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Note 9 - Long-term Debt
9 Months Ended
Sep. 30, 2016
Notes to Financial Statements  
Debt Disclosure [Text Block]
Note
9
Long
Term Debt
 
Long–term debt consists of the following:
 
   
Weighted
Average
Interest Rate
   
Maturities
   
September 30, 2016
   
December 31, 2015
 
 
 
Variable
 
 
 
 
 
 
(dollars in thousands)
 
Revolving Credit Facility, interest payable monthly
    1.9%       2020     $ 110,000     $ 110,000  
                                 
Unsecured term note payable to National, interest payable quarterly, principal payable at maturity
    3.0%       2018       10,000       10,000  
                      120,000       120,000  
Less current portion
                           
                    $ 120,000     $ 120,000  
 
$175,000,000 Credit Facility
 
On October 7, 2015, we entered into a $175 million Credit Agreement with Bank of America that replaces our former $75 million credit facility. The maturity date of the new credit facility is October 7, 2020. Loans bear interest at either (i) LIBOR plus 1.40% or (ii) the base rate plus 0.40%. The base rate is defined as the highest of (a) the Federal Funds Rate plus ½ of 1%, (b) the Bank of America prime rate, and (c) LIBOR plus 1.00%. The credit facility is available for general corporate purposes, including working capital and acquisitions. NHC is permitted, upon required notice to the lender, to prepay the loans outstanding under the credit facility at any time, without penalty.
 
The Credit Agreement contains customary representations and financial covenants, including covenants that restrict, among other things, asset dispositions, mergers and acquisitions, dividends, restricted payments, debt, liens, investments and affiliate transactions. The Credit Agreement contains customary events of default.