|-----------------------------------------|--------------------------------|-------------------------------------------|--------------------------------|-----------------------------------------|--------------------------------|-----------------------------------------------------|
|                              |   |                           |                                    |                           |                                      |                           |                                    |                           | 2009 to                                             |       | 2008 to |
| For the Year Ended September 30:  |   |                           |                                    | 2010                           |                                      | 2009                           |                                    | 2008                           |                                                | 2010 |   | 2009 |
| Loss on impairment of investments |   |                           | $       - |                           | $       317 |                           | $       - |                           |      NM     |   |      NM     |

|                             |   |       |                                       |       |                                     |       |                                        |       | Percent Change                                      |
|----------------------------------|--------|--------------------------------|--------------------------------------------|--------------------------------|------------------------------------------|--------------------------------|---------------------------------------------|--------------------------------|-----------------------------------------------------|
|                             |   |                           |                                       |                           |                                     |                           |                                        |                           | 2009 to                                             |       | 2008 to |
| For the Year Ended September 30: |   |                           |                                       | 2010                           |                                     | 2009                           |                                        | 2008                           |                                                | 2010 |   | 2009 |
| Other (income) expense, net      |   |                           | $       (54) |                           | $       84 |                           | $       (205) |                           |      NM     |   |      NM     |

----

|                             |   |       |                                      |       |                                          |       |                                        |       | Percent Change                              |
|----------------------------------|--------|--------------------------------|-------------------------------------------|--------------------------------|-----------------------------------------------|--------------------------------|---------------------------------------------|--------------------------------|---------------------------------------------|
|                             |   |                           |                                      |                           |                                          |                           |                                        |                           | 2009 to                                     |       | 2008 to |
| For the Year Ended September 30: |   |                           |                                      | 2010                           |                                          | 2009                           |                                        | 2008                           |                                        | 2010 |   | 2009 |
| Income tax expense (benefit)     |   |                           | $       338 |                           | $       (1,677) |                           | $       3,950 |                           |        120.2% |   |        (142.5%) |

----

|                              | Payments due by period                |
|-----------------------------------|---------------------------------------|
|                              |                                  |   |       | Less than |       | 1 – 3 |       | 3 – 5 |
|                              | Total                                 |   | 1 year |   | years |   | years |
| Operating leases                  | $       | 1,583 |   | $       | 753 |   | $       | 830 |   | $       | - |
| License - minimum                 |                                  |   |   |   |   |   |   |   |   |   |   |
|     royalties |                                  | 250 |   |   | 50 |   |   | 150 |   |   | 50 |
|                              | $                                     | 1,833 |   | $ | 803 |   | $ | 980 |   | $ | 50 |
|                              |                                  |   |   |   |   |   |   |   |   |   |   |

----

----

----

----

|                                                                                                        |       | Page   |
|-------------------------------------------------------------------------------------------------------------|--------------------------------|--------|
| Report of Independent Registered Public Accounting Firm                                                     |                           | 24     |
|                                                                                                        |                           |   |
| Consolidated Balance Sheets at September 30, 2010 and 2009                                                  |                           | 25     |
|                                                                                                        |                           |   |
| Consolidated Statements of Operations for the years ended September 30, 2010, 2009 and 2008                 |                           | 26     |
|                                                                                                        |                           |   |
| Consolidated Statements of Stockholders’ Equity for the years ended September 30, 2010, 2009 and 2008 |                           | 27     |
|                                                                                                        |                           |   |
| Consolidated Statements of Comprehensive Income (Loss) for the years ended September 30, 2010, 2009         |                           |   |
| and 2008                                                                                                    |                           | 28     |
|                                                                                                        |                           |   |
| Consolidated Statements of Cash Flows for the years ended September 30, 2010, 2009 and 2008                 |                           | 29     |
|                                                                                                        |                           |   |
| Notes to Consolidated Financial Statements                                                                  |                           | 30     |

----

----

|                                                                                                                                   |                           | September 30,                   |                           | September 30, |
|----------------------------------------------------------------------------------------------------------------------------------------|--------------------------------|---------------------------------|--------------------------------|---------------|
|                                                                                                                                   |       | 2010                            |       | 2009          |
| ASSETS                                                                                                                                 |                           |                            |                           |          |   |   |   |   |
| Current Assets:                                                                                                                        |                           |                            |                           |          |   |   |   |   |
|        Cash and cash equivalents                                                                    |                           | $      | 3,016                          |          |   | $      | 9,245 |   |
|        Short-term investments                                                                       |                           |                            | -                              |          |   |   | 286 |   |
|        Trade accounts receivable, net                                                               |                           |                            | 8,854                          |          |   |   | 6,677 |   |
|        Other accounts receivable                                                                    |                           |                            | 599                            |          |   |   | 1,509 |   |
|        Inventories                                                                                  |                           |                            | 7,512                          |          |   |   | 5,539 |   |
|        Deferred income taxes                                                                        |                           |                            | 927                            |          |   |   | 579 |   |
|        Prepaid expenses and other current assets                                                    |                           |                            | 341                            |          |   |   | 269 |   |
|               Total current assets                               |                           |                            | 21,249                         |          |   |   | 24,104 |   |
|                                                                                                                                   |                           |                            |                           |          |   |   |   |   |
| Property, plant and equipment, net                                                                                                     |                           |                            | 9,025                          |          |   |   | 8,893 |   |
| Deferred income taxes                                                                                                                  |                           |                            | 3,493                          |          |   |   | 3,019 |   |
| Other assets, net                                                                                                                      |                           |                            | 438                            |          |   |   | 368 |   |
|               Total assets                                       |                           | $                               | 34,205                         |          |   | $ | 36,384 |   |
|                                                                                                                                   |                           |                            |                           |          |   |   |   |   |
| LIABILITIES AND STOCKHOLDERS’ EQUITY                                                                                             |                           |                            |                           |          |   |   |   |   |
| Current Liabilities:                                                                                                                   |                           |                            |                           |          |   |   |   |   |
|        Accounts payable                                                                             |                           | $                               | 4,593                          |          |   | $ | 2,990 |   |
|        Accrued expenses                                                                             |                           |                            | 5,698                          |          |   |   | 4,492 |   |
|        Current portion of employee benefit obligations                                              |                           |                            | 212                            |          |   |   | 225 |   |
|               Total current liabilities                          |                           |                            | 10,503                         |          |   |   | 7,707 |   |
|                                                                                                                                   |                           |                            |                           |          |   |   |   |   |
| Long-term Liabilities:                                                                                                                 |                           |                            |                           |          |   |   |   |   |
|        Employee benefit obligations                                                                 |                           |                            | 8,694                          |          |   |   | 8,297 |   |
|        Other long-term liabilities                                                                  |                           |                            | 244                            |          |   |   | 290 |   |
|                                                                                                                                   |                           |                            |                           |          |   |   |   |   |
| Commitments and contingencies                                                                                                          |                           |                            |                           |          |   |   |   |   |
|                                                                                                                                   |                           |                            |                           |          |   |   |   |   |
| Stockholders’ Equity:                                                                                                            |                           |                            |                           |          |   |   |   |   |
|        Preferred stock ($.01 par value, 50,000,000 authorized)                                      |                           |                            |                           |          |   |   |   |   |
|               Series C (No shares were issued and outstanding at |                           |                            |                           |          |   |   |   |   |
|               September 30, 2010 and 2009, respectively)         |                           |                            | -                              |          |   |   | - |   |
|        Common stock ($.01 par value, 12,500,000 authorized;                                         |                           |                            |                           |          |   |   |   |   |
|               7,289,745 and 7,270,820 issued and outstanding at  |                           |                            |                           |          |   |   |   |   |
|               September 30, 2010 and 2009, respectively)         |                           |                            | 73                             |          |   |   | 73 |   |
|        Additional paid-in capital                                                                   |                           |                            | 37,623                         |          |   |   | 36,643 |   |
|        Accumulated deficit                                                                          |                           |                            | (12,677                        | )             |   |   | (6,776 | ) |
|        Treasury stock (332,593 shares at September 30, 2010 and 2009)                               |                           |                            | (2,734                         | )             |   |   | (2,734 | ) |
|        Accumulated other comprehensive loss                                                         |                           |                            | (7,521                         | )             |   |   | (7,116 | ) |
|               Total stockholders’ equity                   |                           |                            | 14,764                         |          |   |   | 20,090 |   |
|                                                                                                                                   |                           |                            |                           |          |   |   |   |   |
|               Total liabilities and stockholders’ equity   |                           | $                               | 34,205                         |          |   | $ | 36,384 |   |
|                                                                                                                                   |                           |                            |                           |          |   |   |   |   |

----

|                                                                                                              |                           | For the year ended September 30, |
|-------------------------------------------------------------------------------------------------------------------|--------------------------------|----------------------------------|
|                                                                                                              |       | 2010                             |       | 2009 |       | 2008 |
| Net sales                                                                                                         |                           | $       | 52,266 |   |   | $      | 38,809 |   |   | $      | 65,781 |   |
| Cost of sales                                                                                                     |                           |                             | 37,446 |   |   |   | 30,173 |   |   |   | 42,960 |   |
|                                                                                                              |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Gross profit                                                                                                      |                           |                             | 14,820 |   |   |   | 8,636 |   |   |   | 22,821 |   |
|                                                                                                              |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Operating expenses                                                                                                |                           |                             |   |   |   |   |   |   |   |   |   |   |
|        Research and development                                                |                           |                             | 4,505 |   |   |   | 3,981 |   |   |   | 4,015 |   |
|        Selling                                                                 |                           |                             | 2,836 |   |   |   | 2,425 |   |   |   | 2,727 |   |
|        Administration                                                          |                           |                             | 5,480 |   |   |   | 5,522 |   |   |   | 5,500 |   |
|        Class action settlement                                                 |                           |                             | 775 |   |   |   | - |   |   |   | - |   |
|        Gain from settlement of environmental claims                            |                           |                             | - |   |   |   | - |   |   |   | (1,072 | ) |
|               Total operating expenses      |                           |                             | 13,596 |   |   |   | 11,928 |   |   |   | 11,170 |   |
|                                                                                                              |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Operating income (loss)                                                                                           |                           |                             | 1,224 |   |   |   | (3,292 | ) |   |   | 11,651 |   |
|                                                                                                              |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Other (income) expenses:                                                                                          |                           |                             |   |   |   |   |   |   |   |   |   |   |
|        Interest income                                                         |                           |                             | (13 | ) |   |   | (26 | ) |   |   | (64 | ) |
|        Interest expense                                                        |                           |                             | 17 |   |   |   | 19 |   |   |   | 140 |   |
|        Gain on sale of investments                                             |                           |                             | (441 | ) |   |   | - |   |   |   | - |   |
|        Loss on impairment of investments                                       |                           |                             | - |   |   |   | 317 |   |   |   | - |   |
|        Other (income) loss, net                                                |                           |                             | (54 | ) |   |   | 84 |   |   |   | (205 | ) |
|               Total other (income) expenses |                           |                             | (491 | ) |   |   | 394 |   |   |   | (129 | ) |
|                                                                                                              |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Income (loss) before income taxes                                                                                 |                           |                             | 1,715 |   |   |   | (3,686 | ) |   |   | 11,780 |   |
| Income tax (benefit) expense                                                                                      |                           |                             | 338 |   |   |   | (1,677 | ) |   |   | 3,950 |   |
|                                                                                                              |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Net income (loss)                                                                                                 |                           | $                                | 1,377 |   |   | $ | (2,009 | ) |   | $ | 7,830 |   |
|                                                                                                              |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Net income (loss) per common share – basic                                                                  |                           | $                                | 0.19 |   |   | $ | (0.27 | ) |   | $ | 1.04 |   |
|                                                                                                              |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Weighted average shares used in per share calculation – basic                                               |                           |                             | 7,276,544 |   |   |   | 7,315,343 |   |   |   | 7,522,885 |   |
|                                                                                                              |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Net income (loss) per common share – diluted                                                                |                           | $                                | 0.19 |   |   | $ | (0.27 | ) |   | $ | 1.01 |   |
|                                                                                                              |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Weighted average shares used in per share calculation – diluted                                             |                           |                             | 7,387,939 |   |   |   | 7,315,343 |   |   |   | 7,747,920 |   |
|                                                                                                              |                           |                             |   |   |   |   |   |   |   |   |   |   |

