DEBT	6 Months Ended
Jun. 30, 2019
DEBT
DEBT	NOTE 8 – DEBT In October 2010, the Company entered into a Loan and Security Agreement (“Credit Agreement”) with an affiliate of Capital One, National Association (“Capital One” or the “Bank”). The Credit Agreement, as amended from time-to-time, among other things, provides the ability to borrow funds under a $16,000,000 revolver line ("Revolver "), subject certain borrowing base criteria. Additionally, there is a $2,000,000 line for capital expenditures ("Capex Loan"), with $1,600,000 available for future borrowings. Revolver and Capex Loan borrowings are secured by the Company’s accounts receivable, inventory, equipment, real property among other things. The Company also owed the principal amount of $100,000 under a Tranche A Term Loan, as defined in the Credit Agreement. P&F and certain of its subsidiaries are borrowers under the Credit Agreement, and their obligations are cross-guaranteed by certain other subsidiaries. The Credit Agreement has an expiration date of February 8, 2024. As a condition to the Bank approving and releasing the lien on and sale of the Jupiter Facility, discussed in Note 1, upon the consummation of such sale, the Company was required to (and did) apply the net proceeds from such sale to: (a) pay off its Tranche A Term Loan; (b) pay off the Capex Loan (which had a principal amount of approximately $313,000); and (c) pay off the Revolver (which had a balance owing to the Bank of approximately $7.5 million). Following the sale of the Jupiter Facility, the Company is still able to borrow under the Capex Loan and the Revolver under the terms of the Credit Agreement. At the Company’s option, Revolver borrowings bear interest at either LIBOR (“London interbank Offered Rate”) or the Base Rate, as the term is defined in the Credit Agreement, plus an Applicable Margin, as defined in the Credit Agreement. The Company is subject to limitations on the number of LIBOR borrowings. SHORT–TERM BORROWINGS At June 30, 2019, short-term or Revolver borrowing was $181,000, compared to $2,096,000, at December 31, 2018. Applicable Margin Rates at June 30, 2019 and December 31, 2018 for LIBOR and Base Rates were 1.50% and 0.50%. Additionally, at June 30, 2019 and December 31, 2018, there was approximately $15,788,000 and $12,024,000, respectively, available to the Company under its Revolver arrangement. The average balance of short-term borrowings during the three and six-month periods ended June 30, 2019 were $6,083,000 and $5,085,000, and $2,571,000 and $2,211,000 for the same periods in 2018.

NOTE 8 – DEBT

In October 2010, the Company entered into a Loan and Security Agreement (“Credit Agreement”) with an affiliate of Capital One, National Association (“Capital One” or the “Bank”). The Credit Agreement, as amended from time-to-time, among other things, provides the ability to borrow funds under a $16,000,000 revolver line ("Revolver "), subject certain borrowing base criteria. Additionally, there is a $2,000,000 line for capital expenditures ("Capex Loan"), with $1,600,000 available for future borrowings. Revolver and Capex Loan borrowings are secured by the Company’s accounts receivable, inventory, equipment, real property among other things. The Company also owed the principal amount of $100,000 under a Tranche A Term Loan, as defined in the Credit Agreement. P&F and certain of its subsidiaries are borrowers under the Credit Agreement, and their obligations are cross-guaranteed by certain other subsidiaries. The Credit Agreement has an expiration date of February 8, 2024.

As a condition to the Bank approving and releasing the lien on and sale of the Jupiter Facility, discussed in Note 1, upon the consummation of such sale, the Company was required to (and did) apply the net proceeds from such sale to: (a) pay off its Tranche A Term Loan; (b) pay off the Capex Loan (which had a principal amount of approximately $313,000); and (c) pay off the Revolver (which had a balance owing to the Bank of approximately $7.5 million). Following the sale of the Jupiter Facility, the Company is still able to borrow under the Capex Loan and the Revolver under the terms of the Credit Agreement.

At the Company’s option, Revolver borrowings bear interest at either LIBOR (“London interbank Offered Rate”) or the Base Rate, as the term is defined in the Credit Agreement, plus an Applicable Margin, as defined in the Credit Agreement. The Company is subject to limitations on the number of LIBOR borrowings.

SHORT–TERM BORROWINGS

At June 30, 2019, short-term or Revolver borrowing was $181,000, compared to $2,096,000, at December 31, 2018. Applicable Margin Rates at June 30, 2019 and December 31, 2018 for LIBOR and Base Rates were 1.50% and 0.50%. Additionally, at June 30, 2019 and December 31, 2018, there was approximately $15,788,000 and $12,024,000, respectively, available to the Company under its Revolver arrangement.

The average balance of short-term borrowings during the three and six-month periods ended June 30, 2019 were $6,083,000 and $5,085,000, and $2,571,000 and $2,211,000 for the same periods in 2018.