Note 5: Debt

12 Months Ended

Jun. 30, 2011

Debt

Debt and Capital Leases Disclosures [Text Block]

NOTE 5: DEBT

The Company’s outstanding long and short term debt is as follows:

	June 30,
	2011	2010
LONG TERM DEBT
Long term revolving credit facility	$              -	$     120,000
Term loan	150,000	150,000
Capital leases	-	5,689
Other borrowings	1,015	2,244
	151,015	277,933
Less current maturities	23,076	5,201
Long-term debt, net of current maturities	$     127,939	$     272,732
SHORT TERM DEBT
Bullet term loan	-	100,000
Capital Leases	3,016	-
Current maturities of long-term debt	23,076	5,201
Other borrowings	-	762
Notes payable and current maturities of long term debt	$       26,092	$     105,963

The following table summarizes the annual principal payments required as of June 30, 2011:

Years ended June 30,
2012	26,092
2013	22,879
2014	22,552
2015	22,508
2016	60,000
Thereafter	-
	$     154,031

The Company has a bank credit facility agreement that includes a revolving loan, a term loan and a bullet term loan.

Revolving credit facilities

The long term revolving loan allows for borrowings of up to $150,000, which may be increased by the Company at any time until maturity to $250,000. The revolving loan terminates June 4, 2015. At June 30, 2011, no amount was outstanding.

Term loan

The term loan has an original principal balance of $150,000, with quarterly principal payments of $5,625 beginning on September 30, 2011, and the remaining balance due June 4, 2015. At June 30, 2011, the outstanding balance was bearing interest at a rate of 2.25%. Of the $150,000 outstanding, $22,500 will be maturing within the next twelve months.

Bullet term loan

The bullet term loan had an original principal balance of $100,000. The full balance, which would have been due on December 4, 2010, was paid in full on July 8, 2010.

Each of the above loans bear interest at a variable rate equal to (a) a rate based on LIBOR or (b) an alternate base rate (the greater of (a) the Federal Funds Rate plus 0.5%, (b) the Prime Rate or (c) LIBOR plus 1.0%), plus an applicable percentage in each case determined by the Company's leverage ratio. The loans are secured by pledges of capital stock of certain subsidiaries of the Company. The loans are also guaranteed by certain subsidiaries of the Company. The credit facility is subject to various financial covenants that require the Company to maintain certain financial ratios as defined in the agreement. As of June 30, 2011, the Company was in compliance with all such covenants.

Capital leases

The Company has entered into various capital lease obligations for the use of certain computer equipment. At June 30, 2011, $3,016 was outstanding, all of which will be maturing in the next twelve months. Included in property and equipment are assets under capital leases totaling $5,540, which have accumulated depreciation totaling $365.

Other lines of credit

The Company has an unsecured bank credit line which provides for funding of up to $5,000 and bears interest at the prime rate less 1% (2.25% at June 30, 2011). The credit line was renewed through April 29, 2012. At June 30, 2011, no amount was outstanding.

The Company renewed a bank credit line on March 7, 2011 which provides for funding of up to $8,000 and bears interest at the Federal Reserve Board’s prime rate (3.25% at June 30, 2011). The credit line expires March 7, 2012 and is secured by $1,000 of investments. At June 30, 2011, no amount was outstanding.

Interest

The Company paid interest of $8,000, $759, and $1,606 in 2011, 2010, and 2009 respectively. During fiscal 2011, the Company incurred a total of $8,930 of interest expense.