Note 8 - Notes Payable

12 Months Ended

Dec. 31, 2017

Notes to Financial Statements

Debt Disclosure [Text Block]

( 8 ) Notes Payable

Note

s payable consisted of the following:

	2 017		20 16
	(In thousands)
Revolving credit note with U.S. Bank, maximum available $12.0 million, matures June 30, 2018	$	--	$	--
Note payable to U.S. Bank for $11.8 million, interest at a 3.12% fixed rate, monthly principal and interest payments of $212,468 through April 2018		1,067		3,540
Total notes payable		1,067		3,540
Less current portion		1,067		2,683
Note payable, net of current portion	$	--	$	857

The Company

’s revolving credit note was amended and extended effective

June 30, 2017

with a maturity date of

June 30, 2018.

The maximum aggregate amount available under the revolving credit note is

$12.0

million. Borrowings under the revolving credit note bear interest at a variable annual rate, with

three

rate options at the discretion of management as follows: (

1

)

2.1%

plus the

one

-month London Interbank Offered Rate (“LIBOR”) or (

2

)

2.1%

plus the

one

-,

two

- or

three

- month LIBOR rate, or (

3

) the bank’s

one

-, two, three, six, or

twelve

month Money Market Loan Rate. As of

December 31, 2017

the revolving credit note did

not

have a balance and the Company had the capacity to borrow

$12.0

million.

The term note and revolving credit note are secured by certain of the Company

’s assets, including the Company’s land, building, accounts receivable and intangible assets. The term note and the revolving credit note contain various restrictions and covenants applicable to the Company, including requirements that the Company maintain certain financial ratios at prescribed levels and restrictions on the ability of the Company to consolidate or merge, create liens, incur additional indebtedness or dispose of assets. As of

December 31, 2017,

the Company was in compliance with the financial covenants.