| Class                              | Shares Outstanding at      February 13, 2009                      |
|------------------------------------|-------------------------------------------------------------------|
| Common      Stock, $0.10 Par Value | 6,294,332      (excluding 659,900 shares held as treasury  stock) |

----

|                                                                                                                                     |   | December      31, |       |   | June      30,                                         |   |
|------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------|------------|--------|-------------------------------------------------------|--------|
|                                                                                                                                     |   | 2008              |       |   | 2008                                                  |   |
|                                                                                                                                     |   | (UNAUDITED)       |       |   | (DERIVED      FROM AUDITED STATEMENTS – NOTE 2) |   |
| ASSETS                                                                                                                                   |   |              |       |   |                                                  |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |
| Current      Assets                                                                                                                      |   |              |       |   |                                                  |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |
|               Cash      and cash equivalents                       |   | $                 | 40,151     |   |                                                  | $      | 14,444 |   |
| Accounts      receivable - net                                                                                                           |   |              | 22,556,648 |   |                                                  |   | 32,591,064 |   |
| Inventories      - net                                                                                                                   |   |              | 10,206,494 |   |                                                  |   | 17,702,321 |   |
|                Prepaid      expenses and other                |   |              | 1,319,749  |   |                                                  |   | 1,727,707 |   |
|                Current      assets of discontinued operations |   |              | 15,265,706 |   |                                                  |   | 16,900,320 |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
| Total      current assets                                                                                                                |   |              | 49,388,748 |   |                                                  |   | 68,935,856 |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
| Property,      plant and equipment – net                                                                                           |   |              | 1,019,030  |   |                                                  |   | 1,005,047 |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
| Goodwill                                                                                                                                 |   |              | 1,952,791  |   |                                                  |   | 3,052,791 |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
| Other      assets                                                                                                                        |   |              | 1,470,993  |   |                                                  |   | 1,944,407 |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
| Non-current      assets of discontinued operations                                                                                       |   |              | 80,447     |   |                                                  |   | 14,186,125 |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
|                Total      assets                              |   | $                 | 53,912,009 |   |                                                  | $      | 89,124,226 |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |
|                                                                                                                                     |   |              |       |   |                                                  |   |   |   |

----

|                                                                                                                                           |   | December      31, |        |   | June      30,                                         |   |
|------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------|-------------|--------|-------------------------------------------------------|--------|
|                                                                                                                                           |   | 2008              |        |   | 2008                                                  |   |
|                                                                                                                                           |   | (UNAUDITED)       |        |   | (DERIVED      FROM AUDITED STATEMENTS – NOTE 2) |   |
| LIABILITIES      & SHAREHOLDERS' EQUITY                                                                                                    |   |              |        |   |                                                  |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |
| LIABILITIES                                                                                                                                    |   |              |        |   |                                                  |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |
|     Current      Liabilities                                                                                               |   |              |        |   |                                                  |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |
|                      Accounts payable and accrued expenses          |   | $                 | 13,641,130  |   |                                                  | $      | 23,901,278 |   |
| Current      maturities of long-term debt and                                                                                                  |   |              |        |   |                                                  |   |   |   |
|    capitalized      lease obligations                                                                                           |   |              | 23,839,868  |   |                                                  |   | 31,409,953 |   |
|                      Income taxes payable                           |   |              | 3,356       |   |                                                  |   | 13,769 |   |
|                      Current liabilities of discontinued operations |   |              | 9,580,624   |   |                                                  |   | 9,498,397 |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
| Total      current liabilities                                                                                                                 |   |              | 47,064,978  |   |                                                  |   | 64,823,397 |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|     Deferred      compensation                                                                                             |   |              | 1,224,979   |   |                                                  |   | 1,200,001 |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|                Total      liabilities                               |   |              | 48,289,957  |   |                                                  |   | 66,203,398 |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
| Commitments      and Contingencies (Notes 2,3,4,8 and 9)                                                                                       |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
| SHAREHOLDERS'      EQUITY                                                                                                                      |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|               Preferred      stock - authorized, 100,000 shares,         |   |              |        |   |                                                  |   | - |   |
|                 $10      par value; none issued                |   |              |        |   |                                                  |   |   |   |
|               Common      stock – authorized, 20,000,000 shares,   |   |              |        |   |                                                  |   |   |   |
|                 $.10      par value; 6,954,232 shares issued   |   |              |        |   |                                                  |   |   |   |
|                 and      6,294,332 shares outstanding          |   |              | 695,423     |   |                                                  |   | 695,423 |   |
|               Additional      paid-in capital                            |   |              | 27,304,809  |   |                                                  |   | 27,236,361 |   |
|               Accumulated      Deficit                                   |   |              | (20,063,614 | )      |                                                  |   | (2,516,390 | ) |
|               Treasury      stock – 659,900 shares at cost         |   |              | (2,314,566  | )      |                                                  |   | (2,314,566 | ) |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|               Total      shareholders' equity                            |   |              | 5,622,052   |   |                                                  |   | 23,100,828 |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|               Total      liabilities and shareholders’ equity      |   | $                 | 53,912,009  |   |                                                  | $      | 89,124,226 |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |
|                                                                                                                                           |   |              |        |   |                                                  |   |   |   |

