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Debt | 6 Months Ended
--- | ---
Jun. 30, 2018
Debt Disclosure [Abstract] |
Debt | Long-term debt is as follows:
|  | December 31, 2017 |  |  | June 30, 2018
|  | Debt (inclusive of discount) |  | Unamortized Deferred Financing Costs |  | Carrying Amount |  | Fair Value |  |  | Debt (inclusive of discount) |  | Unamortized Deferred Financing Costs |  | Carrying Amount |  | Fair Value
Revolving Credit Facility(1) |  | $ | 466,593 |  |  | $ | (14,407 | ) |  | $ | 452,186 |  |  | $ | 466,593 |  |  |  | $ | 828,567 |  |  |  | $ | (15,617 | ) |  | $ | 812,950 |  |  | $ | 828,567 |
Term Loan A(1) |  | 243,750 |  |  | — |  |  | 243,750 |  |  | 243,750 |  |  |  | 246,875 |  |  |  | — |  |  | 246,875 |  |  | 246,875 |
Term Loan B(2) |  | — |  |  | — |  |  | — |  |  | — |  |  |  | 696,556 |  |  | (9,367 | ) |  | 687,189 |  |  | 686,031 |
Australian Dollar Term Loan (the "AUD Term Loan")(3) |  | 187,504 |  |  | (3,382 | ) |  | 184,122 |  |  | 189,049 |  |  |  | 248,670 |  |  |  | (3,433 | ) |  | 245,237 |  |  | 250,681 |
4 3/8% Senior Notes due 2021 (the "4 3/8% Notes")(4)(5) |  | 500,000 |  |  | (5,874 | ) |  | 494,126 |  |  | 507,500 |  |  |  | 500,000 |  |  |  | (5,015 | ) |  | 494,985 |  |  | 496,250 |
6% Senior Notes due 2023 (the "6% Notes due 2023")(4) |  | 600,000 |  |  | (6,224 | ) |  | 593,776 |  |  | 625,500 |  |  |  | 600,000 |  |  |  | (5,675 | ) |  | 594,325 |  |  | 613,500 |
5 3/8% CAD Senior Notes due 2023 (the "CAD Notes due 2023")(5)(6) |  | 199,171 |  |  | (3,295 | ) |  | 195,876 |  |  | 208,631 |  |  |  | 190,330 |  |  |  | (2,875 | ) |  | 187,455 |  |  | 191,519 |
5 3/4% Senior Subordinated Notes due 2024 (the "5 3/4% Notes")(4) |  | 1,000,000 |  |  | (9,156 | ) |  | 990,844 |  |  | 1,012,500 |  |  |  | 1,000,000 |  |  |  | (8,469 | ) |  | 991,531 |  |  | 980,000 |
3% Euro Senior Notes due 2025 (the "Euro Notes")(4)(5) |  | 359,386 |  |  | (4,691 | ) |  | 354,695 |  |  | 364,776 |  |  |  | 350,508 |  |  |  | (4,419 | ) |  | 346,089 |  |  | 346,582 |
3 7/8% GBP Senior Notes due 2025 (the "GBP Notes due 2025")(5) |  | 539,702 |  |  | (7,718 | ) |  | 531,984 |  |  | 527,559 |  |  |  | 528,296 |  |  |  | (7,104 | ) |  | 521,192 |  |  | 499,240 |
5 3/8% Senior Notes due 2026 (the "5 3/8% Notes")(5) |  | 250,000 |  |  | (3,615 | ) |  | 246,385 |  |  | 256,875 |  |  |  | 250,000 |  |  |  | (3,400 | ) |  | 246,600 |  |  | 238,125 |
4 7/8% Senior Notes due 2027 (the "4 7/8% Notes")(4)(5) |  | 1,000,000 |  |  | (13,866 | ) |  | 986,134 |  |  | 1,000,000 |  |  |  | 1,000,000 |  |  |  | (13,153 | ) |  | 986,847 |  |  | 921,250 |
5 1/4% Senior Notes due 2028 (the "5 1/4% Notes")(4)(5) |  | 825,000 |  |  | (11,817 | ) |  | 813,183 |  |  | 826,031 |  |  |  | 825,000 |  |  |  | (11,511 | ) |  | 813,489 |  |  | 767,250 |
Real Estate Mortgages, Capital Leases and Other |  | 649,432 |  |  | (566 | ) |  | 648,866 |  |  | 649,432 |  |  |  | 614,145 |  |  |  | (316 | ) |  | 613,829 |  |  | 614,145 |
Accounts Receivable Securitization Program(7) |  | 258,973 |  |  | (356 | ) |  | 258,617 |  |  | 258,973 |  |  |  | 248,473 |  |  |  | (287 | ) |  | 248,186 |  |  | 248,473 |
Mortgage Securitization Program(8) |  | 50,000 |  |  | (1,273 | ) |  | 48,727 |  |  | 50,000 |  |  |  | 50,000 |  |  | (1,200 | ) |  | 48,800 |  |  | 50,000 |
Total Long-term Debt |  | 7,129,511 |  |  | (86,240 | ) |  | 7,043,271 |  |  |  |  |  |  | 8,177,420 |  | — |  | (91,841 | ) |  | 8,085,579 |  |  |
Less Current Portion |  | (146,300 | ) |  | — |  |  | (146,300 | ) |  |  |  |  |  | (123,818 | ) |  | — |  |  | (123,818 | ) |  |  |
Long-term Debt, Net of Current Portion |  | $ | 6,983,211 |  |  | $ | (86,240 | ) |  | $ | 6,896,971 |  |  |  |  |  |  | $ | 8,053,602 |  |  |  | $ | (91,841 | ) |  | $ | 7,961,761 |  |  |  |
______________________________________________________________
(1) | Collectively, as amended as described below, the "Credit Agreement". Of the $828,567 of outstanding borrowings under the Revolving Credit Facility, 618,300 was denominated in United States dollars, 135,000 was denominated in Canadian dollars and 92,000 was denominated in Euros. In addition, we also had various outstanding letters of credit totaling $54,638. The remaining amount available for borrowing under the Revolving Credit Facility as of June 30, 2018 was $866,795 (which amount represents the maximum availability as of such date). The average interest rate in effect under the Credit Agreement was 3.5% as of June 30, 2018. The average interest rate in effect under the Revolving Credit Facility as of June 30, 2018 was 3.5% and ranged from 1.8% to 5.8% and the interest rate in effect under the Term Loan A as of June 30, 2018 was 3.8%.
(2) | Interest rate in effect as of June 30, 2018 was 3.8%. The amount of debt for the Term Loan B (as defined below) reflects an unamortized original issue discount of $1,694 as of June 30, 2018.
(3) | Interest rate in effect as of June 30, 2018 was 6.0%. We had 338,438 Australian dollars outstanding on the AUD Term Loan as of June 30, 2018. The amount of debt for the AUD Term Loan reflects an unamortized original issue discount of $1,545 and $2,011 as of December 31, 2017 and June 30, 2018, respectively.
(4) | Collectively, the "Parent Notes".
(5) | Collectively, the "Unregistered Notes".
(6) | Together, with our previously outstanding 6 1/8% CAD Senior Notes due 2021 (the "CAD Notes due 2021"), the "CAD Notes".
(7) | Interest rate in effect as of June 30, 2018 was 3.0%.
(8) | Interest rate in effect as of June 30, 2018 was 3.5%.
