Long-term debt

6 Months Ended

Jun. 30, 2022

Long-term debt was comprised of the following:


						As of June 30, 2022
	June 30, 2022		December 31, 2021		Maturity date	Interest rate		Estimated fair value(1)
Senior Secured Credit Facilities:
Term Loan A	$	1,553,125	$	1,596,875	8/12/2024	LIBOR+1.75%		$	1,537,594
Term Loan B-1	2,674,547		2,688,263		8/12/2026	LIBOR+1.75%		$	2,497,358
Revolving line of credit	425,000		—		8/12/2024	LIBOR+1.75%		$	425,000
Senior Notes:
4.625% Senior Notes	2,750,000		2,750,000		6/1/2030	4.625	%	$	2,158,750
3.75% Senior Notes	1,500,000		1,500,000		2/15/2031	3.75	%	$	1,074,375
Acquisition obligations and other notes payable(2)	125,035		130,599		2022-2036	5.24	%	$	125,035
Financing lease obligations(3)	285,279		299,128		2023-2038	4.54	%
Total debt principal outstanding	9,312,986		8,964,865
Discount, premium and deferred financing costs(4)	(50,560)		(56,685)
	9,262,426		8,908,180
Less current portion	(197,510)		(179,030)
	$	9,064,916	$	8,729,150

(1)For the Company's senior secured credit facilities and senior notes, fair value estimates are based upon bid and ask quotes, typically a level 2 input. For acquisition obligations and other notes payable, the carrying values presented approximate their estimated fair values, based on estimates of their present values using level 2 interest rate inputs.

(2)The interest rate presented for acquisition obligations and other notes payable is their weighted average interest rate based on the current fixed and variable interest rate components in effect as of June 30, 2022.

(3)Financing lease obligations are measured at their approximate present values at inception. The interest rate presented is the weighted average discount rate embedded in financing leases outstanding.

(4)As of June 30, 2022, the carrying amount of the Company's senior secured credit facilities have been reduced by a discount of $3,983 and deferred financing costs of $22,983, and the carrying amount of the Company's senior notes have been reduced by deferred financing costs of $38,558 and increased by a debt premium of $14,964. As of December 31, 2021, the carrying amount of the Company's senior secured credit facilities were reduced by a discount of $4,473 and deferred financing costs of $27,207, and the carrying amount of the Company's senior notes were reduced by deferred financing costs of $40,914 and increased by a debt premium of $15,909.

During the first six months of 2022, the Company made regularly scheduled mandatory principal payments under its senior secured credit facilities totaling $43,750 on Term Loan A and $13,716 on Term Loan B-1.

As of June 30, 2022, the Company's 2019 interest rate cap agreements have the economic effect of capping the Company's maximum exposure to LIBOR variable interest rate changes on equivalent amounts of the Company's floating rate debt, including all of Term Loan B-1 and a portion of Term Loan A. The remaining $727,672 outstanding principal balance of Term Loan A and the $425,000 balance outstanding on the revolving line of credit are subject to LIBOR-based interest rate volatility. These cap agreements are designated as cash flow hedges and, as a result, changes in their fair values are reported in other comprehensive income. The original premiums paid for the caps are amortized to debt expense on a straight-line basis over the term of each cap agreement starting from its effective date. These cap agreements do not contain credit risk-contingent features.

The following table summarizes the Company’s interest rate cap agreements outstanding as of June 30, 2022 and December 31, 2021, which are classified in "Other long-term assets" on its consolidated balance sheet:


						Six months ended June 30, 2022				Fair value
	Notional amount		LIBOR maximum rate	Effective date	Expiration date	Debt expense		Recorded OCI gain		June 30, 2022		December 31, 2021
2019 cap agreements	$	3,500,000	2.00%	6/30/2020	6/30/2024	$	2,754	$	72,416	$	84,619	$	12,203

See Note 9 for further details on amounts reclassified from accumulated other comprehensive loss and recorded as debt expense related to the Company’s interest rate cap agreements for the three and six months ended June 30, 2022 and 2021.

The Company’s weighted average effective interest rate on its senior secured credit facilities at the end of the second quarter of 2022 was 3.77%, based on the current margins in effect for its senior secured credit facilities as of June 30, 2022, as detailed in the table above.

The Company’s overall weighted average effective interest rate for the three and six months ended June 30, 2022 was 3.68% and 3.41%, and as of June 30, 2022 was 4.10%.

As of June 30, 2022, the Company’s interest rates were fixed on approximately 50% of its total debt.

As of June 30, 2022, the Company had $575,000 available and $425,000 drawn on its $1,000,000 revolving line of credit under its senior secured credit facilities. Credit available under this facility is reduced by the amount of any letters of credit outstanding under this facility, of which there were none as of June 30, 2022. The Company also had approximately $108,070 in letters of credit outstanding under a separate bilateral secured letter of credit facility as of June 30, 2022.