LONG-TERM DEBT

12 Months Ended

Dec. 31, 2023

LONG-TERM DEBT [Abstract]

LONG-TERM DEBT

5. LONG-TERM DEBT

Long-term debt consists of the following:

	Dollars in Thousands
	December 31, 2023		December 31, 2022
Connecticut Department of Economic and Community Development (DECD)	$	146	$	176
DECD debt issuance costs		(12)		(15)
Financed insurance loan		207		228
Total long-term debt		341		389
Current portion of long-term debt		(235)		(255)
Long-term debt, net of current maturities	$	106	$	134

Department of Economic and Community Development

On January 8, 2018, the Company entered into an agreement with DECD by which the Company received a loan of $300,000 secured by substantially all of the Company’s assets (the “DECD 2018 Loan”.) The DECD 2018 Loan is a ten-year loan due on December 31, 2027 and includes interest paid monthly at 3.25%.  The maturity date of the DECD 2018 Loan was extended to May 31, 2028 and the modification did not have a material impact on the Company’s cash flows.

Debt issuance costs associated with the DECD 2018 Loan were approximately $31,000. Amortization of the debt issuance cost was approximately $3,000 and $4,000 for the years ended December 31, 2023 and 2022, respectively. Net debt issuance costs were approximately $12,000 and $15,000 at December 31, 2023 and 2022, respectively, and are presented as a reduction of the related debt in the accompanying consolidated balance sheets. Amortization for each of the next four years is expected to be approximately $3,000.

Financed Insurance Loan.

The Company finances certain of its insurance premiums (the “Financed Insurance Loans”).  In July 2023, the Company financed $0.4 million with a 9.99% interest rate and is obligated to make payments on a monthly basis through June 2024. In July 2022, the Company financed $0.4 million with a 5.99% interest rate, which was paid off in June 2023. As of December 31, 2023 and 2022, the Financed Insurance Loan’s outstanding balance of $0.2 million, respectively, was included in current maturities of long-term debt in the Company’s consolidated balance sheets. A corresponding prepaid asset was included in other current assets.

The aggregate future maturities required on gross long-term debt at December 31, 2023 are as follows:

	2024		2025		2026		2027		2028		Total
DECD loan	$	31	$	32	$	33	$	34	$	16	$	146
Financed insurance loan		207		—		—		—		—		207
	$	238	$	32	$	33	$	34	$	16	$	353