XML 85 R20.htm IDEA: XBRL DOCUMENT
v2.4.1.9

Indebtedness | 9 Months Ended
--- | ---
Jun. 27, 2014
Indebtedness [Abstract] |
Indebtedness | 13 Indebtedness Debt was comprised of the following at June 27, 2014, September 27, 2013, and June 28, 2013:
| June 27 2014 | September 27 2013 | June 28 2013
Term loans | $ | 7,894 | $ | 8,142 | $ | 8,221
Revolvers |  | - |  | - |  | 8,998
Other |  | 22 |  | 191 |  | 245
Total debt |  | 7,916 |  | 8,333 |  | 17,464
Less current portion of long term debt |  | 365 |  | 539 |  | 549
Less short term debt |  | - |  | - |  | 8,998
Total long-term debt | $ | 7,551 | $ | 7,794 | $ | 7,917
Term Loans The Company’s term loans have a maturity date of September 29, 2029. Each term loan requires monthly payments of principal and interest. Interest on the aggregate outstanding amount of the term loans is based on the prime rate plus an applicable margin. The interest rate in effect on the term loans was 5.25% at June 27, 2014. The term loans are guaranteed in part under the United States Department of Agriculture Rural Development program and are secured with a first priority lien on land, buildings, machinery and equipment of the Company’s domestic subsidiaries and a second lien on working capital and certain patents and trademarks of the Company and its subsidiaries. Any proceeds from the sale of secured property are first applied against the related term loans and then against the Revolvers (as defined below). The Company’s term loans include covenants related to its current ratio, debt to net worth ratio, fixed charge ratio, minimum net worth and capital expenditures. The aggregate term loan borrowings are subject to a pre-payment penalty. The penalty is currently 6% of the pre-payment amount, and the penalty will decrease by 1% annually on the anniversary date of the effective date of the loan agreement. Revolvers On September 16, 2013, the Company and certain of its subsidiaries entered into a credit facility with PNC Bank National Association and certain other lenders. This credit facility consists of a Revolving Credit Agreement dated September 16, 2013 among the Company, certain of the Company’s subsidiaries, PNC Bank National Association, as lender and as administrative agent, and the other lenders named therein (the “Revolving Credit Agreement” or “Revolver”). The Revolver has an expiration date of September 16, 2018 and provides for borrowing of up to an aggregate principal amount not to exceed $90,000 with an accordion feature that gives the Company the option to increase the maximum seasonal financing availability subject to the conditions of the Revolving Credit Agreement and subject to the approval of the lenders. The Revolver imposes a seasonal borrowing limit such that borrowings may not exceed $60,000 from the period June 30 th through October 31 st of each year under the agreement. The interest rate on the Revolver resets each quarter and is based on LIBOR plus an applicable margin. The applicable margin ranges from 1.25 percent to 2.00 percent and is dependent on the Company’s leverage ratio for the trailing twelve month period. The Revolver is secured with a first priority lien on working capital assets and certain patents and trademarks of the Company and its subsidiaries and a second priority lien on land, buildings, machinery and equipment of the Company’s domestic subsidiaries. Under the terms of the Revolver, the Company is required to comply with certain financial and non-financial covenants. The Revolving Credit Agreement limits asset or stock acquisitions to no more than $20,000 in the event that the Company’s consolidated leverage ratio is greater than 2.5 times. No limits are imposed if the Company’s consolidated leverage ratio is less than 2.5 times and the remaining borrowing availability under the Revolver is greater than $10,000 at the time of the acquisition. The Revolving Credit Agreement limits the amount of restricted payments (primarily dividends and repurchases of common stock) made during each fiscal year. The Company may declare, and pay, dividends in accordance with historical practices, but in no event may the aggregate amount of all dividends or repurchases of common stock exceed $10,000 in any fiscal year. The Revolving Credit Agreement restricts the Company’s ability to incur additional debt and includes maximum leverage ratio and minimum interest coverage ratio covenants. Balances carried on the Revolving Credit Agreement not in excess of the seasonal borrowing limit may be repaid at the Company’s discretion at any time through the maturity date. Other Borrowings The Company had no unsecured revolving credit facilities at its foreign subsidiaries as of June 27, 2014 or June 28, 2013. The Company utilizes letters of credit primarily as security for the payment of future claims under its workers’ compensation insurance, which totaled $810 and $1,404 at June 27, 2014 and June 28, 2013, respectively. The Company had no unsecured lines of credit as of June 27, 2014 or June 28, 2013. Aggregate scheduled maturities of long-term debt as of June 27, 2014, for the remainder of fiscal 2014 and subsequent fiscal years, were as follows:
Fiscal Year |  |
2014 |  |  | $ | 98
2015 |  |  |  | 359
2016 |  |  |  | 368
2017 |  |  |  | 389
2018 |  |  |  | 410
Thereafter |  |  |  | 6,292
Total |  |  | $ | 7,916
Interest paid for the three month periods ended June 27, 2014 and June 28, 2013 was $187 and $179, respectively. Interest paid for the nine month periods ended June 27, 2014 and June 28, 2013 was $597 and $799, respectively. The weighted average borrowing rate for short-term debt was approximately 1.4% and 2.5% for the nine months ended June 27, 2014 and June 28, 2013, respectively. Based on the borrowing rates currently available to the Company for debt with similar terms and maturities, the fair value of the Company’s long-term debt as of June 27, 2014 and June 28, 2013 approximated its carrying value.

X
- Definition The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 02 -Paragraph 19, 20, 22 -Article 5 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.19,20,22) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 + Details
Name: | us-gaap_DebtDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Details
Name: | us-gaap_LongTermDebtAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration