Debt (Tables)

12 Months Ended

Dec. 31, 2013



	December 31,
	2013		2012
Debt classified as current liabilities:
Hancock County industrial revenue bonds (“IRBs”) due 2028, interest payable quarterly (variable interest rates (not to exceed 12%)) (1)	$	7,815	$	7,815
7.5% senior unsecured notes payable due August 15, 2014, interest payable semiannually (2)	2,603		—
Iceland revolving credit facility (2)(3)	6,000		—
Debt classified as non-current liabilities:
7.5% senior secured notes payable due June 1, 2021, net of debt discount of $3,472, interest payable semiannually	246,528		—
8.0% senior secured notes payable due May 15, 2014, net of debt discount of $1,625, interest payable semiannually	—		247,979
7.5% senior unsecured notes payable due August 15, 2014, interest payable semiannually	—		2,603
E.ON contingent obligation, principal and accrued interest, contingently payable monthly, annual interest rate of 10.94% (4)	—		15,369
Total	$	262,946	$	273,766


(1)	The IRBs are classified as current liabilities because they are remarketed weekly and could be required to be repaid upon demand if there is a failed remarketing. The IRB interest rate at December 31, 2013 was 0.25%.


(2)	These items are recorded in Accrued and other current liabilities.


(3)	Borrowings under the Iceland revolving credit facility bear variable interest based on LIBOR plus the applicable margin per annum. The interest rate at December 31, 2013 was 3.92%.


(4)	E.ON contingent obligation principal and interest payments are payable based on CAKY’s operating level and the LME price for primary aluminum. See E.ON contingent obligation below and Note 4 Fair value measurements for additional information.

Debt Instrument Redemption

Redemption Rights. Prior to June 1, 2016, we may redeem the 7.5% Notes due 2021, in whole or in part, at a redemption price equal to 100% of the principal amount plus a make-whole premium, and if redeemed during the twelve-month period beginning on June 1 of the years indicated below, at the following redemption prices plus accrued and unpaid interest:



Year	Percentage
2016	105.625%
2017	103.750%
2018	101.875%
2019 and thereafter	100.000%

Offsetting of financial instruments and derivatives

The following table provides information about the balance sheet location and gross amounts offset:



Offsetting of financial instruments and derivatives
	Balance sheet location	December 31, 2013			December 31, 2012
E.ON contingent obligation – principal	Other liabilities	$	(12,902	)	$	(12,902	)
E.ON contingent obligation – accrued interest	Other liabilities	(3,879		)	(2,467		)
E.ON contingent obligation – derivative asset	Other liabilities	16,781			—
		$	—		$	(15,369	)

Schedule of Maturities of Long-term Debt

Principal payments on our long term debt maturing in the next five years, excluding contingent obligations, are as follows:



	2014
7.5% Notes due 2014	$	2,603
Iceland revolving credit facility	6,000
Total	$	8,603