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LINE OF CREDIT
9 Months Ended
Oct. 02, 2021
Line of Credit Facility [Abstract]  
LINE OF CREDIT

NOTE 6 — LINE OF CREDIT

The Company had a $40 million revolving line of credit with a bank. This facility terminated on September 30, 2021. Borrowings under this facility bore interest at the one-month LIBOR rate (0.08% at September 30, 2021) plus 150 basis points. The Company was charged one-quarter of a percent (0.25%) per year on the unused portion. The facility included certain terms and covenants, including the requirement that the Company maintain a minimum earnings before interest, taxes, depreciation and amortization (EBITDA) for the preceding four quarters in any quarter that the Company drew on the line of credit. During the first quarter of 2020, the Company made a $1 million draw from the facility while it was not in compliance with this covenant. The draw was subsequently repaid prior to the end of the first quarter. The Company notified the lender and was granted a waiver on June 30, 2020. At the line of credit’s termination date and December 31, 2020, the Company was in compliance with the terms and covenants of the credit facility.