----

|                                                              |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          | Other                           |   |   |   |                            |
|-------------------------------------------------------------------|--------------------------------|--------------|--------------------------------|---------|---------------------------------|-------------|--------------------------------|----------|---------------------------------|--------|--------------------------------|---------------------------------|--------------------------------|--------|--------|---------------------------------|--------|--------|---------------|---------------------------------|--------|--------|--------|---------------------------------|
|                                                              |                           |         |                           |    |                            |        |                           |     | Additional                      |   |                           |                            |                           |   |   |                            |   |   | Comprehensive |                            |   |   |   |
|                                                              |                           | Common Stock |                           | Paid-in |                            | Accumulated |                           | Treasury |                            | Income |                           | Stockholders’             |
|                                                              |       | Shares       |       | Amount  |        | Capital     |       | Deficit  |        | Stock  |       | (Loss)                          |       | Equity |
| Balance, September 30, 2007                                       |                           | 7,495,482    |                           |    | $      | 75          |                           |     | $      | 34,899 |                           | $      | (12,477                        | )      |   | $      | (377   | )      |          | $      | (4,951 | )      |   | $      | 17,169 |   |
|                                                              |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |
| Net income                                                        |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | 7,830                          |   |   |                            | -      |   |          |                            | -      |   |   |                            | 7,830 |   |
| Exercise of stock options                                         |                           | 37,198       |                           |    |                            | -           |                           |     |                            | 173    |                           |                            | -                              |   |   |                            | -      |   |          |                            | -      |   |   |                            | 173 |   |
| Share based compensation                                          |                           | 1,962        |                           |    |                            | -           |                           |     |                            | 672    |                           |                            | -                              |   |   |                            | -      |   |          |                            | -      |   |   |                            | 672 |   |
| Adjustment to record                                              |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |
|        uncertain tax positions |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | (82                            | )      |   |                            | -      |   |          |                            | -      |   |   |                            | (82 | ) |
| Foreign currency translation                                      |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |
|        adjustment              |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | -                              |   |   |                            | -      |   |          |                            | 172    |   |   |                            | 172 |   |
| Change in pension liability                                       |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |
|        adjustment              |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | -                              |   |   |                            | -      |   |          |                            | (220   | )      |   |                            | (220 | ) |
| Unrealized loss, net of tax                                       |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | -                              |   |   |                            | -      |   |          |                            | (66    | )      |   |                            | (66 | ) |
| Balance, September 30, 2008                                       |                           | 7,534,642    |                           |    |                            | 75          |                           |     |                            | 35,744 |                           |                            | (4,729                         | )      |   |                            | (377   | )      |          |                            | (5,065 | )      |   |                            | 25,648 |   |
|                                                              |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |
| Net loss                                                          |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | (2,009                         | )      |   |                            | -      |   |          |                            | -      |   |   |                            | (2,009 | ) |
| Exercise of stock options                                         |                           | 41,666       |                           |    |                            | -           |                           |     |                            | 165    |                           |                            | -                              |   |   |                            | -      |   |          |                            | -      |   |   |                            | 165 |   |
| Share based compensation                                          |                           | 5,405        |                           |    |                            | -           |                           |     |                            | 732    |                           |                            | -                              |   |   |                            | -      |   |          |                            | -      |   |   |                            | 732 |   |
| Repurchase of common                                              |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |
|        stock                   |                           | (310,893     | )                              |    |                            | (2          | )                              |     |                            | 2      |                           |                            | -                              |   |   |                            | (2,357 | )      |          |                            | -      |   |   |                            | (2,357 | ) |
| Foreign currency translation                                      |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |
|        adjustment              |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | -                              |   |   |                            | -      |   |          |                            | 6      |   |   |                            | 6 |   |
| Change in pension liability                                       |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |
|        adjustment              |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | -                              |   |   |                            | -      |   |          |                            | (2,271 | )      |   |                            | (2,271 | ) |
| Unrealized gain, net of tax                                       |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | -                              |   |   |                            | -      |   |          |                            | 214    |   |   |                            | 214 |   |
| Effect of changing pension                                        |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |
|        plan measurement date   |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | (38                            | )      |   |                            | -      |   |          |                            | -      |   |   |                            | (38 | ) |
| Balance, September 30, 2009                                       |                           | 7,270,820    |                           |    |                            | 73          |                           |     |                            | 36,643 |                           |                            | (6,776                         | )      |   |                            | (2,734 | )      |          |                            | (7,116 | )      |   |                            | 20,090 |   |
|                                                              |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |
| Net income                                                        |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | 1,377                          |   |   |                            | -      |   |          |                            | -      |   |   |                            | 1,377 |   |
| Exercise of stock options                                         |                           | 15,833       |                           |    |                            | -           |                           |     |                            | 73     |                           |                            | -                              |   |   |                            | -      |   |          |                            | -      |   |   |                            | 73 |   |
| Share based compensation                                          |                           | 3,092        |                           |    |                            | -           |                           |     |                            | 907    |                           |                            | -                              |   |   |                            | -      |   |          |                            | -      |   |   |                            | 907 |   |
| Cash dividend payment                                             |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | (7,278                         | )      |   |                            | -      |   |          |                            | -      |   |   |                            | (7,278 | ) |
| Foreign currency translation                                      |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |
|        adjustment              |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | -                              |   |   |                            | -      |   |          |                            | 94     |   |   |                            | 94 |   |
| Change in pension liability                                       |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |
|        adjustment              |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | -                              |   |   |                            | -      |   |          |                            | (352   | )      |   |                            | (352 | ) |
| Unrealized loss, net of tax                                       |                           | -            |                           |    |                            | -           |                           |     |                            | -      |                           |                            | -                              |   |   |                            | -      |   |          |                            | (147   | )      |   |                            | (147 | ) |
| Balance, September 30, 2010                                       |                           | 7,289,745    |                           |    | $                               | 73          |                           |     | $                               | 37,623 |                           | $                               | (12,677                        | )      |   | $                               | (2,734 | )      |          | $                               | (7,521 | )      |   | $                               | 14,764 |   |
|                                                              |                           |         |                           |    |                            |        |                           |     |                            |   |                           |                            |                           |   |   |                            |   |   |          |                            |   |   |   |                            |   |   |

----

|                                                                                                |                           | For the year ended September 30, |
|-----------------------------------------------------------------------------------------------------|--------------------------------|----------------------------------|
|                                                                                                |       | 2010                             |       | 2009 |       | 2008 |
| Net income (loss)                                                                                   |                           | $       | 1,377 |   |   | $      | (2,009 | ) |   | $      | 7,830 |   |
| Change in pension liability adjustment, net of tax of ($214),                                       |                           |                             |   |   |   |   |   |   |   |   |   |   |
|        ($1,387), and ($384) in 2010, 2009 and 2008, respectively |                           |                             | (352 | ) |   |   | (2,271 | ) |   |   | (220 | ) |
| Unrealized (gain) loss, net of tax of ($88), $126 and ($39) in 2010,                                |                           |                             |   |   |   |   |   |   |   |   |   |   |
|        2009 and 2008, respectively                               |                           |                             | (147 | ) |   |   | 214 |   |   |   | (66 | ) |
| Foreign currency translation adjustments                                                            |                           |                             | 94 |   |   |   | 6 |   |   |   | 172 |   |
|                                                                                                |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Comprehensive income (loss)                                                                         |                           | $                                | 972 |   |   | $ | (4,060 | ) |   | $ | 7,716 |   |
|                                                                                                |                           |                             |   |   |   |   |   |   |   |   |   |   |

