LONG-TERM DEBT AND CREDIT ARRANGEMENTS

Long-term debt consists of the following:



	2013			2012
Revolving credit facility	$	85,274		$	60,122
Mortgage note payable	—			10,141
Obligation to Development Authority of Gordon County	4,447			5,339
Note payable - Robertex acquisition	3,789			—
Equipment notes payable	7,987			5,071
Notes payable	2,210			632
Capital lease obligations	4,281			2,920
Total long-term debt	107,988			84,225
Less: current portion of long-term debt	(6,229		)	(4,059		)
Total long-term debt, less current portion	$	101,759		$	80,166

Revolving Credit Facility

Senior Credit Facility

On September 14, 2011, the Company entered into a five-year, secured revolving credit facility (the "senior credit facility"). The senior credit facility provided for a maximum of $90,000 of revolving credit, subject to borrowing base availability, including limited amounts of credit in the form of letters of credit and swingline loans. The borrowing base was equal to specified percentages of the Company's eligible accounts receivable, inventories and fixed assets less reserves established, from time to time, by the administrative agent under the senior credit facility. The Company can use the proceeds of the senior credit facility for general corporate purposes, including financing acquisitions and refinancing other indebtedness.

At the Company's election, revolving loans under the senior credit facility bore interest at annual rates equal to either (a) LIBOR for 1, 2 or 3 month periods, as selected by the Company, plus an applicable margin of either 2.00% or 2.25%, or (b) the higher of the prime rate, the Federal Funds rate plus 0.5%, or a daily LIBOR rate, plus an applicable margin of either 1.00% or 1.50%. The applicable margin was determined based on availability under the senior credit facility with margins increasing as availability decreases. The Company also paid an unused line fee on the average amount by which the aggregate commitments exceed utilization of the senior credit facility equal to 0.375% per annum.

The senior credit facility included certain affirmative and negative covenants that impose restrictions on the Company's financial and business operations, including limitations on debt, liens, investments, fundamental changes in the Company's business, asset dispositions, dividends and other similar restricted payments, transactions with affiliates, payments and modifications of certain existing debt, future negative pledges, and changes in the nature of the Company's business. The Company was also required to maintain a fixed charge coverage ratio of 1.1 to 1.0 during any period that borrowing availability was less than $10,000.

Amended Senior Credit Facility

As amended, the Company's senior credit facility ("amended senior credit facility") provides for a maximum of $130,000 of revolving credit, subject to borrowing base availability. The borrowing base is currently equal to specified percentages of the Company's eligible accounts receivable, inventories, fixed assets and real property less reserves established, from time to time, by the administrative agent under the facility. In addition, the term of the facility was extended to August 1, 2018.

At the Company's election, revolving loans under the amended senior credit facility bear interest at annual rates equal to either (a) LIBOR for 1, 2 or 3 month periods, as selected by the Company, plus an applicable margin of either 1.50%, 1.75% or 2.00%, or (b) the higher of the prime rate, the Federal Funds rate plus 0.5%, or a daily LIBOR rate plus 1.00%, plus an applicable margin of either 0.50%, 0.75% or 1.00%. The applicable margin is determined based on availability under the amended senior credit facility with margins increasing as availability decreases. The Company continues to pay an unused line fee on the average amount by which the aggregate commitments exceed utilization of the senior credit facility equal to 0.375% per annum.

The amended senior credit facility continues to include certain affirmative and negative covenants that impose restrictions on the Company's financial and business operations. The amended senior credit facility requires that Company maintain a fixed charge coverage ratio of 1.1 to 1.0 during any period that borrowing availability is less than $14,440. At December 28, 2013, the Company is in compliance with the amended senior credit facility's covenants.

Average Interest Rates and Availability

The weighted-average interest rate on borrowings outstanding under these facilities was 2.66% at December 28, 2013 and 3.59% at December 29, 2012. As of December 28, 2013, the unused borrowing availability under the amended senior credit facility was $32,618.

Mortgage Note Payable

On April 1, 2013, the Company terminated its five-year $11,063 mortgage loan which had a balance of $9,833. The mortgage loan was secured by the Company's Susan Street real estate and liens secondary to the senior credit facility. The mortgage loan was scheduled to mature on September 13, 2016. Prior to the termination, the mortgage loan bore interest at a variable rate equal to one month LIBOR plus 3.00% and was payable in equal monthly installments of principal of $61, plus interest calculated on the declining balance of the mortgage loan, with a final payment of $7,436 due on maturity.

Obligation to Development Authority of Gordon County

On November 2, 2012, the Company signed a 6.00% seller-financed note of $5,500 with Lineage PCR, Inc. (“Lineage”) related to the acquisition of the continuous carpet dyeing facility in Calhoun, Georgia. Effective December 28, 2012 through a series of agreements between the Company, the Development Authority of Gordon County, Georgia (the “Authority”) and Lineage, obligations with identical payment terms as the original note to Lineage are now payment obligations to the Authority. These transactions were consummated in order to provide a tax abatement to the Company related to the real estate and equipment at this facility. The tax abatement plan provides for abatement for certain components of the real and personal property taxes for up to ten years. At any time, the Company has the option to pay off the obligation, plus a nominal amount. The debt to the Authority bears interest at 6.00% and is payable in equal monthly installments of principal and interest of $106 over 57 months.

