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Debt
12 Months Ended
Sep. 30, 2014
Debt  
Debt

 

9. Debt

        Debt was comprised of the following:

                                                                                                                                                                                    

 

 

September 30,

 

 

 

2014

 

2013

 

Long-term debt—revolving credit facility

 

$

43,000 

 

$

32,500 

 

 

 

 

 

 

 

        On December 17, 2010, the Company amended and restated its revolving credit facility (the "Credit Agreement"). The Credit Agreement extends the term of the credit facility to December 2015, resets the available credit borrowings to $90,000 with no automatic reductions and provides an accordion feature which can increase the available credit borrowings to $120,000 subject to approval by the lenders and compliance with certain covenants and conditions. The lenders under the Credit Agreement are Rabobank International and Wells Fargo. To date, the Company has not experienced any difficulties in accessing the available funds under the Credit Agreement. Deferred financing fees of $878 related to the Credit Agreement are being amortized over the term of the Credit Agreement.

        At September 30, 2014, the Company had outstanding revolving credit borrowings of $43,000 under the Credit Agreement. Borrowings under the Credit Agreement are collateralized by substantially all assets of the Company. At the Company's election, borrowings bear interest at the applicable Eurodollar Rate plus a variable margin or at a base rate, which is the higher of the Federal Funds Rate plus 0.5% or the Prime Lending Rate, plus a variable margin. At September 30, 2014, the applicable weighted-average interest rate for outstanding borrowings was 2.48%. The Company is also required to pay a quarterly fee of 0.50% on the unused balance under the Credit Agreement. Accrued interest on Eurodollar Rate borrowings is payable based on elected intervals of one, two or three months. Accrued interest on base rate borrowings is payable quarterly. The Credit Agreement matures on December 15, 2015, and the Company is required to repay all principal and interest outstanding under the Credit Agreement on such date.

        The Credit Agreement contains restrictive covenants, including restrictions on incurring other indebtedness and requirements that the Company maintain certain financial ratios. As of September 30, 2014, the Company was in compliance with the restrictive covenants. Upon the occurrence of a default or an event of default, the lender has various remedies or rights, which may include proceeding against the collateral or requiring the Company to repay all amounts outstanding under the Credit Agreement.

        On November 4, 2014, the Company amended its revolving credit facility (the "Amended Credit Agreement"). The Amended Credit Agreement extends the term of the credit facility to November 2019, increases the available credit borrowings to $100,000 with no automatic reductions and provides an accordion feature which can increase the available credit borrowings to $130,000 subject to approval by the lenders and compliance with certain covenants and conditions. The lenders under the Amended Credit Agreement continue to be Rabobank International and Wells Fargo.