----

|                                                                                                                                |                           | For the year ended September 30, |
|-------------------------------------------------------------------------------------------------------------------------------------|--------------------------------|----------------------------------|
|                                                                                                                                |       | 2010                             |       | 2009 |       | 2008 |
| Cash flows from operating activities:                                                                                               |                           |                             |   |   |   |   |   |   |   |   |   |   |
|        Net income (loss)                                                                         |                           | $       | 1,377 |   |   | $      | (2,009 | ) |   | $      | 7,830 |   |
| Adjustments to reconcile net income (loss) to net cash provided by                                                                  |                           |                             |   |   |   |   |   |   |   |   |   |   |
| operating activities:                                                                                                               |                           |                             |   |   |   |   |   |   |   |   |   |   |
|        Depreciation and amortization                                                             |                           |                             | 2,137 |   |   |   | 1,996 |   |   |   | 1,803 |   |
|        Deferred income taxes                                                                     |                           |                             | (520 | ) |   |   | (444 | ) |   |   | 495 |   |
|        Share based compensation                                                                  |                           |                             | 907 |   |   |   | 732 |   |   |   | 672 |   |
|        Loss on impairment of investments                                                         |                           |                             | - |   |   |   | 317 |   |   |   | - |   |
|        Gain from sale of available-for-sale securities                                           |                           |                             | (441 | ) |   |   | - |   |   |   | - |   |
|        Gain from stock settlement of environmental claims                                        |                           |                             | (19 | ) |   |   | - |   |   |   | (337 | ) |
|        (Gain) loss from sale and disposal of fixed assets                                        |                           |                             | (16 | ) |   |   | 80 |   |   |   | (109 | ) |
|        Changes in operating assets and liabilities:                                              |                           |                             |   |   |   |   |   |   |   |   |   |   |
|               Receivables, net                                |                           |                             | (1,267 | ) |   |   | 2,241 |   |   |   | (942 | ) |
|               Inventories                                     |                           |                             | (1,973 | ) |   |   | 2,676 |   |   |   | 937 |   |
|                Prepaid expenses and other current assets |                           |                             | (72 | ) |   |   | 32 |   |   |   | (4 | ) |
|                Accounts payable and accrued expenses     |                           |                             | 2,821 |   |   |   | (1,680 | ) |   |   | 511 |   |
|               Other                                           |                           |                             | (254 | ) |   |   | 297 |   |   |   | (910 | ) |
|                                                                                                                                |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Net cash provided by operating activities                                                                                           |                           |                             | 2,680 |   |   |   | 4,238 |   |   |   | 9,946 |   |
|                                                                                                                                |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Cash flows from investing activities:                                                                                               |                           |                             |   |   |   |   |   |   |   |   |   |   |
|        Payments for property, plant and equipment                                                |                           |                             | (2,238 | ) |   |   | (1,876 | ) |   |   | (1,791 | ) |
|        Proceeds from sale of property, plant and equipment                                       |                           |                             | 23 |   |   |   | 15 |   |   |   | 111 |   |
|        Proceeds from sale of available-for-sale securities                                       |                           |                             | 511 |   |   |   | - |   |   |   | - |   |
|                                                                                                                                |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Net cash used in investing activities                                                                                               |                           |                             | (1,704 | ) |   |   | (1,861 | ) |   |   | (1,680 | ) |
|                                                                                                                                |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Cash flows from financing activities:                                                                                               |                           |                             |   |   |   |   |   |   |   |   |   |   |
|        Payments of dividend on common stock                                                      |                           |                             | (7,278 | ) |   |   | - |   |   |   | - |   |
|        Repayments of debt                                                                        |                           |                             | - |   |   |   | - |   |   |   | (1,000 | ) |
|        Repurchase of common stock                                                                |                           |                             | - |   |   |   | (2,357 | ) |   |   | - |   |
|        Net proceeds from exercise of stock options                                               |                           |                             | 73 |   |   |   | 165 |   |   |   | 173 |   |
|                                                                                                                                |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Net cash used in financing activities                                                                                               |                           |                             | (7,205 | ) |   |   | (2,192 | ) |   |   | (827 | ) |
|                                                                                                                                |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Net increase (decrease) in cash and cash equivalents                                                                                |                           |                             | (6,229 | ) |   |   | 185 |   |   |   | 7,439 |   |
| Cash and cash equivalents at beginning of year                                                                                      |                           |                             | 9,245 |   |   |   | 9,060 |   |   |   | 1,621 |   |
|                                                                                                                                |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Cash and cash equivalents at end of year                                                                                            |                           | $                                | 3,016 |   |   | $ | 9,245 |   |   | $ | 9,060 |   |
|                                                                                                                                |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Supplemental disclosure of cash flow information:                                                                                   |                           |                             |   |   |   |   |   |   |   |   |   |   |
|        Interest paid                                                                             |                           | $                                | - |   |   | $ | 4 |   |   | $ | 91 |   |
|        Income taxes paid                                                                         |                           |                             | 505 |   |   |   | 171 |   |   |   | 2,284 |   |
|                                                                                                                                |                           |                             |   |   |   |   |   |   |   |   |   |   |
| Supplemental disclosure of non-cash investing and financing                                                                         |                           |                             |   |   |   |   |   |   |   |   |   |   |
| activities:                                                                                                                         |                           |                             |   |   |   |   |   |   |   |   |   |   |
|        Pension liability adjustment                                                              |                           | $                                | (352 | ) |   | $ | (2,271 | ) |   | $ | (220 | ) |

----

----

|                                                                        |      | September 30,                                                                                      |      | September 30, |
|-----------------------------------------------------------------------------|--------------------------|----------------------------------------------------------------------------------------------------|--------------------------|---------------|
|                                                                        |                     | 2010                                                                                               |                     | 2009          |
| Beginning balance                                                           |                     | $                  | 246                      |          |   | $                  | 47 |   |
|        Charges to bad debt expense            |                     |                                                                                               | 69                       |          |   |   | 233 |   |
|        Write-offs, recoveries and adjustments |                     |                                                                                               | (165                     | )             |   |   | (34 | ) |
| Ending balance                                                              |                     | $                                                                                                  | 150                      |          |   | $ | 246 |   |
|                                                                        |                     |                                                                                               |                     |          |   |   |   |   |

----

| Year ended September 30,                                                  |       | 2010                            |       | 2009   |       | 2008                            |
|---------------------------------------------------------------------------|--------------------------------|---------------------------------|--------------------------------|--------|--------------------------------|---------------------------------|
| Balance at beginning of period                                            |                           | $      | 751                            |   |                           | $      | 762 |   |   | $      | 1,712 |   |
|        Payments                             |                           |                            | (557                           | )      |                           |                            | (995 | ) |   |   | (1,359 | ) |
|        Warranty claims accrued              |                           |                            | 1,384                          |   |                           |                            | 984 |   |   |   | 810 |   |
|        Adjustments and changes in estimates |                           |                            | -                              |   |                           |                            | - |   |   |   | (401 | ) |
| Balance at end of period                                                  |                           | $                               | 1,578                          |   |                           | $                               | 751 |   |   | $ | 762 |   |
|                                                                      |                           |                            |                           |   |                           |                            |   |   |   |   |   |   |

----

|                                                |                           | Year Ended                                  |   | Year Ended                     |
|-----------------------------------------------------|--------------------------------|---------------------------------------------|--------|--------------------------------|
|                                                |                           | September 30, 2010                          |   | September 30, 2009             |
|                                                |       |                                        |   |       |   |       | Per Share |       |   |   |   |       |   |   | Per Share |
|                                                |                           | Income                                      |   | Shares                         |   | Amount |   | Loss |   | Shares |       | Amount |
| Basic EPS –                                   |                           | $        | 1,377  |                           |      7,276,544 |   | $      | 0.19 |   | $        | (2,009 | ) |   |      7,315,343 |   | $        | (0.27 | ) |
| Effect of dilutive securities – Stock options |                           |                                        | -      |                           | 111,395 |   |   |   |   |   | - |   |   | - |   |   |   |   |
|                                                |                           |                                        |   |                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Diluted EPS –                                 |                           | $                                           | 1,377  |                           | 7,387,939 |   | $ | 0.19 |   | $ | (2,009 | ) |   | 7,315,343 |   | $ | (0.27 | ) |
|                                                |
|                                                |                           | Year Ended                                  |   |                           |   |   |   |   |   |   |   |   |
|                                                |                           | September 30, 2008                          |   |                           |   |   |   |   |   |   |   |   |
|                                                |                           |                                        |   |                           |   |   | Per Share |   |   |   |   |   |   |   |   |   |   |
|                                                |                           | Income                                      |   | Shares                         |   | Amount |   |   |   |   |   |   |   |   |   |   |
| Basic EPS –                                   |                           | $                                           | 7,830  |                           | 7,522,885 |   | $ | 1.04 |   |   |   |   |   |   |   |   |   |   |
| Effect of dilutive securities – Stock options |                           |                                        | -      |                           | 225,035 |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                |                           |                                        |   |                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Diluted EPS –                                 |                           | $                                           | 7,830  |                           | 7,747,920 |   | $ | 1.01 |   |   |   |   |   |   |   |   |   |   |
|                                                |                           |                                        |   |                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

----

----

|            |       | 2010                            |       | 2009   |
|-----------------|--------------------------------|---------------------------------|--------------------------------|--------|
| Raw material    |                           | $      | 5,767                          |   | $      | 4,247 |
| Work in process |                           |                            | 55                             |   |   | 39 |
| Finished goods  |                           |                            | 1,690                          |   |   | 1,253 |
|            |                           | $                               | 7,512                          |   | $ | 5,539 |
|            |                           |                            |                           |   |   |   |

|                                       |       | 2010                            |       | 2009   |
|--------------------------------------------|--------------------------------|---------------------------------|--------------------------------|--------|
| Land and land improvements                 |                           | $      | 828                            |   |   | $      | 828 |   |
| Buildings                                  |                           |                            | 4,537                          |   |   |   | 4,484 |   |
| Machinery and equipment                    |                           |                            | 13,587                         |   |   |   | 12,429 |   |
| Office furniture, computers & software |                           |                            | 5,216                          |   |   |   | 4,980 |   |
| Construction in progress                   |                           |                            | 1,475                          |   |   |   | 760 |   |
|                                       |                           |                            | 25,643                         |   |   |   | 23,481 |   |
| Less accumulated depreciation              |                           |                            | (16,618                        | )      |   |   | (14,588 | ) |
|                                       |                           | $                               | 9,025                          |   |   | $ | 8,893 |   |
|                                       |                           |                            |                           |   |   |   |   |   |

|                              |       | 2010                            |       | 2009   |
|-----------------------------------|--------------------------------|---------------------------------|--------------------------------|--------|
| Environmental liability           |                           | $      | 900                            |   | $      | 1,001 |
| Accrued product warranty          |                           |                            | 1,578                          |   |   | 751 |
| Accrued compensation and benefits |                           |                            | 1,962                          |   |   | 1,857 |
| Income tax payable                |                           |                            | 522                            |   |   | 90 |
| Other                             |                           |                            | 736                            |   |   | 793 |
|                              |                           | $                               | 5,698                          |   | $ | 4,492 |
|                              |                           |                            |                           |   |   |   |

|      | Level 1 –  | observable inputs such as quoted prices in active markets for identical assets or liabilities;                                                |
|--------------------------|-----------------------|-----------------------------------------------------------------------------------------------------------------------------------------------|
|                     |                  |                                                                                                                                          |
|                     | Level 2 –       | inputs, other than the quoted market prices in active markets, which are observable, either directly or indirectly; and                       |
|                     |                  |                                                                                                                                          |
|                     | Level 3 –       | unobservable inputs for which there is little or no market data available, which require the reporting entity to develop its own assumptions. |

