Debt

12 Months Ended

Dec. 31, 2019

The Company’s short-term and long-term debt at December 31, 2019 and 2018 consisted of the following:



	December 31,
(in thousands)	2019		2018
Short-term Debt – Non-Recourse	$	54,029	$	—
Short-term Debt – Recourse	93,002		205,000
Total Short-term Debt	147,031		205,000

Current Maturities of Long-term Debt – Non-Recourse	9,250		4,842
Current Maturities of Long-term Debt – Recourse	36,013		16,747
Finance lease liability	17,636		—
Total Current Maturities of Long-term Debt	62,899		21,589

Long-term Debt, Less: Current Maturities – Non-Recourse	329,891		146,353
Long-term Debt, Less: Current Maturities – Recourse	664,856		349,834
Finance lease liability	21,501		—
Total Long-term Debt, Less: Current Maturities	$	1,016,248	$	496,187

On January 2, 2019, in conjunction with the LTG acquisition, the Company assumed a revolving line of credit and a term loan with a syndicate of banks, which are non-recourse to the Company. The credit agreement provides the Company with a maximum availability of $184.8 million and had $130.8 million available for borrowing on this line of credit as of December 31, 2019. Any borrowings under the line of credit bear interest at variable rates, which are based on LIBOR or Bankers’ Acceptances plus an applicable spread. The maturity date for the revolving line of credit is June 26, 2023. The term note assumed in conjunction with the LTG acquisition was non-recourse to the Company with a syndicate of banks and had a balance of $15.5 million at December 31, 2019. The interest rate for the term loan was 4.51% as of December 31, 2019 and is based on LIBOR plus an applicable spread. Payments on the term loans are made on a quarterly basis.

On January 11, 2019, the Company entered into a 5-year recourse term loan in the amount of $250 million and a 7-year recourse term loan of $250 million. A portion of the term loans were used to pay down debt assumed in the LTG acquisition. Interest rates are based on LIBOR plus an applicable spread. At December 31, 2019, the interest rates for the 5-year and 7-year term loan were 3.13% and 3.38%, respectively. Payments on the term loans are made on a quarterly basis.

On October 1, 2019, in conjunction with the TAMH Merger Agreement, TAMH, a consolidated subsidiary of the Company, entered into a non-recourse Credit Agreement that included a $70 million term note and a $130 million revolving credit facility. Borrowings under the Credit Agreement bear interest at variable interest rates, which are based on LIBOR plus an applicable spread. Payments on the term loan will be made on a quarterly basis. As of December 31, 2019, no amounts were drawn on either the term loan or revolving credit facility.

Effective November 14, 2019, the Company entered into a 15-year loan agreement in the amount of $105 million, of which $73 million of the proceeds were used to extinguish existing long-term debt. The remainder of the proceeds were used to pay down a portion of outstanding line of credit borrowings. The agreement was secured by first mortgages on certain real and personal property held by the Company. Borrowings under the agreement bear a fixed interest rate of 4.50% and payments of principal and interest will be made on a quarterly basis.

The Company was in compliance with all financial covenants at and during the years ended December 31, 2019 and 2018.

At December 31, 2019, the Company had short-term lines of credit capacity totaling $1,507.8 million, of which $1,281.4 million was unused. The weighted average interest rates on short-term borrowings outstanding at December 31, 2019 and 2018, were 3.24% and 3.32%, respectively.

Long-Term Debt

Recourse Long-Term Debt



	December 31,
(in thousands, except percentages)	2019		2018
Note payable, variable rate (3.38% at December 31, 2019), payable in increasing amounts plus interest, due 2026	$	237,500	$	—
Note payable, variable rate (3.13% at December 31, 2019), payable in increasing amounts plus interest, due 2024	157,500		—
Note payable, 4.50%, payable at maturity, due 2034 (a)	105,000		—
Note payable, 4.07%, payable at maturity, due 2021	26,000		26,000
Note payable, 4.85%, payable at maturity, due 2026	25,000		25,000
Note payable, 4.55%, payable at maturity, due 2023	24,000		24,000
Note payable, 3.33%, payable in increasing amounts plus interest, due 2025 (a)	23,780		24,888
Note payable, 3.29%, payable in increasing amounts plus interest, due 2022 (a)	17,497		18,918
Note payable, 4.50%, payable at maturity, due 2030	16,000		16,000
Note payable, 5.00%, payable at maturity, due 2040	14,000		14,000
Note payable, variable rate (3.43% at December 31, 2019), payable quarterly, due 2024 (a)	12,250		13,250
Line of credit, variable rate, paid 2019	—		50,000
Note payable, 4.92%, payable in increasing amounts, plus interest, paid 2019 (a)	—		16,227
Note payable, 4.23%, payable in increasing amounts plus interest, paid 2019 (a)	—		9,948
Note payable, 4.76%, payable in increasing amounts plus interest, paid 2019 (a)	—		44,330
Note payable, variable rate, payable in increasing amounts plus interest, paid 2019 (a)	—		16,452
Note payable, variable rate, payable in increasing amounts plus interest, paid 2019 (a)	—		8,417
Note payable, 4.76%, payable in increasing amounts plus interest, paid 2019 (a)	—		8,288

Industrial development revenue bonds:
Variable rate (3.41% at December 31, 2019), payable at maturity, due 2036	21,000		21,000
Variable rate (3.44% at December 31, 2019), payable at maturity, due 2025 (a)	3,100		3,100
Variable rate, paid 2019 (a)	—		4,650
Debenture bonds, 2.65% to 5.00%, payable in increasing amounts plus interest, due 2020 through 2031	26,075		27,323
Finance lease obligations, due serially to 2030 (a)	38,482		—
	747,184		371,791
Less: current maturities	53,353		16,747
Less: unamortized prepaid debt issuance costs	7,833		5,210
	$	685,998	$	349,834

(a) Debt is collateralized by first mortgages on certain facilities and related equipment or other assets with a book value $435.8 million.

The aggregate annual maturities of recourse, long-term debt are as follows: 2020 -- $53.4 million; 2021 -- $66.6 million; 2022 -- $49.9 million; 2023 -- $58.6 million; 2024 -- $135.4 million; and $383.3 million thereafter.

Non-Recourse Long-Term Debt

The Company's non-recourse long-term debt consists of the following:



	December 31,
(in thousands)	2019		2018
Line of credit, 3.76%, payable at maturity, due 2021	$	180,000	$	118,000
Note Payable, variable rate (4.92% at December 31, 2019), payable at maturity, due 2026	66,094		—
Industrial revenue bond, variable rate (3.44% at December 31, 2019), payable at maturity, due 2032 (a)	49,500		—
Note payable, variable rate (4.51% at December 31, 2019), payable in increasing amounts plus interest, due 2023	15,465		—
Non-recourse financing obligations, 3.60% to 4.94%, payable at maturity, due 2020 through 2026	28,855		34,019
Finance lease obligations, due serially to 2023	655		—
	340,569		152,019
Less: current maturities	9,545		4,842
Less: unamortized prepaid debt issuance costs	774		824
	$	330,250	$	146,353

The aggregate annual maturities of non-recourse, long-term debt are as follows: 2020 - $9.5 million; 2021 -- $188.1 million; 2022 -- $22.0 million; 2023 -- $19.0 million; 2024 -- $12.1 million; and $89.9 million thereafter.