Note 14. Long-Term Debt

Long-term debt consisted of the following:

( in thousands)		Interest Rate			Total Principal Due
		September 30,	December 31,	Maturity	September 30,	December 31,
Description		2011	2010	Date	2011	2010
Secured:
Notes Payable – Variable Rate		1.3652%	1.2894%	2015	$ 16,000	$ 18,000
Notes Payable – Variable Rate		0.0000%	0.0000%	2012	13,195	13,300
Notes Payable – Variable Rate		1.2458%	1.2894%	2013	31,257	36,857
Notes Payable – Variable Rate		3.2215%	3.2575%	2014	13,924	15,739
Notes Payable – Variable Rate		1.1000%	1.0829%	2020	61,816	61,776
Notes Payable – Variable Rate		3.0209%	3.0563%	2017	42,422	44,722
Notes Payable – Variable Rate	(1)	2.7500%	2.77-2.79%	2018	53,360	21,171
Notes Payable – Variable Rate	(2)	2.8500%	N/A	2018	23,191	-
Notes Payable – Variable Rate	(3)	3.0400%	N/A	2018	25,090	-
Notes Payable – Variable Rate	(3)	3.0400%	N/A	2018	19,170	-
Line of Credit	(4)	N/A	4.7575%	2013	-	10,000
					299,425	221,565
		Less Current Maturities			(35,111)		(21,324)
					$ 264,314	$ 200,241

(1) We entered into a variable rate credit facility with ING Bank on August 2, 2010 to finance 65% of the construction price of each of three Korean built vessels delivered in early 2011 with a maximum amount of $55.2 million. As of December 31, 2010 a total of $21.2 million had been drawn on this facility, with the remaining $34.0 million drawn in January 2011 upon completion and delivery of the vessels.

(2) We entered into a variable rate financing agreement with ING Bank N.V., London branch on June 20, 2011 for a seven year facility to finance the acquisition of a Cape-Size vessel and a Handymax Bulk Carrier, currently under construction, both of which were assumed in the acquisition of Dry Bulk. Pursuant to the terms of the facility agreement, the Lender agreed to provide us with a secured term loan facility up to an aggregate amount of $47.5 million, divided into two tranches: Tranche A, fully drawn on June 20, 2011 in the amount of $24.2 million, and Tranche B, providing up to $23.3 million of additional credit. We expect to draw under Tranche B $6.0 million in November 2011 and $17.3 million in January 2012.

(3) We entered into a variable rate financing agreement with DnB Nor Bank ASA on June 29, 2011 for a seven year facility to finance a portion of the acquisition price of two previously leased vessels (see page 33). We drew $26.0 million on July 5, 2011 and $19.8 million on July 18, 2011, the acquisition dates of the two vessels, respectively. Additionally we have an interest rate swap agreement in place for approximately 50% of this agreement to fix the interest rate on that portion at 1.80%. After the applicable margin adjustments, the effective interest rate on the swapped portion of the notes payable is 4.47%.

(4) In the fourth quarter of 2010 $10 million was drawn for working capital purposes and repaid in January 2011. As of September 30, 2011, the full amount of our $30 million unsecured revolving line of credit, which expires April 6, 2013, is available for future draws as needed. Associated with this credit facility is a commitment fee of .125% per year on the undrawn portion of this facility.