Debt

6 Months Ended

Jun. 30, 2011

Note 6. Debt:

Information on our debt was as follows:


											Weighted
											Average
											Interest Rate
					Weighted Average						on Underlying
	Carrying Value (1)				Coupon Rate at						Loans at
	June 30,		December 31,		June 30,			December 31,			June 30,
	2011		2010		2011			2010			2011
	(Dollars in thousands, except footnotes)
Structured notes payable:
2003 Joint Venture	$	5,989	$	7,094		2.75	%		2.80	%		4.30	%
2000 Joint Venture		10,330		11,724		7.28	%		7.28	%		9.56	%
1998 Partnership		3,133		3,339		2.25	%		2.25	%		4.99	%

		19,452		22,157


Junior subordinated notes		27,070		27,070		3.56	%		3.54	%	NA


Revolving credit facility (2)		12,800		13,800		2.42	%		3.25	%	NA


Debentures payable		8,179		8,177		5.90	%		5.90	%	NA


Secured borrowings — government guaranteed loans:
Loans sold for a premium and excess spread		21,970		15,664		3.82	%		3.87	%		5.95	%
Loans sold for excess spread		6,039		6,101		1.58	%		1.58	%		5.96	%

		28,009		21,765


Debt	$	95,510	$	92,969


(1)		The face amount of debt as of June 30, 2011 and December 31, 2010 was $95,521,000 and $92,982,000, respectively.

(2)		We amended our revolving credit facility in June 2011. The maturity date was extended to June 30, 2014 and our interest rate was reduced to prime less 50 basis points or the 30 day LIBOR plus 2%, at our option.

Principal payments on our debt at June 30, 2011 were as follows:


			Structured
			Notes and
			Secured		All Other
Years Ending June 30,	Total		Borrowings (1)		Debt (2)
	(In thousands)
2012	$	3,984	$	3,984	$	—
2013		4,266		4,266		—
2014		21,255		4,265		16,990
2015		8,494		4,494		4,000
2016		3,754		3,754		—
Thereafter		53,768		26,698		27,070

	$	95,521	$	47,461	$	48,060


(1)		Principal payments are generally dependent upon cash flows received from the underlying loans. Our estimate of their repayment is based on scheduled principal payments on the underlying loans. Our estimate will differ from actual amounts to the extent we experience prepayments and/or loan losses. No payment is due on the structured notes or secured borrowings unless payments are received from the borrowers on the loans underlying them.

(2)		Represents the revolving credit facility, junior subordinated notes and debentures payable.

- 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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