Our primary financing arrangement is the $400 million unsecured credit facility, by and among CBIZ Operations, Inc., CBIZ, Inc. and Bank of America, N.A., as administrative agent and bank, and other participating banks (as amended and restated, the “2018 credit facility” and, prior to being amended and restated by the 2018 credit facility, the “2014 credit facility”), which provides us with the capital necessary to meet our working capital needs as well as

the flexibility to continue with our strategic initiatives, including business acquisitions and share repurchases. The 2018 credit facility will mature in 2023. We also have an unsecured $20 million line of credit used to support our short-term funding requirements of payroll client fund obligations due to the investment of client funds, rather than liquidating client funds that have already been invested in available-for-sale securities. The line of credit, which terminates August 16, 2019, did not have a balance outstanding at June 30, 2019. As of June 30, 2019, we are in negotiations with the lender to extend this line of credit. Refer to our Annual Report on Form 10-K for the year ended December 31, 2018 for additional details of our debt and financing arrangements.

The balance outstanding under the 2018 credit facility was $159.0 million and $135.5 million at June 30, 2019 and December 31, 2018, respectively. Interest expense for the three months ended June 30, 2019 and 2018 was $1.6 million and $1.8 million, respectively. During the six months ended June 30, 2019 and 2018, interest expense under the 2018 credit facility and 2014 credit facility was $3.0 million and $3.6 million, respectively. We had approximately $229.2 million of available funds under the 2018 credit facility at June 30, 2019, net of outstanding letters of credit of $1.1 million. As of June 30, 2019, we were in compliance with our debt covenants.

Six Months Ended

Weighted average rates

Range of effective rates

2.12% - 5.50%

2.37% - 5.00%