Long-Term Debt

3 Months Ended

Mar. 31, 2019

Debt Disclosure [Abstract]

Long-Term Debt

5. Long-Term Debt

	March 31,			December 31,
	2019			2018
	($000's omitted)
Term loan payable to a financial institution; Interest rate  option of bank prime or Libor plus 1.4% (3.909% as of March 31, 2019), monthly prinicipal payments of $21,833 through 2021 with a balloon payment of $786,000 due December 1, 2021	$	1,507		$	1,572
Term loan payable to a financial institution; Interest rate  option of bank prime or Libor plus 1.4% (3.909% as of   March 31, 2019), monthly prinicipal payments of $23,810 through December 1, 2021		786			857
Lease line of credit for equipment; Interest rate fixed for term  of each funding based upon the Lender's lease pricing at time of funding. (Interest rate/factor 1.822758% - 1.869304% at time of funding), monthly principle payments of $12,675 through April 10, 2023		659			704
		2,952			3,133
Less current portion		(723	)		(723	)
	$	2,229		$	2,410

Principal maturities of long-term debt are as follows: remainder 2019 - $542,000, 2020 - $723,000, 2021 - $1,509,000, 2022 - $165,000, and 2023 - $13,000.

The term loans are secured by all personal property of the Company with the exception of certain equipment that was purchased from proceeds of government grants.

Certain lenders require the Company to comply with debt covenants as described in the specific loan documents, including a debt service ratio. At March 31, 2019 and December 31, 2018 the Company was in compliance with these covenants.

The Company established a lease line of credit for equipment financing in the amount of $1,000,000 available until June 28, 2019. This line is non-revolving and non-renewable. The lease term for equipment covered by the lease line of credit is 60 months. Monthly payments will be fixed for the term of each funding based upon the Lender’s lease pricing in effect at the time of such funding. There was approximately $659,000 outstanding at March 31, 2019.

	March 31,			December 31,
	2019			2018
	($000's omitted)
2019		145			193
2020		193			193
2021		193			193
2022		193			193
2023		4			4
Total principal and interest payments		728			776
Less amount representing interest		(69	)		(72	)
Present value of net minimum lease payments		659			704
Less current portion		(175	)		(175	)
Long term principle payments	$	484		$	529

The Company established equipment financing in the amount of $2,500,000 available until November 30, 2019. This line is non-revolving and non-renewable. The financing term for the equipment covered by the loan is 60 months. Monthly payments will be fixed for the term of each funding based upon the Lender’s rate in effect at the time of such funding. There was no balance outstanding at March 31, 2019 and December 31, 2018.

The Company has a $2,000,000 line of credit on which there was no balance outstanding at March 31, 2019 and December 31, 2018.