Long-term debt consisted of the following at:
| || |
November 2, 2012
| || |
August 3, 2012
Revolving credit facility expiring on July 8, 2016
| ||$||312,500|| || ||$||312,500|| |
Term loan payable on or before July 8, 2016
| || ||212,500|| || || ||212,500|| |
| || ||116|| || || ||142|| |
| || || ||525,116|| || || ||525,142|| |
| || ||(6,357||)|| || ||(106||)|
| ||$||518,759|| || ||$||525,036|| |
The Company's $750,000 credit facility (the "Credit Facility") consists of a term loan and a $500,000 revolving credit facility (the "Revolving Credit Facility"). At November 2, 2012, the Company had $312,500 of outstanding borrowings under the Revolving Credit Facility and $28,171 of standby letters of credit, which reduce the Company's availability under the Revolving Credit Facility (see Note 11). At November 2, 2012, the Company had $159,329 in borrowing availability under the Revolving Credit Facility.
In accordance with the Credit Facility, outstanding borrowings bear interest, at the Company's election, either at LIBOR or prime plus a percentage point spread based on certain specified financial ratios under the Credit Facility. As of November 2, 2012, the Company's outstanding borrowings were swapped at a weighted average interest rate of 7.32% (see Note 5 for information on the Company's interest rate swaps).
The Credit Facility contains customary financial covenants, which include maintenance of a maximum consolidated total leverage ratio and a minimum consolidated interest coverage ratio. At November 2, 2012, the Company was in compliance with all debt covenants.
The Credit Facility also imposes restrictions on the amount of dividends the Company is permitted to pay. If there is no default existing and the total of the Company's availability under the Revolving Credit Facility plus the Company's cash and cash equivalents on hand is at least $100,000 (the "liquidity requirements"), the Company may declare and pay cash dividends on shares of its common stock if the aggregate amount of dividends paid in any fiscal year is less than 20% of Consolidated EBITDA from continuing operations (as defined in the Credit Facility) (the "20% limitation") during the immediately preceding fiscal year. In any event, as long as the liquidity requirements are met, dividends may be declared and paid in any fiscal year up to the amount of dividends permitted and paid in the preceding fiscal year without regard to the 20% limitation.
The note payable consists of a five-year note with a vendor with an original principal amount of $507 and represents the financing of prepaid maintenance for telecommunications equipment. The note payable is payable in monthly installments of principal and interest of $9 through October 16, 2013 and bears interest at 2.88% per year.