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LONG-TERM DEBT.

12 Months Ended

Sep. 30, 2012

3. LONG-TERM DEBT

On March 10, 2011, the Company refinanced its Georgia Park mortgage with Commercial Bank and Trust, a division of Synovus Bank (the “New Loan”). The New Loan was guaranteed by the Company, bears interest at a rate of 6.5% per annum, is payable in monthly payments of $18,049 based on a fourteen year amortization and has a maturity date of May 10, 2014. It required a loan fee of $2,500. The New Loan is secured by the Georgia Park land, buildings and improvements and most of the Park’s assets.

		September 30, 2012		October 2, 2011
The Commercial Bank and Trust of Troup County original loan was repaid in monthly installments of $19,250 based on a twenty year amortization schedule. The interest rate on the original loan was 7.75% for the first five years. The original loan matured on November 17, 2010, but terms continued on a month to month basis until March 2011. The new note requires monthly payments of $18,048.55 based on a 14 year amortization. The loan has a fixed interest rate of 6.5%, and a balloon payment due in June 2014. The loan is secured by a first priority security agreement and a first priority security deed on the assets of the Georgia Park.	$	1,843,278	$	1,935,043

In addition, Wild Animal Safari, Inc. maintains several lines of credit loans from Commercial Bank & Trust Company of Troup County (CB&T) for working capital purposes which total $600,000.These lines of credit are renewable annually, subject to the satisfactory performance by Wild Animal Safari theme park assets. The lines of credit were not drawn on as of September 30, 2012 and were drawn down to $42,000 as of October 2, 2011. All advances are recorded as current liabilities.

On March 5, 2008 the Company’s wholly owned subsidiary Wild Animal, Inc. issued a note payable to Oak Oak, Inc. in the amount of $1,750,000 for debt incurred in the purchase of the Wild Animal theme park. The note bears interest at 8% and is payable in 36 monthly installments of $12,841, and a final balloon payment at the end of the 3 ^rdyear. In March, 2011Wild Animal, Inc. made an additional one-time lump sum payment of $50,000 that allowed it to extend the loan for an additional 2years on the same terms. The note was extended and has a final balloon payment due in full on the 60^thpayment in March 2013.		1,617,622		1,641,266

On March 5, 2008 the Company obtained a loan from Commercial Bank & Trust in the amount of $500,000 to improve and upgrade facilities of the Missouri Park. This loan bears interest at a rate of 7.25% and is payable in 60 monthly payments of $9,986.		58,538		169,591

Total Debt		3,519,438		3,,745,900
Less current portion of long-term debt		(1,773,935)		(227,101)
Long-term Debt	$	1,745,503	$	3,518,799

At September 30, 2012 the scheduled future principal maturities for all notes are as follows:

Period Ending September 30, 2012
2012	$	1,773,935
2013		1,745,503
2014		0
2015		0
2016		0
thereafter		0
		3,519,438
Less: current portion		(1,773,935)
Long-term portion	$	1,745,503

In September 2012, the Board approved and the Company signed a commitment letter from Commercial Bank & Trust Co., to refinance all of the Company’s outstanding debt with a new loan (the “Refinancing Loan”) in the principal amount of $3,752,000. The proceeds will be used to pay off all outstanding debt including the seller financing from the purchase of the Missouri Park. Proceeds from the Refinancing Loan will also be used to fund $200,000 of new construction and renovations at the Parks. The Refinancing Loan will bear interest at a rate of the Prime Rate plus 2.50% (currently 5.75%) during the first five years of the loan. Thereafter, the interest rate will be re-priced every five years based on the then-Prime Rate plus 2.50%. During the first four months following the closing of the Refinancing Loan the Company may make interest-only payments. The estimated full monthly payment will be $26,112 during the first five years of the Loan term. During the past year, the Company’s mortgages required total monthly payments of $40,876 (annual payments totaling $490,512) as compared to the new estimated annual payments of $313,344. The Refinancing Loan will result in lower annual debt service payments of $177,168. The closing costs for the Refinancing Loan are estimated to be approximately $150,000 and will be funded from the proceeds at closing.