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DEBT
 6 Months Ended
Feb. 28, 2022
DEBT [Abstract]  
DEBT NOTE 7 – DEBT

Short-term borrowings consist of unsecured lines of credit. The following table summarizes the balances of total facilities, facilities used and facilities available (in thousands):

Facilities Used

Total Amount

Short-term

Letters of

Facilities

Weighted average

of Facilities

Borrowings

Credit

Available

interest rate

February 28, 2022 - Committed

$

75,000

$

—

$

—

$

75,000

—

%

February 28, 2022 - Uncommitted

91,000

15,342

—

75,658

3.0

February 28, 2022 - Total

$

166,000

$

15,342

$

—

$

150,658

3.0

%

August 31, 2021 - Committed

$

40,000

$

—

$

97

$

39,903

—

%

August 31, 2021 - Uncommitted

91,000

—

—

91,000

—

August 31, 2021 - Total

$

131,000

$

—

$

97

$

130,903

—

%

As of February 28, 2022 and August 31, 2021, the Company was in compliance with all covenants or amended covenants for each of its short-term facility agreements. These facilities generally expire annually or bi-annually and are normally renewed. One of these facilities is a committed credit agreement with one bank for $75.0 million. In exchange for the bank’s commitment to fund any drawdowns the Company requests, the Company pays an annual commitment fee of 0.25%, payable quarterly, on any unused portion of this facility. Additionally, the Company has uncommitted facilities in most of the countries where it operates, with drawdown requests subject to approval by the individual banks each time a drawdown is requested.

The following table provides the changes in long-term debt for the six months ended February 28, 2022:

(Amounts in thousands)

Current
‎portion of
‎long-term debt

Long-term
‎debt (net of current portion)

Total

Balances as of August 31, 2021

$

19,395

$

110,110

$

129,505

(1)

Proceeds from long-term debt incurred during the period:

Guatemala subsidiary

—

4,204

4,204

Trinidad subsidiary

4,844

21,132

25,976

Repayments of long-term debt:

Guatemala subsidiary

(377)

—

(377)

Costa Rica subsidiary

(1,261)

(109)

(1,370)

Regularly scheduled loan payments

(3,487)

(5,735)

(9,222)

Reclassifications of long-term debt due in the next 12 months

9,657

(9,657)

—

Translation adjustments on foreign currency debt of subsidiaries whose functional currency is not the U.S. dollar (2)

(10)

112

102

Balances as of February 28, 2022

$

28,761

$

120,057

$

148,818

(3)

(1)The carrying amount of cash and non-cash assets assigned as collateral for these loans was $7.0 million and $153.5 million, respectively.

(2)These foreign currency translation adjustments are recorded within Other comprehensive income (loss).

(3)The carrying amount of cash and non-cash assets assigned as collateral for these loans was $6.4 million and $166.8 million, respectively.

 

As of February 28, 2022 and August 31, 2021, the Company had approximately $120.5 million and $103.4 million, respectively, of long-term loans in several foreign subsidiaries that require these subsidiaries to comply with certain annual or quarterly financial covenants, which include debt service and leverage ratios. The Company was in compliance with all covenants or amended covenants for both periods. The net increase in long-term debt during the period is primarily attributable to a loan entered into by the Company’s Trinidad subsidiary, whereby it received $25.0 million in U.S. dollars, which it will pay back in Trinidad dollars (using a conversion rate fixed upon initial disbursement) over the four-year life of the loan.

Annual maturities of long-term debt are as follows (in thousands):

Twelve Months Ended February 28,

Amount

2023

$

28,761

2024

26,230

2025

36,009

2026

13,521

2027

11,189

Thereafter

33,108

Total

$

148,818