----

|                                                                                                                                      |   | 2008   |       |   | 2007   |   |
|-------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|------------|--------|--------|--------|
|                                                                                                                                      |   |   |       |   |   |   |
| Net      sales                                                                                                                            |   | $      | 13,867,332 |   |   | $      | 18,755,689 |   |
| Cost      of goods sold                                                                                                                   |   |   | 11,712,854 |   |   |   | 15,262,029 |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
| Gross      profit                                                                                                                         |   |   | 2,154,478  |   |   |   | 3,493,660 |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
| Selling,      general and administrative expenses                                                                                    |   |   | 2,801,785  |   |   |   | 2,418,799 |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
| Operating      (loss) profit                                                                                                              |   |   | (647,307   | )      |   |   | 1,074,861 |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
| Interest      expense                                                                                                                     |   |   | 375,585    |   |   |   | 540,288 |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
| (Loss)      earnings from continuing operations before income      taxes                                                                  |   |   | (1,022,892 | )      |   |   | 534,573 |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
| Income      tax provision                                                                                                                 |   |   | 9,555      |   |   |   | 12,276 |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
|               (Loss)      earnings from continuing operations       |   |   | (1,032,447 | )      |   |   | 522,297 |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
| Loss      from discontinued operations                                                                                                    |   |   | (1,403,595 | )      |   |   | (483,081 | ) |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
| Net      (loss) income                                                                                                                    |   | $      | (2,436,042 | )      |   | $      | 39,216 |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
| PER      SHARE INFORMATION                                                                                                                |   |   |       |   |   |   |   |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
| Basic      and diluted loss per common share:                                                                                             |   |   |       |   |   |   |   |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
|                (Loss)      earnings from continuing operations |   | $      | (0.17      | )      |   | $      | 0.08 |   |
|                Loss      from discontinued operations          |   |   | (0.22      | )      |   |   | (0.07 | ) |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
|                Net      (loss) income                          |   | $      | (0.39      | )      |   | $      | 0.01 |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
| Weighted-average      common shares and common                                                                                            |   |   |       |   |   |   |   |   |
|   equivalent      shares outstanding:                                                                                           |   |   |       |   |   |   |   |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
| Basic      and diluted                                                                                                                    |   |   | 6,294,332  |   |   |   | 6,294,332 |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |
|                                                                                                                                      |   |   |       |   |   |   |   |   |

----

|                                                                                                                                      |   | 2008   |        |   | 2007   |   |
|-------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-------------|--------|--------|--------|
|                                                                                                                                      |   |   |        |   |   |   |
| Net      sales                                                                                                                            |   | $      | 36,114,568  |   |   | $      | 34,010,018 |   |
| Cost      of goods sold                                                                                                                   |   |   | 29,796,368  |   |   |   | 27,649,202 |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
| Gross      profit                                                                                                                         |   |   | 6,318,200   |   |   |   | 6,360,816 |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
| Selling,      general and administrative expenses                                                                                    |   |   | 5,529,994   |   |   |   | 4,675,651 |   |
| Impairment      of goodwill and intangible assets                                                                                         |   |   | 1,271,000   |   |   |   | - |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
| Operating      (loss) profit                                                                                                              |   |   | (482,794    | )      |   |   | 1,685,165 |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
| Interest      expense                                                                                                                     |   |   | 812,104     |   |   |   | 1,155,649 |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
| Loss      from continuing operations before income      taxes                                                                             |   |   | (1,294,898  | )      |   |   | 529,516 |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
| Income      tax provision                                                                                                                 |   |   | 19,278      |   |   |   | 25,889 |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
|               (Loss)      earnings from continuing operations       |   |   | (1,314,176  | )      |   |   | 503,627 |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
| Loss      from discontinued operations                                                                                                    |   |   | (16,233,048 | )      |   |   | (645,146 | ) |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
| Net      loss                                                                                                                             |   | $      | (17,547,224 | )      |   | $      | (141,519 | ) |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
| PER      SHARE INFORMATION                                                                                                                |   |   |        |   |   |   |   |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
| Basic      and diluted loss per common share:                                                                                             |   |   |        |   |   |   |   |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
|                (Loss)      earnings from continuing operations |   | $      | (.21        | )      |   | $      | .08 |   |
|                Loss      from discontinued operations          |   |   | (2.58       | )      |   |   | (0.10 | ) |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
|                Net      loss                                   |   | $      | (2.79       | )      |   | $      | (0.02 | ) |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
| Weighted-average      common shares and common                                                                                            |   |   |        |   |   |   |   |   |
|   equivalent      shares outstanding:                                                                                           |   |   |        |   |   |   |   |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
| Basic      and diluted                                                                                                                    |   |   | 6,294,332   |   |   |   | 6,294,332 |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |
|                                                                                                                                      |   |   |        |   |   |   |   |   |

----

|                                                                                                                            |   |          2008 |            2007 |    |        |
|---------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------|-------------------------------------------------------------------|---------|--------|
| Cash      flows from operating activities                                                                                       |   |                                                  |                                                              |    |   |
|        Net loss                                                                                                            |   | $                                                     | (17,547,224)                                                      |    | $      | (141,519 | ) |   |   |
|        Net loss from discontinued operation                                                                                |   |                                                  | (16,233,048)                                                      |    |   | (645,146 | ) |   |   |
|        Net (loss) earnings from continuing operations                                                                      |   |                                                  | (1,314,176)                                                       |    |   | 503,627 |   |   |   |
|                                                                                                                            |   |                                                  |                                                              |    |   |   |   |   |
|       Adjustments      to reconcile net (loss) earnings from                                      |   |                                                  |                                                              |    |   |   |   |   |
|         continuing      operations to net cash provided by operating activities         |   |                                                  |                                                              |    |   |   |   |   |
|           Impairment      of goodwill and intangible assets                   |   |                                                  | 1,271,000                                                         |    |   | - |   |   |   |
|           Depreciation      and amortization                                  |   |                                                  | 249,890                                                           |    |   | 354,645 |   |   |   |
|           Deferred      compensation                                          |   |                                                  | 24,978                                                            |    |   | 25,003 |   |   |   |
|           Stock-based      compensation                                       |   |                                                  | 68,448                                                            |    |   | 57,455 |   |   |   |
|           Provision      for doubtful accounts                                |   |                                                  | 419,675                                                           |    |   | 373,943 |   |   |   |
|           Changes      in operating assets and liabilities                    |   |                                                  |                                                              |    |   |   |   |   |
|             Decrease      in operating assets - net                 |   |                                                  | 17,557      067                                                   |    |   | 2,548,315 |   |   |   |
|            (Decrease)      increase in operating liabilities – net |   |                                                  | (10,270,561)                                                      |    |   | 1,281,946 |   |   |   |
|                Net Cash (used in) provided by discounted operations                |   |                                                  | (410,529)                                                    |    |   | 1,977,986  |   |   |   |
|                                                                                                                            |
|                                                                                                                            |   |                                                  |                                                              |    |   |   |   |   |   |   |   |
|           Net      cash provided by operating activities                      |   |                                                  | 7,595,792                                                         |    |   |   | 7,122,920 |   |   |   |   |
|                                                                                                                            |   |                                                  |                                                              |    |   |   |   |   |   |   |   |   |
| Cash      flows from investing activities                                                                                       |   |                                                  |                                                              |    |   |   |   |   |   |   |   |   |
| Capital      expenditures                                                                                                       |   |                                                  | -                                                                 |    |   |   | (33,914 | ) |   |   |   |
|                                                                                                                            |   |                                                  |                                                              |    |   |   |   |   |   |   |   |   |
|           Net      cash used in investing activities                          |   |                                                  | -                                                                 |    |   |   | (33,914 | ) |   |   |   |
|                                                                                                                            |   |                                                  |                                                              |    |   |   |   |   |   |   |   |   |
| Cash      flows from financing activities                                                                                       |   |                                                  |                                                              |    |   |   |   |   |   |   |   |   |
|            Borrowings      under line of credit                          |   |                                                  | 86,986,314                                                        |    |   |   | 98,595,692 |   |   |   |   |
| Repayments      under line of credit                                                                                            |   |                                                  | (94,526,621)                                                      |    |   |   | (105,655,041 | ) |   |   |   |
| Principal      payments under equipment financing                                                                               |   |                                                  | (29,778)                                                          |    |   |   | (25,558 | ) |   |   |   |
|                                                                                                                            |   |                                                  |                                                              |    |   |   |   |   |   |   |   |   |
| Net      cash used in financing activities                                                                                      |   |                                                  | (7,570,085                                                        | )  |   |   | (7,084,907 | ) |   |   |   |
|                                                                                                                            |   |                                                  |                                                              |    |   |   |   |   |   |   |   |   |
| Net      increase in cash                                                                                                       |   |                                                  | 25,707                                                            |    |   |   | 4,099 |   |   |   |   |
|                                                                                                                            |   |                                                  |                                                              |    |   |   |   |   |   |   |   |   |
| Cash      at beginning of period                                                                                                |   |                                                  | 14,444                                                            |    |   |   | 15,713 |   |   |   |   |
|                                                                                                                            |   |                                                  |                                                              |    |   |   |   |   |   |   |   |   |
| Cash      at end of period                                                                                                      |   | $                                                     | 40,151                                                            |    |   | $ | 19,812 |   |   |   |   |
| Supplemental      disclosures of cash flow information:                                                                         |   |                                                  |                                                              |    |   |   |   |   |   |   |   |   |
|      Cash      paid during the period for:                                                             |   |                                                  |                                                              |    |   |   |   |   |   |   |   |   |
|              Interest                                          |   | $                                                     | 812,000                                                           |    |   | $ | 1,156,000 |   |   |   |   |
|              Income      taxes                                 |   | $                                                     | 19,000                                                            |    |   | $ | 28,000 |   |   |   |   |

----

----

|                                                         |   | December      31, 2008 |       |   | June      30, 2008 |   |
|--------------------------------------------------------------|--------|-----------------------------|------------|--------|-------------------------|--------|
| Current      assets of discontinued operations:              |   |                        |       |   |                    |   |
|    Inventory                                  |   | $                           | 15,265,706 |   |                    | $      | 16,900,320 |   |
| Non-current      assets of discontinued operations:          |   |                        |       |   |                    |   |   |   |
|    Other      Assets and intangible assets    |   | $                           | 80,447     |   |                    | $      | 322,829 |   |
|    Goodwill                                   |   |                        | -          |   |                    |   | 13,863,296 |   |
|                                                         |   |                        |       |   |                    |   |   |   |
|                                                         |   | $                           | 80,447     |   |                    | $      | 14,186,125 |   |
|                                                         |   |                        |       |   |                    |   |   |   |
| Current      liabilities of discontinued operations:         |   |                        |       |   |                    |   |   |   |
|    Accounts      payable and accrued expenses |   | $                           | 9,580,624  |   |                    | $      | 9,498,397 |   |

