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Debt | 9 Months Ended
--- | ---
Sep. 30, 2014
Debt Disclosure [Abstract] |
DEBT | DEBT
| Weighted-Average Interest Rate |  |  |  |  |  |
| September 30, 2014 |  | December 31, 2013 |  | Maturities |  | September 30, 2014 |  | December 31, 2013
|  |  |  |  |  |  | (In thousands)
Short-term debt and current portion of long-term debt: |  |  |  |  |  |  |  |  |
Short-term debt | 1.08% |  | 1.70% |  | 2015 |  | $ | 2,743 |  |  | 1,315 |
Current portion of long-term debt, including capital leases |  |  |  |  |  |  | 459,569 |  |  | 258,123 |
Total short-term debt and current portion of long-term debt |  |  |  |  |  |  | 462,312 |  |  | 259,438 |
Long-term debt: |  |  |  |  |  |  |  |  |
U.S. commercial paper (1) | 0.26% |  | 0.28% |  | 2018 |  | 332,968 |  |  | 486,939 |
Canadian commercial paper (1) | —% |  | 1.13% |  | 2018 |  | — |  |  | 11,297 |
Global revolving credit facility | 1.23% |  | —% |  | 2018 |  | 3,000 |  |  | — |
Unsecured U.S. notes — Medium-term notes (1) | 3.29% |  | 3.76% |  | 2016-2025 |  | 3,771,695 |  |  | 3,271,734 |
Unsecured U.S. obligations, principally bank term loans | 1.44% |  | 1.45% |  | 2015-2018 |  | 50,500 |  |  | 55,500 |
Unsecured foreign obligations | 2.01% |  | 1.99% |  | 2015-2016 |  | 307,709 |  |  | 315,558 |
Capital lease obligations | 3.62% |  | 3.81% |  | 2014-2019 |  | 35,695 |  |  | 38,911 |
Total before fair market value adjustment |  |  |  |  |  |  | 4,501,567 |  |  | 4,179,939 |
Fair market value adjustment on notes subject to hedging (2) |  |  |  |  |  | 3,247 |  |  | 8,171 |
|  |  |  |  |  |  | 4,504,814 |  |  | 4,188,110 |
Current portion of long-term debt, including capital leases |  |  |  |  |  |  | (459,569 | ) |  | (258,123 | )
Long-term debt |  |  |  |  |  |  | 4,045,245 |  |  | 3,929,987 |
Total debt |  |  |  |  |  |  | $ | 4,507,557 |  |  | 4,189,425 |
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(1) | We had unamortized original issue discounts of $8.3 million and $8.3 million at September 30, 2014 and December 31, 2013, respectively.
(2) | The notional amount of executed interest rate swaps designated as fair value hedges was $600 million and $400 million at September 30, 2014 and December 31, 2013, respectively.
We maintain a $900 million global revolving credit facility with a syndicate of twelve lending institutions led by Bank of America N.A., Bank of Tokyo-Mitsubishi UFJ, Ltd., BNP Paribas, Mizuho Corporate Bank, Ltd., Royal Bank of Canada, Royal Bank of Scotland Plc, U.S. Bank National Association and Wells Fargo Bank, N.A. The global credit facility matures in October 2018. The global facility is used primarily to finance working capital but can also be used to issue up to $75 million in letters of credit (there were no letters of credit outstanding against the facility at September 30, 2014). At our option, the interest rate on borrowings under the credit facility is based on LIBOR, prime, federal funds or local equivalent rates. The agreement provides for annual facility fees which range from 8.0 basis points to 27.5 basis points and are based on Ryder’s long-term credit ratings. The annual facility fee is 12.5 basis points, which applies to the total facility size of $900 million. The credit facility contains no provisions limiting its availability in the event of a material adverse change to Ryder’s business operations; however, the credit facility does contain standard representations and warranties, events of default, cross-default provisions and certain affirmative and negative covenants. In order to maintain availability of funding, we must maintain a ratio of debt to consolidated net worth of less than or equal to 300%. Net worth, as defined in the credit facility, represents shareholders' equity excluding any accumulated other comprehensive income or loss associated with our pension and other postretirement plans. The ratio at September 30, 2014 was 184%. At September 30, 2014, there was $564.0 million available under the credit facility. Our global revolving credit facility enables us to refinance short-term obligations on a long-term basis. Settlement of short-term commercial paper obligations not expected to require the use of working capital are classified as long-term as we have both the intent and ability to refinance on a long-term basis. In addition, we have the intent and ability to refinance the current portion of long-term debt on a long-term basis. At September 30, 2014, we classified $333.0 million of short-term commercial paper and $250.0 million of the current portion of long-term debt as long-term debt. At December 31, 2013, we classified $498.2 million of short-term commercial paper as long-term debt. In May 2014, we issued $400 million of unsecured medium-term notes maturing in September 2019. In February 2014, we issued $350 million of unsecured medium-term notes maturing in June 2019. The proceeds from the notes were used to reduce commercial paper balances and for general corporate purposes. If the notes are downgraded below investment grade following, and as a result of, a change in control, the note holder can require us to repurchase all or a portion of the notes at a purchase price equal to 101% of principal plus accrued and unpaid interest. We have a trade receivables purchase and sale program, pursuant to which we sell certain of our domestic trade accounts receivable to a bankruptcy remote, consolidated subsidiary of Ryder, that in turn sells, on a revolving basis, an ownership interest in certain of these accounts receivable to a receivables conduit or committed purchasers. The subsidiary is considered a VIE and is consolidated based on our control of the entity’s activities. We use this program to provide additional liquidity to fund our operations, particularly when it is cost effective to do so. The costs under the program may vary based on changes in interest rates. The available proceeds that may be received under the program are limited to $175 million. If no event occurs that causes early termination, the 364-day program will expire on October 24, 2014. We are currently in the process of renewing the program through October 2015. The program contains provisions restricting its availability in the event of a material adverse change to our business operations or the collectibility of the collateralized receivables. At September 30, 2014 and December 31, 2013, no amounts were outstanding under the program. Sales of receivables under this program will be accounted for as secured borrowings based on our continuing involvement in the transferred assets. At September 30, 2014 and December 31, 2013, we had letters of credit and surety bonds outstanding totaling $316.6 million and $310.5 million, respectively, which primarily guarantee the payment of insurance claims.

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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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 02 -Paragraph 19, 20, 22 -Article 5 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.19,20,22) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 + Details
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