7. LONG-TERM DEBT

Long-term debt outstanding is summarized as follows:


(Dollars in millions)	September 28, 2012		September 30, 2011
Unsecured term loan, 6.70% due in one installment of $6.25 payable in fiscal year 2014	$	6.3	$	12.5
Loan assumed through purchase of land and building, 7.34% was fully paid in fiscal year 2012		0.0		3.6

		6.3		16.1
Less: current maturities of long-term debt		0.0		9.9

Long-term debt	$	6.3	$	6.2

The term loan agreements contain a covenant that requires the Company to pay prepayment penalties if the Company elects to pay off this debt before the maturity dates and the market interest rate is lower than the fixed interest rates of the debt at the time of repayment. They also contain covenants that limit future borrowings and cash dividend payments and require the Company to maintain specified levels of working capital and operating results. For all fiscal years presented within these consolidated financial statements, the Company was in compliance with all restrictive covenants of the unsecured term loan agreements.

Interest paid on long-term debt was $0.8 million for fiscal year 2012, $1.5 million for fiscal year 2011 and $2.1 million for fiscal year 2010. The principal balance of the debt is payable in fiscal year 2014.