Note 6 - Revolving Credit Facility

9 Months Ended

Dec. 28, 2019

Notes to Financial Statements

Debt Disclosure [Text Block]

6 . Revolving Credit Facility

The Company has a 

five

-year revolving credit facility (“Revolver”) with maximum borrowings totaling 

$400,000,000

from

April

through

July

and

$500,000,000

from

August

through

March 

and the Revolver matures on

July 5, 2021.

The Revolver balance as of

December 28, 2019

was

$114,689,000

and is included in Long-Term Debt in the accompanying Condensed Consolidated Balance Sheet. The Company utilizes its Revolver for general corporate purposes, including seasonal working capital needs, to pay debt principal and interest obligations, and to fund capital expenditures and acquisitions. Seasonal working capital needs are affected by the growing cycles of the vegetables and fruits the Company processes. The majority of vegetable and fruit inventories are produced during the months of

June

through

November

and are then sold over the following year. Payment terms for vegetable and fruit produce are generally

three

months but can vary from a few days to

seven

months. Accordingly, the Company’s need to draw on the Revolver

may

fluctuate significantly throughout the year.

The decrease in the reported average outstanding Revolver borrowings during the

first

nine

months of fiscal

2020

compared to the

first

nine

months of fiscal

2019

was attributable to the sale of various Company facilities during the period.

General terms of the Revolver include payment of interest at LIBOR plus a defined spread.

The following table documents the quantitative data for Revolver borrowings during the

third

quarter and year-to-date of fiscal

2020

and fiscal

2019:

	Third Quarter						Year-to-Date
	2020			2019			2020			2019
	(In thousands)						(In thousands)
Reported end of period:
Outstanding borrowings	$	114,689		$	214,161		$	114,689		$	214,161
Weighted average interest rate		3.27	%		4.02	%		3.27	%		4.02	%
Reported during the period:
Maximum amount of borrowings	$	137,418		$	242,947		$	151,477		$	294,062
Average outstanding borrowings	$	115,626		$	192,323		$	127,078		$	225,345
Weighted average interest rate		3.40	%		3.86	%		3.75	%		3.64	%