See Note 4 to Notes to Consolidated Financial Statements included in our Annual Report for additional information regarding our Credit Agreement and our other long-term debt, including the direct obligors of each of our debt instruments as well as information regarding the fair value of our debt instruments (including the levels of the fair value hierarchy used to determine the fair value of our debt instruments). The levels of the fair value hierarchy used to determine the fair value of our debt as of June 30, 2018 are consistent with the levels of the fair value hierarchy used to determine the fair value of our debt as of December 31, 2017 (which are disclosed in our Annual Report). Additionally, see Note 5 to Notes to Consolidated Financial Statements included in our Annual Report for information regarding which of our consolidated subsidiaries guarantee certain of our debt instruments. There have been no material changes to our long-term debt since December 31, 2017 other than those changes described below. a. Credit Agreement Amendments On March 22, 2018, we entered into an amendment (the “2018 First Amendment”) to the Credit Agreement which provided us with the option to request additional commitments of up to $1,260,000 under the Credit Agreement in the form of term loans or through increased commitments under the Revolving Credit Facility, subject to the conditions specified in the Credit Agreement. On June 4, 2018, we entered into another amendment (the "2018 Second Amendment") to the Credit Agreement which (i) reduced interest rate margins applicable to existing and future borrowings under the Revolving Credit Facility and Term Loan A by 0.25% and (ii) extended the maturity date of the Credit Agreement to June 4, 2023. In connection with the 2018 First Amendment, Iron Mountain Information Management, LLC ("IMIM") entered into an incremental term loan activation notice, or the Activation Notice, with certain lenders pursuant to which the lenders party to the Activation Notice agreed to provide commitments to fund an incremental term loan B in the amount of $700,000 (the “Term Loan B”). On March 26, 2018, IMIM borrowed the full amount of the Term Loan B, which matures on January 2, 2026. The Term Loan B was issued at 99.75% of par. The aggregate net proceeds of approximately $689,850, after paying commissions to the joint lead arrangers and net of the original discount, were used to repay outstanding borrowings under the Revolving Credit Facility. The Term Loan B holders benefit from the same security and guarantees as other borrowings under the Credit Agreement. The Term Loan B holders also benefit from the same affirmative and negative covenants as other borrowings under the Credit Agreement; however, the Term Loan B holders are not generally entitled to the benefits of the financial covenants under the Credit Agreement. Principal payments on the Term Loan B are to be paid in quarterly installments of $1,750 per quarter during the period June 30, 2018 through December 31, 2025, with the balance due on January 2, 2026. The Term Loan B may be prepaid without penalty at any time after September 22, 2018. The Term Loan B bears interest at a rate of LIBOR plus 1.75%. b. Australian Dollar Term Loan Amendment On March 27, 2018, Iron Mountain Australia Group Pty Ltd, a wholly owned subsidiary of IMI, amended its AUD Term Loan (the "AUD Term Loan Amendment") to (i) increase the borrowings under the AUD Term Loan from 250,000 Australian dollars to 350,000 Australian dollars; (ii) increase the quarterly principal payments from 6,250 Australian dollars per year to 8,750 Australian dollars per year and (iii) decrease the interest rate on the AUD Term Loan from BBSY (an Australian benchmark variable interest rate) plus 4.3% to BBSY plus 3.875%. The AUD Term Loan matures in September 2022. All indebtedness associated with the AUD Term Loan was issued at 99% of par. The net proceeds associated with the AUD Term Loan Amendment of approximately 99,000 Australian dollars (or approximately $75,621, based on the exchange rate between the Australian dollar and the United States dollar on March 29, 2018 (the closing date of the AUD Term Loan Amendment)), net of the original discount, were used to repay outstanding borrowings under the Revolving Credit Facility. Principal payments on the AUD Term Loan are to be paid in quarterly installments in an amount equivalent to an aggregate of 8,750 Australian dollars per year, with the remaining balance due September 22, 2022. The AUD Term Loan is secured by substantially all assets of Iron Mountain Australia Group Pty. Ltd. IMI and its direct and indirect 100% owned United States subsidiaries that represent the substantial majority of its United States operations (the “Guarantors”) guarantee all obligations under the AUD Term Loan. c. Cash Pooling As described in greater detail in Note 4 to Notes to Consolidated Financial Statements included in our Annual Report, certain of our subsidiaries participate in cash pooling arrangements (the “Cash Pools”) with Bank Mendes Gans (“BMG”), an independently operated fully-owned subsidiary of ING Group, in order to help manage global liquidity requirements. We currently utilize two separate cash pools with BMG, one of which we utilize to manage global liquidity requirements for our QRSs (the "QRS Cash Pool") and the other for our TRSs (the "TRS Cash Pool"). As of December 31, 2017, we had a net cash position of approximately $5,700 in the QRS Cash Pool (which consisted of a gross cash position of approximately $383,700 less outstanding debit balances of approximately $378,000 by participating subsidiaries) and we had a zero balance in the TRS Cash Pool (which consisted of a gross cash position of approximately $229,600 less outstanding debit balances of approximately $229,600 by participating subsidiaries). As of June 30, 2018, we had a net cash position of approximately $2,000 in the QRS Cash Pool (which consisted of a gross cash position of approximately $406,900 less outstanding debit balances of approximately $404,900 by participating subsidiaries) and we had a net cash position of approximately $600 in the TRS Cash Pool (which consisted of a gross cash position of approximately $262,800 less outstanding debit balances of approximately $262,200 by participating subsidiaries). The net cash position balances as of December 31, 2017 and June 30, 2018 are reflected as cash and cash equivalents in the Condensed Consolidated Balance Sheets. d. Debt Covenants The Credit Agreement, our indentures and other agreements governing our indebtedness contain certain restrictive financial and operating covenants, including covenants that restrict our ability to complete acquisitions, pay cash dividends, incur indebtedness, make investments, sell assets and take certain other corporate actions. The covenants do not contain a rating trigger. Therefore, a change in our debt rating would not trigger a default under the Credit Agreement, our indentures or other agreements governing our indebtedness. The Credit Agreement uses EBITDAR-based calculations as the primary measures of financial performance, including leverage and fixed charge coverage ratios. Our leverage and fixed charge coverage ratios under the Credit Agreement as of December 31, 2017 and June 30, 2018, as well as our leverage ratio under our indentures as of December 31, 2017 and June 30, 2018 are as follows:
| December 31, 2017 |  | June 30, 2018 |  | Maximum/Minimum Allowable
Net total lease adjusted leverage ratio | 5.0 |  |  | 5.6 |  |  | Maximum allowable of 6.5
Net secured debt lease adjusted leverage ratio | 1.6 |  |  | 2.5 |  |  | Maximum allowable of 4.0
Bond leverage ratio (not lease adjusted) | 5.8 |  |  | 5.7 |  |  | Maximum allowable of 6.5-7.0(1)(2)
Fixed charge coverage ratio | 2.1 |  |  | 2.3 |  |  | Minimum allowable of 1.5
______________________________________________________________
(1) | The maximum allowable leverage ratio under our indentures for the 4 7/8% Notes, the GBP Notes due 2025 and the 5 1/4% Notes is 7.0, while the maximum allowable leverage ratio under the indentures pertaining to our remaining senior and senior subordinated notes is 6.5. In certain instances as provided in our indentures, we have the ability to incur additional indebtedness that would result in our bond leverage ratio exceeding the maximum allowable ratio under our indentures and still remain in compliance with the covenant.
(2) | At December 31, 2017, a portion of the net proceeds from the 5 1/4% Notes, together with a portion of the net proceeds of the Equity Offering (as defined in Note 9), were used to temporarily repay approximately $807,000 of outstanding indebtedness under our Revolving Credit Facility until the closing of the IODC Transaction, which occurred on January 10, 2018. The bond leverage ratio at December 31, 2017 is calculated based on our outstanding indebtedness at this date, which reflects the temporary payment of the Revolving Credit Facility.
Noncompliance with these leverage and fixed charge coverage ratios would have a material adverse effect on our financial condition and liquidity.

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- Definition The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -URI http://asc.fasb.org/topic&trid=2208564 + Details
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