6. Debt

12 Months Ended

Dec. 31, 2015

Debt Disclosure [Abstract]

Debt

The terms of our debt outstanding at December 31, 2015 and 2014 are summarized below:

			Amount Outstanding at
			December 31,		December 31,
			2015		2014
			(In thousands)
Description	Interest Rate	Maturity
Warehouse lines of credit	5.50% over one month Libor (Minimum 6.50%)	April 2019	$	91,504	$	23,581
	5.50% over one month Libor (Minimum 6.25%)	August 2017		73,940		33,258
	6.75% over one month Libor (Minimum 7.75%)	November 2019		31,017		–
Residual interest financing	11.75% over one month Libor	April 2018		9,042		12,327
Debt secured by receivables measured at fair value	n/a	Repayment is based on payments from underlying receivables.  Final payment of the 8.00% loan was made in September 2013. Final residual payment was made in January 2015.		–		1,250
Subordinated renewable notes	Weighted average rate of 9.04% and 10.7% at December 31, 2015 and 2014, respectively	Weighted average maturity of October 2017 and October 2016 at December 31, 2015 and 2014, respectively		15,138		15,233
			$	220,641	$	85,649

In April 2015 we entered into a $100 million warehouse credit line with affiliates of Fortress Investment Group. The facility is structured to allow us to fund a portion of the purchase price of automobile contracts by borrowing from a credit facility to our consolidated subsidiary Page Six Funding LLC. The facility, which replaces a revolving credit facility that we had used since December 2010, provides for advances up to 88% of eligible finance receivables and the loans under it accrue interest at a rate of one-month LIBOR plus 5.50% per annum, with a minimum rate of 6.50% per annum. There was $91.5 million outstanding under this new facility at December 31, 2015 which has a revolving period through April 2017 and an amortization period through April 2019 for any receivables pledged to the facility at the end of the revolving period.

In August 2014, we renewed our $100 million warehouse credit line with Citibank, N.A. The facility is structured to allow us to fund a portion of the purchase price of automobile contracts by borrowing from a credit facility to our consolidated subsidiary Page Eight Funding, LLC. The facility provides for effective advances up to 88.0% of eligible finance receivables. The loans under the facility accrue interest at one-month LIBOR plus 5.50% per annum, with a minimum rate of 6.25% per annum. There was $73.9 million outstanding under this facility at December 31, 2015. This facility has a revolving period through August 2016 and an amortization period through August 2017 for any receivables pledged at the end of the revolving period.

In November 2015, we entered into another $100 million warehouse credit line with Credit Suisse AG and Ares Agent Services, L.P. This facility is structured to allow us to fund a portion of the purchase price of automobile contracts by borrowing from a credit facility to our consolidated subsidiary Page Nine Funding LLC. The facility provides for advances up to 88% of eligible finance receivables and the loans under it accrue interest at a commercial paper rate plus 6.75% per annum, with a minimum rate of 7.75% per annum. There was $31.0 million outstanding under this new facility at December 31, 2015 which has a revolving period through November 2017 and an amortization period through November 2019 for any receivables pledged to the facility at the end of the revolving period.

The total outstanding debt on our three warehouse lines of credit was $196.5 million as of December 31, 2015, compared to $56.8 million outstanding as of December 31, 2014.

The costs incurred in conjunction with the above debt are recorded as deferred financing costs on the accompanying Consolidated Balance Sheets and are more fully described in Note 1.

We must comply with certain affirmative and negative covenants related to debt facilities, which require, among other things, that we maintain certain financial ratios related to liquidity, net worth and capitalization. Further covenants include matters relating to investments, acquisitions, restricted payments and certain dividend restrictions. See the discussion of financial covenants in Note 1.

The following table summarizes the contractual and expected maturity amounts of long term debt as of December 31, 2015:

Contractual maturity date	Residual interest financing (1)		Subordinated renewable notes		Total
	(In thousands)
2016	$	2,400	$	9,910	$	12,310
2017		3,900		1,781		5,681
2018		2,742		1,110		3,852
2019		–		276		276
2020		–		342		342
Thereafter		–		1,719		1,719
Total	$	9,042	$	15,138	$	24,180

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(1) The residual interest financing debt has a contractual maturity date in April 2018. This debt may become due and payable prior to that date, based on the decreasing valuation of the underlying collateral.