8. Credit Facility

On February 21, 2012, the Company entered into a credit agreement with Bank of America, N.A. Under the credit agreement, Bank of America, N.A. agreed to lend the Company up to $20.0 million pursuant to a revolving line of credit (the “Revolver”) and up to $30.0 million pursuant to a term loan (the “Term Loan,” and together with the Revolver, the “Credit Facility”).

On August 27, 2013, the Company amended and restated the credit agreement (the "Credit Agreement") with Bank of America to finance a tender offer for shares of its common stock completed in October 2013. The Credit Agreement was amended and restated to:

provide for up to additional $17.0 million of borrowing under the Term Loan (the "Amended Term Loan" and together with the Revolver, the "Amended Credit Facility") and

extend the maturity date on the Revolver and the Amended Term Loan to August 27, 2018, five years from the date of the amendment and restatement of the Credit Agreement.

As of January 1, 2016, the Company had paid off its principal amount outstanding in full on the Amended Term Loan and had no balance outstanding under either facility. As of January 1, 2016, the Company had fully utilized the $30.0 million commitment on the Amended Term Loan, and had approximately $20.0 million available under the Revolver. As of January 2, 2015, the Company had $18.3 million principal amount outstanding on the Amended Term Loan and a zero balance outstanding on the Revolver. Subsequent to year end, the Company borrowed $5.0 million from the Revolver.

The obligations of the Company under the Amended Credit Facility are guaranteed by active existing and future material U.S. subsidiaries of the Company and are secured by substantially all of the existing and future property and assets of the Company (subject to certain exceptions).

The interest rates per annum applicable to loans under the Amended Credit Facility will be at the Company’s option, equal to either a base rate or a LIBOR base rate, plus an applicable margin percentage. As of January 1, 2016, the interest rate per annum was 1.90%. The applicable margin percentage is based on the consolidated leverage ratio. As of January 1, 2016, the applicable margin percentage was 1.50% per annum based on the consolidated leverage ratio, in the case of LIBOR rate advances, and 0.75% per annum, in the case of base rate advances.

The Company is subject to certain covenants and exceptions, including total consolidated leverage, fixed cost coverage and liquidity requirements.

In connection with the Credit Facility, the Company incurred $0.6 million of debt issuance costs. These costs are amortized over the remaining life of the Credit Facility and are included in Other Assets in the consolidated balance sheet.

The Revolver matures on August 27, 2018, whereas the Amended Term Loan required amortization of principal in equal quarterly payment installments from December 31, 2013 through August 27, 2018. As of January 1, 2016, the Company had prepaid the entirety of the Amended Term Loan mandatory principal amortization and did not have an outstanding balance on its Revolver.