DEBT | 9 Months Ended |
Sep. 30, 2013 |
DEBT [Abstract] | ' |
DEBT | ' |
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Note 7: Debt |
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Debt is summarized as follows: |
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| | | 30-Sep | | | 31-Dec | | | 30-Sep | |
in thousands | 2013 | | | 2012 | | | 2012 | |
Long-term Debt | | | | | | | | |
5.60% notes due 2012 1 | $ 0 | | | $ 0 | | | $ 134,548 | |
6.30% notes due 2013 2 | 0 | | | 140,413 | | | 140,398 | |
10.125% notes due 2015 3 | 152,110 | | | 152,718 | | | 152,911 | |
6.50% notes due 2016 4 | 512,505 | | | 515,060 | | | 515,887 | |
6.40% notes due 2017 5 | 349,902 | | | 349,888 | | | 349,883 | |
7.00% notes due 2018 6 | 399,761 | | | 399,731 | | | 399,721 | |
10.375% notes due 2018 7 | 248,799 | | | 248,676 | | | 248,637 | |
7.50% notes due 2021 8 | 600,000 | | | 600,000 | | | 600,000 | |
7.15% notes due 2037 9 | 239,559 | | | 239,553 | | | 239,551 | |
Medium-term notes | 6,000 | | | 16,000 | | | 16,000 | |
Industrial revenue bonds | 14,000 | | | 14,000 | | | 14,000 | |
Other notes | 916 | | | 964 | | | 1,067 | |
Total long-term debt including current maturities | $ 2,523,552 | | | $ 2,677,003 | | | $ 2,812,603 | |
Less current maturities | 163 | | | 150,602 | | | 285,153 | |
Total long-term debt | $ 2,523,389 | | | $ 2,526,401 | | | $ 2,527,450 | |
Estimated fair value of long-term debt | $ 2,795,661 | | | $ 2,766,835 | | | $ 2,796,358 | |
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1 | Includes decreases for unamortized discounts, as follows: September 30, 2012 — $9 thousand. | | | | | | | | | |
2 | Includes decreases for unamortized discounts, as follows: December 31, 2012 — $30 thousand and September 30, 2012 — $46 thousand. | | | | | | | | | |
3 | Includes an increase for the unamortized portion of the deferred gain realized upon the August 2011 settlement of interest rate swaps, as follows: September 30, 2013 — $2,315 thousand, December 31, 2012 — $2,983 thousand and September 30, 2012 — $3,195 thousand. Additionally, includes decreases for unamortized discounts, as follows: September 30, 2013 — $206 thousand, December 31, 2012 — $265 thousand and September 30, 2012 — $284 thousand. The effective interest rate for these notes is 9.59%. | | | | | | | | | |
4 | Includes an increase for the unamortized portion of the deferred gain realized upon the August 2011 settlement of interest rate swaps, as follows: September 30, 2013 — $12,505 thousand, December 31, 2012 — $15,060 thousand and September 30, 2012 — $15,887 thousand. The effective interest rate for these notes is 6.02%. | | | | | | | | | |
5 | Includes decreases for unamortized discounts, as follows: September 30, 2013 — $98 thousand, December 31, 2012 — $112 thousand and September 30, 2012 — $117 thousand. The effective interest rate for these notes is 7.41%. | | | | | | | | | |
6 | Includes decreases for unamortized discounts, as follows: September 30, 2013 — $239 thousand, December 31, 2012 — $269 thousand and September 30, 2012 — $279 thousand. The effective interest rate for these notes is 7.87%. | | | | | | | | | |
7 | Includes decreases for unamortized discounts, as follows: September 30, 2013 — $1,201 thousand, December 31, 2012 — $1,324 thousand and September 30, 2012 — $1,363 thousand. The effective interest rate for these notes is 10.62%. | | | | | | | | | |
8 | The effective interest rate for these notes is 7.75%. | | | | | | | | | |
9 | Includes decreases for unamortized discounts, as follows: September 30, 2013 — $629 thousand, December 31, 2012 — $635 thousand and September 30, 2012 — $637 thousand. The effective interest rate for these notes is 8.05%. | | | | | | | | | |
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Our long-term debt is presented in the table above net of unamortized discounts from par and unamortized deferred gains realized upon settlement of interest rate swaps. Discounts and deferred gains are being amortized using the effective interest method over the respective terms of the notes. |
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The estimated fair value of long-term debt presented in the table above was determined by averaging the asking price quotes for the notes. The fair value estimates were based on Level 2 information (as defined in Note 5) available to us as of the respective balance sheet dates. Although we are not aware of any factors that would significantly affect the estimated fair value amounts, such amounts have not been revalued since those dates. |
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Scheduled debt payments during the first nine months of 2013 included $10,000,000 in January to retire the 8.70% medium-term note and $140,444,000 in June to retire the 6.30% notes. Scheduled debt payments during 2012 included $134,557,000 in November to retire the 5.60% notes. |
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In December 2011, we entered into a $600,000,000 bank line of credit expiring on December 15, 2016. In March 2013, we proactively amended this line of credit to reduce its capacity to $500,000,000 and extend its term to March 12, 2018. The line of credit is secured by certain domestic accounts receivable and inventory. Borrowing capacity fluctuates with the level of eligible accounts receivable and inventory and may be less than $500,000,000 at any point in time. As of September 30, 2013, our available borrowing capacity was $380,289,000 (net of the $55,032,000 backing for standby letters of credit). |
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Borrowings under the line of credit bear interest at a rate determined at the time of borrowing equal to the lower of LIBOR plus a margin ranging from 1.50% to 2.00% based on the level of utilization, or an alternative rate derived from the lender’s prime rate. Borrowings on our line of credit are classified as short-term due to our intent to repay within twelve months. As of September 30, 2013, the applicable margin for LIBOR based borrowing was 1.75%. |
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