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Debt | 12 Months Ended
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Dec. 31, 2014
Debt |
Debt | 12. Debt The following table summarizes the long-term debt of the Company at December 31, 2014 and 2013:
|  | 2014 |  | 2013 |
Secured Credit Agreement: |  |  |  |  |  |  |
Revolving Credit Facility: |  |  |  |  |  |  |
Revolving Loans |  | $ | — |  | $ | — |
Term Loans: |  |  |  |  |  |  |
Term Loan B |  |  | 405 |  |  | 405 |
Term Loan C (81 million CAD at December 31, 2014) |  |  | 70 |  |  | 76 |
Term Loan D (€85 million at December 31, 2014) |  |  | 103 |  |  | 117 |
Senior Notes: |  |  |  |  |  |  |
3.00%, Exchangeable, due 2015 |  |  | 18 |  |  | 617 |
7.375%, net of discount, due 2016 |  |  | 596 |  |  | 593 |
6.75%, due 2020 (€500 million) |  |  | 608 |  |  | 690 |
4.875%, due 2021 (€330 million) |  |  | 401 |  |  | 455 |
5.00%, due 2022 |  |  | 494 |  |  |  |
5.375%, due 2025 |  |  | 296 |  |  |  |
Senior Debentures: |  |  |  |  |  |  |
7.80%, due 2018 |  |  | 250 |  |  | 250 |
Capital leases |  |  | 63 |  |  | 37 |
Other |  |  | 29 |  |  | 21 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Total long-term debt |  |  | 3,333 |  |  | 3,261 |
Less amounts due within one year |  |  | 361 |  |  | 16 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Long-term debt |  | $ | 2,972 |  | $ | 3,245 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
On May 19, 2011, the Company entered into the Secured Credit Agreement (the "Agreement"). At December 31, 2014, the Agreement included a $900 million revolving credit facility, a $405 million term loan, an 81 million Canadian dollar term loan, and a €85 million term loan, each of which has a final maturity date of May 19, 2016. At December 31, 2014, the Company had unused credit of $804 million available under the Agreement. The Agreement contains various covenants that restrict, among other things and subject to certain exceptions, the ability of the Company to incur certain liens, make certain investments, become liable under contingent obligations in certain defined instances only, make restricted junior payments, make certain asset sales within guidelines and limits, make capital expenditures beyond a certain threshold, engage in material transactions with shareholders and affiliates, participate in sale and leaseback financing arrangements, alter its fundamental business, and amend certain outstanding debt obligations. The Agreement also contains one financial maintenance covenant, a Leverage Ratio, that requires the Company not to exceed a ratio calculated by dividing consolidated total debt, less cash and cash equivalents, by Consolidated Adjusted EBITDA, as defined in the Agreement. The Leverage Ratio could restrict the ability of the Company to undertake additional financing or acquisitions to the extent that such financing or acquisitions would cause the Leverage Ratio to exceed the specified maximum of 4.0x. Failure to comply with these covenants and restrictions could result in an event of default under the Agreement. In such an event, the Company could not request borrowings under the revolving facility, and all amounts outstanding under the Agreement, together with accrued interest, could then be declared immediately due and payable. If an event of default occurs under the Agreement and the lenders cause all of the outstanding debt obligations under the Agreement to become due and payable, this would result in a default under a number of other outstanding debt securities and could lead to an acceleration of obligations related to these debt securities. A default or event of default under the Agreement, indentures or agreements governing other indebtedness could also lead to an acceleration of debt under other debt instruments that contain cross acceleration or cross-default provisions. The Leverage Ratio also determines pricing under the Agreement. The interest rate on borrowings under the Agreement is, at the Company's option, the Base Rate or the Eurocurrency Rate, as defined in the Agreement. These rates include a margin linked to the Leverage Ratio. The margins range from 1.25% to 2.00% for Eurocurrency Rate loans and from 0.25% to 1.00% for Base Rate loans. In addition, a facility fee is payable on the revolving credit facility commitments ranging from 0.25% to 0.50% per annum linked to the Leverage Ratio. The weighted average interest rate on borrowings outstanding under the Agreement at December 31, 2014 was 2.09%. As of December 31, 2014, the Company was in compliance with all covenants and restrictions in the Agreement. In addition, the Company believes that it will remain in compliance and that its ability to borrow funds under the Agreement will not be adversely affected by the covenants and restrictions. Borrowings under the Agreement are secured by substantially all of the assets, excluding real estate, of the Company's domestic subsidiaries and certain foreign subsidiaries. Borrowings are also secured by a pledge of intercompany debt and equity in most of the Company's domestic subsidiaries and stock of certain foreign subsidiaries. All borrowings under the agreement are guaranteed by substantially all domestic subsidiaries of the Company for the term of the Agreement. During December 2014, the Company issued senior notes with a face value of $500 million that bear interest at 5.00% and are due January 15, 2022. The Company also issued senior notes with a face value of $300 million that bear interest at 5.375% and are due January 15, 2025. The New Senior Notes were issued via a private placement and are guaranteed by substantially all of the Company's domestic subsidiaries. The net proceeds from the New Senior Notes, after deducting debt issuance costs, totaled approximately $790 million and were used to purchase in a tender offer $611 million aggregate principal amount of the Company's 3.00% exchangeable senior notes due June 1, 2015. Approximately $18 million of the exchangeable senior notes remain outstanding as of December 31, 2014. As part of the tender offer, the Company recorded $20 million of additional interest charges for note repurchase premiums and the related write-off of unamortized finance fees in the fourth quarter of 2014. During March 2013, the Company issued, in a private placement, senior notes with a face value of €330 million due March 31, 2021. The notes bear interest at 4.875% and are guaranteed by substantially all of the Company's domestic subsidiaries. The net proceeds, after deducting debt issuance costs, totaled approximately $418 million. During March 2013, the Company discharged, in accordance with the indenture, all €300 million of its 6.875% senior notes due 2017. The Company recorded $11 million of additional interest charges for note repurchase premiums and the related write-off of unamortized finance fees. The Company has a €215 million European accounts receivable securitization program, which extends through September 2016, subject to periodic renewal of backup credit lines. Information related to the Company's accounts receivable securitization program as of December 31, 2014 and 2013 is as follows:
|  | 2014 |  | 2013 |
Balance (included in short-term loans) |  | $ | 122 |  | $ | 276 |
Weighted average interest rate |  |  | 1.41 | % |  | 1.41 | %
Annual maturities for all of the Company's long-term debt through 2019 are as follows: 2015, $361 million; 2016, $883 million; 2017, $4 million; 2018, $254 million; and 2019, $4 million. Fair values at December 31, 2014, of the Company's significant fixed rate debt obligations are as follows:
|  | Principal Amount |  | Indicated Market Price |  | Fair Value |
Senior Notes: |  |  |  |  |  |  |  |  |  |
7.375%, due 2016 |  | $ | 600 |  | $ | 106.70 |  | $ | 640 |
6.75%, due 2020 (€500 million) |  |  | 608 |  |  | 118.85 |  |  | 723 |
4.875%, due 2021 (€330 million) |  |  | 401 |  |  | 110.00 |  |  | 441 |
5.00%, due 2022 |  |  | 500 |  |  | 101.81 |  |  | 509 |
5.375%, due 2025 |  |  | 300 |  |  | 101.25 |  |  | 304 |
Senior Debentures: |  |  |  |  |  |  |  |  |  |
7.80%, due 2018 |  |  | 250 |  |  | 112.31 |  |  | 281 |

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- 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 505 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644 Reference 2: 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 3: 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 + Details
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