Notes Payable and Other Noncurrent Liabilities

3 Months Ended

Mar. 31, 2021

Notes Payable and Other Noncurrent Liabilities

Notes Payable and Other Noncurrent Liabilities

9. Notes Payable and Other Noncurrent Liabilities

We entered into an amended and restated credit agreement dated January 22, 2019 and two related amendments dated January 31, 2019 and dated February 1, 2019, respectively, that together provide a credit facility of $325,000 comprised of a term loan facility of $243,750 and a revolving credit facility of $81,250, both with a five-year maturity date. The Company concluded that the amended and restated credit agreement is considered a loan modification. Accordingly, the Company allocated the costs paid to the bank consortium based on the borrowing dollars and recorded an asset of $596 and a contra liability of $1,639, which are related to our revolver and term loan, respectively, that is being amortized to interest expense over the five-year maturity date.

The Company entered into a further amendment for the credit facility on October 31, 2019. This amendment increased the revolving commitment by $68,750 to $150,000, while reducing the term loan by the same $68,750 to $150,625. The Company concluded that this amendment is considered a loan modification. The amended and restated credit agreement contains standard covenants that, among other things, restrict the Company’s ability to incur additional debt or make certain investments, and require the Company to achieve certain financial ratios and maintain certain financial conditions. The Company’s obligations under the credit facility are secured by its assets, including all rights,

benefits and payments under the Secured Note and the Master Services Agreement. As of March 31, 2021, the Company is in compliance with its debt covenants.

	As of March 31,		As of December 31,
	2021		2020
Notes Payable
Note payable, quarterly payment of $8,368 starting December 31, 2019; interest at 30-Day LIBOR plus 2.00% (2.12% at March 31, 2021) through January 22, 2024	$	99,488	$	107,774
Revolving line of credit; interest at 30-Day LIBOR plus 2.0% (2.12% at March 31, 2021)		—		—
		99,488		107,774
Less: Current portion		33,144		33,144
	$	66,344	$	74,630

Payments due under the notes payable obligations are as follows as of December 31:

Remainder of 2021	$	24,858
2022		33,144
2023		33,145
2024		8,341
2025		—
Total	$	99,488