|                                              |   | Three      Months Ended            |       |   | Six      Months Ended                                                              |   |
|---------------------------------------------------|--------|------------------------------------|------------|--------|------------------------------------------------------------------------------------|--------|
|                                              |   | December      31,                  |       |   | December      31,                                                                  |   |
|                                              |   | 2008      |       |   |              2007 |   |   |                     2008 |   |   |                 2007 |   |
|                                              |   |                               |       |   |                                                                               |   |   |   |   |   |   |   |
| Sales      from discontinued operations           |   | $                                  | 20,767,000 |   |                                                                               | $      | 30,652,000 |   |   | $ | 46,336,000 |   |   | $ | 64,408,000 |   |
| Cost      of sales of discontinued operations     |   |                               | 17,639,829 |   |                                                                               |   | 26,081,493 |   |   |   | 38,897,196 |   |   |   | 54,683,881 |   |
| Gross      profit of discontinued operations      |   |                               | 3,127,171  |   |                                                                               |   | 4,570,507 |   |   |   | 7,438,804 |   |   |   | 9,724,119 |   |
| SG      & A of discontinued operations        |   |                               | 4,530,766  |   |                                                                               |   | 5,053,588 |   |   |   | 9,566,174 |   |   |   | 10,369,265 |   |
| Impairment      of Goodwill and intangible assets |   |                               | -          |   |                                                                               |   | - |   |   |   | 14,105,678 |   |   |   | - |   |
| Loss      from discontinued operations            |   | $                                  | (1,403,595 | )      |                                                                               | $      | (483,081 | ) |   | $ | (16,233,048 | ) |   | $ | (645,146 | ) |

----

----

----

|                                               |   |                                   |                                             |                                                                                                                                |                          |                   |                                                                             |                                              |   |                                                     |   |   |
|----------------------------------------------------|--------|----------------------------------------|--------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------|-------------------------------|------------------------|----------------------------------------------------------------------------------|---------------------------------------------------|--------|----------------------------------------------------------|--------|--------|
|                                               |   |                                   | Options     Outstanding |                                                                                                                                | Weighted-AverageExercisePrice |                   |                                                                             | Weighted-AverageRemainingContractualTerm (months) |   |
|                                               |   |                                   |                                             |                                                                                                                                |                          |                   |                                                                             |                                              |   |
|                                               |   |                                   |                                             |                                                                                                                                |                          |                   |                                                                             |                                              |   |                                                     |   |
| Options      outstanding at June 30, 2008     |   |                                   | 689,750                                          |                                                                                                                                |                          |   $4.41      |                                                                             |                                              |   |                                                     |   |
| Granted                                            |   |                                   | -                                                |                                                                                                                                |                          |   -          |                                                                             |                                              |   |                                                     |   |
| Exercised                                          |   |                                   | -                                                |                                                                                                                                |                          |   -          |                                                                             |                                              |   |                                                     |   |
| Forfeited                                          |   |                                   |   (27,000)                             |                                                                                                                                |                          |    5.93 |                                                                             |                                              |   |                                                     |   |
|                                               |   |                                   |                                             |                                                                                                                                |                          |                   |                                                                             |                                              |
| Options      outstanding at December 31, 2008 |   |                                   | 662,750                                          |                                                                                                                                |                          |  $4.35            |                                                                             |                                              |   |          62 |   |
| Options      exercisable at December 31, 2008      |   |         509,125              |                                             |                           $4.82 |                          |                   |                   51 |                                              |
|                                               |   |                                   |                                             |                                                                                                                                |                          |                   |                                                                             |                                              |
| Nonvested      Stock Options:                      |   |                                   |                                             |                                                                                                                                |                          |                   |                                                                             |                                              |
| Nonvested      at June 30, 2008               |   |           222,875  |                                             |         $2.86                                                                                                             |                          |                   |                                                                             |                                              |
| Granted                                            |   | -                                      |                                             | -                                                                                                                                   |                          |                   |                                                                             |                                              |
| Vested                                             |   |           (62,125) |                                             |          2.91                                                                                                             |                          |                   |                                                                             |                                              |
| Forfeited                                          |   |     (7,125)        |                                             |          3.49                                                                                                             |                          |                   |                                                                             |                                              |
|                                               |   |                                   |                                             |                                                                                                                                |                          |                   |                                                                             |                                              |
| Nonvested      at December 31, 2008           |   |          153,625        |                                             |         $2.81                                                                                                             |                          |                   |                                                                             |                                              |

