XML 36 R21.htm IDEA: XBRL DOCUMENT v2.4.0.8
Notes Payable (Details) (USD $)
In Thousands, unless otherwise specified
9 Months Ended
Sep. 30, 2014
JP Morgan Chase Bank NA (Chase) Note
 
Debt Instrument, Description In March, 2011, UTMD obtained a $14,000 loan from JPMorgan Chase Bank, N.A. (Chase), to help finance the purchase price of Femcare. The terms and conditions of the loan require UTMD to a) repay the loan in equal monthly payments over 5 years, b) pay interest based on the 30-day LIBOR rate plus a margin starting at 2.80% and ranging from 2.00% to 3.75%, depending on the ratio of its funded debt to EBITDA (Leverage Ratio), c) pledge 65% of all foreign subsidiaries’ stock, d) provide first priority liens on all domestic business assets, e) maintain its Interest Coverage Ratio at 1.15 to 1.00 or better, f) maintain its Tangible Net Worth (TNW) above a minimum threshold 20% below TNW at closing on March 18, 2011, and g) maintain its Leverage Ratio at 2.75 to 1.00 or less. UTMD is in compliance with all of the loan financial covenants at September 30, 2014. Based on UTMD’s financial position, the bank’s margin was 2.00% at September 30, 2014. The principal balance on this note at September 30, 2014 was $2,100.
Debt Instrument, Face Amount $ 14,000
Debt Instrument, Description of Variable Rate Basis 30-day LIBOR rate plus a margin starting at 2.80% and ranging from 2.00% to 3.75%
Debt Instrument, Basis Spread on Variable Rate 2.00%
Long-term Debt, Gross 2,100
JP Morgan Chase London Branch Note
 
Debt Instrument, Description In March 2011, the Company also obtained a $12,934 loan from JP Morgan Chase, London Branch, to help finance UTMD’s purchase of Femcare. Terms and conditions of the UK loan are the same as those listed above for the $14,000 U.S. loan. The principal balance on this note at September 30, 2014 was $3,893.
Debt Instrument, Face Amount 12,934
Long-term Debt, Gross $ 3,893