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Borrowings and Credit Arrangements | 6 Months Ended
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Mar. 28, 2020
Debt Disclosure [Abstract] |
Borrowings and Credit Arrangements | Borrowings and Credit Arrangements The Company’s borrowings consisted of the following:
| March 28, 2020 |  | September 28, 2019
Current debt obligations, net of debt discount and deferred issuance costs: |  |  |
Term Loan | $ | 56.1 |  |  | $ | 37.4 |
Revolver | 750.0 |  |  | — |
Securitization Program | — |  |  | 234.0 |
Total current debt obligations | $ | 806.1 |  |  | $ | 271.4 |
Long-term debt obligations, net of debt discount and deferred issuance costs: |  |  |
Term Loan | 1,416.2 |  |  | 1,452.4 |
Debt assumed from SSI acquisition | 0.6 |  |  | — |
2025 Senior Notes | 938.3 |  |  | 937.3 |
2028 Senior Notes | 394.2 |  |  | 393.9 |
Total long-term debt obligations | $ | 2,749.3 |  |  | $ | 2,783.6 |
Total debt obligations | $ | 3,555.4 |  |  | $ | 3,055.0 |
2018 Amended and Restated Credit Agreement On December 17, 2018, the Company and certain of its subsidiaries refinanced its term loan and revolving credit facility by entering into an Amended and Restated Credit and Guaranty Agreement as of December 17, 2018 (the "2018 Credit Agreement") with Bank of America, N.A. in its capacity as Administrative Agent, Swing Line Lender and L/C Issuer, and certain other lenders. The 2018 Credit Agreement amended and restated the Company's prior credit and guaranty agreement dated as of October 3, 2017 (the "2017 Credit Agreement"). The borrowings of the 2018 Amended Term Loan bear interest at an annual rate equal to the Eurocurrency Rate (i.e., the LIBOR rate) plus an Applicable Rate, which was equal to 1.375% as of March 28, 2020. The borrowings of the 2018 Amended Revolver bear interest at a rate equal to the LIBOR Daily Floating Rate plus an Applicable Rate equal to 1.375%. Pursuant to ASC 470, Debt (ASC 470), the accounting related to entering into the 2018 Credit Agreement and using the proceeds to pay off the 2017 Credit Agreement was evaluated on a creditor-by-creditor basis to determine whether each transaction should be accounted for as a modification or extinguishment. Certain creditors under the 2017 Credit Agreement did not participate in this refinancing transaction and ceased being creditors of the Company. As a result, the Company recorded a debt extinguishment loss of $0.8 million in the first quarter of fiscal 2019. For the remainder of the creditors, this transaction was accounted for as a modification because on a creditor-by-creditor basis the present value of the cash flows between the two debt instruments before and after the transaction was less than 10%. Pursuant to ASC 470, subtopic 50-40, third-party costs of $0.8 million related to this transaction were recorded as interest expense and $1.9 million was recorded as a reduction to debt representing deferred issuance costs and debt discount for fees paid directly to the lenders. In response to the current market uncertainties created by the COVID-19 pandemic, in March 2020, the Company borrowed $750 million under its revolver, which it intends to repay within one year, $250 million of which was used to pay off amounts outstanding under the asset securitization agreement, in order to have sufficient cash on hand. The Company has another $750 million available under its revolver as of March 28, 2020. Interest expense, weighted average interest rate, and interest rate at the end of period under the Credit Agreements were as follows:
| Three Months Ended |  | Six Months Ended
| March 28, 2020 |  | March 30, 2019 |  | March 28, 2020 |  | March 30, 2019
Interest expense | $ | 13.0 |  |  | $ | 16.8 |  |  | $ | 26.6 |  |  | $ | 35.5 |
Weighted average interest rate | 2.75 | % |  | 3.86 | % |  | 2.93 | % |  | 3.84 | %
Interest rate at end of period | 2.33 | % |  | 3.87 | % |  | 2.33 | % |  | 3.87 | %
The 2018 Credit Agreement contains two financial covenants; a total leverage ratio and an interest coverage ratio, both of which are measured as of the last day of each fiscal quarter. These terms, and calculations thereof, are defined in further detail in the 2018 Credit Agreement. As of March 28, 2020, the Company was in compliance with these covenants. Senior Notes On October 10, 2017, the Company completed a private placement of $350 million aggregate principal amount of its 4.375% Senior Notes due 2025 (the "2025 Senior Notes") at an offering price of 100% of the aggregate principal amount of the 2025 Senior Notes. On January 19, 2018, the Company completed a private placement of $1.0 billion aggregate principal amount of senior notes, allocated between (i) an additional $600 million aggregate principal amounts of its 2025 Senior Notes pursuant to a supplement to the indenture governing the Company's existing 2025 Senior Notes at an offering price of 100% of the aggregate principal amount of the 2025 Senior Notes and (ii) $400 million aggregate principal amounts of its 4.625% Senior Notes due 2028 (the "2028 Senior Notes") at an offering price of 100% of the aggregate principal amount of the 2028 Senior Notes. 2025 Senior Notes The total aggregate principal balance of 2025 Senior Notes is $950 million. The 2025 Senior Notes are general senior unsecured obligations of the Company and are guaranteed on a senior unsecured basis by certain domestic subsidiaries and mature on October 15, 2025. 2028 Senior Notes The aggregate principal balance of the 2028 Senior Notes is $400 million. The 2028 Senior Notes are general senior unsecured obligations of the Company and are guaranteed on a senior unsecured basis by certain domestic subsidiaries and mature on February 1, 2028. Interest expense for the 2028 Senior Notes and 2025 Senior Notes is as follows:
|  |  | Three Months Ended |  | Six Months Ended
|  |  | March 28, 2020 |  | March 30, 2019 |  | March 28, 2020 |  | March 30, 2019
| Interest Rate |  | Interest Expense |  | Interest Expense |  | Interest Expense |  | Interest Expense
2028 Senior Notes | 4.625 | % |  | $ | 4.8 |  |  | $ | 4.8 |  |  | $ | 9.6 |  |  | $ | 9.6 |
2025 Senior Notes | 4.375 | % |  | 10.9 |  |  | 10.9 |  |  | 21.8 |  |  | 21.8 |
Total |  |  | $ | 15.7 |  |  | $ | 15.7 |  |  | $ | 31.4 |  |  | $ | 31.4 |
Accounts Receivable Securitization Program On March 26, 2020, the Company paid-off the total amount outstanding of $250.0 million previously borrowed under the Accounts Receivable Securitization Program (the "Securitization Program"). As of March 28, 2020, the Company did not have any borrowings under this program. On April 13, 2020, the Company amended the Credit and Security agreement with the lenders, temporarily suspending the ability to borrow and the need to comply with covenants for up to a year.

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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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