Debt Obligations

9 Months Ended

Sep. 30, 2011

Debt Obligations

Debt Obligations

11.Debt Obligations

Debt obligations consisted of the following (in thousands):

	September 30,2011		December 31, 2010
Current borrowings (at variable rates)
Credit Agreement, revolving line-of-credit, 2.85% at September 30, 2011	$	272	$	795
China Credit Line Facility, 6.4% at September 30, 2011	$	156	$	—
Total Debt	$	428	$	795

The Company’s amended Credit Agreement, which matures October 26, 2013, provides revolving credit up to $4 million and €3 million.

The amended Credit Agreement contains certain financial covenants related to maximum leverage, minimum fixed charge coverage and minimum tangible net worth of the Company.   The Company was in compliance with all covenants at September 30, 2011.

Effective July 1, 2011, the Company obtained a Credit Line Facility in China providing credit of approximately $700,000 (Chinese Renminbi (“RMB”) 4,500,000).  This facility will be used for working capital needs at the Company’s China operations, and will mature in June 2013.   At September 30, 2011, there was approximately $548,000 (RMB 3,500,000) available under the facility.

At September 30, 2011, approximately $7,800,000 ($4 million and € 2.8 million) was available under the amended Credit Agreement and approximately $700,000 (€ 300,000 and 2,100,000 Swedish Krona (“SEK”)) was available under bank overdraft facilities in Europe.