Credit Agreement

9 Months Ended

Sep. 29, 2018

Debt Disclosure [Abstract]

Debt

Credit Agreement

Our $300 million credit facility is for general corporate purposes and is also utilized to meet our seasonal working capital requirements. The credit agreement provides the lenders with a collateral security interest in substantially all of our assets and those of our subsidiaries and requires us to comply with, among other things, a maximum leverage ratio and a minimum interest coverage ratio. Under the terms of the credit agreement we pay a variable rate of interest and a commitment fee based on our leverage ratio. The credit agreement includes an accordion feature which allows us to increase the amount of the credit facility from $300 million to $450 million, subject to lenders' approval. The credit agreement matures in February 2023. We were in compliance with all financial covenants as of September 29, 2018.

The following tables summarizes our borrowings under the credit facility ($ in thousands):

	September 29, 2018			December 30, 2017
Outstanding borrowings	$	135,800		$	24,500
Outstanding letters of credit	$	3,450		$	3,150
Additional borrowing capacity	$	160,750		$	125,500
Weighted-average interest rate	4.0		%	3.1		%