XML 30 R17.htm IDEA: XBRL DOCUMENT
v3.3.1.900

Notes Payable | 12 Months Ended
--- | ---
Dec. 31, 2015
Debt Disclosure [Abstract] |
Notes Payable |
(8) | Notes Payable
The components of notes payable at December 31, 2015 and 2014 are as follows:
| 2015 |  |  | 2014 |
| (In thousands) |
Revolving credit agreement | $ | 1,043 |  |  | $ | - |
Current portion of long-term notes payable...................................... |  | 300 |  |  |  | 222 |
Long-term notes payable |  | 4,200 |  |  |  | 3,778 |
Total revolving credit agreement | $ | 5,543 |  |  | $ | 4,.000 |
Principal payments of debt for years subsequent to 2015 are as follows (in thousands):
| Amount |
| (In thousands) |
2016 | $ | 1,343 |
2017 |  | 300 |
2018 |  | 300 |
2019 |  | 300 |
2020 |  | 3,300 |
| $ | 5,543 |
Revolving Credit Agreement On December 29, 2015, the Company entered into a Loan Agreement (the “Loan Agreement”) with Frost Bank (“Frost”). The Loan Agreement provides two separate revolving credit facilities to the Company. The first facility (“Facility A”) provides the Company with a $4.00 million revolving line of credit with a two-year term maturing December 29, 2017, subject to a maximum loan amount (the “Borrowing Base”) based on a formula related to the value of certain of the Company’s accounts, inventories and equipment totaling $3.58 million at December 31, 2015. Under Facility A, the Company may borrow, repay and reborrow, up to the Borrowing Base. Facility A also allows the issuance of standby letters of credit. As of December 31, 2015, we had no letters of credit outstanding. Facility A requires a period of not less than 30 consecutive days during each calendar year that the entire outstanding principal amount of the revolving credit facility is paid. Upon Facility A’s maturity date, all outstanding principal and unpaid accrued interest is due and payable. The Company borrowed $1.04 million under Facility A upon initiation of the Loan Agreement. As of December 31, 2015, we had $2.54 million of additional borrowing capacity. The second facility (“Facility B”) provides the Company with a $4.50 million declining revolving line of credit. The Company may be borrow, repay and reborrow from the line. The amount available to borrow under Facility B declines from the initial $4.50 million by $0.15 million each six months. Facility B’s maturity date is December 29, 2020 when all outstanding principal and unpaid accrued interest is due and payable. The Company was advanced $4.50 million under Facility B upon the initiation of the Loan Agreement which was to pay off the remaining balance on the facility from JP Morgan Chase Bank N.A. (“Chase”) and as of December 31, 2015, the outstanding balance is $4.50 million. Under the Loan Agreement, the interest rate on both facilities is LIBOR (0.61% at December 31, 2015) plus 2.75% per year. The Loan agreement also provides for usual and customary covenants and restrictions including that the borrower must maintain a fixed charge coverage ratio of no less than 1.25 to 1.00, and will not permit the ratio of consolidated total liabilities to consolidated net worth to exceed 1.25. Additionally, the Company’s obligations under Facility A are secured by: 1. All our accounts receivable, whether now owned or hereafter acquired. 2. All our inventory, whether now owned or hereafter acquired. 3. All our machinery and equipment, whether now owned or hereafter acquired. 4. A collateral assignment on all future distributions from joint ventures. The Company’s obligations under Facility B are secured by: 1. Our fee simple interest in certain real estate and improvements in Beaumont, Texas. 2. Any parking, utility and ingress/egress easements on the foregoing property. 3. A collateral assignment on all future distributions from joint ventures. The Company’s subsidiaries, M&I Electric Industries, Inc. and South Coast Electric Systems, LLC are additional obligors on the Loan Agreement. The Company had $5.54 million of borrowings outstanding under the Frost credit agreement at December 31, 2015 and $4.00 million at December 31, 2014. The Company had additional borrowing capacity of $2.54 million and $3.20 million at December 31, 2015 and December 31, 2014 respectively.

X
- Definition The entire disclosure for debt and capital lease obligations can be reported. 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. Also includes descriptions and amounts of capital leasing arrangements that consist of direct financing, sales type and leveraged leases. Disclosure may include the effect on the balance sheet and the income statement resulting from a change in lease classification for leases that at inception would have been classified differently had guidance been in effect at the inception of the original lease. + References No definition available. + Details
Name: | us-gaap_DebtAndCapitalLeasesDisclosuresTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_DebtDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration