Quarterly report pursuant to Section 13 or 15(d)

Debt Financing

Debt Financing

3 Months Ended

Dec. 29, 2019

Note 5 - Debt Financing

Credit Facility — Avidbank

As of December 29, 2019 and September 29, 2019, the outstanding principal balance on the line of credit was $600 thousand and $250 thousand, respectively. For the three months ended December 29, 2019 and December 30, 2018, the total interest expense against the outstanding line of credit balance was $5 thousand and $6 thousand, respectively.

The Company amended its revolving credit facility with Avidbank pursuant to a Seventh Amendment to Amended and Restated Loan Agreement, dated as of April 5, 2018. The substantive amendments are as follows:

●	The new revolving maturity date is April 21, 2020.

●	On April 21, 2018 and each anniversary thereof for so long as the Revolving Facility is in effect, the Company shall pay a facility fee equal to one half of one percent (0.5%) of the Revolving Line.

●	The Company can maintain accounts at third party banks so long as the total in those other bank accounts does not exceed 20% of the total on deposit at Avidbank, and it shall remit to Avidbank monthly statements for all of those accounts within 30 days of the end of each month.