Debt (Text Block)

3 Months Ended

Sep. 30, 2011

Debt and Capital Leases Disclosures [Text Block]

DEBT

The Company’s outstanding long and short term debt is as follows:



	September 30,		June 30,
	2011		2011
LONG TERM DEBT
Term loan	$	144,375	$	150,000
Capital leases	9,239		—
Other borrowings	825		1,015
	154,439		151,015
Less current maturities	30,291		23,076
Debt, net of current maturities	$	124,148	$	127,939



SHORT TERM DEBT
Capital leases	$	2,870	$	3,016
Current maturities of long-term debt	30,291		23,076
Notes payable and current maturities of long term debt	$	33,161	$	26,092

The Company has a bank credit facility agreement that includes a revolving credit facility and a term loan.

Revolving credit facility

The long term revolving loan allows for borrowings of up to $150,000, which may be increased by the Company at any time until maturity to $250,000. The revolving loan terminates June 4, 2015. At September 30, 2011, there was no outstanding revolving loan balance.

Term loan

The term loan had an original principal balance of $150,000, with quarterly principal payments of $5,625 that began on September 30, 2011. The remaining outstanding balance on June 4, 2015 is due and payable on that date. At September 30, 2011, the outstanding balance of $144,375 was bearing interest at a rate of 2.37%, and $22,500 will be maturing within the next twelve months.

Each of the above loans bear interest at a variable rate equal to (a) a rate based on LIBOR or (b) an alternate base rate (the greater of (a) the Federal Funds Rate plus 0.5%, (b) the Prime Rate or (c) LIBOR plus 1.0%), plus an applicable percentage in each case determined by the Company's leverage ratio. The loans are secured by pledges of capital stock of certain subsidiaries of the Company. The loans are also guaranteed by certain subsidiaries of the Company. The credit facility is subject to various financial covenants that require the Company to maintain certain financial ratios as defined in the agreement. As of September 30, 2011, the Company was in compliance with all such covenants.

Capital leases

The Company has entered into various capital lease obligations for the use of certain computer equipment. Long term capital lease obligations were entered into of which $9,239 remains outstanding at September 30, 2011 and $7,267 will be maturing within the next twelve months. The Company also has short term capital lease obligations totaling $2,870 at September 30, 2011.

Other lines of credit

The Company renewed an unsecured bank credit line on April 29, 2011 which provides for funding of up to $5,000 and bears interest at the prime rate less 1% (2.25% at September 30, 2011). The credit line was renewed through April 29, 2012. At September 30, 2011, no amount was outstanding.

The Company renewed a bank credit line on March 7, 2011 which provides for funding of up to $8,000 and bears interest at the Federal Reserve Board’s prime rate (3.25% at September 30, 2011). The credit line expires March 7, 2012 and is secured by $1,000 of investments. At September 30, 2011, no amount was outstanding.