Annual report pursuant to Section 13 and 15(d)

Long-Term Debt (Tables)

v3.19.3.a.u2
Long-Term Debt (Tables)
12 Months Ended
Sep. 30, 2019
Schedule of Fixed Coverage Ratio

The BofA Revolver Loan bears interest at a variable rate based on a base rate plus a margin. The current base rate is the greater of (i) Bank of America prime rate, (ii) the current federal funds rate plus 0.50%, or (iii) 30-day LIBOR plus 1.00% plus the margin, which varies, depending on the fixed coverage ratio table below. Levels I – IV determine the interest rate to be charged Marquis which is based on the fixed charge coverage ratio achieved. The Level IV interest rate is adjusted up or down on a quarterly basis going forward based upon the above fixed coverage ratio achieved by Marquis.

 

Level

 

Fixed Charge Coverage Ratio

 

Base Rate

Revolver

 

 

LIBOR

Revolver

 

 

Base Rate

Term

 

 

LIBOR

Term Loans

 

I

 

>2.00 to 1.00

 

 

0.50

%

 

 

1.50

%

 

 

0.75

%

 

 

1.75

%

II

 

<2.00 to 1.00 but >1.50 to 1.00

 

 

0.75

%

 

 

1.75

%

 

 

1.00

%

 

 

2.00

%

III

 

<1.50 to 1.00 but >1.20 to 1.00

 

 

1.00

%

 

 

2.00

%

 

 

1.25

%

 

 

2.25

%

IV

 

<1.2x

 

 

1.25

%

 

 

2.25

%

 

 

1.50

%

 

 

2.50

%

 

Summary of Maximum Senior Leverage Ratio Required to Maintain for Vintage Stock

Vintage Stock is required to maintain a declining maximum senior leverage ratio on a trailing twelve-month basis as follows:

 

June 30, 2018

 

2.85 : 1.00

September 30, 2018

 

2.85 : 1.00

December 31, 2018

 

2.65 : 1.00

March 31, 2019

 

2.60 : 1.00

June 30, 2019

 

2.40 : 1.00

September 30, 2019

 

2.40 : 1.00

December 31, 2019

 

2.40 : 1.00

March 31, 2020

 

2.20 : 1.00

June 30, 2020

 

2.15 : 1.00

September 30, 2020

 

2.05 : 1.00

December 31, 2020

 

1.85 : 1.00

March 31, 2021

 

1.60 : 1.00

June 30, 2021 and thereafter

 

1.55 : 1.00

Summary of Minimum Fixed Charge Ratio Required to Maintain for Vintage Stock

 

Vintage Stock is required to maintain on a trailing twelve-month basis a minimum fixed charge ratio of no less than the following:

 

June 30, 2018

 

1.30 : 1.00

September 30, 2018

 

1.30 : 1.00

December 31, 2018

 

1.30 : 1.00

March 31, 2019

 

1.10 : 1.00

June 30, 2019

 

1.30 : 1.00

September 30, 2019

 

1.30 : 1.00

December 31, 2019

 

1.30 : 1.00

March 31, 2020 and thereafter

 

1.40 : 1.00

Schedule of Long-term Debt

Notes Payable as of September 30, 2019 and 2018 consisted of the following:

 

 

 

September 30,

2019

 

 

September 30,

2018

 

Bank of America Revolver Loan

 

$

13

 

 

$

7,600

 

Texas Capital Bank Revolver Loan

 

 

10,590

 

 

 

11,892

 

Crossroads Financial Revolver Loan

 

 

1,981

 

 

 

 

Note Payable Comvest Term Loan

 

 

15,412

 

 

 

22,500

 

Note Payable to the Sellers of Vintage Stock

 

 

10,000

 

 

 

10,000

 

Note #1 Payable to Banc of America Leasing & Capital LLC

 

 

2,057

 

 

 

3,231

 

Note #2 Payable to Banc of America Leasing & Capital LLC

 

 

 

 

 

1,637

 

Note #3 Payable to Banc of America Leasing & Capital LLC

 

 

2,379

 

 

 

2,872

 

Note #4 Payable to Banc of America Leasing & Capital LLC

 

 

731

 

 

 

882

 

Note #5 Payable to Banc of America Leasing & Capital LLC

 

 

3,065

 

 

 

3,569

 

Note #6 Payable to Banc of America Leasing & Capital LLC

 

 

891

 

 

 

 

Note Payable to Store Capital Acquisitions, LLC

 

 

9,274

 

 

 

9,302

 

Note payable to individual, interest at 11% per annum, payable on a 90 day

   written notice, unsecured

 

 

207

 

 

 

207

 

Note payable to individual, interest at 10% per annum, payable on a 90 day

   written notice, unsecured

 

 

500

 

 

 

500

 

Note payable to individual, interest at 8.5% per annum, payable on a 120 day

   written demand notice, unsecured

 

 

 

 

 

225

 

Total notes payable

 

 

57,100

 

 

 

74,417

 

Less unamortized debt issuance costs

 

 

(1,384

)

 

 

(1,654

)

Net amount

 

 

55,716

 

 

 

72,763

 

Less current portion

 

 

(7,897

)

 

 

(13,958

)

Long-term portion

 

$

47,819

 

 

$

58,805

 

 

Schedule of Future Maturities of Long-term Debt

Future maturities of long-term debt at September 30, 2019 are as follows excluding related party debt:

 

Years ending September 30,

 

 

 

 

2020

 

$

7,897

 

2021

 

 

5,665

 

2022

 

 

4,507

 

2023

 

 

28,584

 

2024

 

 

1,198

 

Thereafter

 

 

9,249

 

Total

 

$

57,100

 

Bank of America Revolver Loan  
Summary of Bank Revolver

The following tables summarize the BofA Revolver for the years ended and as of September 30, 2019 and 2018:

 

 

 

During the year ended September 30,

 

 

 

2019

 

 

2018

 

Cumulative borrowing during the period

 

$

87,771

 

 

$

94,697

 

Cumulative repayment during the period

 

 

95,358

 

 

 

91,947

 

Maximum borrowed during the period

 

 

8,071

 

 

 

8,531

 

Weighted average interest for the period

 

 

4.20

%

 

 

3.79

%

 

 

 

 

 

 

 

 

 

 

 

As of September 30,

 

 

 

2019

 

 

2018

 

Total availability

 

$

14,914

 

 

$

9,692

 

Total outstanding

 

 

13

 

 

 

4,852

 

Texas Capital Bank Revolver Loan  
Summary of Bank Revolver

The TCB Revolver provides for customary events of default with corresponding grace periods, including failure to pay any principal or interest when due, failure to comply with covenants, change in control of Vintage Stock, a material representation or warranty made by us or the borrowers proving to be false in any material respect, certain bankruptcy, insolvency or receivership events affecting Vintage Stock, defaults relating to certain other indebtedness, imposition of certain judgments and mergers or the liquidation of Vintage Stock. The following tables summarize the TCB Revolver for the years ended and as of September 30, 2019 and September 30, 2018:

 

 

 

During the year ended September 30,

 

 

 

2019

 

 

2018

 

Cumulative borrowing during the period

 

$

74,356

 

 

$

76,191

 

Cumulative repayment during the period

 

 

75,648

 

 

 

76,819

 

Maximum borrowed during the period

 

 

11,932

 

 

 

16,078

 

Weighted average interest for the period

 

 

4.55

%

 

 

4.26

%

 

 

 

 

 

 

 

 

 

 

 

As of September 30,

 

 

 

2019

 

 

2018

 

Total availability

 

$

1,410

 

 

$

108

 

Total outstanding

 

 

10,590

 

 

 

11,892