XML 43 R26.htm IDEA: XBRL DOCUMENT
v3.21.2

Notes Payable, Other and Short-Term Borrowings | 9 Months Ended
--- | ---
Sep. 30, 2021
Debt Disclosure [Abstract] |
Notes Payable, Other and Short-Term Borrowings | Notes Payable, Other and Short-Term Borrowings Notes payable, other and short-term borrowings consisted of the following (in thousands):
| September 30, 2021 |  | December 31, 2020
Unsecured senior revolving credit agreement | $ | 298,821 |  |  | $ | — |
5.125% Senior Notes due May 27, 2021 | — |  |  | 255,570 |
5.375% Senior Notes due July 24, 2023 | 447,577 |  |  | 446,577 |
3.750% Senior Notes due October 1, 2024 | 297,524 |  |  | 296,903 |
4.375% Senior Notes due December 15, 2025 | 297,392 |  |  | 297,031 |
Collateralized borrowings | 11,217 |  |  | 19,854 |
Total Notes payable and other borrowings | 1,352,531 |  |  | 1,315,935 |
Short-term borrowings | 3,677 |  |  | 3,849 |
Total Notes payable, other and short-term borrowings | $ | 1,356,208 |  |  | $ | 1,319,784 |
Unsecured Senior Revolving Credit Agreement On November 28, 2018, the Company entered into the Revolving Credit Agreement with Bank of America, N.A., as administrative agent, and a syndicate of lenders, which replaced the existing committed unsecured senior revolving credit agreement. The maturity date of the Revolving Credit Agreement was November 28, 2020, and the maximum revolving loan balance is $350.0 million. Borrowings under this Revolving Credit Agreement bear interest at either LIBOR or a defined base rate plus additional margin. On December 11, 2019, the Company entered into an amendment to the Revolving Credit Agreement. Pursuant to the amendment, the maturity date was extended to February 26, 2021. On February 26, 2020, the Company entered into a second amendment to the Revolving Credit Agreement, pursuant to which, the maturity date was extended by two years to February 26, 2023. There was no change to the interest rate or the maximum revolving loan balance. As of September 30, 2021, there were $298.8 million borrowings outstanding, net of deferred financing costs of $1.2 million, under the Revolving Credit Agreement. The average interest rate on the outstanding borrowings was 2.08% for each of the three and nine months ended September 30, 2021. The average interest rate on the outstanding borrowings was 2.19% and 2.88% for the three and nine months ended September 30, 2020, respectively. As of December 31, 2020, there were no borrowings outstanding under the Revolving Credit Agreement. The Company recorded interest expense related to the Revolving Credit Agreement of $1.6 million and $0.9 million for the three months ended September 30, 2021 and 2020, respectively. The Company recorded interest expense related to the Revolving Credit Agreement of $2.7 million and $4.7 million for the nine months ended September 30, 2021 and 2020, respectively. Senior Notes The Company’s Senior Notes are recorded at amortized cost. The carrying amounts and estimated fair values of the Company’s Senior Notes were as follows (in thousands):
| September 30, 2021 |  | December 31, 2020
| Carrying Amount |  | Fair Value |  | Carrying Amount |  | Fair Value
5.125% Senior Notes due May 27, 2021 | $ | — |  |  | $ | — |  |  | $ | 255,570 |  |  | $ | 258,067 |
5.375% Senior Notes due July 24, 2023 | 447,577 |  |  | 482,846 |  |  | 446,577 |  |  | 486,747 |
3.750% Senior Notes due October 1, 2024 | 297,524 |  |  | 317,802 |  |  | 296,903 |  |  | 314,031 |
4.375% Senior Notes due December 15, 2025 | 297,392 |  |  | 323,580 |  |  | 297,031 |  |  | 317,466 |
Total | $ | 1,042,493 |  |  | $ | 1,124,228 |  |  | $ | 1,296,081 |  |  | $ | 1,376,311 |
The fair values of the Senior Notes were determined using observable market prices as these securities are traded, and based on whether they are deemed to be actively traded, the 5.125% Senior Notes, the 5.375% Senior Notes, the 3.750% Senior Notes, and the 4.375% Senior Notes are considered Level 2 within the fair value hierarchy. 5.125% Senior Notes On May 27, 2016, the Company issued an aggregate of $300.0 million principal amount of 5.125% Senior Notes, which matured on May 27, 2021. The 5.125% Senior Notes were general senior unsecured obligations of the Company. The 5.125% Senior Notes bore interest at a rate of 5.125% per year, payable in cash on May 27 and November 27 of each year, commencing November 27, 2016 and ending the maturity date. Prior to maturity, on August 5, 2020, the Company commenced a cash tender offer for any and all $300.0 million outstanding aggregate principal amount of its 5.125% Senior Notes. On August 11, 2020, the Company’s cash tender offer expired at 5:00 p.m., New York City time. As of the expiration time, $44.0 million aggregate principal amount of the 5.125% Senior Notes were validly tendered. These notes were redeemed on the settlement date of August 14, 2020. On May 27, 2021, BGC repaid the remaining $256.0 million principal plus accrued interest on its 5.125% Senior Notes. The Company did not record any interest expense related to the 5.125% Senior Notes for the three months ended September 30, 2021. The Company recorded interest expense related to the 5.125% Senior Notes of $4.6 million for the three months ended September 30, 2020. The Company recorded interest expense related to the 5.125% Senior Notes of $5.8 million and $12.8 million for the nine months ended September 30, 2021 and 2020, respectively. 5.375% Senior Notes On July 24, 2018, the Company issued an aggregate of $450.0 million principal amount of 5.375% Senior Notes. The 5.375% Senior Notes are general senior unsecured obligations of the Company. The 5.375% Senior Notes bear interest at a rate of 5.375% per year, payable in cash on January 24 and July 24 of each year, commencing January 24, 2019. The 5.375% Senior Notes will mature on July 24, 2023. The Company may redeem some or all of the 5.375% Senior Notes at any time or from time to time for cash at certain “make-whole” redemption prices (as set forth in the Indenture related to the 5.375% Senior Notes). If a “Change of Control Triggering Event” (as defined in the Indenture) occurs, holders may require the Company to purchase all or a portion of their notes for cash at a price equal to 101% of the principal amount of the notes to be purchased plus any accrued and unpaid interest to, but excluding, the purchase date. The initial carrying value of the 5.375% Senior Notes was $444.2 million, net of the discount and debt issuance costs of $5.8 million. The issuance costs are amortized as interest expense, and the carrying value of the 5.375% Senior Notes will accrete up to the face amount over the term of the notes. The carrying value of the 5.375% Senior Notes as of September 30, 2021 was $447.6 million. The Company recorded interest expense related to the 5.375% Senior Notes of $6.4 million for each of the three months ended September 30, 2021 and 2020. The Company recorded interest expense related to the 5.375% Senior Notes of $19.1 million for each of the nine months ended September 30, 2021 and 2020. 3.750% Senior Notes On September 27, 2019, the Company issued an aggregate of $300.0 million principal amount of 3.750% Senior Notes. The 3.750% Senior Notes are general unsecured obligations of the Company. The 3.750% Senior Notes bear interest at a rate of 3.750% per year, payable in cash on April 1 and October 1 of each year, commencing April 1, 2020. The 3.750% Senior Notes will mature on October 1, 2024. The Company may redeem some or all of the 3.750% Senior Notes at any time or from time to time for cash at certain “make-whole” redemption prices (as set forth in the Indenture). If a “Change of Control Triggering Event” (as defined in the Indenture) occurs, holders may require the Company to purchase all or a portion of their notes for cash at a price equal to 101% of the principal amount of the notes to be purchased plus any accrued and unpaid interest to, but excluding, the purchase date. The initial carrying value of the 3.750% Senior Notes was $296.1 million, net of discount and debt issuance costs of $3.9 million. The issuance costs will be amortized as interest expense, and the carrying value of the 3.750% Senior Notes will accrete up to the face amount over the term of the notes. The carrying value of the 3.750% Senior Notes was $297.5 million as of September 30, 2021. The Company recorded interest expense related to the 3.750% Senior Notes of $3.0 million for each of the three months ended September 30, 2021 and 2020. The Company recorded interest expense related to the 3.750% Senior Notes of $9.1 million for each of the nine months ended September 30, 2021 and 2020. 4.375% Senior Notes On July 10, 2020, the Company issued an aggregate of $300.0 million principal amount of 4.375% Senior Notes. The 4.375% Senior Notes are general unsecured obligations of the Company. The 4.375% Senior Notes bear interest at a rate of 4.375% per year, payable in cash on June 15 and December 15 of each year, commencing December 15, 2020. The 4.375% Senior Notes will mature on December 15, 2025. The Company may redeem some or all of the 4.375% Senior Notes at any time or from time to time for cash at certain “make-whole” redemption prices. If a “Change of Control Triggering Event” occurs, holders may require the Company to purchase all or a portion of their notes for cash at a price equal to 101% of the principal amount of the notes to be purchased plus any accrued and unpaid interest to, but excluding, the purchase date. The initial carrying value of the 4.375% Senior Notes was $296.8 million, net of discount and debt issuance costs of $3.2 million. The issuance costs will be amortized as interest expense, and the carrying value of the 4.375% Senior Notes will accrete up to the face amount over the term of the notes. The carrying value of the 4.375% Senior Notes was $297.4 million as of September 30, 2021. The Company recorded interest expense related to the 4.375% Senior Notes of $3.4 million and $10.3 million for the three and nine months ended September 30, 2021, respectively. The Company recorded interest expense related to the 4.375% Senior Notes of $3.1 million for both the three and nine months ended September 30, 2020. Collateralized Borrowings On May 31, 2017, the Company entered into a $29.9 million secured loan arrangement, under which it pledged certain fixed assets as security for a loan. This arrangement incurs interest at a fixed rate of 3.44% per year and matured on May 31, 2021, therefore there were no borrowings outstanding as of September 