|
Note B - Commitments and Facilities
|
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|
Sep. 30, 2014
|
|||||||||||||||||||||||||||||||||||||||||
| Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||
| Leases of Lessee Disclosure [Text Block] |
NOTE B – COMMITMENTS AND FACILITIES
Operating Leases: The Company leases office and manufacturing facilities in Plymouth, MN for its ongoing operations. This operating lease as amended expires February 28, 2015. On September 9, 2014, the Company entered into a lease under which will serve as its new headquarters in Brooklyn Park, MN. The lease term will commence on the later of January 1, 2015 or the date of substantial completion of build out of the leased premises. The Company also leases various pieces of office equipment. For the years ended September 30, 2014, 2013 and 2012, total rent expense was $505,000, $450,000 and $406,000 respectively.
As of September 30, 2014, the future minimum lease payments required under operating lease agreements are as follows:
Purchase Obligations: The Company estimates that as a result of the lease that was entered into on September 9, 2014 described in greater detail above, it will incur approximately $2,100,000 in capital expenditures in fiscal year 2015 relating to the build out of office, manufacturing, warehousing and distribution space.
Share Repurchase: On November 13, 2014, the Company announced that its board of directors had approved a stock repurchase program under which it will begin purchasing up to $8 million of its outstanding shares of common stock. The program does not obligate Clearfield to repurchase any particular amount of common stock during any period. The repurchase will be funded by cash on hand. The repurchase program is expected to continue indefinitely until the maximum dollar amount of shares has been repurchased or until the repurchase program is earlier modified, suspended or terminated by the board of directors.
|
||||||||||||||||||||||||||||||||||||||||