Long-term Debt

3 Months Ended

Mar. 31, 2012

Note 11 - Long-term Debt

Long-term debt consisted of the following:

	March 31, 2012			December 31, 2011
Note payable to a bank, due in monthly installments of $11,549, including interest at 7.25% with a principal balance due in November 2013, secured by real property. (a)	$	1,402,511		$	1,411,351
Revolving line of credit to a bank, which allows NPI to borrow up to $3,000,000, interest due monthly at the greater of prime (3.25%) plus one or 5%, principal balance due in April 2012, secured by assets of NPI. (a) (b)		962,463			598,963
Note payable to a bank, due in quarterly payments of interest only, with interest at 6%, with a principal balance due in May 2012, secured by real property. (c)		1,410,000			1,410,000
		3,774,974			3,420,314
Less current portion		(2,409,522	)		(2,045,359	)
	$	1,365,452		$	1,374,955

(a) Daniel Dror, Chairman and CEO of American, is a personal guarantor of these notes payable.

(b) NPI is in the process of renewing this line of credit with the bank.

(c) On May 1, 2012, this note was renewed for the balance of $1,300,000, with interest at 5%, with a principal balance due in May 2014.

Each of American's subsidiaries that have outstanding notes payable has secured such notes by that subsidiary's inventory, accounts receivable, property and equipment and guarantees from American.

Principal repayment provisions of long-term debt are as follows at March 31, 2012:

2012	$	2,400,004
2013		1,374,970
Total	$	3,774,974