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Debt
 12 Months Ended
Dec. 31, 2022
Debt Disclosure [Abstract]  
Debt Debt
As of December 31, 2022
As of December 31, 2021
Maturity DateInterest RateAmountInterest RateAmount
Credit Facility
Senior unsecured revolving loan facilityDecember 2026Variable$72.5 Variable$316.4 
Term Loans
Senior unsecured term loan facilityDecember 2026Variable784.5 Variable1,420.0 
Unsecured Senior Notes
Senior notes due 2024December 20245.500 %575.0 5.500 %575.0 
Senior notes due 2025May 20254.125 %600.0 4.125 %600.0 
Senior notes due 2028April 20284.250 %600.0 4.250 %600.0 
Senior notes due 2029February 20293.250 %700.0 3.250 %700.0 
Senior notes due 2026December 20262.670 %1,000.0 2.670 %1,000.0 
Senior notes due 2028December 20283.276 %500.0 3.276 %500.0 
Senior notes due 2031December 20313.569 %1,000.0 3.569 %1,000.0 
Total unsecured senior notes4,975.0 4,975.0 
Receivable financing liability115.4179.50 
Other long-term obligations11.6 13.6 
Unamortized discounts and deferred financing fees(36.3)(46.0)
Current maturities of long-term debt(56.3)(102.7)
Total long-term debt$5,866.4 $6,755.8 
As of December 31, 2022, the Company is in compliance with the covenants under its credit agreements and indentures.
Credit Facility
The Company has a variable rate senior unsecured revolving loan facility (the “Revolving Loan Facility”) from which it may draw tranches denominated in US dollars, British pounds or Euros. The interest rate is based on LIBOR plus a margin or an alternate base rate plus a margin, where the margin is based on the Company’s senior unsecured rating. The Revolving Loan Facility is used by the Company for borrowings, issuances of letters of credit and floorplan financing. As of December 31, 2022, the Company could have borrowed up to an additional $1.1 billion under the Revolving Loan Facility. As of December 31, 2022, the Revolving Loan Facility had less than $1 million of undrawn letters of credit and $444 million reserved for the floorplan sub-facility.
Term Loan
The senior unsecured term loan facility (the “Term Loan Facility”) has a variable interest rate. The interest rate is based on LIBOR plus a margin, where the margin is determined by the Company’s senior unsecured credit rating. During the year ended December 31, 2022, the Company prepaid $636 million on the Term Loan Facility without penalty. As a result of the prepayment, no additional mandatory payments are required on the remaining principal amount until its maturity date on December 1, 2026.
Unsecured Senior Notes
The unsecured senior notes have a fixed interest rate, which is paid semi-annually.
Receivable Financing
As a result of the Sirius acquisition, the Company assumed liabilities related to receivable financing. Such amounts relate to certain accounts receivable transferred to third-party companies that did not qualify as a sale under the terms of the agreements. The proceeds from these arrangements are recognized as a liability and the associated accounts receivable remains on the Consolidated Balance Sheet until the liability is settled. The Company did not execute any transfers under these agreements during the year ended December 31, 2022 and 2021.
Debt Issuances and Extinguishments
On December 1, 2021, in order to fund the acquisition of Sirius, the Company obtained permanent financing through the issuance of $1.0 billion aggregate principal amount of 2.670% Senior Notes due 2026, $500 million aggregate principal amount of 3.276% Senior Notes due 2028 and $1.0 billion aggregate principal amount of 3.569% Senior Notes due 2031. Interest on each note is payable semi-annually on June 1 and December 1 of each year, and payments commenced on June 1, 2022. The net proceeds from the issuance were used to fund the Sirius acquisition and related transaction costs.
Also on December 1, 2021, the Company entered into the Revolving Loan Facility, a new five-year $1.6 billion senior unsecured revolving loan facility. The Revolving Loan Facility replaced the senior secured asset-based revolving credit facility. On the same date, the Company also entered into the Term Loan Facility, a new five-year $1.4 billion senior unsecured term loan facility. The Term Loan Facility replaced the senior secured term loan facility. The net loss recognized on extinguishment of the senior secured facilities was insignificant for the year ended December 31, 2021.
Total Debt Maturities
A summary of total debt maturities is as follows:
Years ending December 31,Debt Maturities
2023$56.3 
2024621.5 
2025623.3 
20261,857.9 
2027— 
Thereafter2,800.0 
Total debt maturities$5,959.0 
Fair Value
The fair values of the unsecured senior notes were estimated using quoted market prices for identical liabilities that are traded in over-the-counter secondary markets. The fair value of the Term Loan Facility was estimated using dealer quotes for identical liabilities in markets that are not considered active. The unsecured senior notes and Term Loan Facility were classified as Level 2 within the fair value hierarchy. The carrying value of the Revolving Loan Facility approximates fair value.
The approximate fair values and related carrying values of the Company’s long-term debt, including current maturities and excluding unamortized discount and unamortized deferred financing costs, were as follows:
December 31,
20222021
Fair value$5,412.6 $6,996.0 
Carrying value5,959.0 6,904.5