Credit Arrangements

12 Months Ended

Jun. 30, 2015

Credit Arrangements [Abstract]

Credit Arrangements

6.   CREDIT ARRANGEMENTS

The Company maintains a credit agreement which was amended on June 29, 2015, and provides short-term working capital financing up to $30.0 million with interest of LIBOR plus 1%(1.19% at June 30, 2015), including up to $4.0 million of letters of credit. The amendment decreased borrowing availability from $65.0 to $30.0 million. Letters of credit outstanding at June 30, 2015 totaled $2.9 million. As of June 30, 2015, the Company utilized $10.6 million of borrowing availability under the credit facility, other than the aforementioned letters of credit, leaving borrowing availability of $16.5 million. The credit agreement expires December 31, 2016. At June 30, 2015, the Company was in compliance with all of the financial covenants contained in the credit agreement.

An officer of the Company is a director at a bank where the Company maintains an unsecured $10.0 million line of credit, with interest at prime minus 2%(1.25% at June 30, 2015), and where its routine banking transactions are processed. As of June 30, 2015, the Company utilized borrowing availability during the year and $1.3million was outstanding on the line of credit at June 30, 2015. In addition, the supplemental retirement plan assets, held in a Rabbi Trust, of $3.5 million are administered by this bank's trust department. The Company receives no special services or pricing on the services performed by the bank due to the directorship of this officer.