12. Long-Term Obligations

Long-term obligations at fiscal year ends consist of the following (in thousands):


	2013			2012
Farm Credit West, PCA, (FCW) term loan, bearing interest at 1.7%	$	4,007		$	5,509
Bank of America, N.A. (BoA) term loan, bearing interest at 1.7%		4,077			5,606
FCW, term loan, bearing interest at 5.7%		2,600			3,900
Capital leases		2,366			3,440

		13,050			18,455
Less current portion		(5,258	)		(5,416	)

	$	7,792		$	13,039

In conjunction with such acquisition, the Company and FCW entered into a Term Loan Agreement (Term Agreement), effective May 31, 2011. Under the terms of the Term Agreement, we were advanced $15 million for the purchase of RFG. Pursuant to this agreement, we are required to make 60 monthly principal and interest payments, from July 1, 2011 to June 1, 2016. There is no prepayment penalty associated with this Term Agreement.

This Term Agreement also replaces in its entirety the original Term Loan Agreement dated June 1, 2005 by and between the Company and FCW. There was no significant change in terms between the original Term Loan Agreement and this new agreement.

Effective September 30, 2011, the Company and Bank of America, N.A. (BoA), entered into an agreement, Amendment No. 4 to Loan Agreement (the Agreement), which amended our existing credit facility with BoA. This agreement included a variable rate term loan in the amount of approximately $7.1 million. These proceeds were used to retire approximately 50% of the outstanding balance (as of September 30, 2011) of the term loan owed to FCW related to the purchase of RFG (see above). This effectively split the funding of the amounts due at closing for that acquisition between both banks. The credit facility and term loan contain various financial covenants, the most significant relating to Tangible Net Worth (as defined), Fixed Charge Coverage Ratio (as defined) and Current Ratio (as defined).

In conjunction with the purchase of RFG, we assumed various capital leases related to machinery and equipment. These leases bear interest at a weighted average interest rate of approximately 4.0%. The total obligation acquired related to these capital leases were $4.0 million, with $1.1 million being classified as in the current portion.

At October 31, 2013, annual current and long-term obligation payments are scheduled as follows (in thousands):


	Total
Year ending October 31:
2014	$	5,258
2015		5,105
2016		2,132
2017		109
2018		92
Thereafter		354

	$	13,050