XML 80 R23.htm IDEA: XBRL DOCUMENT
v2.4.0.6

Debt | 12 Months Ended
--- | ---
Dec. 31, 2012
Debt Disclosure [Abstract] |
Debt | Note 15 – Debt Short-term debt at December 31, 2012 and December 31, 2011 consisted of the following:
(in millions) | 2012 |  | 2011
Current maturities of long-term debt | $ | 6.5 |  |  | $ | 1.5 |
Other short-term debt | 1.7 |  |  | 0.9 |
Total short-term debt | $ | 8.2 |  |  | $ | 2.4 |
In March 2011, the Company entered into a five-year $300.0 million secured, asset-based borrowing facility (Facility). Borrowings under this Facility are limited to the lesser of $300.0 million or the value of the borrowing base, consisting of certain accounts receivable and inventory of the Company’s domestic subsidiaries. As of December 31, 2012, the borrowing base totaled $297.1 million, and available borrowing capacity totaled $272.8 million, net of $24.3 million of letters of credit outstanding under the Facility. The Company has the ability to issue up to $125.0 million in letters of credit under the Facility. The Company had no borrowings under the Facility as of December 31, 2012. The Company pays a facility fee of 25.0 to 62.5 basis points per annum, which is adjusted based on a leverage ratio. The facility fee was 25.0 basis points per annum as of December 31, 2012. Under the terms of the Facility, the Company has multiple borrowing options, including borrowing at a rate tied to adjusted LIBOR plus a spread of 225 to 300 basis points, which is adjusted based on a leverage ratio. The borrowing spread was 225 basis points as of December 31, 2012. The Company may also borrow at the highest of the following, plus a spread of 125 to 200 basis points, which is adjusted based on a leverage ratio (125 basis points as of December 31, 2012): the Federal Funds rate plus 0.50 percent; the Prime Rate established by JPMorgan Chase Bank, N.A.; or the one month adjusted LIBOR rate plus 1.00 percent. The Company’s borrowing capacity may also be affected by the fixed charge covenant included in the Facility. The covenant requires that the Company maintain a fixed charge coverage ratio, as defined in the agreement, of greater than 1.0, whenever unused borrowing capacity plus certain cash balances (together representing Availability), falls below $37.5 million. At the end of 2012, the Company had a fixed charge coverage ratio in excess of 1.0, and therefore had full access to borrowing capacity available under the Facility. When the fixed charge covenant ratio is below 1.0, the Company is required to maintain at least $37.5 million of Availability in order to be in compliance with the covenant. Consequently, the borrowing capacity is effectively reduced by $37.5 million whenever the fixed charge covenant ratio falls below 1.0. Upon entering into the Facility in March 2011, the Company terminated its existing Mercury Receivables ABL Facility and its $400.0 million secured, asset-based facility, which was set to expire in May 2012. As a result of terminating these agreements, the Company wrote off $1.1 million of deferred debt issuance costs during the first quarter of 2011. Long-term debt at December 31, 2012 and December 31, 2011 consisted of the following:
(in millions) | 2012 |  | 2011
Senior notes, 11.25% due 2016, net of discount of $4.1 and $5.9 | $ | 245.7 |  |  | $ | 287.9 |
Notes, 7.125% due 2027, net of discount of $0.6 and $0.6 | 166.0 |  |  | 167.2 |
Debentures, 7.375% due 2023, net of discount of $0.3 and $0.3 | 108.4 |  |  | 114.4 |
Senior notes, 11.25%, due 2013 | — |  |  | 73.0 |
Loan with Fond du Lac County Economic Development Corporation, 2.0% due 2021, net of discount of $6.6 and $7.3 | 41.1 |  |  | 42.7 |
Notes, various up to 5.892% payable through 2022 | 8.9 |  |  | 6.7 |
Total long-term debt | 570.1 |  |  | 691.9 |
Current maturities of long-term debt | (6.5 | ) |  | (1.5 | )
Long-term debt, net of current maturities | $ | 563.6 |  |  | $ | 690.4 |
Scheduled maturities, net of discounts:
2013 | $ | 6.5 |
2014 | 6.1 |
2015 | 5.5 |
2016 | 251.2 |
2017 | 5.6 |
Thereafter | 295.2 |
Total long-term debt including current maturities | $ | 570.1 |
As provided under the terms of its loan agreement with the Fond du Lac County Economic Development Corporation, the Company deferred the first interest payment of $2.7 million due December 2012 and added the amount to the outstanding principal balance. Also under the term of this loan, up to a maximum of 43 percent of the principal due annually can be forgiven if the Company achieves certain employment targets as outlined in the agreement. The amount of loan forgiveness is based on average employment levels at the end of the previous four quarters. Total loan forgiveness for the year ended December 31, 2012 was $1.7 million or 34 percent of the principal due. The Company’s debt-repurchase activity for the years ended December 31, 2012 and December 31, 2011 was as follows:
(in millions) | 2012 |  | 2011
Senior notes, 11.25%, due 2013 | $ | 73.0 |  |  | $ | 44.2 |
Senior notes, 11.25%, due 2016 | 44.0 |  |  | 56.2 |
Notes, 7.125%, due 2027 | 1.2 |  |  | 32.1 |
Debentures, 7.375%, due 2023 | 6.0 |  |  | 10.3 |
Total debt repurchases | $ | 124.2 |  |  | $ | 142.8 |
Loss on early extinguishment of debt | $ | 16.3 |  |  | $ | 19.8 |

X
- 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://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 Reference 2: 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 3: 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 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 129 -Paragraph 2, 4 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. + Details
Name: | us-gaap_DebtDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration