| Long-term Debt |
Long-term debt consisted of the following: | | | | | ( in thousands) | | Interest Rate | | | Total Principal Due | | | | | June 30, | December 31, | Maturity | June 30, | December 31, | Description | | 2013 | 2012 | Date | 2013 | 2012 | Secured: | | | | | | | Notes Payable – Variable Rate | 1 | 2.02675% | 2.0600% | 2015 | $ 11,333 | $ 12,666 | Notes Payable – Variable Rate | | 2.5482% | 2.5590% | 2017 | 12,503 | 13,436 | Notes Payable – Variable Rate | 2 | 2.6982% | 2.7090% | 2017 | 27,000 | 30,000 | Notes Payable – Variable Rate | | 2.7800% | 2.81-2.85% | 2018 | 46,920 | 48,760 | Notes Payable – Variable Rate | 3 | 2.7730% | 2.8090% | 2018 | 17,179 | 18,896 | Notes Payable – Variable Rate | 3 | 2.7751% | 2.8158% | 2018 | 17,279 | 17,908 | Notes Payable – Variable Rate | | 2.9450% | 2.9810% | 2018 | 14,200 | 15,620 | Notes Payable – Variable Rate | 4 | 1.80429% | 1.8314% | 2020 | 35,105 | 42,089 | Unsecured Line of Credit | 5 | 3.95000% | 3.9597% | 2014 | 31,255 | 38,255 | | | | | | | 212,774 | 237,630 | | | | Less Current Maturities | | | (25,549) | (26,040) | | | | | | | $ 187,225 | $ 211,590 |
1. | We have interest rate swap agreements in place to fix the interest rate on our variable rate note payable expiring in 2015 at 4.41%. After applicable margin adjustments, the effective interest rate on this note payable is fixed at 6.16%. The swap agreements are for the same terms as the associated note payable. |
2. | We entered into a variable rate financing agreement with Capital One N.A. on November 30, 2012 for a five year facility totaling $30 million to finance a portion of the acquisition of UOS. This facility was fully drawn prior to the end of 2012. |
3. | 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 Newbuilding, both of which we acquired a 100% interest in as a result of our acquisition of Dry Bulk. Pursuant to the terms of the facility, the lender agreed to provide a secured term loan facility divided into two tranches: Tranche A, fully drawn on June 20, 2011 in the amount of $24.1 million, and Tranche B, providing up to $23.3 million of additional credit. Under Tranche B, we drew $6.1 million in November 2011 and $12.7 million on January 24, 2012. |
4. | We have an interest rate swap agreement in place to fix the interest rate on our variable rate note payable expiring in 2020 at 2.065%. After applicable margin adjustments, the effective interest rate on this note payable is fixed at 3.715%. The swap agreement is for the same term as the associated note payable. |
5. | Effective November 28, 2012, our revolving credit facility was increased from $30 million to $42 million to provide additional funds for working capital purposes. This revolver was considered fully drawn at December 31, 2012 and the $12 million increase was fully repaid in January 2013. At the point of repayment, the revolving credit facility was reduced back to $30 million. On June 28, 2013 our revolving facility was increased from $30 million to $35 million for working capital reasons. The amount drawn at June 30, 2013 was $31.0 million, with $3.7 million used as collateral for various letters of credit. The expiration of this facility is September of 2014. The net weighted average interest rate on all of our long-term debt after consideration of the effect of our interest rate swaps at June 30, 2013 and December 31, 2012 was 3.3275% and 3.2645%, respectively. |
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