v3.24.3
DEBT
 9 Months Ended
Sep. 30, 2024
Debt Disclosure [Abstract]  
DEBT DEBT
As of September 30, 2024, the Company had outstanding an aggregate of $4,200.0 million in senior unsecured notes (collectively, the “Senior Notes”) and $311.9 million under the Revolving Credit Facility (as defined below) as presented in the table below:
Principal
Amount
Outstanding at		Carrying
Value at		Carrying
Value at		Fair
Value at		Fair
Value at
(in thousands)Maturity DateSeptember 30, 2024September 30, 2024December 31, 2023September 30, 2024December 31, 2023
Debt
4.000% senior unsecured notes due 2029
November 15, 2029
$1,000,000 $994,455 $993,637 $969,260 $941,090 
3.625% senior unsecured notes due 2030
September 1, 2030
900,000 896,083 895,587 845,694 815,526 
3.875% senior unsecured notes due 2031
February 15, 2031
1,000,000 992,981 992,161 946,870 914,360 
3.625% senior unsecured notes due 2031
November 1, 2031
600,000 595,345 594,852 552,696 529,458 
3.250% senior unsecured notes due 2033
August 15, 2033
700,000 694,033 693,532 616,938 586,509 
Variable rate Tranche A Term Loans due 2027
February 16, 2027
— — 337,959 — 337,367 
Variable rate revolving loan commitments(1)
January 26, 2029311,875 311,875 — 310,316 — 
Total debt$4,511,875 $4,484,772 $4,507,728 $4,241,774 $4,124,310 
___________________________
(1)As of September 30, 2024, there were $4.3 million in unamortized deferred financing fees associated with the variable rate revolving loan commitments of which $1.0 million is included in “Prepaid and other assets,” and $3.3 million is included in “Other non-current assets” on the Unaudited Condensed Consolidated Statement of Financial Condition.
Maturities of the Company’s principal debt payments as of September 30, 2024 are as follows:
Maturity of Principal Debt Payments
(in thousands)		Amounts
Remainder of 2024$— 
2025— 
2026— 
2027— 
2028— 
Thereafter4,511,875 
Total debt$4,511,875 
Interest payments attributable to the Company’s outstanding indebtedness are due as presented in the following table:
Interest payment frequencyFirst interest
payment date
Senior Notes and Revolving Loan Commitments
4.000% senior unsecured notes due 2029
Semi-AnnualMay 15
3.625% senior unsecured notes due 2030
Semi-AnnualMarch 1
3.875% senior unsecured notes due 2031
Semi-AnnualJune 1
3.625% senior unsecured notes due 2031
Semi-AnnualMay 1
3.250% senior unsecured notes due 2033
Semi-AnnualFebruary 15
Variable rate revolving loan commitments(1)
VariableFebruary 26
___________________________
(1)The first payment occurred on February 26, 2024.
The fair market value of the Company’s debt obligations represent Level 2 valuations. The Company utilized the market approach and obtained security pricing from a vendor who used broker quotes and third-party pricing services to determine fair values.
Credit Agreement. Since November 20, 2014, the Company has maintained a revolving credit agreement with a syndicate of banks. On January 26, 2024, the Company entered into a Second Amended and Restated Credit Agreement (the “Credit Agreement”), amending and restating in its entirety the Company’s prior Amended and Restated Credit Agreement (the “Prior Credit Agreement”). The Credit Agreement makes available to the Company an aggregate of $1,250.0 million of revolving loan commitments under a revolving credit facility (the “Revolving Credit Facility”), which may be drawn until January 26, 2029. At the closing of the Credit Agreement, the Company drew $336.9 million on the Revolving Credit Facility and primarily used the proceeds to prepay all senior unsecured Tranche A Term Loans (the “Tranche A Term Loans”) under the term loan A facility (the “TLA Facility”) under the Prior Credit Agreement. The obligations under the Credit Agreement are general unsecured obligations of the Company. The prepayment of the Tranche A Term Loans and the entry into the Credit Agreement resulted in an approximately $1.5 million loss on extinguishment related to unamortized debt issuance costs during the three months ended March 31, 2024. The loss on extinguishment was recorded in “Other expense (income)” on the Unaudited Condensed Consolidated Statement of Income.
In September 2024, the Company repaid $25.0 million of the outstanding balance of the revolving loans under the Revolving Credit Facility, such that $311.9 million of the revolving loans were outstanding at September 30, 2024.
Interest on the revolving loans under the Credit Agreement accrues, at a variable rate, based on the secured overnight funding rate (“SOFR”) or the alternate base rate (“Base Rate”), plus, in each case, an applicable margin to be determined based on the credit ratings of the Company’s senior, unsecured long-term debt and will be due on each Interest Payment Date (as defined in the Credit Agreement). So long as the credit rating for the Company’s senior, unsecured long-term debt is set at BBB-/BBB- by each of S&P and Fitch, respectively, the applicable margin is 0.50% for Base Rate loans, and 1.50% for SOFR loans. At September 30, 2024, the interest rate on the revolving loans under the Revolving Credit Facility was 6.45%.
Interest on the Tranche A Term Loans under the TLA Facility accrued, at a variable rate, based on the secured overnight funding rate (“SOFR”) or the alternate base rate (“Base Rate”), plus, in each case, an applicable margin and was due on each Interest Payment Date (as defined in the Prior Credit Agreement). The applicable margin was calculated by reference to the Company’s Consolidated Leverage Ratio (as defined in the Credit Agreement) and ranged between 1.50% to 2.00% for SOFR loans, and 0.50% to 1.00% for Base Rate loans.
In connection with the closings of the Senior Notes offerings, entry into the Prior Credit Agreement and the subsequent amendments thereto and entry into the Credit Agreement, the Company paid certain financing fees which, together with the existing fees related to prior credit facilities, are being amortized over their related lives. At September 30, 2024, $31.4 million of the deferred financing fees and premium remain unamortized, $1.0 million of which is included in “Prepaid and other assets,” $3.3 million of which is included in “Other non-current assets” and $27.1 million of which is included in “Long-term debt” on the Unaudited Condensed Consolidated Statement of Financial Condition.