30, 2021. As of December 31, 2020, the Company had $4.0 million, outstanding related to this arrangement. The book value of the fixed assets pledged as of December 31, 2020 was $0.8 million. The Company did not record any interest expense related to this arrangement for the three months ended September 30, 2021. The Company recorded interest expense related to this arrangement of $0.1 million for the three months ended September 30, 2020. The Company recorded interest expense related to this arrangement of $40 thousand and $0.3 million for the nine months ended September 30, 2021 and 2020, respectively. On April 8, 2019, the Company entered into a $15.0 million secured loan arrangement, under which it pledged certain fixed assets as security for a loan. This arrangement incurs interest at a fixed rate of 3.77% and matures on April 8, 2023. As of September 30, 2021 and December 31, 2020, the Company had $6.8 million and $9.6 million, respectively, outstanding related to this secured loan arrangement. The book value of the fixed assets pledged as of September 30, 2021 and December 31, 2020 was $0.1 million and $1.2 million, respectively. The Company recorded interest expense related to this arrangement of $0.1 million for each of the three months ended September 30, 2021 and 2020. The Company recorded interest expense related to this arrangement of $0.2 million and $0.4 million for the nine months ended September 30, 2021 and 2020, respectively. On April 19, 2019, the Company entered into a $10.0 million secured loan arrangement, under which it pledged certain fixed assets as security for a loan. This arrangement incurs interest at a fixed rate of 3.89% and matures on April 19, 2023. As of September 30, 2021 and December 31, 2020, the Company had $4.4 million and $6.3 million, respectively, outstanding related to this secured loan arrangement. The book value of the fixed assets pledged as of September 30, 2021 and December 31, 2020 was $1.4 million and $2.7 million, respectively. The Company recorded interest expense related to this arrangement of $45 thousand and $0.1 million for the three months ended September 30, 2021 and 2020, respectively. The Company recorded interest expense related to this arrangement of $0.2 million for each of the nine months ended September 30, 2021 and 2020. Short-Term Borrowings On August 22, 2017, the Company entered into a committed unsecured loan agreement with Itau Unibanco S.A. The agreement provided for short-term loans of up to $3.7 million (BRL 20.0 million). The agreement was automatically renewed every 180 days until, August 13, 2021, when it was paid in full. Borrowings under this agreement bore interest at the Brazilian Interbank offering rate plus 4.75%. As of September 30, 2021, there were no borrowings outstanding under this agreement. As of December 31, 2020, there were $3.8 million (BRL 20.0 million) of borrowings outstanding under the agreement. As of September 30, 2021, the interest rate was 11.00%. The Company recorded interest expense related to the agreement of $0.1 million for each of the three months ended September 30, 2021 and 2020. The Company recorded interest expense related to the agreement of $0.2 million for each of the nine months ended September 30, 2021 and 2020. On August 23, 2017, the Company entered into a committed unsecured credit agreement with Itau Unibanco S.A. The agreement provided for an intra-day overdraft credit line up to $10.0 million (BRL 50.0 million). On August 20, 2021, the agreement was renegotiated, increasing the credit line to $11.0 million (BRL 60.0 million). The maturity date of the agreement is November 20, 2021. This agreement bears a fee of 1.35% per year. As of September 30, 2021 and December 31, 2020, there were no borrowings outstanding under this agreement. The Company recorded bank fees related to the agreement of $35 thousand and $34 thousand for the three months ended September 30, 2021 and 2020, respectively. The Company recorded bank fees related to the agreement of $0.1 million for each of the nine months ended September 30, 2021 and 2020.On January 25, 2021, the Company entered into a committed unsecured loan agreement with Banco Daycoval S.A., which provided for short-term loans of up to $1.8 million (BRL 10.0 million) and was renegotiated on June 1, 2021. The agreement provides for short-term loans of up to $3.7 million (BRL 20.0 million). The maturity date of the agreement is January 18, 2022. Borrowings under this agreement bear interest at the Brazilian Interbank offering rate plus 3.66%. As of September 30, 2021, there were $3.7 million (BRL 20.0 million) of borrowings outstanding under the agreement. As of September 30, 2021, the interest rate was 9.91%. The Company recorded interest expense related to the agreement of $48 thousand and $0.1 million for the three and nine months ended September 30, 2021, respectively. The Company did not record any interest expense related to the agreement for the three and nine months ended September 30, 2020

X
- References No definition available. + Details
Name: | us-gaap_DebtDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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
Name: | us-gaap_DebtDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration