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Bank Loans
9 Months Ended
Sep. 30, 2011
Bank Loans [Abstract] 
Bank Loans

5.   Bank loans

 

On August 3, 2011, the Company modified the terms of its line of credit (the "Credit Facility") with Wells Fargo Bank. The modification of the Credit Facility increased the borrowing limit to $250.0 million and extended the expiration to August 1, 2015. The modified rate of interest charged on borrowings is equal to a rate ranging from the London Interbank Offered Rate ("LIBOR") plus 1.00% to LIBOR plus 1.85% depending on the Company's credit ratings. Currently, the Company's rate under the Credit Facility is LIBOR plus 1.10%. In addition, the Company is required to pay an annual facility fee ranging from 0.15% to 0.45% of the borrowing limit depending on the Company's credit ratings (currently 0.15%). As of September 30, 2011, the Company had $146.0 million outstanding on the Credit Facility at an interest rate of 1.35%. Funds from the Credit Facility were used for the repurchase of 591,500 shares of common stock at an aggregate cost of $30.3 million and to repay the outstanding balance on the note payable to affiliate. Subsequent to September 30, 2011, the Company repaid $6.0 million on the Credit Facility reducing the outstanding balance to $140.0 million. The Company had $93.0 million outstanding on the Credit Facility at an interest rate of 2.11% at December 31, 2010. The Credit Facility requires the Company to meet certain covenants, with which the Company was in compliance at September 30, 2011. Interest on outstanding borrowings is payable monthly.