----

----

|                                           |       | Salaried Plan                         |       | Hourly Plan                    |
|------------------------------------------------|--------------------------------|---------------------------------------|--------------------------------|--------------------------------|
| September 30,                                  |                           |                                  | 2010                           |       | 2009 |   | 2010 |       | 2009 |
| Accumulated benefit obligation                 |                           | $       | 5,494                          |                           |   | $       | 5,254 |   |   | $       | 9,898 |   |   | $       | 9,146 |   |
| Change in projected benefit obligation:        |                           |                                  |                           |                           |   |   |   |   |   |   |   |   |   |   |   |   |
| Benefit obligation at beginning of year        |                           | $                                     | 5,254                          |                           |   | $ | 4,695 |   |   | $ | 9,146 |   |   | $ | 7,641 |   |
| Service cost                                   |                           |                                  | -                              |                           |   |   | - |   |   |   | 49 |   |   |   | 59 |   |
| Interest cost                                  |                           |                                  | 279                            |                           |   |   | 340 |   |   |   | 486 |   |   |   | 555 |   |
| Actuarial loss                                 |                           |                                  | 296                            |                           |   |   | 591 |   |   |   | 785 |   |   |   | 1,518 |   |
| Benefits paid                                  |                           |                                  | (335                           | )                              |   |   | (372 | ) |   |   | (568 | ) |   |   | (627 | ) |
| Benefit obligation at end of year              |                           | $                                     | 5,494                          |                           |   | $ | 5,254 |   |   | $ | 9,898 |   |   | $ | 9,146 |   |
|                                           |                           |                                  |                           |                           |   |   |   |   |   |   |   |   |   |   |   |   |
| Change in plan assets:                         |                           |                                  |                           |                           |   |   |   |   |   |   |   |   |   |   |   |   |
| Fair value of plan assets at beginning of year |                           | $                                     | 3,409                          |                           |   | $ | 4,291 |   |   | $ | 5,288 |   |   | $ | 6,593 |   |
| Actual return on plan assets                   |                           |                                  | 285                            |                           |   |   | (552 | ) |   |   | 467 |   |   |   | (819 | ) |
| Employer contributions                         |                           |                                  | 96                             |                           |   |   | 42 |   |   |   | 475 |   |   |   | 141 |   |
| Benefits paid                                  |                           |                                  | (335                           | )                              |   |   | (372 | ) |   |   | (568 | ) |   |   | (627 | ) |
| Fair value of plan assets at end of year       |                           | $                                     | 3,455                          |                           |   | $ | 3,409 |   |   | $ | 5,662 |   |   | $ | 5,288 |   |
| Funded status at end of year                   |                           | $                                     | (2,039                         | )                              |   | $ | (1,845 | ) |   | $ | (4,236 | ) |   | $ | (3,858 | ) |
|                                           |                           |                                  |                           |                           |   |   |   |   |   |   |   |   |   |   |   |   |

|                          |                      | Salaried Plan |                           | Hourly Plan |
|-------------------------------|---------------------------|---------------|--------------------------------|-------------|
|                          |       | 2010          |       | 2009        |       | 2010 |       | 2009 |
| Discount rate                 |                      | 5.00          | %                              |        | 5.50 | % |   | 5.00 | % |   | 5.50 | % |
| Rate of compensation increase |                      | -             |                           |        | - |   |   | - |   |   | - |   |

|               |                           | Salaried Plan                   |                           | Hourly Plan |
|--------------------|--------------------------------|---------------------------------|--------------------------------|-------------|
|               |       | 2010                            |       | 2009        |       | 2010 |       | 2009 |
| Actuarial loss     |                           | $      | 3,305                          |        | $      | 3,206 |   | $      | 5,832 |   | $      | 5,343 |
| Prior service cost |                           |                            | -                              |        |   | - |   |   | 18 |   |   | 32 |
|               |                           | $                               | 3,305                          |        | $ | 3,206 |   | $ | 5,850 |   | $ | 5,375 |
|               |                           |                            |                           |        |   |   |   |   |   |   |   |   |

|               |       | Salaried                        |       | Hourly |
|--------------------|--------------------------------|---------------------------------|--------------------------------|--------|
|               |                           | Plan                            |                           | Plan   |
| Actuarial loss     |                           | $      | 136                            |   | $      | 200 |
| Prior service cost |                           |                            | -                              |   |   | 14 |
|               |                           | $                               | 136                            |   | $ | 214 |
|               |                           |                            |                           |   |   |   |

----

|                               |   | Salaried Plan                   |   | Hourly Plan                    |
|------------------------------------|--------|---------------------------------|--------|--------------------------------|
| Year ended September 30:           |   |        | 2010   |       | 2009 |       | 2008 |       | 2010 |       | 2009 |       | 2008 |
| Service cost                       |   | $      | -      |                           |   | $      | - |   |   | $      | - |   |   | $      | 49 |   |   | $      | 59 |   |   | $      | 66 |   |
| Interest cost                      |   |                            | 279    |                           |   |   | 340 |   |   |   | 296 |   |   |   | 486 |   |   |   | 555 |   |   |   | 460 |   |
| Expected return on plan assets     |   |                            | (220   | )                              |   |   | (301 | ) |   |   | (310 | ) |   |   | (349 | ) |   |   | (464 | ) |   |   | (470 | ) |
| Amortization of prior service cost |   |                            | -      |                           |   |   | - |   |   |   | - |   |   |   | 14 |   |   |   | 17 |   |   |   | 21 |   |
| Curtailment                        |   |                            | -      |                           |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Recognized net actuarial loss      |   |                            | 131    |                           |   |   | 114 |   |   |   | 64 |   |   |   | 179 |   |   |   | 341 |   |   |   | 166 |   |
|                               |   |                            |   |                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net periodic benefit cost          |   | $                               | 190    |                           |   | $ | 153 |   |   | $ | 50 |   |   | $ | 379 |   |   | $ | 508 |   |   | $ | 243 |   |
|                               |   |                            |   |                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

|                           |                      | Salaried Plan |                           | Hourly Plan |
|--------------------------------|---------------------------|---------------|--------------------------------|-------------|
|                           |       | 2010          |       | 2009        |       | 2008 |       | 2010 |       | 2009 |       | 2008 |
| Discount rate                  |                      | 5.50          | %                              |        | 6.97 | % |   | 6.25 | % |   | 5.50 | % |   | 6.97 | % |   | 6.25 | % |
| Expected return on plan assets |                      | 6.75          | %                              |        | 6.75 | % |   | 6.75 | % |   | 6.75 | % |   | 6.75 | % |   | 6.75 | % |
| Rate of compensation increase  |                      | -             |                           |        | - |   |   | - |   |   | - |   |   | - |   |   | - |   |

|                                                                                 |                     |                                  |                     |      | Salaried Plan - Fair Value Measurements at September 30, 2010 |
|--------------------------------------------------------------------------------------|--------------------------|---------------------------------------|--------------------------|-----------|---------------------------------------------------------------|
|                                                                                 |                     |                                  |                     |      | Quoted Prices in                                              |   |   |   |   |   |
|                                                                                 |                     |                                  |                     |      | Active Markets for                                            |   | Significant |   | Significant |
|                                                                                 |                     |                                  |                     |      | Identical Assets or                                           |   | Observable |   | Unobservable |
|                                                                                 |                     |                                  |                     |      | Liabilities                                                   |   | Inputs |   | Inputs |
| Asset Class                                                                          |      | Total                                 |      | (Level 1) |                                           | (Level 2) |      | (Level 3) |
| Equity securities:                                                                   |                     |                                  |                     |      |                                                          |   |   |   |   |   |   |   |
|        U.S. large cap funds                            |                     | $       | 922                      |      | $                               | - |   | $       | 922 |   | $       | - |
|        U.S. mid cap funds                              |                     |                                  | 90                       |      |                                                          | - |   |   | 90 |   |   | - |
|        U.S. small cap funds                            |                     |                                  | 88                       |      |                                                          | - |   |   | 88 |   |   | - |
|        International funds                             |                     |                                  | 292                      |      |                                                          | - |   |   | 292 |   |   | - |
|        WMCO stock                                      |                     |                                  | 264                      |      |                                                          | 264 |   |   | - |   |   | - |
| Fixed income securities:                                                             |                     |                                  | 1,623                    |      |                                                          | - |   |   | 1,623 |   |   | - |
| Real estate securities:                                                              |                     |                                  | 176                      |      |                                                          | - |   |   | 40 |   |   | 136 |
|               Total |                     | $                                     | 3,455                    |      | $                                                             | 264 |   | $ | 3,055 |   | $ | 136 |
|                                                                                 |                     |                                  |                     |      |                                                          |   |   |   |   |   |   |   |

----

|                                                     | Fair Value        |
|----------------------------------------------------------|-------------------|
|                                                     | Measurements      |
|                                                     | Using Significant |
|                                                     | Unobservable      |
|                                                     | Inputs (Level 3)  |
|                                                     | Real Estate Fund  |
| Beginning balance at September 30, 2009                  | $                 | 129 |
| Actual return on plan assets:                            |              |   |
|     Relating to assets still held at |              |   |
|     the reporting date               |              | 7 |
|     Purchases, sales and settlements |              | - |
| Ending balance at September 30, 2010                     | $                 | 136 |
|                                                     |              |    |

|                                            |        |                                  |   |        | Hourly Plan - Fair Value Measurements at September 30, 2010 |
|-------------------------------------------------|---------------------------------|---------------------------------------|--------|---------------------------------|-------------------------------------------------------------|
|                                            |                            |                                  |   |                            | Quoted Prices in                                            |       |   |   |       |   |
|                                            |                            |                                  |   |                            | Active Markets for                                          |   |   |   |   | Significant |
|                                            |                            |                                  |   |                            | Identical Assets or                                         |   | Significant |   | Unobservable |
|                                            |                            |                                  |   |                            | Liabilities                                                 |   | Observable Inputs |   | Inputs |
| Asset Class                                     |                            | Total                                 |   | (Level 1)                       |                                                        | (Level 2) |   | (Level 3) |
| Equity securities:                              |                            |                                  |   |                            |                                                        |   |   |   |   |   |   |   |
|     U.S. large cap funds    |                            | $       | 1,517  |                            | $                             | - |   | $       | 1,517 |   | $       | - |
|     U.S. mid cap funds      |                            |                                  | 149    |                            |                                                        | - |   |   | 149 |   |   | - |
|     U.S. small cap funds    |                            |                                  | 145    |                            |                                                        | - |   |   | 145 |   |   | - |
|     International funds     |                            |                                  | 482    |                            |                                                        | - |   |   | 482 |   |   | - |
|     WMCO stock              |                            |                                  | 427    |                            |                                                        | 427 |   |   | - |   |   | - |
| Fixed income securities:                        |                            |                                  | 2,666  |                            |                                                        | - |   |   | 2,666 |   |   | - |
| Real estate securities:                         |                            |                                  | 276    |                            |                                                        | - |   |   | 67 |   |   | 209 |
|        Total |                            | $                                     | 5,662  |                            | $                                                           | 427 |   | $ | 5,026 |   | $ | 209 |
|                                       |                            |                                  |   |                            |                                                        |   |   |   |   |   |   |   |

|                                                     | Fair Value        |
|----------------------------------------------------------|-------------------|
|                                                     | Measurements      |
|                                                     | Using Significant |
|                                                     | Unobservable      |
|                                                     | Inputs (Level 3)  |
|                                                     | Real Estate Fund  |
| Beginning balance at September 30, 2009                  | $                 | 198 |
| Actual return on plan assets:                            |              |   |
|     Relating to assets still held at |              |   |
|     the reporting date               |              | 11 |
|     Purchases, sales and settlements |              | - |
| Ending balance at September 30, 2010                     | $                 | 209 |
|                                                     |              |   |

