An hourlong standoff with a Keansburg woman who threatened to detonate a live grenade was ended by police when they agreed to buy the explosive from her for $100.

Authorities say Julia Smith became distraught after her neighbor, who has power of attorney over the 51-year-old's affairs, had her dog euthanized Monday.

Police found Smith with the World War II grenade in her hand and a butcher knife nearby.

Smith eventually told officers she would sell them the grenade for $100.

Police Chief Raymond O'Hare tells the Asbury Park Press that he luckily had the cash on him.

After turning over the grenade, Smith threatened to kill herself with the knife. She eventually surrendered and was taken to a hospital.

Smith is charged making terroristic threats, weapons offenses and creating a widespread risk.

No word where she got the grenade.