Financing Arrangements

6 Months Ended

Jun. 25, 2011

Financing Arrangements [Abstract]

FINANCING ARRANGEMENTS

NOTE 6. FINANCING ARRANGEMENTS

We have a line of credit agreement with Wells Fargo Bank, N.A., which expires June 30, 2012, if not renewed. Amounts borrowed under the agreement are secured by substantially all of our assets. The maximum amount of borrowings available from January 1 to May 31 is $17.5 million, and $30.0 million from June 1 to December 31. There are no borrowing base limitations under the credit agreement. The credit agreement provides for an interest rate of LIBOR plus 1.75% and an annual commitment fee of 0.15% on the unused balance. At June 25, 2011, $13.4 million in borrowings were outstanding on the line of credit. At December 31, 2010 and June 26, 2010, we had no outstanding balances under our line of credit agreement.

On January 31, 2011, we entered into an Amended and Restated Credit Agreement with Wells Fargo Bank, N.A. to amend the allowable capital expenditures for the remainder of the credit agreement term.