XML 21 R10.htm IDEA: XBRL DOCUMENT v3.20.2

Note 4 - Bank Financing Arrangements

6 Months Ended

Jun. 30, 2020

Debt Disclosure [Abstract]

Bank Financing Arrangements

NOTE 4 — Bank Financing Arrangements

Sixth Financing Agreement

On June 14, 2019, the Company entered into the Sixth Amended and Restated Business Financing Agreement with the Bank. The Bank waived the default which occurred for the month ended April 30, 2019 when the Company’s Asset Coverage Ratio was 1.13 to 1.00, instead of the required 1.25 to 1.00. The Bank also increased the Eligible Receivable threshold for Ingram Micro from 50% to 60% of domestic receivables, and from 35% to 50% of all receivables (including both domestic and foreign receivables).

Seventh Financing Agreement

On January 8, 2020, the Company entered into the Seventh Amended and Restated Business Financing Agreement with the Bank which extends the maturity date of the Company’s revolving line of credit to January 31, 2022.

The Asset Coverage Ratio was 1.5 to 1.0 on June 30, 2020. During the six months ended June 30, 2020, total repayments of the term loan was $250,000. Total amount borrowed under the domestic and international lines was $4,630,000 and the total repayments was $5,592,449. At June 30, 2020, the available borrowing capacity was approximately $687,000. Amounts outstanding under the term loan and bank credit facilities at June 30, 2020 are as follows:

		June 30, 2020
Long-term portion of term loan			—
Current-portion of term loan			83,333
Term loan		$	83,333

		June 30, 2020
Lines of credit -domestic line			450,000
Lines of credit -EXIM line			—
Total lines of credit		$	450,000

Interest expense on the term loan for three and six months ended June 30, 2020 was $1,896 and $5,922, respectively. Interest expense on the amounts drawn under the Company’s bank credit lines during the three and six months ended June 30, 2020 was $3,783 and $19,384. Accrued interest payable related to the amounts outstanding under the term loan and bank credit facilities at June 30, 2020 was $9,360.

X

- References

No definition available.

+ Details

Name:	us-gaap_DebtDisclosureAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of short-term or long-term contractual arrangements with lenders, including letters of credit, standby letters of credit, and revolving credit arrangements, under which borrowings can be made up to maximum amount as of any point in time conditional on satisfaction of specified terms before, as of and after the date of drawdowns on the line.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.19(b),22(b))
-URI http://asc.fasb.org/extlink&oid=120391452&loc=d3e13212-122682

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

Name:	us-gaap_ScheduleOfLineOfCreditFacilitiesTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration