Amended and Restated Senior Credit Agreement

3 Months Ended

Mar. 31, 2016

Amended and Restated Senior Credit Agreement

On January 4, 2016 we entered into an amended and restated senior credit agreement (the "fifth amended and restated senior credit agreement") consisting of: (a) a $175.0 million term loan facility and (b) a $525.0 million revolving credit facility both expiring on January 4, 2021. The term loan is payable in quarterly installments increasing over the term of the facility. Proceeds from the term loan facility and borrowings under the revolving credit facility were used to repay the then existing senior credit agreement and to finance the acquisition of SurgiQuest. Initially, the interest rates are at LIBOR plus a base rate or a Eurocurrency rate plus an applicable margin. The applicable margin for base rate loans is 1.00% and for Eurocurrency rate loans is 2.00% (2.43% at March 31, 2016). In conjunction with this agreement, we incurred charges included in other expense in the statements of comprehensive income (loss) related to an agreement between the Company and JP Morgan Chase Bank, N.A. totaling $2.7 million and recorded a loss on the early extinguishment of debt of $0.3 million.

There were $172.8 million in borrowings outstanding on the term loan as of March 31, 2016. There were $344.4 million in borrowings outstanding under the revolving credit facility as of March 31, 2016. Our available borrowings on the revolving credit facility at March 31, 2016 were $175.5 million with approximately $5.1 million of the facility set aside for outstanding letters of credit.

The amended and restated senior credit agreement is collateralized by substantially all of our personal property and assets. The amended and restated senior credit agreement contains covenants and restrictions which, among other things, require the maintenance of certain financial ratios and restrict dividend payments and the incurrence of certain indebtedness and other activities, including acquisitions and dispositions. We were in full compliance with these covenants and restrictions as of March 31, 2016. We are also required, under certain circumstances, to make mandatory prepayments from net cash proceeds from any issuance of equity and asset sales.

The scheduled maturities of long-term debt outstanding at March 31, 2016 are as follows:



April 1, 2016 - March 31, 2017	$	10,089
April 1, 2017 - March 31, 2018	11,296
April 1, 2018 - March 31, 2019	15,792
April 1, 2019 - March 31, 2020	18,336
April 1, 2020 - March 31, 2021	466,920