Note Payable - Robertex Acquisition

Only July 1, 2013, the Company signed a 4.50% seller-financed note of $4,000, which was recorded at a fair value of $3,749, with Robert P. Rothman related to the acquisition of Robertex Associates, LLC ("Robertex") in Calhoun, Georgia. The note is payable in five annual installments of principal of $800 plus interest. The note matures June 30, 2018.

Deferred Financing Costs and Refinancing Expenses

In connection with the amendments in 2013 and 2012, the Company incurred additional financing costs of $351 and $28, respectively, that are being amortized over the remaining term of the facility. In addition, the Company incurred $37 of financing costs related to an equipment note payable. Additionally in 2013, the Company recognized $94 of refinancing expenses related to the write-off of previously deferred financing costs related to the Company's mortgage note payable. During 2012, the Company incurred $187 in financing costs related to the obligations to the Authority that is being amortized over the term of the obligation. As a result of the refinancing in 2011, the Company paid $1,410 in financing cost that is being amortized over the term of the senior credit facility and the mortgage loan. Additionally in 2011, the Company recognized $317 of refinancing expenses of which $92 related to the write-off of previously deferred financing costs and $225 related to fees paid to 3rd parties in connection with the new senior credit facility and mortgage loan.

Equipment Notes Payable

The terms of the Company's equipment financing notes are as follows:



Instrument	Interest Rate		Term (Months)	Principal and Interest Payments		Frequency	Maturity Date
Note Payable - Equipment	6.85	%	84	$	38	Monthly	May 1, 2014
Note Payable - Equipment	7.72	%	48	2		Monthly	June 1, 2014
Note Payable - Equipment	2.00	%	60	38		Monthly	August 1, 2016
Note Payable - Equipment	5.94	%	75	41		Monthly	February 1, 2019
Note Payable - Equipment	1.00	%	84	18		Monthly	June 14, 2020
Note Payable - Equipment	6.84	%	60	3		Monthly	July 1, 2018
Note Payable - Equipment	6.86	%	60	49		Monthly	October 1, 2018

In connection with certain of the equipment financing notes, the Company is required to maintain funds in a separate escrow account. At December 28, 2013 and December 29, 2012, the balances held were $1,401 and $2,048, respectively, and are included in other current assets on the Company’s consolidated balance sheets. The Company's equipment financing notes are secured by the specific equipment financed and do not contain any financial covenants.

Capital Lease Obligations

The terms of the Company's capitalized lease obligations are as follows:



Instrument	Interest Rate		Term (Months)	Principal and Interest Payments		Frequency	Maturity Date
Capital Lease - Equipment	7.04	%	84	$	8	Monthly	December 1, 2015
Capital Lease - Equipment	7.40	%	48	4		Monthly	June 1, 2014
Capital Lease - Equipment	2.90	%	60	11		Monthly	August 1, 2017
Capital Lease - Equipment	4.76	%	72	32		Monthly	October 1, 2018
Capital Lease - Equipment	5.74	%	56	2		Monthly	October 1, 2017
Capital Lease - Equipment	5.90	%	60	7		Monthly	April 1, 2018
Capital Lease - Equipment	5.75	%	60	7		Monthly	July 1, 2018
Capital Lease - Equipment	4.88	%	48	16		Quarterly	April 1, 2017
Capital Lease - Equipment	7.04	%	60	8		Monthly	October 1, 2018
Capital Lease - Equipment	5.10	%	60	3		Monthly	November 1, 2018

The Company's capitalized lease obligations are secured by the specific equipment leased.

Convertible Subordinated Debentures

On October 5, 2011, the Company optionally redeemed all of the outstanding 7.00% convertible subordinated debentures pursuant to the provisions of the Indenture dated May 15, 1987. The debentures were originally set to mature on May 15, 2012. The redemption price of $9,925 represented 100% of the principal amount of the debentures plus accrued and unpaid interest. The principal balance at October 5, 2011 was $9,662. The debentures were convertible by their holders into shares of the Company's Common Stock at an effective conversion price of $32.20 per share. No holders exercised their right to convert their debentures into shares of our Common Stock.

Interest Payments and Debt Maturities

Interest payments for continuing operations were $3,067 in 2013, $2,795 in 2012, and $3,338 in 2011. Maturities of long-term debt for periods following December 28, 2013 are as follows:



	Long-Term Debt		Capital Leases		Total
	Long-Term Debt		(See Note 17)		Total
2014	$	5,392	$	837	$	6,229
2015	3,835		877		4,712
2016	3,842		801		4,643
2017	3,182		761		3,943
2018	87,053		1,005		88,058
Thereafter	403		—		403
Total	$	103,707	$	4,281	$	107,988