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Long-Term Debt
 9 Months Ended
Jun. 30, 2012
Long-Term Debt [Abstract]  
Long-Term Debt
5. Long-Term Debt

Long-term debt consists of:

 

                 
    June 30,
2012		     September 30,
2011		  
     

Revolving credit agreement

   $ 14,310     $ 1,184  

Term loan

     8,500       0  

Promissory Note

     2,333       0  

Capital lease obligations and other

     1       32  
   

 

 

    

 

 

  
      25,144       1,216  

Less – current maturities

     2,001       30  
   

 

 

    

 

 

  
     

Total long-term debt

   $ 23,143     $ 1,186  
   

 

 

    

 

 

  

In October 2011, the Company entered into an amendment to its existing credit agreement (the “Credit Agreement Amendment”) with its bank increasing the maximum borrowing amount from $30.0 million to $40.0 million, of which $10.0 million is a five (5) year term loan and $30.0 million is a five (5) year revolving loan, secured by substantially all the assets of the Company and its U.S. subsidiaries and a pledge of 65% of the stock of its non-U.S. subsidiaries. The term loan is repayable in quarterly installments of $0.5 million starting December 1, 2011.

The term loan has a Libor-based variable interest rate that was 2.2% at June 30, 2012 and which becomes an effective fixed rate of 2.9% after giving effect to an interest rate swap agreement. Borrowing under the revolving loan bears interest at a rate equal to Libor plus 0.75% to 1.75%, which percentage fluctuates based on the Company’s leverage ratio of outstanding indebtedness to EBITDA. The loans are subject to certain customary financial covenants including, without limitation, covenants that require the Company to not exceed a maximum leverage ratio and to maintain a minimum fixed charge coverage ratio. There is also a commitment fee ranging from 0.10% to 0.25% to be incurred on the unused balance. The Company was in compliance with all applicable loan covenants as of June 30, 2012.

In connection with the acquisition of the QAF business, as discussed more fully in Note 11, the Company issued a $2.4 million non-interest bearing promissory note to the seller, which note is payable by the Company in November, 2013. The imputed interest rate used to discount the note was 2% per annum.