----

|                 |                                    | Benefit Payments                      |
|--------------------------------------------------------------------------------------------|-----------------------------------------|---------------------------------------|
|                                                                                       | Year ending:                            | Salaried Plan                         |       | Hourly Plan |
|                                                                                       |     2011            | $       | 370 |   | $       | 630 |
|                                                                                       |     2012            |                                  | 370 |   |   | 610 |
|                                                                                       |     2013            |                                  | 360 |   |   | 630 |
|                                                                                       |     2014            |                                  | 360 |   |   | 640 |
|                                                                                       |     2015            |                                  | 370 |   |   | 630 |
|                                                                                       |     Years 2016-2020 |                                  | 1,930 |   |   | 3,260 |

|                 |                                           | 2010                                  |       | 2009   |
|--------------------------------------------------------------------------------------------|------------------------------------------------|---------------------------------------|--------------------------------|--------|
|                                                                                       | Change in benefit obligation:                  |                                  |                           |   |   |   |   |   |
|                                                                                       | Benefit obligation at beginning of year        | $       | 2,819                          |   |   | $       | 3,155 |   |
|                                                                                       | Service cost                                   |                                  | 1                              |   |   |   | 3 |   |
|                                                                                       | Interest cost                                  |                                  | 149                            |   |   |   | 222 |   |
|                                                                                       | Actuarial gain                                 |                                  | (109                           | )      |   |   | (141 | ) |
|                                                                                       | Benefits paid                                  |                                  | (229                           | )      |   |   | (350 | ) |
|                                                                                       | Other                                          |                                  | -                              |   |   |   | (70 | ) |
|                                                                                       |                                           |                                  |                           |   |   |   |   |   |
|                                                                                       | Benefit obligation at end of year              | $                                     | 2,631                          |   |   | $ | 2,819 |   |
|                                                                                       |                                           |                                  |                           |   |   |   |   |   |
|                                                                                       | Change in plan assets:                         |                                  |                           |   |   |   |   |   |
|                                                                                       | Fair value of plan assets at beginning of year | $                                     | -                              |   |   | $ | - |   |
|                                                                                       | Employer contributions                         |                                  | 229                            |   |   |   | 350 |   |
|                                                                                       | Benefits paid                                  |                                  | (229                           | )      |   |   | (350 | ) |
|                                                                                       |                                           |                                  |                           |   |   |   |   |   |
|                                                                                       | Fair value of plan assets at end of year       | $                                     | -                              |   |   | $ | - |   |
|                                                                                       |                                           |                                  |                           |   |   |   |   |   |
|                                                                                       | Funded status at end of year                   | $                                     | (2,631                         | )      |   | $ | (2,819 | ) |
|                                                                                       |                                           |                                  |                           |   |   |   |   |   |

|                 |                          |   |                  |   |   |
|--------------------------------------------------------------------------------------------|-------------------------------|--------|-------------------------------------------|--------|--------|
|                                                                                       |                          |   | 2010                                      |   | 2009   |
|                                                                                       | Discount rate                 |   |        5.00 | %      |   |        5.50 | % |
|                                                                                       | Rate of compensation increase |   | -                                         |   |   | - |   |

----

|                 |                  | 2010                                  |       | 2009   |
|--------------------------------------------------------------------------------------------|-----------------------|---------------------------------------|--------------------------------|--------|
|                                                                                       | Actuarial loss        | $       | 362                            |   |   | $       | 485 |   |
|                                                                                       | Prior service credit  |                                  | (468                           | )      |   |   | (604 | ) |
|                                                                                       | Transition obligation |                                  | 58                             |   |   |   | 79 |   |
|                                                                                       | Actuarial loss        | $                                     | (48                            | )      |   | $ | (40 | ) |
|                                                                                       |                  |                                  |                           |   |   |   |   |   |

|                 | Actuarial loss        | $       | 7      |   |
|--------------------------------------------------------------------------------------------|-----------------------|---------------------------------------|--------|--------|
|                                                                                       | Prior service credit  |                                  | (136   | )      |
|                                                                                       | Transition obligation |                                  | 20     |   |
|                                                                                       |                  | $                                     | (109   | )      |
|                                                                                       |                  |                                  |   |   |

|                 | Year ended September 30:                  |                                  | 2010   |       | 2009   |              | 2008   |
|--------------------------------------------------------------------------------------------|-------------------------------------------|---------------------------------------|--------|--------------------------------|--------|---------------------------------------|--------|
|                                                                                       | Service cost                              | $       | 1      |                           |   | $       | 3      |   |   | $       | 5 |   |
|                                                                                       | Interest cost                             |                                  | 149    |                           |   |                                  | 222    |   |   |   | 237 |   |
|                                                                                       | Amortization                              |                                  | (102   | )                              |   |                                  | (95    | ) |   |   | (34 | ) |
|                                                                                       | Net periodic post retirement benefit cost | $                                     | 48     |                           |   | $                                     | 130    |   |   | $ | 208 |   |
|                                                                                       |                                      |                                  |   |                           |   |                                  |   |   |   |   |   |   |

|                 |          | 2010                                       |        | 2009                                       |        | 2008                                       |
|--------------------------------------------------------------------------------------------|---------------|--------------------------------------------|--------------------------------------|--------------------------------------------|--------------------------------------|--------------------------------------------|
|                                                                                       | Discount rate |        5.50% |                                 |        6.80% |                                 |        6.17% |

|                 |                                    | Benefit                               |
|--------------------------------------------------------------------------------------------|-----------------------------------------|---------------------------------------|
|                                                                                       | Year ending:                            | Payments                              |
|                                                                                       |     2011            | $       | 212 |
|                                                                                       |     2012            |                                  | 216 |
|                                                                                       |     2013            |                                  | 210 |
|                                                                                       |     2014            |                                  | 188 |
|                                                                                       |     2015            |                                  | 190 |
|                                                                                       |     Years 2016-2020 |                                  | 900 |

----

|                            | 2010                                  |       | 2009   |       | 2008                                  |
|---------------------------------|---------------------------------------|--------------------------------|--------|--------------------------------|---------------------------------------|
| Current:                        |                                  |                           |   |                           |                                  |   |   |   |   |   |
|     Federal | $       | 701                            |   |                           | $       | (1,312 | ) |   | $       | 2,957 |
|     State   |                                  | (11                            | )      |                           |                                  | (18 | ) |   |   | 467 |
|     Foreign |                                  | 168                            |   |                           |                                  | 97 |   |   |   | 31 |
|                            |                                  | 858                            |   |                           |                                  | (1,233 | ) |   |   | 3,455 |
| Deferred:                       |                                  |                           |   |                           |                                  |   |   |   |   |   |
|     Federal |                                  | (448                           | )      |                           |                                  | (69 | ) |   |   | 428 |
|     State   |                                  | 36                             |   |                           |                                  | (233 | ) |   |   | 67 |
|     Foreign |                                  | (108                           | )      |                           |                                  | (142 | ) |   |   | - |
|                            |                                  | (520                           | )      |                           |                                  | (444 | ) |   |   | 495 |
|                       |                                  |                           |   |                           |                                  |   |   |   |   |   |
| Total                           | $                                     | 338                            |   |                           | $                                     | (1,677 | ) |   | $ | 3,950 |
|                            |                                  |                           |   |                           |                                  |   |   |   |   |   |

| Provision                                      |       | 2010                                       |       | 2009   |                  | 2008   |
|------------------------------------------------|--------------------------------|--------------------------------------------|--------------------------------|--------|-------------------------------------------|--------|
| Statutory federal income tax rate              |                           | 34.0                                       | %                              |   |        34.0 | %      |   |        34.0 | % |
| State taxes, net of federal income tax benefit |                           | 2.5                                        |                           |   | 3.6                                       |   |   | 2.6 |   |
| Change in deferred tax assets due to change    |                           |                                       |                           |   |                                      |   |   |   |   |
|     in state tax law       |                           | (2.8                                       | )                              |   | 2.1                                       |   |   | - |   |
| Impact of foreign income taxed at lower tax    |                           |                                       |                           |   |                                      |   |   |   |   |
|     rates                  |                           |        (19.0 | )                              |   | 9.5                                       |   |   | (3.0 | ) |
| Effect of change in valuation allowance        |                           | (2.4                                       | )                              |   | (1.3                                      | )      |   | (0.5 | ) |
| Share based compensation                       |                           | 12.3                                       |                           |   | (3.7                                      | )      |   | 1.1 |   |
| Section 199 deduction                          |                           | (2.8                                       | )                              |   | (1.4                                      | )      |   | (1.5 | ) |
| Research and development credits               |                           | (1.7                                       | )                              |   | 2.1                                       |   |   | 0.2 |   |
| Other                                          |                           | (0.4                                       | )                              |   | 0.6                                       |   |   | 0.6 |   |
|                                           |                           | 19.7                                       | %                              |   | 45.5                                      | %      |   | 33.5 | % |
|                                           |                           |                                       |                           |   |                                      |   |   |   |   |

