Long-term Debt

12 Months Ended

Dec. 31, 2021

Long-term debt is comprised of the following:


	As of December 31,
	2021		2020
	(In thousands)
Bank Credit Facility:
Principal	$	235,000	$	500,000
Debt issuance costs, net of amortization	(38,637)		(34,403)
7.5% Senior Notes due 2025:
Principal	244,400		619,400
Discount, net of amortization	(47,402)		(145,672)
9.75% Senior Notes due 2026:
Principal	—		1,650,000
Discount, net of amortization	—		(72,176)
6.75% Senior Notes Due 2029:
Principal	1,250,000		—
Premium, net of amortization	6,874		—
5.875% Senior Notes Due 2030:
Principal	965,000		—
	$	2,615,235	$	2,517,149

The premiums and discounts on the senior notes are being amortized over the lives of the senior notes using the effective interest rate method. Issuance costs are amortized over the lives of the senior notes on a straight-line basis which approximates the amortization that would be calculated using an effective interest rate method.

The following table summarizes Comstock's principal amount of debt as of December 31, 2021 by year of maturity:


	2022		2023		2024		2025		2026		Thereafter		Total
	(In thousands)
Bank credit facility	$	—	$	—	$	235,000	$	—	$	—	$	—	$	235,000
7.5% Senior Notes due 2025	—		—		—		244,400		—		—		244,400
6.75% Senior Notes due 2029	—		—		—		—		—		1,250,000		1,250,000
5.875% Senior Notes due 2030	—		—		—		—		—		965,000		965,000
	$	—	$	—	$	235,000	$	244,400	$	—	$	2,215,000	$	2,694,400

As of December 31, 2021 the Company had $235.0 million outstanding under a bank credit facility with a $1.4 billion borrowing base which is re-determined on a semi-annual basis and upon the occurrence of certain other events and matures on July 16, 2024. Borrowings under the bank credit facility are secured by substantially all of the assets of the Company and its subsidiaries and bear interest at the Company's option, at either LIBOR plus 2.25% to 3.25% or a base rate plus 1.25% to 2.25%, in each case depending on the utilization of the borrowing base. The Company also pays a commitment fee of 0.375% to 0.5% on the unused borrowing base. The weighted average interest rate on borrowings under the bank credit facility were 2.71% and 3.48% as of December 31, 2021 and 2020, respectively. The bank credit facility places certain restrictions upon the Company's and its subsidiaries' ability to, among other things, incur additional indebtedness, pay cash dividends, repurchase common stock, make certain loans, investments and divestitures and redeem the senior notes. The only financial covenants are the maintenance of a last twelve month leverage ratio of less than 4.0 to 1.0 and an adjusted current ratio of at least 1.0 to 1.0. The Company was in compliance with the covenants as of December 31, 2021.

In March 2021, the Company issued $1.25 billion principal amount of 6.75% senior notes due 2029 (the "2029 Notes") in a private placement and received net proceeds after offering costs of $1.24 billion, which were used to repurchase a portion of the Company's 7.5% senior notes due 2025 and 9.75% senior notes due 2026 (the "2026 Notes") pursuant to a tender offer. The 2029 Notes mature on March 1, 2029 and accrue interest at a rate of 6.75% per annum, payable semi-annually on March 1 and September 1 of each year.

Pursuant to the tender offer, Comstock repurchased $375.0 million principal amount of its 7.50% senior notes due 2025 and $777.1 million principal amount of the 2026 Notes for an aggregate amount of $1.26 billion, which included premiums paid over face value of $97.9 million, accrued interest of $12.5 million and $1.1 million of costs related to the tender offer.

In June 2021, the Company issued $965.0 million principal amount of its 5.875% senior notes due 2030 (the "2030 Notes") in a private placement and received net proceeds after offering costs of $949.5 million, which were used along with cash on hand to redeem all outstanding 2026 Notes. The 2030 Notes mature on January 15, 2030 and accrue interest at a rate of 5.875% per annum, payable semi-annually on January 15 and July 15 of each year.

In June 2021, Comstock completed the redemption of all outstanding 2026 Notes for an aggregate amount of $978.6 million, which included premiums paid over face value of $74.0 million and accrued interest of $31.7 million.

As a result of the early retirement of the senior notes repurchased in the tender offer and the redemption of the 2026 Notes, the Company recognized a loss of $352.6 million on early retirement of debt for the year ended December 31, 2021.

In May 2020, the Company exchanged 767,096 shares of its common stock, valued at approximately $5.0 million, to retire $5.6 million aggregate principal amount of the Company's 7.5% Senior Notes due 2025, which had a carrying value of $4.2 million. As a result, the Company recognized a $0.9 million loss on early retirement of debt in 2020.

In 2020, the Company issued $800.0 million principal amount of its 9.75% Senior Notes due 2026 in an underwritten offering and received net proceeds of $737.1 million, which were used to repay borrowings under the Company's bank credit facility.