Short-term borrowing activity under Pennichuck Water's FALOC for the years ended
December 31, 2020 and 2019 was:
(in thousands) 2020 2019
Established line as of December 31, S 12,000 S 10,000
Maximum amount outstanding during period 7,223 8,850
Average amount outstanding during period 3,610 4,131
Amount outstanding as of December 31, 4,550 5,848
Weighted average interest rate during period 2.80% 4.07%
Interest rate as of December 31, 1.90% 3.55%
Short-term borrowing activity under Pennichuck East’s FALOC for the years ended
December 31, 2020 and 2019 was:
2020 2019
Established line as of December 31, S 3,000 S 3,000
Maximum amount outstanding during period 1,106 1,894
Average amount outstanding during period 1,022 1,172
Amount outstanding as of December 31, 306 996
Weighted average interest rate during period 2.80% 4.56%
Interest rate as of December 31, 2.15% 3.99%
The Company's revolving credit loan facilities with TD Bank contain certain covenant
obligations upon Pennichuck Water, which are as follows:
Debt to Capital Covenant - Pennichuck Water cannot create, issue, incur, assume or
guarantee any short-term debt if (1) the sum of the short-term debt plus its funded debt
(“Debt”) shall exceed 85% of the sum of its short-term debt, funded debt and capital stock
plus surplus accounts (“Capital”), unless the short-term debt issued in excess of the 85%
is subordinated to the loan facility. Thereby, the ratio of Debt to Capital must be equal to
or less than 1.0. As of December 31, 2020 and 2019, Pennichuck Water has a Debt to
Capital Coverage ratio of 0.6 and 0.6, respectively.
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