----

|                                                  | 2010                                  |       | 2009   |
|-------------------------------------------------------|---------------------------------------|--------------------------------|--------|
| Deferred tax assets:                                  |                                  |                           |   |   |   |   |   |
| Inventories                                           | $       | 169                            |   |   | $       | 104 |   |
| Warranty liability                                    |                                  | 577                            |   |   |   | 262 |   |
| Accrual for compensated absences                      |                                  | 139                            |   |   |   | 111 |   |
| Share based compensation                              |                                  | 472                            |   |   |   | 372 |   |
| Accrual for retiree medical benefits                  |                                  | 927                            |   |   |   | 990 |   |
| Loss from investment in affiliate (Ajay Sports, Inc.) |                                  | 3,911                          |   |   |   | 3,889 |   |
| Tax gain on sale/leaseback                            |                                  | 659                            |   |   |   | 655 |   |
| Accrued environmental obligations                     |                                  | 337                            |   |   |   | 373 |   |
| Accrued other liabilities                             |                                  | 570                            |   |   |   | 317 |   |
| Pension plan comprehensive loss adjustment            |                                  | 2,160                          |   |   |   | 2,001 |   |
| State net operating loss carryforwards                |                                  | 144                            |   |   |   | 207 |   |
| Other                                                 |                                  | 56                             |   |   |   | 133 |   |
|                                                  |                                  |                           |   |   |   |   |   |
| Total deferred tax assets                             |                                  | 10,121                         |   |   |   | 9,414 |   |
| Less valuation allowance                              |                                  | (5,199                         | )      |   |   | (5,241 | ) |
|                                                  |                                  |                           |   |   |   |   |   |
| Deferred tax assets, net of valuation allowance       |                                  | 4,922                          |   |   |   | 4,173 |   |
|                                                  |                                  |                           |   |   |   |   |   |
| Deferred tax liabilities:                             |                                  |                           |   |   |   |   |   |
| Plant and equipment                                   |                                  | 502                            |   |   |   | 575 |   |
| Net deferred income tax assets                        | $                                     | 4,420                          |   |   | $ | 3,598 |   |
|                                                  |                                  |                           |   |   |   |   |   |
| Current deferred income tax assets                    | $                                     | 1,870                          |   |   | $ | 1,280 |   |
| Long-term deferred income tax assets                  |                                  | 8,519                          |   |   |   | 8,330 |   |
| Long-term deferred income tax liabilities             |                                  | (770                           | )      |   |   | (771 | ) |
| Valuation allowance                                   |                                  | (5,199                         | )      |   |   | (5,241 | ) |
|                                                  | $                                     | 4,420                          |   |   | $ | 3,598 |   |
|                                                  |                                  |                           |   |   |   |   |   |

|                                                                                 | 2010                                  |       | 2009   |       | 2008                                  |
|--------------------------------------------------------------------------------------|---------------------------------------|--------------------------------|--------|--------------------------------|---------------------------------------|
| Beginning Balance                                                                    | $       | 81                             |   |                           | $       | 104 |   |   | $       | 109 |   |
|     Additions based on tax positions related to the current year |                                  | -                              |   |                           |                                  | - |   |   |   | 6 |   |
|     Additions based on tax positions of prior years              |                                  | -                              |   |                           |                                  | - |   |   |   | 63 |   |
|     Reductions for tax positions of prior years                  |                                  | (12                            | )      |                           |                                  | (23 | ) |   |   | - |   |
|     Settlements                                                  |                                  | -                              |   |                           |                                  | - |   |   |   | (74 | ) |
| Ending Balance                                                                       | $                                     | 69                             |   |                           | $                                     | 81 |   |   | $ | 104 |   |
|                                                                                 |                                  |                           |   |                           |                                  |   |   |   |   |   |   |

----

----

| 2011                          | $       | 753    |
|-------------------------------|---------------------------------------|--------|
| 2012                          |                                  | 582    |
| 2013                          |                                  | 232    |
| 2014                          |                                  | 16     |
|     Total | $                                     | 1,583  |
|                          |                                  |   |

----

|     |                                         | 2010                                  |       | 2009   |              | 2008   |
|--------------------|----------------------------------------------|---------------------------------------|--------------------------------|--------|---------------------------------------|--------|
|               | Cost of sales                                | $       | 166                            |   | $       | 124    |   | $       | 111 |
|               | Research and development                     |                                  | 126                            |   |                                  | 79     |   |   | 73 |
|               | Selling                                      |                                  | 107                            |   |                                  | 74     |   |   | 76 |
|               | Administration                               |                                  | 508                            |   |                                  | 455    |   |   | 412 |
|               | Total share-based compensation expense       | $                                     | 907                            |   | $                                     | 732    |   | $ | 672 |
|               |                                         |                                  |                           |   |                                  |   |   |   |   |
|               | Total share-based compensation               |                                  |                           |   |                                  |   |   |   |   |
|               |     expense (net of tax) | $                                     | 811                            |   | $                                     | 620    |   | $ | 572 |
|               |                                         |                                  |                           |   |                                  |   |   |   |   |

|     |                    | 2010      |       | 2009      |       | 2008      |
|--------------------|-------------------------|-----------|--------------------------------|-----------|--------------------------------|-----------|
|               | Risk-free interest rate | 2.60%     |                           | 2.03%     |                           | 3.55%     |
|               | Expected dividend yield | 0%        |                           | 0%        |                           | 0%        |
|               | Expected term           | 6.5 years |                           | 5.8 years |                           | 6.4 years |
|               | Expected volatility     | 45%       |                           | 46%       |                           | 68%       |

|     |                              |                                         |   |       | Weighted Average                      |
|--------------------|-----------------------------------|----------------------------------------------|--------|--------------------------------|---------------------------------------|
|               |                              | Shares                                       |   | Exercise Price                 |
|               | Outstanding at September 30, 2009 |        598,769 |   |                           | $       | 7.76 |
|               | Granted                           | 297,006                                      |   |                           |                                  | 8.52 |
|               | Exercised                         | (15,833                                      | )      |                           |                                  | 4.63 |
|               | Forfeited                         | (5,165                                       | )      |                           |                                  | 12.28 |
|               | Outstanding at September 30, 2010 | 874,777                                      |   |                           | $                                     | 9.17 |
|               | Exercisable at September 30, 2010 | 529,892                                      |   |                           | $                                     | 8.53 |
|               |                         |                                         |   |                           |                                  |   |

----

|                              | Shares Available                                                          |                           | Shares Subject |                                                    |          |   |
|-----------------------------------|---------------------------------------------------------------------------|--------------------------------|----------------|---------------------------------------------------------|---------------|--------|
|                              | For Grant                                                                 |       | To Options     |                                | Option Prices |
| Outstanding at September 30, 2007 | 55,471                                                                    |                           |           |         573,635 |          |   | $      | 3.96 – 18.05 |
| Newly authorized                  |            120,000 |                           |           | -                                                       |          |   |   |   |
| Granted                           | (71,000                                                                   | )                              |           | 71,000                                                  |          |   |   | 13.17 – 15.46 |
| Exercised                         | -                                                                         |                           |           | (37,198                                                 | )             |   |   | 3.96 – 14.03 |
| Forfeited                         | 19,396                                                                    |                           |           | (19,396                                                 | )             |   |   | 3.96 – 17.25 |
|                              |                                                                      |                           |           |                                                    |          |   |   |   |
| Outstanding at September 30, 2008 | 123,867                                                                   |                           |           | 588,041                                                 |          |   |   | 3.96 – 18.05 |
| Exercised                         | -                                                                         |                           |           | (41,666                                                 | )             |   |   | 3.96 |
| Forfeited                         | 13,416                                                                    |                           |           | (13,416                                                 | )             |   |   | 3.96 – 14.03 |
|                              |                                                                      |                           |           |                                                    |          |   |   |   |
| Outstanding at September 30, 2009 | 137,283                                                                   |                           |           | 532,959                                                 |          |   |   | 3.96 – 18.05 |
| Newly authorized                  | 300,000                                                                   |                           |           | -                                                       |          |   |   |   |
| Granted                           | (287,010                                                                  | )                              |           | 287,010                                                 |          |   |   | 7.95 – 9.10 |
| Exercised                         | -                                                                         |                           |           | (15,833                                                 | )             |   |   | 4.62 – 4.68 |
| Forfeited                         | 3,499                                                                     |                           |           | (3,499                                                  | )             |   |   | 3.96 – 18.05 |
|                              |                                                                      |                           |           |                                                    |          |   |   |   |
| Outstanding at September 30, 2010 | 153,772                                                                   |                           |           | 800,637                                                 |          |   | $ | 3.96 – 18.05 |
|                              |                                                                      |                           |           |                                                    |          |   |   |   |

|                              | Shares Available                                                                     |                           | Shares Subject |                                                         |          |   |
|-----------------------------------|--------------------------------------------------------------------------------------|--------------------------------|----------------|--------------------------------------------------------------|---------------|--------|
|                              | For Grant                                                                            |       | To Options     |                                     | Option Prices |
| Outstanding at September 30, 2007 |              16,684 |                           |           |          49,150 |          |   | $      | 3.96 –17.69 |
| Newly authorized                  | 20,000                                                                               |                           |           | -                                                            |          |   |   |   |
| Granted                           | (9,996                                                                               | )                              |           | 9,996                                                        |          |   |   | 15.25 |
| Forfeited                         | 1,666                                                                                |                           |           | (1,666                                                       | )             |   |   | 14.64 |
|                              |                                                                                 |                           |           |                                                         |          |   |   |   |
| Outstanding at September 30, 2008 | 28,354                                                                               |                           |           | 57,480                                                       |          |   |   | 3.96 –17.69 |
| Granted                           | (9,996                                                                               | )                              |           | 9,996                                                        |          |   |   | 5.13 |
| Forfeited                         | 1,666                                                                                |                           |           | (1,666                                                       | )             |   |   | 16.13 |
|                              |                                                                                 |                           |           |                                                         |          |   |   |   |
| Outstanding at September 30, 2009 | 20,024                                                                               |                           |           | 65,810                                                       |          |   |   | 3.96 –17.69 |
| Newly authorized                  | 20,000                                                                               |                           |           | -                                                            |          |   |   |   |
| Granted                           | (9,996                                                                               | )                              |           | 9,996                                                        |          |   |   | 7.92 |
| Forfeited                         | 1,666                                                                                |                           |           | (1,666                                                       | )             |   |   | 12.75 |
|                              |                                                                                 |                           |           |                                                         |          |   |   |   |
| Outstanding at September 30, 2010 | 31,694                                                                               |                           |           | 74,140                                                       |          |   | $ | 3.96 –17.69 |
|                              |                                                                                 |                           |           |                                                         |          |   |   |   |

----

|                            |                |          | Options Outstanding                   |               | Options Exercisable               |
|---------------------------------|---------------------|---------------|---------------------------------------|--------------------|-----------------------------------|
|                            |                |          | Number                                |               | Weighted                          |   |   |   |   |   |   |   |   |
|                            |                |          | Outstanding                           |               | Average                           |   | Weighted |   | Number |   | Weighted |
| Range of                        |                | at            |                                  | Remaining          |                              | Average |   | Exercisable at |   | Average |
| Exercise                        |                | September 30, |                                  | Contractual        |                              | Exercise |   | September 30, |   | Exercise |
| Prices                          |                | 2010          |              | Life – Years |          | Price |       | 2010 |       | Price |
| $      | 3.96 – 5.13   |          |      168,655 |               |      3.2 |   | $      | 4.31 |   |      163,657 |   | $      | 4.28 |
|                            | 7.20 – 13.57  |          | 570,996                               |               | 7.4                               |   |   | 8.77 |   | 278,526 |   |   | 8.40 |
|                            | 14.03 – 18.05 |          | 135,126                               |               | 6.6                               |   |   | 16.94 |   | 87,709 |   |   | 16.91 |
| $                               | 3.96 – 18.05  |          | 874,777                               |               | 6.5                               |   | $ | 9.17 |   | 529,892 |   | $ | 8.53 |
|                            |                |          |                                  |               |                              |   |   |   |   |   |   |   |   |

| Year ended September 30,                                |   |        | 2010   |       | 2009                            |       | 2008   |
|---------------------------------------------------------|--------|--------------------------------------|--------|--------------------------------|---------------------------------|--------------------------------|--------|
| North America (NAFTA):                                  |   |                                 |   |                           |                            |                           |   |   |   |
|        United States |   | $           | 30,701 |                           | $      | 24,289                         |   | $      | 35,240 |
|        Canada        |   |                                 | 2,238  |                           |                            | 2,146                          |   |   | 3,700 |
|        Mexico        |   |                                 | 1,840  |                           |                            | 1,257                          |   |   | 2,817 |
|                                                    |   | $                                    | 34,779 |                           | $                               | 27,692                         |   | $ | 41,757 |
| Europe:                                                 |   |                                 |   |                           |                            |                           |   |   |   |
|        Belgium       |   | $                                    | 4,386  |                           | $                               | 2,411                          |   | $ | 5,544 |
|        France        |   |                                 | 1,774  |                           |                            | 1,220                          |   |   | 3,256 |
|        Sweden        |   |                                 | 1,488  |                           |                            | 1,290                          |   |   | 4,038 |
|        Other         |   |                                 | 1,680  |                           |                            | 1,016                          |   |   | 1,924 |
|                                                    |   | $                                    | 9,328  |                           | $                               | 5,937                          |   | $ | 14,762 |
| Asia:                                                   |   |                                 |   |                           |                            |                           |   |   |   |
|        Korea         |   | $                                    | 3,147  |                           | $                               | 1,961                          |   | $ | 3,800 |
|        China         |   |                                 | 2,894  |                           |                            | 2,086                          |   |   | 3,262 |
|        Other         |   |                                 | 1,431  |                           |                            | 806                            |   |   | 1,539 |
|                                                    |   | $                                    | 7,472  |                           | $                               | 4,853                          |   | $ | 8,601 |
|                                                    |   |                                 |   |                           |                            |                           |   |   |   |
| Other:                                                  |   |                                 | 687    |                           |                            | 327                            |   |   | 661 |
| Consolidated net sales                                  |   | $                                    | 52,266 |                           | $                               | 38,809                         |   | $ | 65,781 |
|                                                    |   |                                 |   |                           |                            |                           |   |   |   |
| Foreign sales                                           |   | $                                    | 21,565 |                           | $                               | 14,520                         |   | $ | 30,541 |
| United States sales                                     |   |                                 | 30,701 |                           |                            | 24,289                         |   |   | 35,240 |
| Consolidated net sales                                  |   | $                                    | 52,266 |                           | $                               | 38,809                         |   | $ | 65,781 |
|                                                    |   |                                 |   |                           |                            |                           |   |   |   |

----

| Year ended September 30,                                |                            | 2010    |       | 2009   |        | 2008   |
|---------------------------------------------------------|---------------------------------|---------|--------------------------------|--------|---------------------------------|--------|
| Revenue – External Customers:                     |                            |    |                           |   |                            |   |   |   |   |   |   |
|        United States | $      | 49,392  |                           |   | $      | 36,800 |   |   | $      | 62,516 |   |
|        China         |                            | 2,874   |                           |   |                            | 2,009  |   |   |   | 3,265 |   |
|                                                    | $                               | 52,266  |                           |   | $                               | 38,809 |   |   | $ | 65,781 |   |
| Revenue – Intersegments:                          |                            |    |                           |   |                            |   |   |   |   |   |   |
|        United States | $                               | 1,010   |                           |   | $                               | 480    |   |   | $ | 1,472 |   |
|        China         |                            | 12,504  |                           |   |                            | 7,217  |   |   |   | 12,177 |   |
|        Other         |                            | 775     |                           |   |                            | 602    |   |   |   | 626 |   |
|        Eliminations  |                            | (14,289 | )                              |   |                            | (8,299 | ) |   |   | (14,275 | ) |
|                                                    | $                               | -       |                           |   | $                               | -      |   |   | $ | - |   |
| Income before income taxes:                             |                            |    |                           |   |                            |   |   |   |   |   |   |
|        United States | $                               | 580     |                           |   | $                               | (4,585 | ) |   | $ | 10,642 |   |
|        China         |                            | 1,180   |                           |   |                            | 860    |   |   |   | 1,085 |   |
|        Other         |                            | (45     | )                              |   |                            | 39     |   |   |   | 53 |   |
|                                                    | $                               | 1,715   |                           |   | $                               | (3,686 | ) |   | $ | 11,780 |   |
| Total assets:                                           |                            |    |                           |   |                            |   |   |   |   |   |   |
|        United States | $                               | 28,214  |                           |   | $                               | 31,745 |   |   | $ | 34,579 |   |
|        China         |                            | 4,967   |                           |   |                            | 4,512  |   |   |   | 5,041 |   |
|        Other         |                            | 1,024   |                           |   |                            | 127    |   |   |   | 142 |   |
|                                                    | $                               | 34,205  |                           |   | $                               | 36,384 |   |   | $ | 39,762 |   |
| Long-lived assets:                                      |                            |    |                           |   |                            |   |   |   |   |   |   |
|        United States | $                               | 7,297   |                           |   | $                               | 7,823  |   |   | $ | 8,257 |   |
|        China         |                            | 1,495   |                           |   |                            | 1,384  |   |   |   | 1,316 |   |
|        Other         |                            | 671     |                           |   |                            | 54     |   |   |   | 48 |   |
|                                                    | $                               | 9,463   |                           |   | $                               | 9,261  |   |   | $ | 9,621 |   |
|                                                    |                            |    |                           |   |                            |   |   |   |   |   |   |

----

|                                                         |                           | First                           |                           | Second  |                           | Third                           |                           | Fourth  |                           |                            |   |   |
|--------------------------------------------------------------|--------------------------------|---------------------------------|--------------------------------|---------|--------------------------------|---------------------------------|--------------------------------|---------|--------------------------------|---------------------------------|--------|--------|
| 2010                                                         |       | Quarter                         |       | Quarter |       | Quarter                         |       | Quarter |       | Annual                          |
|        Net sales          |                           | $      | 11,709                         |    |                           | $      | 12,649                         |    |                           | $      | 13,764 |   |   | $      | 14,144 |   | $      | 52,266 |   |
|        Cost of sales      |                           |                            | 8,122                          |    |                           |                            | 9,294                          |    |                           |                            | 9,714  |   |   |   | 10,316 |   |   | 37,446 |   |
|        Gross profit       |                           | $                               | 3,587                          |    |                           | $                               | 3,355                          |    |                           | $                               | 4,050  |   |   | $ | 3,828 |   | $ | 14,820 |   |
|        Operating expenses |                           | $                               | 3,059                          |    |                           | $                               | 4,147                          |    |                           | $                               | 3,110  |   |   | $ | 3,280 |   | $ | 13,596 |   |
| Net income (loss)                                            |                           | $                               | 396                            |    |                           | $                               | (432                           | )       |                           | $                               | 903    |   |   | $ | 510 |   | $ | 1,377 |   |
| Earnings per common share                                    |                           |                            |                           |    |                           |                            |                           |    |                           |                            |   |   |   |   |   |   |   |   |   |
|        Basic              |                           | $                               | 0.05                           |    |                           | $                               | (0.06                          | )       |                           | $                               | 0.12   |   |   | $ | 0.07 |   | $ | 0.19 |   |
|        Diluted            |                           | $                               | 0.05                           |    |                           | $                               | (0.06                          | )       |                           | $                               | 0.12   |   |   | $ | 0.07 |   | $ | 0.19 |   |
|                                                         |                           |                            |                           |    |                           |                            |                           |    |                           |                            |   |   |   |   |   |   |   |   |   |
|                                                         |                           | First                           |                           | Second  |                           | Third                           |                           | Fourth  |                           |                            |   |   |
| 2009                                                         |                           | Quarter                         |                           | Quarter |                           | Quarter                         |                           | Quarter |                           | Annual                          |
|        Net sales          |                           | $                               | 10,691                         |    |                           | $                               | 9,131                          |    |                           | $                               | 8,444  |   |   | $ | 10,543 |   | $ | 38,809 |   |
|        Cost of sales      |                           |                            | 8,137                          |    |                           |                            | 7,908                          |    |                           |                            | 6,536  |   |   |   | 7,592 |   |   | 30,173 |   |
|        Gross profit       |                           | $                               | 2,554                          |    |                           | $                               | 1,223                          |    |                           | $                               | 1,908  |   |   | $ | 2,951 |   | $ | 8,636 |   |
|        Operating expenses |                           | $                               | 3,463                          |    |                           | $                               | 3,104                          |    |                           | $                               | 2,541  |   |   | $ | 2,820 |   | $ | 11,928 |   |
| Net income (loss)                                            |                           | $                               | (841                           | )       |                           | $                               | (1,200                         | )       |                           | $                               | (333   | )      |   | $ | 365 |   | $ | (2,009 | ) |
| Earnings per common share                                    |                           |                            |                           |    |                           |                            |                           |    |                           |                            |   |   |   |   |   |   |   |   |   |
|        Basic              |                           | $                               | (0.11                          | )       |                           | $                               | (0.17                          | )       |                           | $                               | (0.05  | )      |   | $ | 0.05 |   | $ | (0.27 | ) |
|        Diluted            |                           | $                               | (0.11                          | )       |                           | $                               | (0.17                          | )       |                           | $                               | (0.05  | )      |   | $ | 0.05 |   | $ | (0.27 | ) |
|                                                         |                           |                            |                           |    |                           |                            |                           |    |                           |                            |   |   |   |   |   |   |   |   |   |

