Effective January 11, 2016, U. S. Physical Therapy Inc. entered into a second amendment to the amended and restated credit agreement with Bank of America. The amended credit agreement increased the cash and noncash consideration that the company could pay with respect to acquisitions permitted within the amended credit agreement to $50,000,000 for any fiscal year from $25,000,000. In addition, the amended credit agreement increases the amount the company may pay in cash dividends to its stockholders in an aggregate amount not to exceed $10,000,000 in any fiscal year from $7,500,000.

The credit agreement matures on November 30, 2018, is unsecured and includes standard financial covenants which include a consolidated fixed charge coverage ratio and a consolidated leverage ratio. Proceeds from the credit agreement may be used for working capital, acquisitions, and for other corporate purposes.