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Note 4 - Long-Term Debt
 3 Months Ended
Jun. 30, 2015
Debt Disclosure [Abstract]  
Debt Disclosure [Text Block]

Note 4 - Long-Term Debt


Long-term debt consists of the following (in thousands):


   

June 30, 2015

    

March 31, 2015

  

Line of credit (1.69% at June 30, 2015)

   $ 13,000     $ 13,500  

Term loan (2.19% at June 30, 2015)

     12,000       12,750  

Less: current portion

     (3,000 )     (3,000 )

Long-term portion

   $ 22,000     $ 23,250  

In February 2012, we entered into a three year agreement (the “Credit Facility”) for a $20,000,000 revolving line of credit (“Line of Credit”) and up to $1,000,000 of letters of credit. Funds from the Credit Facility were used for general working capital and corporate needs, retiring existing debt, or to support acquisitions and capital expenditures.


In April 2014, the Credit Facility was amended to include a $15,000,000 term loan (the “Initial Term Loan”) and to extend the maturity date of the Credit Facility to June 30, 2017.


On July 1, 2015, we further amended our Credit Facility to extend the maturity date to June 30, 2020, increase the Line of Credit to $50,000,000 and establish a new $20,000,000 term loan (the “Term Loan”). The majority of the proceeds from the Term Loan were used to pay down the remaining $12,000,000 balance of the Initial Term Loan. The remaining $8,000,000 was combined with a $1,000,000 draw under the Line of Credit to fund the Infitrak Acquisition (see Note 2).


Under the Line of Credit, indebtedness bears interest at either: (1) LIBOR, as defined, plus an applicable margin ranging from 1.5% to 2.25%; or (2) the bank’s commercial bank floating rate (“CBFR”), which is the bank’s prime rate adjusted down by 0.5%. We elect the interest rate with each borrowing under the line of credit. In addition, there is an unused line fee of 0.25%. Letter of credit fees are based on the applicable LIBOR rate.


The Term Loan bears interest at LIBOR, as defined, plus an applicable margin ranging from 1.5% to 2.25% and requires 20 quarterly principal payments (the first due date was July 15, 2015) in the amount of $750,000 with the remaining balance of principal and accrued interest due on June 30, 2020.


The Credit Facility is secured by all of our assets and requires us to maintain a ratio of funded debt to our trailing four quarters of EBIDTA, as defined, of 3.25 to 1.0 through March 31, 2016 and 3.0 to 1.0 thereafter, and a minimum fixed charge coverage ratio of 1.35 to 1.0. We were in compliance with the required covenants at June 30, 2015.


As of July 1, 2015, future contractual maturities of debt as are as follows (in thousands):


Year ending March 31,

        

2016

   $ 2,250  

2017

     3,000  

2018

     3,000  

2019

     3,000  

2020

     3,000  

Thereafter

     19,750  
    $ 34,000  

On July 15, 2015, we made a $750,000 required principle payment on the Term Loan.