----

----

| ITEM 12.  | SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS  |
|----------------|------------------------------------------------------------------------------------------------------|

----

|            | (1) Financial Statements - See “Index to Financial Statements” at Item 8 on page 23 of this Annual Report on Form 10-K.  (2) Financial Statement Schedules - All financial statement schedules are omitted either because they are not required, not applicable or the required information is included in the financial statements or notes thereto.  (3) Exhibits - See “Exhibit Index” beginning on page 55. |
|--------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|               Date:        | December 22, 2010 | By        | / s / PATRICK W. CAVANAGH                    |
|-------------------------------------------------------------------------------------------------------------------------------------|-------------------|----------------------------------------------|----------------------------------------------|
|                                                                                                                                |              |                                         | Patrick W. Cavanagh, Director, President and |
|                                                                                                                                |              |                                         | Chief Executive Officer                      |

|               Date:        | December 22, 2010 | By        | / s / R. EUGENE GOODSON                      |
|-------------------------------------------------------------------------------------------------------------------------------------|-------------------|----------------------------------------------|----------------------------------------------|
|                                                                                                                                |              |                                         | R. Eugene Goodson, Chairman of the Board     |
|                                                                                                                                |              |                                         |                                         |
|               Date:                                           | December 22, 2010 | By                                           | / s / PATRICK W. CAVANAGH                    |
|                                                                                                                                |              |                                         | Patrick W. Cavanagh, Director, President and |
|                                                                                                                                |              |                                         | Chief Executive Officer                      |
|                                                                                                                                |              |                                         |                                         |
|               Date:                                           | December 22, 2010 | By                                           | / s / DENNIS E. BUNDAY                       |
|                                                                                                                                |              |                                         | Dennis E. Bunday, Executive Vice President,  |
|                                                                                                                                |              |                                         | Chief Financial Officer and                  |
|                                                                                                                                |              |                                         | Principal Accounting Officer                 |
|                                                                                                                                |              |                                         |                                         |
|               Date:                                           | December 22, 2010 | By                                           | / s / H. SAMUEL GREENAWALT                   |
|                                                                                                                                |              |                                         | H. Samuel Greenawalt, Director               |
|                                                                                                                                |              |                                         |                                         |
|               Date:                                           | December 22, 2010 | By                                           | / s / DOUGLAS E. HAILEY                      |
|                                                                                                                                |              |                                         | Douglas E. Hailey, Director                  |
|                                                                                                                                |              |                                         |                                         |
|               Date:                                           | December 22, 2010 | By                                           | / s / CARLOS P. SALAS                        |
|                                                                                                                                |              |                                         | Carlos P. Salas, Director                    |
|                                                                                                                                |              |                                         |                                         |
|               Date:                                           | December 22, 2010 | By                                           | / s / PETER E. SALAS                         |
|                                                                                                                                |              |                                         | Peter E. Salas, Director                     |
|                                                                                                                                |              |                                         |                                         |
|               Date:                                           | December 22, 2010 | By                                           | / s / DONN J. VIOLA                          |
|                                                                                                                                |              |                                         | Donn J. Viola, Director                      |

----

| Exhibit            |                           |               |
|--------------------|--------------------------------|--------------------|
| Number             |       | Description        |
|     | 3.01(a)                        |     |   | Certificate of Incorporation of the Registrant, as amended (Incorporated by reference to Exhibit 3.01 (a) to the Registrant’s quarterly report on Form 10-Q for the quarter ended December 31, 2006) |
|               |                           |               |   |   |
|               | 3.01(b)                        |               |   | Certificate of Amendment to Certificate of Incorporation of the Registrant, dated February 27, 1995 (Incorporated by reference to Exhibit 3.01 (b) to the Registrant’s quarterly report on Form 10-Q for the quarter ended December 31, 2006) |
|               |                           |               |   |   |
|               | 3.01(c)                        |               |   | Certificate of Amendment to Certificate of Incorporation of the Registrant, dated October 28, 2004 (Incorporated by reference to Exhibit 3.01 (c) to the Registrant’s quarterly report on Form 10-Q for the quarter ended December 31, 2006) |
|               |                           |               |   |   |
|               | 3.01(d)                        |               |   | Certificate of Amendment to Certificate of Incorporation of the Registrant, dated February 22, 2005 (Incorporated by reference to Exhibit 3.01 (d) to the Registrant’s quarterly report on Form 10-Q for the quarter ended December 31, 2006) |
|               |                           |               |   |   |
|               | 3.01(e)                        |               |   | Certificate of Amendment to Certificate of Incorporation of the Registrant, dated March 2, 2006 (Incorporated by reference to Exhibit 3.01 (e) to the Registrant’s quarterly report on Form 10-Q for the quarter ended December 31, 2006) |
|               |                           |               |   |   |
|               | 3.02                           |               |   | Restated By-Laws of the Registrant as amended July 1, 2002 (Incorporated by reference to Exhibit 3.6 to the Registrant's quarterly report on Form 10-Q, Commission File No. 000-18083, for the quarter ended June 30, 2002) |
|               |                           |               |   |   |
|               | 4.01                           |               |   | Specimen Unit Certificate (including Specimen Certificate for shares of Common Stock and Specimen Certificate for the Warrants) (Incorporated by reference to Exhibits 1.1 and 1.2 to the Registrant's Registration Statement on Form 8-A, Commission File No. 000-18083, filed with the Commission on November 1, 1989) |
|               |                           |               |   |   |
|               | 4.07                           |               |   | Certificate to Provide for the Designation, Preferences, Rights, Qualifications, Limitations or Restrictions Thereof, of the Series C Preferred Stock, 15% Redeemable Non-Convertible Series (Incorporated by reference to the Registrant’s report on Form 8-K, filed on September 29, 2004) |
|               |                           |               |   |   |
|               | 10.01(a)                       |               |   | Form of Indemnification Agreement for H. Samuel Greenawalt (Incorporated by reference to Exhibit 10.1(c) to the Registrant's annual report on Form 10-K for the fiscal year ended September 30, 1993, Commission File No. 0-18083, filed with the Commission on November 1, 1989) |
|               |                           |               |   |   |
|               | 10.01(b)                       |               |   | Form of Indemnification Agreement for Douglas E. Hailey (Incorporated by reference to Exhibit 10.1(a) to the Registrant's quarterly report on Form 10-Q for the quarter ended December 31, 2001) |
|               |                           |               |   |   |
|               | 10.02                          |               |   | The Registrant's 1995 Stock Option Plan for Non-Employee Directors (Filed herewith) |
|               |                           |               |   |   |
|               | 10.03                          |               |   | The Registrant's Restated 1993 Stock Option Plan (Filed herewith) |
|               |                           |               |   |   |
|               | 10.05                          |               |   | Management Services Agreement, dated as of July 1, 2002, by and among American Industrial Partners, a Delaware general partnership, and the Company (Incorporated by reference to Exhibit (d)(ix) to the Schedule TO-I/A filed on July 5, 2002) |
|               |                           |               |   |   |
|               | 10.11                          |               |   | Amended and Restated Management Services Agreement, dated September 30, 2004, among Williams, American Industrial Partners and Dolphin Advisors, LLC (Incorporated by reference to the Registrant’s report on Form 8-K, filed on September 29, 2004) |

----

|     | 10.12        |     |       | Employment Agreement with Dennis E. Bunday, Executive Vice President and Chief Financial Officer (Incorporated by reference to the Registrant’s report on Form 10-K, filed on December 14, 2007) |
|--------------------|--------------|--------------------|--------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|     |         |     |       |                                                                                                                                                                                                   |
|               | 10.13        |               |                           | Employment Agreement with Patrick W. Cavanagh, President and Chief Executive Officer (Incorporated by reference to the Registrant’s report on Form 10-K, filed on December 14, 2006)             |
|               |         |               |                           |                                                                                                                                                                                                   |
|               | 10.14        |               |                           | Revised Code of Ethics (Incorporated by reference to the Registrant’s report on Form 8-K, filed on October 3, 2006)                                                                              |
|               |         |               |                           |                                                                                                                                                                                                   |
|               | 10.15        |               |                           | Employment Agreement with Mark S. Koenen, Vice President of Sales and Marketing (Incorporated by reference to the Registrant’s report on Form 10-K, filed on December 14, 2007)                  |
|               |    |
|               | 10.16        |               |                           | Employment Agreement with Gary A. Hafner, Vice President of Manufacturing (Incorporated by reference to the Registrant’s report on Form 10-K, filed on December 14, 2007)                        |
|               |         |               |                           |                                                                                                                                                                                                   |
|               | 10.17        |               |                           | Employment Agreement with Scott J. Thiel, Vice President of Engineering and Development (Filed Herewith)                                                                                               |
|               |         |               |                           |                                                                                                                                                                                                   |
|               | 21.01        |               |                           | Schedule of Subsidiaries (Filed Herewith)                                                                                                                                                              |
|               |         |               |                           |                                                                                                                                                                                                   |
|               | 23.01        |               |                           | Consent of Moss Adams LLP, Independent Registered Public Accounting Firm (Filed herewith)                                                                                                              |
|               |         |               |                           |                                                                                                                                                                                                   |
|               | 31.01        |               |                           | Certification of Chief Executive Officer required by Rule 13a-14(a) or Rule 15d-14(a) (Filed herewith)                                                                                                 |
|               |         |               |                           |                                                                                                                                                                                                   |
|               | 31.02        |               |                           | Certification of Chief Financial Officer required by Rule 13a-14(a) or Rule 15d-14(a) (Filed herewith)                                                                                                 |
|               |         |               |                           |                                                                                                                                                                                                   |
|               | 32.01        |               |                           | Certification of Patrick W. Cavanagh Pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002                                                           |
|               |         |               |                           |                                                                                                                                                                                                   |
|               | 32.02        |               |                           | Certification of Dennis E. Bunday Pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002                                                              |

----