12. Long term debt

Long term debt consists of the following:

	December 31,
	2013		2012
Fixed rate bonds bearing interest at a rate of 5.95%; maturing on August 4, 2016; repayable in quarterly installments of $526,010; secured through an inter-creditor agreement with the Republic Bank & Trust by substantially all of the Company’s assets. Redeemable in full at any time after August 4, 2009 at a premium of 1.5% of the outstanding principal and accrued interest on the bonds on the date of redemption.	$	5,301,328	$	7,025,353
Total debt		5,301,328		7,025,353
Less discount		96,161		172,693
Less current portion		5,205,167		1,647,493
Long term debt, excluding current portion	$	-	$	5,205,167

The Company collateralized all borrowings under the 5.95% fixed rate bonds by providing a first debenture over fixed and floating assets, a first legal charge over all land and buildings, a security interest in all insurance policies and claims, a reimbursement agreement for standby letters of credit, a pledge of capital stock of each subsidiary and guarantees and negative pledges from each subsidiary. The Company prepaid the remaining outstanding balance on these bonds on February 17, 2014.