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Debt
 12 Months Ended
Mar. 31, 2022
Debt [Abstract]  
Debt
8. Debt

The Company is party to a $268,620,000 senior secured financing, (as amended from time to time, the “Credit Facility”) with a syndicate of lenders and PNC Bank, National Association, as administrative agent, consisting of (i) a $238,620,000 revolving loan facility, subject to borrowing base restrictions, a $24,000,000 sublimit for borrowings by Canadian borrowers, and a $20,000,000 sublimit for letters of credit (the “Revolving Facility”) and (ii) a $30,000,000 term loan facility (the “Term Loans”). The loans under the Credit Facility mature on June 5, 2023. The Credit Facility currently permits the payment of up to $29,430,000 of dividends and share repurchases for fiscal year 2022, subject to pro forma compliance with financial covenants. In connection with the Credit Facility, the lenders have a security interest in substantially all of the assets of the Company.


In May 2021, the Company entered into a third amendment to the Credit Facility (the “Third Amendment”). The Third Amendment, among other things, (i) extended the maturity date from June 5, 2023 to May 28, 2026, (ii) modified the fixed charge coverage ratio financial covenant, and (iii) modified the definition of “Consolidated EBITDA”. The Company capitalized $1,159,000 of new debt issuance costs in connection with the Third Amendment.

The Term Loans require quarterly principal payments of $937,500. The Credit Facility bears interest at rates equal to either LIBOR plus a margin of 2.25%, 2.50% or 2.75% or a reference rate plus a margin of 1.25%, 1.50% or 1.75%, in each case depending on the senior leverage ratio as of the applicable measurement date. There is also a facility fee of 0.375% to 0.50%, depending on the senior leverage ratio as of the applicable measurement date. The interest rate on the Company’s Term Loans and Revolving Facility was 2.99% and 3.13% respectively, at March 31, 2022, and 2.62% at March 31, 2021.

The Credit Facility, among other things, requires the Company to maintain certain financial covenants including a maximum senior leverage ratio and a minimum fixed charge coverage ratio. The Company was in compliance with all financial covenants at March 31, 2022.

The Company had cash of $23,016,000 at March 31, 2022, however, the Credit Facility allows up to $6,000,000 of credit for cash when computing the senior leverage ratio. In addition to other covenants, the Credit Facility places limits on the Company’s ability to incur liens, incur additional indebtedness, make loans and investments, engage in mergers and acquisitions, engage in asset sales, redeem, or repurchase capital stock, alter the business conducted by the Company and its subsidiaries, transact with affiliates, prepay, redeem, or purchase subordinated debt, and amend or otherwise alter debt agreements.

The Company’s Term Loans are comprised of the following:

 
  
March 31, 2022
    
March 31, 2021
  
 
            
Principal amount of Term Loans
  
$
16,875,000
    
$
20,625,000
  
Unamortized financing fees
    
(181,000
)
    
(161,000
)
Net carrying amount of Term Loans
    
16,694,000
      
20,464,000
  
Less current portion of Term Loans
    
(3,670,000
)
    
(3,678,000
)
Long-term portion of Term Loans
  
$
13,024,000
    
$
16,786,000
  

Future repayments of the Company’s Term Loans are as follows:

Year Ending March 31,
      
2023
  
$
3,750,000
  
2024
    
3,750,000
  
2025
    
3,750,000
  
   2026     3,750,000  
   2027
     1,875,000  
Total payments
  
$
16,875,000
  

The Company had $155,000,000 and $84,000,000 outstanding under the Revolving Facility at March 31, 2022 and 2021, respectively. In addition, $6,370,000 was reserved for letters of credit at March 31, 2022. At March 31, 2022, after certain adjustments, $77,250,000 was available under the Revolving Facility.