Debt

Debt consists of the following at June 30, 2014 and 2013 (in thousands):



	June 30, 2014			June 30, 2013
Industrial revenue bonds, face value	$	—		$	1,623
Less unamortized purchase discount	—			(84		)
Industrial revenue bonds, carrying value	—			1,539
Borrowings under Credit Facility	41,000			10,000
Total long-term debt	41,000			11,539
Less: current portion	(900		)	(136		)
Long-term debt, net of current portion	$	40,100		$	11,403

Current maturities of long-term debt at June 30, 2014 reflects the current portions of the Company’s Aquisition Facility. Short term debt at June 30, 2013 reflects the current portion of the Company's industrial revenue bonds.

Industrial Revenue Bonds

In connection with its acquisition of Astro in May 2006, the Company assumed repayment of principal and interest on bonds originally issued to Astro by the State of Ohio. These bonds are Ohio State Economic Development Revenue Bonds, series 2002-4. Astro originally entered into the loan agreement with the State of Ohio for the issuance of these bonds to finance the construction of the Company’s Ohio operating facility. The principal amount, including premium, was issued in 2002 and totaled approximately $2.9 million. These bonds have interest rates which vary, dependent on the maturity date of the bonds ranging from 5.00% to 5.45%. Due to an increase in interest rates since the original issuance of the bonds, a discount amounting to approximately $0.2 million on the date of assumption by Sparton was recorded.

In June, 2014, the Company redeemed all of its remaining outstanding Industrial Revenue Bonds.

Credit Facility

On November 15, 2012, the Company replaced its previous revolving line-of-credit facility with a new $65.0 million credit facility with BMO Harris Bank N.A., consisting of a $35.0 million revolving line-of-credit facility (the “Revolving Credit”) to support the Company’s working capital needs and other general corporate purposes, and a $30.0 million acquisition loan commitment (the “Acquisition Facility” and together with the Revolving Credit, the “Credit Facility”) to finance permitted acquisitions. The Credit Facility expires on November 15, 2017, is secured by substantially all assets of the Company and provides for up to an additional $35 million in uncommitted loans available for additional Revolving Credit loans or Acquisition loans. In July 2014, the Company exercised the accordian feature of its Credit Facility increasing lender commitments under the Facility by $35.0 million to a total of $100.0 million.

Advances under the Acquisition Facility are available until November 15, 2014. Loans under the Acquisition Facility amortize in two tranches, such that loans outstanding on November 15, 2013 began amortizing in quarterly installments equal to 2.5% of the principal amount outstanding on such date, and advances made after November 15, 2013 and outstanding on November 15, 2014 begin amortizing on the same basis. Advances outstanding under the Acquisition Facility at June 30, 2014 were $18.0 million, of which $0.9 million was reflected as current on the consolidated balance sheet.

Outstanding borrowings under the Credit Facility bear interest, at the Company’s option, at either LIBOR, fixed for interest periods of one, two, three or six month periods, plus 1.25% to 2.00%, or at the bank’s base rate, as defined, plus 0.25% to 1.00%, based upon the Company’s Total Funded Debt/EBITDA Ratio, as defined. The Company is also required to pay commitment fees on unused portions of the Credit Facility ranging from 0.25% to 0.375%, based on the Company’s Total Funded Debt/EBITDA Ratio, as defined. The effective interest rate on outstanding borrowings under the Credit Facility was 1.65% at June 30, 2014.

As a condition of the Credit Facility, the Company is subject to certain customary covenants, which it was in compliance with at June 30, 2014. The Company had $41.0 million of borrowings drawn against the Credit Facility at June 30, 2014 and additionally had certain letters of credit outstanding totaling $0.6 million.