XML 27 R16.htm IDEA: XBRL DOCUMENT v3.5.0.2
DEBT
3 Months Ended
Jun. 30, 2016
Debt Disclosure [Abstract]  
DEBT
DEBT

At June 30, 2016 the Company's notes payable consist of a $500.0 million senior revolving credit facility with borrowings of $360.4 million outstanding and $1.5 million standby letters of credit related to workers compensation and surety bonds outstanding. To the extent that the letters of credit are drawn upon, the disbursement will be funded by the credit facility. There are no amounts due related to the letters of credit as of June 30, 2016, and they expire on December 31, 2016. The Letters of Credit are automatically extended for one year on the expiration date. Subject to a borrowing base formula, the Company may borrow at the rate of LIBOR plus 4.0% with a minimum rate of 5.0%.  For the three months ended June 30, 2016 and fiscal year ended March 31, 2016, the Company’s effective interest rate, including the commitment fee, was 6.0% and 5.6%, respectively, and the unused amount available under the revolver at June 30, 2016 was $138.1 million. The revolving credit facility has a commitment fee of 0.50% per annum on the unused portion of the commitment. Borrowings under the revolving credit facility mature on June 15, 2017.

In July 2016, the credit facility was amended to, among other things, extend the term through June 15, 2018 and reduce the aggregate commitments to $460.0 million. The aggregate commitments will reduce from $460.0 million to $370.0 million on March 31, 2017. The amended facility has an accordion feature pursuant to which the Company may request an increase in the aggregate amount of the commitments under the revolving credit facility, provided that the aggregate amount of the commitments will not exceed $500.0 million.

Substantially all of the Company’s assets, excluding the assets of the Company's Mexican subsidiaries, are pledged as collateral for borrowings under the revolving credit agreement.