Annual report pursuant to Section 13 and 15(d)

Revolving Credit Facility

Revolving Credit Facility
12 Months Ended
Jun. 30, 2016
Debt Disclosure [Abstract]  
Revolving Credit Facility
9.   Revolving
      Credit Facility
The Company has a revolving line of credit facility pursuant to which the Company may borrow up to $2,250,000. Borrowings under the credit facility bear interest at 2.50% per annum above the Adjusted LIBOR Market Index Rate. Effective November 1, 2015, the credit facility and the maturity date for borrowings under the credit facility were extended from November 1, 2015 to November 1, 2016. The Company’s obligations under the credit facility are guaranteed by the Company’s subsidiaries and collateralized by substantially all of the assets of the Company and its subsidiaries. No borrowings or letters of credit were outstanding under this facility at June 30, 2016 or 2015, nor were there any borrowings or letters of credits outstanding under this facility at any time during fiscal 2016 or 2015. In addition, during fiscal 2016 and fiscal 2015, there were no foreign exchange contracts outstanding under this facility. The credit agreement requires maintenance of certain fixed charge coverage and total liabilities to tangible net worth ratios and contains other restrictive covenants, including, among other things, limitations on the extent to which the Company and its subsidiaries could incur additional indebtedness, pay dividends, guarantee indebtedness of others, grant liens, sell assets and make investments. The Company was in compliance with these covenants at June 30, 2016 and 2015.