OTHER LONG-TERM DEBT

12 Months Ended

Sep. 30, 2016

Other Long-Term Debt [Abstract]

OTHER LONG-TERM DEBT

(14) OTHER LONG-TERM DEBT

On July 27, 2012, FFCC entered into a loan agreement with another financial institution to finance the retail development and construction project discussed in Note 5. The loan had a maximum commitment of $5.0 million and was for a ten-year term with a fixed interest rate of 4.0% for the first six years of the loan term, then adjusting annually thereafter to the one-year LIBOR rate plus 250 basis points. The loan provided for 12 interest only monthly payments through July 27, 2013, followed by 107 monthly payments sufficient to fully amortize the loan over a 20 year period and a balloon payment of all outstanding principal and interest at maturity on July 27, 2022. The loan was secured by a mortgage and assignment of leases and rents on the retail development property. The real estate development was sold on September 29, 2016, at which time the loan was repaid in full. The outstanding principal balance of the loan was $4.6 million at September 30, 2015.

Interest expense of $161,000 and $176,000 was recognized on other long-term debt for the years ended September 30, 2016 and 2015, respectively.