6. Short and Long-Term Debt

Short and long-term debt is summarized as follows:



	September 30,		December 31,
	2016		2015

Domestic Asset-Based Revolving Credit Facility	$	2,213	$	4,674
Foreign Overdraft and Letter of Credit Facility		1,248		913
Domestic Term-Loan		5,500		4,250
Unamortized Finance Costs		(97)		-
Total Debt		8,864		9,837
Less: Current maturities		(2,002)		(1,908)
Total Long-Term Debt	$	6,862	$	7,929

Domestic Credit Facilities

The Company and its domestic subsidiaries are parties to a credit facility with The PrivateBank and Trust Company. The credit facility, as amended through September 30, 2016, provides for:

an $9,000 revolving credit facility, with a $200 sub facility for letters of credit. Under the revolving credit facility, the availability of funds depends on a borrowing base composed of stated percentages of the Company’s eligible trade receivables and eligible inventory, and eligible equipment less a reserve; and

a term loan in the original amount of $6,000.

In August 2016, the Company and its domestic subsidiaries entered into an Ninth Amendment to the Loan and Security Agreement and Waiver with The PrivateBank and Trust Company. The amendment, among other things:

amended the definition of EBITDA to permit the add back of certain transactions expenses and expense reductions;

amended the funded debt to EBITDA and fixed charge coverage covenants; and

waived a default in the funded debt to EBITDA covenant as of June 30, 2016.

All of the borrowings under this agreement have been characterized as either a current or long-term liability on our balance sheet in accordance with the repayment terms described more fully below.

Loans under the credit facility are secured by a security interest in substantially all of the assets of the Company and its domestic subsidiaries including a pledge of the stock of its domestic subsidiaries. Loans under the credit facility bear interest at varying rates based on the Company’s leverage ratio of funded debt / EBITDA, at the option of the Company, at:

the London InterBank Offered Rate (“LIBOR”) plus 2.50% to 4.00%, or

the base rate, which is the higher of (a) the rate publicly announced from time to time by the lender as its “prime rate” and (b) the Federal Funds Rate plus 0.5%, plus 0.00% to 1.25% ; in each case, depending on the Company’s leverage ratio.

Interest is payable monthly in arrears, except that interest on LIBOR based loans is payable at the end of the one, two or three month interest periods applicable to LIBOR based loans. IntriCon is also required to pay a non-use fee equal to 0.25% per year of the unused portion of the revolving line of credit facility, payable quarterly in arrears.

Weighted average interest on the revolving credit facility was 4.79% for the nine months ended September 30, 2016 and 3.68% for the year ended December 31, 2015. The outstanding balance of the revolving credit facility was $2,213 and $4,674 at September 30, 2016 and December 31, 2015, respectively. The total availability on the revolving credit facility was approximately $5,429 and $3,326 at September 30, 2016 and December 31, 2015, respectively.

The outstanding principal balance of the term loan, as amended, is payable in quarterly installments of $250. Any remaining principal and accrued interest is payable on February 28, 2019. IntriCon is also required to use 100% of the net cash proceeds of certain asset sales (excluding inventory and certain other dispositions), sale of capital securities or issuance of debt to pay down the term loan.

The Company was in compliance with the financial covenants under the facility as of September 30, 2016.

Foreign Credit Facility

In addition to its domestic credit facilities, the Company’s wholly-owned subsidiary, IntriCon, PTE LTD., entered into an international senior secured credit agreement with Oversea-Chinese Banking Corporation Ltd. that provides for an asset based line of credit. Borrowings bear interest at a rate of .75% to 2.5% over the lender’s prevailing prime lending rate. Weighted average interest on the international credit facilities was 3.48% for the nine months ended September 30, 2016 and 3.37% for the year ended December 31, 2015. The outstanding balance was $1,248 and $913 at September 30, 2016 and December 31, 2015, respectively. The total remaining availability on the international senior secured credit agreement was approximately $525 and $817 at September 30, 2016 and December 31, 2015, respectively.