Green Dot 2014 Annual Report Download - page 82

Note 10—Note Payable (continued)
of any borrowings under the Revolving Facility for working capital and other general corporate purposes, subject to
the terms and conditions set forth in the credit agreement.
Interest and other fees
At our election, loans made under the credit agreement bear interest at 1) a LIBOR rate (the “LIBOR Rate") or 2)
a base rate determined by reference to the highest of (a) the Bank of America prime rate, (b) the United States federal
funds rate plus„0.50%„and (c) a daily rate equal to one-month LIBOR rate plus1.0%„(the “Base Rate"), plus in either
case an applicable margin. The applicable margin for borrowings depends on our total leverage ratio and varies from
2.50%„to„3.00%„for LIBOR Rate loans and„1.50%„to„2.00%„for Base Rate loans. The effective interest rate on
borrowings outstanding as of December„31, 2014 was 2.92%. Interest expense related to our Senior Credit Facility
was $0.9 million for the year ended December„31, 2014.
We also pay a commitment fee, which varies from„0.30%„to„0.40%„per annum on the actual daily unused portions
of the Revolving Facility. Letter of credit fees are payable in respect of outstanding letters of credit at a rate per annum
equal to the applicable margin for LIBOR Rate loans.
Maturity and payments
The Revolving Facility matures, the commitments thereunder terminate, and all amounts then outstanding
thereunder are payable on October 23, 2019.
Quarterly principal payments of„$5.6 million„are payable on the loans under the Term Facility. The loans made
under the Term Facility mature and all amounts then outstanding thereunder are payable on October 23, 2019.
The following table sets forth future annual contractual principal payment commitments as of„December„31, 2014.
December 31,
(In thousands)
2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $22,500
2016 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22,500
2017 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22,500
2018 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22,500
2019 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60,000
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $150,000
We have the option to prepay the borrowings under the Senior Credit Facility without premium or penalty (other
than customary breakage costs). The credit agreement requires us to repay certain amounts outstanding thereunder
with (1) net cash proceeds of certain asset sales or other dispositions that exceed certain thresholds, to the extent
such proceeds are not reinvested or committed to be reinvested in the business in accordance with customary
reinvestment provisions and (2) net cash proceeds of the incurrence of certain indebtedness.„Borrowings under the
Senior Facilities are guaranteed by each of our domestic subsidiaries (the "Guarantor"), other than certain excluded
subsidiaries (including bank subsidiaries) and subject to certain other exceptions set forth in the credit agreement.
Obligations under the Senior Credit Facility are secured by first priority liens on, and security interests in, substantially
all of our assets and each Guarantor, subject to certain customary exceptions.
Covenants and restrictions
The Senior Credit Facility contains customary representations and warranties relating to us and our subsidiaries.
The Senior Credit Facility also contains certain affirmative and negative covenants including negative covenants that
limit or restrict, among other things, liens, indebtedness, investments and acquisitions, mergers and fundamental
changes, asset sales, restricted payments, changes in the nature of the business, transactions with affiliates and other
matters customarily restricted in such agreements. We must maintain a minimum fixed charge coverage ratio and a
maximum consolidated leverage ratio at the end of each fiscal quarter, as set forth in the credit agreement. At
December„31, 2014, we were in compliance with all such covenants.
If an event of default shall occur and be continuing under the Senior Credit Facility, the commitments may be
terminated and the principal amounts outstanding under the Senior Credit Facility, together with all accrued unpaid
interest and other amounts owing in respect thereof, may be declared immediately due and payable.
GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
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