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Term Loan
6 Months Ended
Jun. 30, 2013
Term Loan  
Term Loan

(8) Term Loan

 

In December 2010, the Company entered into a Loan and Security Agreement (the “Loan Agreement”) with MidCap Financial, LLC pursuant to which the Company borrowed $10 million (the “Term Loan”) from MidCap. In March 2011, the Company amended the Loan Agreement and borrowed an additional $5 million from General Electric Capital Corporation to increase the amount owed under the Term Loan to $15 million.  In March 2012, the Company amended the Loan Agreement to extend the maturity date from December 2013 to December 2014.  In May 2013, the Company elected to prepay the Term Loan in full, pursuant to the terms of the Loan Agreement, as amended, and paid $8.8 million in principal and $0.7 million in interest, prepayment and final payment fees.   The Company’s obligations under the Loan Agreement had been secured by a first priority security interest in substantially all of its assets, other than its intellectual property.  In connection with the repayment of the Term Loan and the termination of the Loan Agreement, those security interests were released.  Interest expense on the Term Loan was $0.5 million and $0.8 million for the three and six months ended June 30, 2013 and $0.4 million and $0.8 million for the three and six months ended June 30, 2012, respectively.