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Debt

12 Months Ended

Dec. 31, 2011

Note 14 – Debt

Debt is comprised of the following:

		December 31,
		2011		2010
Industrial development authority monthly 5.60% fixed rate demand bonds maturing 2018	$	5,000	$	5,000
Industrial development authority monthly 5.26% fixed rate demand bond maturing 2028		10,000		10,000
Credit facilities (2.06% weighted average borrowing rate at December 31, 2011)		28,500		55,000
Ohio Department of Development term loan (see below)		3,076		3,395
Other debt obligations (including capital leases)		761		1,350
		47,337		74,745
Short-term debt		0		(77)
Current portion of long-term debt		(636)		(813)
	$	46,701	$	73,855

During the next five years, payments on the Company's debt, including capital lease maturities, are due as follows:

2012	$	636
2013		534
2014		28,880
2015		384
2016		392
2017 and beyond	$	16,511

The Company's primary credit facility is a syndicated multicurrency credit agreement with Bank of America, N.A., as administrative agent, swing line lender and letter of credit issuer, and certain other financial institutions as lenders. The Company's maximum principal amount for revolving credit borrowings is $175,000, which can be increased to $225,000 at the Company's option if lenders agree to increase their commitments and the Company satisfies certain conditions. The maturity date of the Company's credit line is June 2014.

In May 2008, the Company entered into a financing agreement to issue a $10,000 Industrial Development Revenue Bond (IDRB) to finance the expansion of the Company's Middletown, Ohio manufacturing facility. Proceeds from the bond issuance were restricted and could only be used only for capital expenditures related to the expansion. Of the $10,000 received from the bond issuance, all had been expended as of December 31, 2010.

In addition to the IDRB, the Company's Middletown, Ohio expansion project was also financed by a low interest rate $3,500 loan from the Ohio Department of Development. Principal repayment on this loan began in September 2010 with its final maturity being in 2021. The current interest rate of 1% will rise to 2% beginning January 1, 2014 and to 3% beginning January 1, 2019 until final maturity.

The provisions of the agreements require that the Company maintain certain financial ratios and covenants, all of which the Company was in compliance with as of December 31, 2011 and December 31, 2010. At December 31, 2011 and December 31, 2010, the Company had approximately $28,500 and $55,000 outstanding on these credit lines at a weighted average borrowing rate of 2.06% and 2.02% (LIBOR plus a spread), respectively. The Company has entered into interest rate swaps in order to fix a portion of its variable rate debt and mitigate the risks associated with higher interest rates. The combined notional value of the swaps was $15,000 at both December 31, 2011 and December 31, 2010 respectively. As of December 31, 2011, the Company is currently receiving a LIBOR rate and paying an additional average fixed rate of approximately 5% on its interest rate swaps. The Company's swaps mature in 2012.

At December 31, 2011 and December 31, 2010, the amounts at which the Company's debt is recorded are not materially different from their fair market value.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

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