|                                                                                                      |   |                    Three Months Ended                   |      |   |                  Six Months Ended                            |   |
|-----------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------|-----------|--------|---------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                      |   |                        December 31, |      |   |                   December 31, |   |
|                                                                                                      |   | 2008                                                                                                                     |      |   | 2007                                                                                                                |   |   | 2008 |   |   | 2007 |   |
| Weighted      average common shares outstanding net      of treasury shares, for basic earnings per share |   |                                                                                                                     | 6,294,332 |   |                                                                                                                |   | 6,294,332 |   |   |   | 6,294,332 |   |   |   | 6,294,332 |   |
|                                                                                                      |   |                                                                                                                     |      |   |                                                                                                                |   |   |   |   |   |   |   |   |   |   |   |
| Effect      of dilutive securities                                                                        |   |                                                                                                                     | -         |   |                                                                                                                |   | - |   |   |   | - |   |   |   | - |   |
|                                                                                                      |   |                                                                                                                     |      |   |                                                                                                                |   |   |   |   |   |   |   |   |   |   |   |
| Weighted      average common shares outstanding for diluted earnings per      share                       |   |                                                                                                                     | 6,294,332 |   |                                                                                                                |   | 6,294,332 |   |   |   | 6,294,332 |   |   |   | 6,294,332 |   |

----

|                           |   |     Three      Months Ended                                    |        |   |     Six      Months Ended                      |   |
|--------------------------------|--------|------------------------------------------------------------------------------------|-------------|--------|--------------------------------------------------------------------|--------|
|                           |   |         December      31,                  |        |   |               December 31, |   |
|                           |   |     2008          |        |   |     2007                                       |   |   |     2008 |   |   |     2007 |   |
|                           |   |                                                                               |        |   |                                                               |   |   |   |   |   |   |   |
| Semiconductors                 |   | $                                                                                  | 12,358,000  |   |                                                               | $      | 18,614,000 |   |   | $ | 28,074,000 |   |   | $ | 38,946,000 |   |
| Flat      Panel Displays       |   |                                                                               | 13,867,000  |   |                                                               |   | 18,756,000 |   |   |   | 36,115,000 |   |   |   | 34,010,000 |   |
| Passive      Components        |   |                                                                               | 6,041,000   |   |                                                               |   | 8,365,000 |   |   |   | 12,972,000 |   |   |   | 17,765,000 |   |
| Electromechanical      Devices |   |                                                                               | 2,368,000   |   |                                                               |   | 3,673,000 |   |   |   | 5,290,000 |   |   |   | 7,697,000 |   |
|                           |   |                                                                               |        |   |                                                               |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                                                               | 34,634,000  |   |                                                               |   | 49,408,000 |   |   |   | 82,451,000 |   |   |   | 98,418,000 |   |
| Discontinued      operations   |   |                                                                               | (20,767,000 | )      |                                                               |   | (30,652,000 | ) |   |   | (46,336,000 | ) |   |   | (64,408,000 | ) |
|                           |   |                                                                               |        |   |                                                               |   |   |   |   |   |   |   |   |   |   |   |
| Continuing      operations     |   | $                                                                                  | 13,867,000  |   |                                                               | $      | 18,756,000 |   |   | $ | 36,115,000 |   |   | $ | 34,010,000 |   |

