Long-Term Debt | 3 Months Ended |
Mar. 31, 2014 |
Long-Term Debt [Abstract] | ' |
Long-Term Debt | ' |
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NOTE 3 – LONG-TERM DEBT |
Long-term debt at March 31, 2014 and December 31, 2013, respectively, consisted of the following: |
(In thousands) | 31-Mar-14 | | 31-Dec-13 |
Senior Secured Credit Facilities (1) | $ | 8,224,014 | | $ | 8,225,754 |
Receivables Based Facility due 2017 | | - | | | 247,000 |
9.0% Priority Guarantee Notes due 2019 | | 1,999,815 | | | 1,999,815 |
9.0% Priority Guarantee Notes due 2021 | | 1,750,000 | | | 1,750,000 |
11.25% Priority Guarantee Notes due 2021 | | 575,000 | | | 575,000 |
Subsidiary senior revolving credit facility due 2018 | | - | | | - |
Other secured subsidiary long-term debt (2) | | 19,818 | | | 21,124 |
Total consolidated secured debt | | 12,568,647 | | | 12,818,693 |
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Senior Cash Pay Notes due 2016 | | 94,304 | | | 94,304 |
Senior Toggle Notes due 2016 (3) | | 127,941 | | | 127,941 |
Senior Notes due 2021 (4) | | 1,645,244 | | | 1,404,202 |
Clear Channel Senior Notes (5) | | 1,374,568 | | | 1,436,455 |
Subsidiary Senior Notes due 2022 | | 2,725,000 | | | 2,725,000 |
Subsidiary Senior Subordinated Notes due 2020 | | 2,200,000 | | | 2,200,000 |
Other subsidiary debt | | 854 | | | 10 |
Purchase accounting adjustments and original issue discount | | -312,172 | | | -322,392 |
| | | 20,424,386 | | | 20,484,213 |
Less: current portion | | 413,882 | | | 453,734 |
Total long-term debt | $ | 20,010,504 | | $ | 20,030,479 |
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Term Loan B matures 2016. Term Loan C is subject to an amortization schedule with required payments at various dates from 2014 through 2016. Term Loan D and Term Loan E mature 2019. |
Other secured subsidiary long-term debt matures at various dates from 2014 through 2028. |
Senior Toggle Notes are subject to required payments at various dates from 2015 through 2016. |
Senior Notes due 2021 are subject to required payments at various dates from 2018 through 2021. |
Clear Channel's Senior Notes mature at various dates from 2014 through 2027. |
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The Company's weighted average interest rate at March 31, 2014 and December 31, 2013 were 7.7% and 7.6%, respectively. The aggregate market value of the Company's debt based on market prices for which quotes were available was approximately $21.1 billion and $20.5 billion at March 31, 2014 and December 31, 2013, respectively. Under the fair value hierarchy established by ASC 820-10-35, the market value of the Company's debt is classified as either Level 1 or Level 2. |
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Subsidiary Sale of Clear Channel Long-Term Debt |
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On February 14, 2014, CC Finco LLC (“CC Finco”), an indirect wholly-owned subsidiary of the Company, sold $227.0 million in aggregate principal amount of Senior Notes due 2021 to private purchasers in a transaction exempt from registration under the Securities Act of 1933, as amended (the “Act”). The purchasers validly tendered the Senior Notes due 2021 into the previously-announced registered exchange offer for the Senior Notes due 2021 of Clear Channel Communications, Inc. (“Clear Channel”), an indirect wholly-owned subsidiary of the Company, which expired on February 20, 2014 (the “A/B Exchange Offer”). Upon completion of the A/B Exchange Offer, the purchasers of the Senior Notes due 2021, along with all other holders of the Senior Notes due 2021 who validly tendered such notes into the A/B Exchange Offer, received Senior Notes due 2021 that were registered under the Act. CC Finco contributed the net proceeds from the sale of the Senior Notes due 2021 to Clear Channel, which intends to use such proceeds to repay, repurchase or otherwise acquire outstanding indebtedness from time to time and retire that indebtedness as it becomes due or upon its earlier repayment, repurchase or acquisition. |
Debt Repayments, Maturities and Other |
During February 2014, Clear Channel repaid all principal amounts outstanding under its receivables based credit facility, using cash on hand. This voluntary repayment did not reduce the commitments under this facility and Clear Channel has the ability to redraw amounts under this facility at any time. |
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During March 2014, CC Finco repurchased, through open market purchases, a total of $61.9 million aggregate principal amount of notes, comprised of $52.9 million of Clear Channel's outstanding 5.5% Senior Notes due 2014 and $9.0 million of Clear Channel's outstanding 4.9% Senior Notes due 2015, for a total purchase price of $63.1 million, including accrued interest. Clear Channel cancelled these notes subsequent to the purchase. |