| Schedule of Long-term Debt Instruments |
The interest rate on the Term Loan Facility was (i) from the first amendment effective date until the first quarter ended on or about September 30, 2018, LIBOR plus 2.25%, and (ii) commencing with the fiscal quarter ended on or about September 30, 2018 and thereafter, dependent on the Total Net Leverage Ratio ("TNLR") of the Company, an election of either base rate or LIBOR pursuant to the table below: | | | | | | | | | | | | | | | | | | | | | | Level | | Total Net Leverage Ratio | | ABR Loans | | Eurodollar Loans | | I | | Less than 2.00x | | 0.75% | | 1.75% | | II | | Greater than or equal to 2.00x and less than 2.50x | | 1.00% | | 2.00% | | III | | Greater than or equal to 2.50x and less than 3.00x | | 1.25% | | 2.25% | | IV | | Greater than or equal to 3.00x and less than 3.25x | | 1.50% | | 2.50% | | V | | Greater than or equal to 3.25x and less than 3.50x | | 1.75% | | 2.75% | | VI | | Greater than 3.50x | | 2.00% | | 3.00% |
Debt consisted of the following at the dates indicated: | | | | | | | | | | | | | (in thousands) | September 30, 2023 | | October 1, 2022 | Term loans, net of deferred financing costs of $1,456 and $1,410, respectively | $ | 130,344 | | | $ | 150,190 | | | Less: Current portion of long-term debt | 19,800 | | | 19,800 | | | Long-term debt, net of current portion | $ | 110,544 | | | $ | 130,390 | |
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| Schedule of Debt Covenant Requirements |
Instead, the minimum consolidated EBITDA that the Company was required to maintain during the Amended Limited Availability Period was updated to include fiscal 2022 as set forth in the table below (in millions): | | | | | | | | | | | | | | | | Period | | Minimum Consolidated EBITDA | | | Fiscal quarter ending January 1, 2022 | | $14.5 | | | Fiscal quarter ending April 2, 2022 | | $(4.5) | | | Fiscal quarter ending July 2, 2022 | | $(6.8) | | | Fiscal quarter ending October 1, 2022 | | $20.0 | |
The minimum liquidity (in the form of undrawn availability under the Revolving Credit Facility and unrestricted cash and cash equivalents) that the Company was required to maintain during the Amended Limited Availability Period was amended as set forth in the table below (in millions):
| | | | | | | | | | Period | | Minimum Liquidity | | Fourth amendment effective date through January 1, 2022 | | $10.0 | | January 2, 2022 through April 2, 2022 | | $5.0 | | April 3, 2022 through July 2, 2022 | | $15.0 | | Thereafter | | $20.0 |
| | | | | | | | | | Period | | Minimum Units Manufactured | | Three month period ending November 27, 2021 | | 1,128 | | Three month period ending January 1, 2022 | | 776 | | Three month period ending January 29, 2022 | | 748 | | Three month period ending February 26, 2022 | | 727 | | Three month period ending April 2, 2022 | | 763 | | Three month period ending April 30, 2022 | | 1,111 | | Three month period ending May 28, 2022 | | 1,525 | | Three month period ending July 2, 2022 | | 2,053 | | Three month period ending July30, 2022 | | 2,072 | | Three month period ending August 27, 2022 | | 2,199 | | Three month period ending October 1, 2022 | | 2,306 |
The pricing grid in the Fourth Amended Credit Agreement, which was based on the TNLR, was determined in accordance with the amended pricing matrix set forth below:
| | | | | | | | | | | | | | | | | | | | | | Level | | Total Net Leverage Ratio | | ABR Loans | | Eurodollar Loans | | I | | Less than 2.00x | | 0.75% | | 1.75% | | II | | Greater than or equal to 2.00x and less than 2.50x | | 1.00% | | 2.00% | | III | | Greater than or equal to 2.50x and less than 3.00x | | 1.25% | | 2.25% | | IV | | Greater than or equal to 3.00x and less than 3.25x | | 1.50% | | 2.50% | | V | | Greater than or equal to 3.25x and less than 3.50x | | 1.75% | | 2.75% | | VI | | Greater than or equal to 3.50x and less than 4.50x | | 2.00% | | 3.00% | | VII | | Greater than or equal to 4.50x and less than 5.00x | | 3.25% | | 4.25% | | VIII | | Greater than 5.00x | | 4.25% | | 5.25% |
