• Research, product development costs and regulatory expenses changed by
about 8% over the comparable three month period. This is as a result of
timing and mix of external regulatory studies. • Freight, delivery and warehousing costs increased by about 6%, driven
primarily by a high quarterly volume of bulk shipments of our metam liquid
soil fumigants. We continue to focus on managing logistics expenses
throughout our supply chain. As a percentage of sales, freight ended at
8.1% of sales for the three months ended
8.3% for the same period of the prior year.
Interest costs net of capitalized interest, were
Average Indebtedness and Interest expense
Q3 2013 Q3 2012 Average Interest Interest Average Interest Interest Debt Expense Rate Debt Expense Rate Term loan $ - $ - -
$ 49,935 $ 4663.7 %
Working capital revolver 40,728 355 3.5 % - - - Average 40,728 355 3.5 % 49,935 466 3.7 % Other notes payable 224 2 3.3 % 6,096 53 3.5 % Capitalized interest - (20 ) - - (165 ) - Amortization of deferred loan fees - 55 - - 33 - Amortization of other deferred liabilities - 44 - - 143 - Other interest expense - 8 - - 6 - Adjusted average indebtedness
$ 40,952 $ 4444.4 % $ 56,031 $ 5363.8 % The Company's average overall debt for the three months ended September 30, 2013was $40,952as compared to $56,031for the three months ended September 30, 2012. Furthermore, during the three months to September 30, 2013, we incurred non-cash costs related to amortization of discounting for deferred payments and other interest expense net of capitalized interest in the amount of $89as compared to $70for the same period of the prior year. As can be seen from the table above, the effective rate on our bank borrowings was 3.5% for the period to September 30, 2013as compared to 3.7% for the same period of the prior year. Our overall effective interest rate was 4.4% for the three months ended September 30, 2013as compared to 3.8% at September 30, 2012.