Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Dennis Telzrow from Stephens, Inc.
Dennis Telzrow - Stephen Inc.
Joe, I know you may not want to put numbers on this, but obviously next year’s store growth I can assume that you’re working to sort of uptick the Mexico number and moderate the payday number. Is that a fair sort of trend expectation?
Joseph L. Rotunda
I would say that is appropriate, yes. We see tremendous potential in Mexico as we’ve spoken about it for the last several quarters and we’re going to continue to gear up. The greater the base of stores, the easier it is for us to be able to open new stores because we’re able to generate inventory to seed the new stores and that’s extremely important in a pawn operation. At the same time we’re going to look at filling in and enhancing the presence in the states that we’re in today in the US in EZ Money.
Dennis Telzrow - Stephen Inc.
And I know you’ve talked about Canada but the pace of regulatory change up there is about at a glacial pace so I assume you’re just going to bide your time until those things evolve?
Joseph L. Rotunda
We’re going to continue to watch it and we’re going to help that Manitoba isn’t indicative of what’s going to happen in the other provinces.
Daniel N. Tonissen
Okay, thank you.
Operator
Your next question comes from John Ro wan from Sidoti and Company.
John Rowan - Sidoti & Company
If you would just go over the credit agreement that you have in place for the acquisition. You said it was $120 million but can you give us more detail? Is it a revolver and what’s the rate that you’re going to pay on it?
Daniel N. Tonissen
There’s a layer that would be term debt and I believe the term of that is 4 years and the balance of it would be revolver and John, just off the top of my head, I think it’s a 30/90 split and then the rate that we would pay on it would be, if the leverage ratio we’re anticipating post-acquisition would be about 175 over LIBOR.
John Rowan - Sidoti & Company
Over the 30 day LIBOR rate?
Daniel N. Tonissen
Yes.
John Rowan - Sidoti & Company
And the 30/90 split, 30 is the term or is 30 the revolver?
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