NOTES TO CONSOLIDATED FINANCIAL STATEMENTS the Loan Arrangement that adjusted the terms of certain financial covenants, and cured a default of the tangible net worth covenant as of June 30, 2003. (6) Long-Term Obligations Long-term obligations consist of the following at June 30, 2002 and 2003 (in thousands): 2002 2003 Capital lease obligations due in various monthly installments of principal February 2005 plus interest, maturing through  $ 7,594 $ 3,050 Note payable to Soteica incurred in connection with salesforce acquisition, payable in quarterly installments of approximately $273 plus interest at 6% per year — 2,777 Note payable of a UK subsidiary due in monthly installments of approximately $50 plus interest at 9% per year  992 847 Mortgage payable of a UK subsidiary due in annual installments of approximately $91 plus interest at 6% per year 866 837 Note payable of a Belgian subsidiary that was divested during fiscal 2003 1,030 — Mortgages payable of a U.S. subsidiary due in aggregate monthly installments of $3 plus interest of 5.3% and 9.5% per year 366 — Note payable to the former Richardson owners, due in fiscal 2003, interest payable at an annual rate of 12% 188 — Convertible Debenture of a Belgian subsidiary due in fiscal 2003, interest payable at an annual rate of 6%. This note was convertible into approximately 7,500 shares of the Company's common stock at the option of the holder 74 — Other obligations 109 — 11,219 7,510 Less—Current portion 5,334 3,849 $ 5,885 $ 3,661 Maturities of these long-term obligations are as follows (in thousands): Years Ending June 30 Amount 2004 $ 3,849 2006 1,597 2006 1,039 2007 224 2008 183 Thereafter 618 $ 7,510 The mortgage payable of the UK subsidiary and the capital lease obligations are collateralized by the property and equipment to which they relate. 54