----

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|                                                                                |   |   Three Months      Ended                    |   |   |                       Six Months Ended |   |
|-------------------------------------------------------------------------------------|--------|--------------------------------------------------------|--------|--------|------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                |   |        December 31, |   |   | December      31,                                                                                                      |   |
|                                                                                |   | 2008                                                   |   |   |                2007                                                       |   |   | 2008 |   |   |                 2007 |   |
|                                                                                |   |                                                   |   |   |                                                                                                                   |   |   |   |   |   |   |   |
| Net      sales                                                                      |   |                                                   | 100.0  | %      |                                                                                                                   |   | 100.0 | % |   |   | 100.0 | % |   |   | 100.0 | % |
| Cost      of goods sold                                                             |   |                                                   | 84.5   |   |                                                                                                                   |   | 81.4 |   |   |   | 82.5 |   |   |   | 81.3 |   |
| Gross      profit                                                                   |   |                                                   | 15.5   |   |                                                                                                                   |   | 18.6 |   |   |   | 17.5 |   |   |   | 18.7 |   |
| Selling,      general and administrative expenses                                   |   |                                                   | 20.2   |   |                                                                                                                   |   | 12.8 |   |   |   | 15.3 |   |   |   | 13.7 |   |
| Impairment      of goodwill and intangible assets                                   |   |                                                   | -      |   |                                                                                                                   |   | - |   |   |   | 3.5 |   |   |   | - |   |
| Operating      (loss) profit                                                        |   |                                                   | (4.7   | )      |                                                                                                                   |   | 5.8 |   |   |   | (1.3 | ) |   |   | 5.0 |   |
| Interest      expense                                                               |   |                                                   | 2.7    |   |                                                                                                                   |   | 2.9 |   |   |   | 2.2 |   |   |   | 3.4 |   |
| (Loss)      earnings from continuing operations before  income      taxes |   |                                                   | (7.4   | )      |                                                                                                                   |   | 2.9 |   |   |   | (3.5 | ) |   |   | 1.6 |   |
| Income      tax provision                                                           |   |                                                   | 0.1    |   |                                                                                                                   |   | 0.1 |   |   |   | 0.1 |   |   |   | 0.1 |   |
| (Loss)      earnings from continuing operations                                     |   |                                                   | (7.5   | )      |                                                                                                                   |   | 2.8 |   |   |   | (3.6 | ) |   |   | 1.5 |   |
| Loss      from discontinued operations                                              |   |                                                   | (10.1  | )      |                                                                                                                   |   | (2.6 | ) |   |   | (45.0 | ) |   |   | (1.9 | ) |
| Net      (loss) earnings                                                            |   |                                                   | (17.6  | )%     |                                                                                                                   |   | 0.2 | % |   |   | (48.6 | )% |   |   | (0.4 | )% |

----

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|   | Contractual      Obligations |
|--------|------------------------------|

|                         |   | Total  |       |   | < 1 Year |   |       | 1 to 3 Years |   |   | 3 to 5 Years |   |   | > 5 Years |      |
|------------------------------|--------|--------|------------|--------|-------------|--------|------------|--------------|--------|--------|--------------|--------|--------|--------------|-----------|
|                         |   |   |       |   |        |   |       |         |   |   |         |   |   |         |      |
| Bank      Debt               |   | $      | 23,834,680 |   |        | $      | 23,834,680 |         |   |   |         |   |   |         |      |   |   |
| Capital      Lease           |   |   | 5,188      |   |        |   | 5,188      |         |   |   |         |   |   |         |      |   |   |
| Operating      Lease         |   |   | 5,040,620  |   |        |   | 1,123,404  |         |   |   | 2,786,963    |   |   |         | 1,130,253 |   |   |   | - |   |
|  Total                  |   |   | 28,880,488 |   |        |   | 24,963,272 |         |   |   | 2,786,963    |   |   |         | 1,130,253 |   |   |   |   |   |
|                         |   |   |       |   |        |   |       |         |   |   |         |   |   |         |      |   |   |   |   |   |
| Discontinued      Operations |   |   | 887,564    |   |        |   | 588,101    |         |   |   | 299,463      |   |   |         |      |   |   |   |   |   |
|                         |   |   |       |   |        |   |       |         |   |   |         |   |   |         |      |   |   |   |   |   |
| Continuing      operations   |   | $      | 27,992,924 |   |        | $      | 24,375,171 |         |   | $      | 2,487,500    |   |   | $            | 1,130,253 |   |   |   |   |   |

|   | Item      3. Quantitative and Qualitative Disclosures About Market    Risk. |
|--------|-----------------------------------------------------------------------------|

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