The minimum consolidated EBITDA that the Company is required to maintain during the Amended Limited Availability Period is updated as set forth in the table below (in millions):
| | | | | | | | | | | | | | | | Period | | Minimum Consolidated EBITDA | | | Fiscal quarter ending July 1, 2023 | | $50.0 | | | Fiscal quarter ending September 30, 2023 | | $60.0 | |
The minimum liquidity (in the form of undrawn availability under the Revolving Credit Facility and unrestricted cash and cash equivalents) that the Company is required to maintain at the end of each fiscal month during the Amended Limited Availability Period is amended as set forth in the table below (in millions):
| | | | | | | | | | Period | | Minimum Liquidity | | Sixth amendment effective date through December 30, 2023 | | $30.0 |
| | | | | | | | | | Period | | Minimum Units Manufactured | | Period from October 2, 2022 and ending October 29, 2022 | | 450 | | Period from October 2, 2022 and ending November 26, 2022 | | 900 | | Period from October 2, 2022 and ending December 31, 2022 | | 1,400 | | Period from October 2, 2022 and ending January 28, 2023 | | 1,900 | | Period from October 2, 2022 and ending February 25, 2023 | | 2,400 | | Period from October 2, 2022 and ending April 1, 2023 | | 3,000 |
The Company is not required to comply with a maximum TNLR financial maintenance covenant for any fiscal quarters from the sixth amendment effective date through September 30, 2023, with the maximum threshold amended thereafter as follows:
| | | | | | | | | | Period | | Maximum Total
Net Leverage Ratio | | Fiscal Quarter ending December 30, 2023 through the fiscal quarter ending March 30, 2024 | | 4.00:1.00 | | Fiscal quarter ending June 29, 2024 and thereafter | | 3.50:1.00 |
The pricing grid in the Amended Credit Agreement, which is based on the TNLR, is applicable to both term loan and revolving borrowings and is determined in accordance with the amended pricing matrix set forth below:
| | | | | | | | | | | | | | | | | | | | | | Level | | Total Net Leverage Ratio | | ABR Loans | | SOFR Loans | | I | | Less than 2.00x | | 0.75% | | 1.75% | | II | | Greater than or equal to 2.00x and less than 2.50x | | 1.00% | | 2.00% | | III | | Greater than or equal to 2.50x and less than 3.00x | | 1.25% | | 2.25% | | IV | | Greater than or equal to 3.00x and less than 3.25x | | 1.50% | | 2.50% | | V | | Greater than or equal to 3.25x and less than 3.50x | | 1.75% | | 2.75% | | VI | | Greater than or equal to 3.50x and less than 4.00x | | 2.00% | | 3.00% | | VII | | Greater than or equal to 4.00x and less than 4.50x | | 2.75% | | 3.75% | | VIII | | Greater than or equal to 4.50x and less than 5.00x | | 3.75% | | 4.75% | | IX | | Greater than 5.00x | | 4.75% | | 5.75% |
Borrowings under the 2023 Credit Facilities bear interest, at our option, at (i) base rate or (ii) SOFR plus 0.10%, plus an applicable margin depending on the TNLR of the Company as follows:
| | | | | | | | | | | | | | | | | | | | | | Level | | Total Net Leverage Ratio | | ABR Loans | | SOFR Loans | | I | | Less than 1.00x | | 0.75% | | 1.75% | | II | | Greater than or equal to 1.00x and less than 1.50x | | 1.50% | | 2.50% | | III | | Greater than or equal to 1.50x and less than 2.25x | | 2.00% | | 3.00% | | IV | | Greater than or equal to 2.25x | | 2.25% | | 3.25% |
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