(6)	LINE OF CREDIT

On September 13, 2013, the Company entered into a Credit Agreement with Compass Bank, which was amended on February 12, 2014 and August 8, 2014 (the “Credit Facility”). The Credit Facility allows the Company to borrow, on a revolving basis, an aggregate principal amount not to exceed $12.0 million. Interest is computed at either the lender’s prime rate or at LIBOR rate plus 1.15% in effect from time to time at the Company’s option. As of June 30, 2014, the Company’s LIBOR borrowing rate was 1.30% and the prime rate borrowing rate was 3.25%. A commitment fee on the average daily unused amount of the revolving loan commitment is also assessed at a rate of 0.25% per annum, and is payable quarterly in arrears. At June 30, 2014, the Company had approximately $8.6 million LIBOR rate borrowings outstanding and approximately $3.4 million available for borrowing under the Credit Facility. The loan matures on September 13, 2016. The Credit Facility is collateralized by substantially all of the assets of the Company. The Credit Facility requires the Company to comply with certain affirmative and negative covenants, including maintaining (i) a debt-to-EBITDA ratio of no more than 2.15 to 1.00 for the twelve months ended June 30, 2014, 2.45 to 1.00 (increased from 2.15 to 1.00 by the August 8, 2014 amendment) for the year ending December 31, 2014, 2.15 to 1.00 (increased from 2.05 to 1.00 by the August 8, 2014 amendment) for the twelve months ending June 30, 2015, 2.05 to 1.00 for the year ending December 31, 2015, and 2.00 to 1.00 for the twelve months ending June 30, 2016 and (ii) a fixed charge coverage ratio of not less than 1.25 to 1.00.

As of June 30, 2014, the Company’s debt-to-EBITDA ratio was 2.25, exceeding the required covenant ratio of 2.15. On July 25, 2014, the Company received a waiver from Compass Bank for this covenant violation. As of June 30, 2014, the Company was in compliance with the fixed charge coverage ratio.