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Revolving Credit Facility
12 Months Ended
Sep. 30, 2015
Text Block [Abstract]  
Revolving Credit Facility

 

8.  Revolving Credit Facility

On November 4, 2013, the Company entered into a three-year $20.0 million secured revolving credit facility. The Company’s obligations under the credit facility are secured by substantially all of its and its subsidiaries’ assets, other than intellectual property and real estate. Borrowings under the credit facility, if any, will bear interest at a benchmark rate plus a margin ranging from 1.375% to 2.00% based on the Company’s leverage ratio. A facility fee is payable on unused commitments at a rate of 0.20% per annum.  

On November 20, 2015, the credit facility was further amended and modified to increase the size of stock repurchases that may be effected by the Company to $30.0 million without the consent of the lender.

In connection with the credit facility, the Company is required to maintain certain financial covenants related to a maximum leverage ratio and a minimum earnings before income tax, depreciation and amortization (“EBITDA”) amount and to comply with nonfinancial covenants. As of September 30, 2015, the Company has no debt outstanding and was in compliance with all financial.