2.4.0.82107100 - Disclosure - Credit Facilitytruefalsefalse1false falsefalseD2013Q3YTDhttp://www.sec.gov/CIK0000882829duration2012-10-01T00:00:002013-06-30T00:00:001true 1us-gaap_LineOfCreditFacilityAbstractus-gaap_truenadurationfalsefalsefalsefalsefalsefalsefalsefalse1falsefalsefalse00falsefalsefalsexbrli:stringItemTypestringfalse0Line of Credit Facility [Abstract]2false 2us-gaap_DebtDisclosureTextBlockus-gaap_truenadurationfalsefalsefalsefalsefalsefalsefalsefalseterseLabel1falsefalsefalse00<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;font-size:10pt;">Credit Facility</div><div style="line-height:120%;padding-top:6px;text-indent:32px;font-size:10pt;">On November 29, 2010, the Company and Markets entered into a $245.0 million senior secured credit facility (the “Credit Facility”) with Bank of America, N.A., as administrative agent and a lender. Lenders under the Credit Facility consist of a consortium of banks. The Credit Facility consists of a four-year $145.0 million term loan (the “Term Loan”) and a $100.0 million revolving credit facility (the “Revolving Credit Facility”). The Credit Facility is secured by substantially all of the Company’s personal property excluding certain intangible assets consisting of trademarks and shares of capital stock. The Credit Facility is guaranteed by the Company, its direct subsidiary Development and by its indirect subsidiaries Super Rx and Dairies.</div><div style="line-height:120%;padding-top:12px;text-indent:32px;font-size:10pt;">The Term Loan bears interest at the Eurodollar Rate plus 2.50% or the Base Rate plus 1.50% (as defined in the Credit Facility) and the interest under the Term Loan is payable quarterly in arrears and includes mandatory quarterly principal payments of 5.0%, of the original outstanding balance, in each of the first two years of the agreement and 10.0%, of the original outstanding balance, in each of the years three and four of the agreement. The Term Loan also includes additional mandatory principal payments on the Term Loan based on a percentage of “excess cash flow” as defined in the Credit Facility. The Term Loan is due November 29, 2014 with any remaining outstanding principal amounts under the Term Loan due as of that date. The security held under the Credit Facility is held until the Term Loan is paid in full.</div><div style="line-height:120%;padding-top:12px;text-indent:32px;font-size:10pt;">During the thirty-nine weeks ended June 30, 2013, the Company made principal payments on the term loan of approximately $11.4 million which consisted of a contractual quarterly principal payment of $10.9 million and an excess cash payment of approximately $0.5 million.</div><div style="line-height:120%;padding-top:12px;text-indent:32px;font-size:10pt;">As of June 30, 2013, the interest rates on the Term Loan are based on the Eurodollar Rate and consisted of a ninety day rate of approximately 2.778% on approximately $3.6 million of outstanding principal amount and a twelve month rate of approximately 3.344% on approximately $89.9 million of outstanding principal amount.</div><div style="line-height:120%;font-size:10pt;"> </div><div style="line-height:120%;font-size:10pt;">Note 7 – Credit Facility (contd.)</div><div style="line-height:120%;padding-top:12px;text-indent:32px;font-size:10pt;">Subject to certain restrictions, the entire amount of the Revolving Credit Facility may be used for loans, letters of credit or a combination thereof. Borrowing under the Revolving Credit Facility are secured and will be used for working capital, certain capital expenditures and other general corporate purposes. Letters of credit issued under the Revolving Credit Facility are expected to be used for workers’ compensation insurance obligations and may be used for new store construction and certain other corporate purposes. The availability of the loans and letters of credit are subject to certain borrowing restrictions.</div><div style="line-height:120%;padding-top:12px;text-indent:32px;font-size:10pt;">Loans under the Revolving Credit Facility bear interest at a rate based upon either (i) the “Base Rate” (defined as the higher of (a) the federal funds rate plus 0.50% and (b) the Bank of America “prime rate”), plus 1.50%, or (ii) the “Eurodollar Rate” (defined as the British Bankers Association LIBOR Rate adjusted for the maximum reserve requirement for Eurocurrency funding), plus 2.50%. For Eurodollar Rate loans, the Company will be entitled to select interest periods of one, two, three, six, nine or twelve months, subject to availability.</div><div style="line-height:120%;padding-top:12px;text-indent:32px;font-size:10pt;">The Credit Facility requires the Company and Markets to meet certain financial tests, including minimum net worth and the maintenance of minimum earnings levels. The Credit Facility contains covenants which, among other things, limit the ability of the Company and its subsidiaries to (i) incur indebtedness, grant liens and guarantee obligations, (ii) enter into mergers, consolidations, liquidations and dissolutions, asset sales, investments, leases and transactions with affiliates, (iii) make restricted payments and (iv) make certain amendments to the Indentures governing the $255.0 million 7.375% Senior Notes due November 15, 2018 (“7.375% Senior Notes”) and the $285.0 million 7.75% Senior Notes due April 15, 2015 (“7.75% Senior Notes”) (“Notes Indentures”). Markets and the Company’s other direct and indirect subsidiaries are not limited in their ability to transfer assets in the form of loans, advances or cash dividends to the Company.</div><div style="line-height:120%;padding-top:12px;text-indent:32px;font-size:10pt;">As of June 30, 2013, the Company and Markets were in compliance with all restrictive financial covenants under the Credit Facility.</div><div style="line-height:120%;padding-top:12px;text-indent:32px;font-size:10pt;">As of June 30, 2013, the Company had $59.9 million of outstanding letters of credit and had $40.1 million available under the Credit Facility.</div><div style="line-height:120%;padding-top:12px;text-indent:32px;font-size:10pt;">The Company had no borrowings outstanding under the Revolving Credit Facility as of June 30, 2013 and the Company did not incur any borrowings under the Revolving Credit Facility during the thirty-nine weeks ended June 30, 2013.</div></div>falsefalsefalsenonnum:textBlockItemTypenaThe entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 02 -Paragraph 19, 20, 22 -Article 5 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 129 -Paragraph 2, 4 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.19,20,22) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 false0Credit FacilityfalseCredit FacilityUnKnownUnKnownUnKnownUnKnowntruefalsefalseSheethttp://www.staterbros.com/role/CreditFacility12