Quarterly report pursuant to Section 13 or 15(d)

Notes and Other Obligations

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Notes and Other Obligations
3 Months Ended
Mar. 31, 2014
Notes and Other Obligations [Abstract]  
Notes and Other Obligations
Note 4. Notes and Other Obligations:

Notes payable and other obligations consisted of the following:
 
   
March 31,
2014
(Unaudited)
   
December 31,
2013
 
         
Mortgage notes
 
$
2,260,708
   
$
2,296,919
 
Other short-term installment obligations
   
69,653
     
173,460
 
                 
     
2,330,361
     
2,470,379
 
Less current portion
   
217,892
     
319,771
 
                 
   
$
2,112,469
   
$
2,150,608
 
 
Mortgage notes:
 
The Company has a mortgage facility on its land and building. The mortgage is held by a commercial bank and includes approximately 35% that is guaranteed by the U. S. Small Business Administration ("SBA"). The loan is collateralized by the real property and the SBA portion is also personally guaranteed by a former officer of the Company. The commercial bank portion of the mortgage was refinanced with the existing lender in May 2013. The revised terms include a payment schedule based on a fifteen year amortization, with a balloon maturity at five years. The commercial bank portion has the interest rate fixed at 3.95%, and the SBA portion bears interest at the rate of 5.86%. The commercial bank portion of the loan requires total monthly payments of approximately $11,700, which includes approximately $5,200 per month in interest. The SBA portion of the loan requires total monthly payments of approximately $9,200 through July 2023, which currently includes approximately $3,500 per month in interest and fees.

Future maturities:
 
The Company's total debt obligations require minimum annual principal payments of approximately $180,000 for the remainder of 2014, $153,000 in 2015, $159,000 in 2016, $166,000 in 2017, $1,268,000 and $404,000 thereafter, through the terms of the applicable debt agreements.