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Debt | 3 Months Ended
--- | ---
Dec. 31, 2016
Debt Disclosure [Abstract] |
Debt | The Company’s consolidated debt consists of the following:
|  | December 31, 2016 |  | September 30, 2016 |  |
|  | Amount |  | Rate |  | Amount |  | Rate |  | Interest rate
HRG |  |  |  |  |  |  |  |  |  |
7.875% Senior Secured Notes, due July 15, 2019 |  | $ | 864.4 |  |  | 7.9 | % |  | $ | 864.4 |  |  | 7.9 | % |  | Fixed rate
7.75% Senior Unsecured Notes, due January 15, 2022 |  | 890.0 |  |  | 7.8 | % |  | 890.0 |  |  | 7.8 | % |  | Fixed rate
Spectrum Brands |  |  |  |  |  |  |  |  |  |
USD Term Loan, due June 23, 2022 |  | 1,003.0 |  |  | 3.4 | % |  | 1,005.5 |  |  | 3.6 | % |  | Variable rate, see below
CAD Term Loan, due June 23, 2022 |  | 53.3 |  |  | 4.5 | % |  | 54.9 |  |  | 4.6 | % |  | Variable rate, see below
Euro Term Loan, due June 23, 2022 |  | 58.8 |  |  | 3.5 | % |  | 63.0 |  |  | 3.5 | % |  | Variable rate, see below
6.375% Notes, due November 15, 2020 |  | — |  |  | — | % |  | 129.7 |  |  | 6.4 | % |  | Fixed rate
6.625% Notes, due November 15, 2022 |  | 570.0 |  |  | 6.6 | % |  | 570.0 |  |  | 6.6 | % |  | Fixed rate
6.125% Notes, due December 15, 2024 |  | 248.0 |  |  | 6.1 | % |  | 250.0 |  |  | 6.1 | % |  | Fixed rate
5.75% Notes, due July 15, 2025 |  | 1,000.0 |  |  | 5.8 | % |  | 1,000.0 |  |  | 5.8 | % |  | Fixed rate
4.00% Notes, due October 1, 2026 |  | 445.8 |  |  | 4.0 | % |  | 477.0 |  |  | 4.0 | % |  | Fixed rate
Revolver Facility, expiring June 23, 2020 |  | 165.5 |  |  | 5.6 | % |  | — |  |  | — | % |  | Variable rate, see below
Other notes and obligations |  | 26.9 |  |  | 7.7 | % |  | 16.8 |  |  | 9.8 | % |  | Variable rate
Obligations under capitalized leases |  | 140.9 |  |  | 5.3 | % |  | 114.7 |  |  | 5.5 | % |  | Various
Salus |  |  |  |  |  |  |  |  |  |
Unaffiliated long-term debt of consolidated variable-interest entity |  | 37.0 |  |  | — | % |  | 39.7 |  |  | — | % |  | Variable rate, see below
Long-term debt of consolidated variable-interest entity with FGL (a) |  | 58.8 |  |  | — | % |  | 63.0 |  |  | — | % |  | Variable rate, see below
Unaffiliated secured borrowings under non-qualifying loan participations |  | 1.0 |  |  | — | % |  | 2.0 |  |  | — | % |  | Fixed rate
Total |  | 5,563.4 |  |  |  |  | 5,540.7 |  |  |  |  |
Original issuance discounts on debt, net of premiums |  | (22.2 | ) |  |  |  | (22.8 | ) |  |  |  |
Unamortized debt issue costs |  | (82.2 | ) |  |  |  | (87.0 | ) |  |  |  |
Total debt |  | 5,459.0 |  |  |  |  | 5,430.9 |  |  |  |  |
Less current maturities and short-term debt |  | 43.5 |  |  |  |  | 166.0 |  |  |  |  |
Non-current portion of debt |  | $ | 5,415.5 |  |  |  |  | $ | 5,264.9 |  |  |  |  |
(a) The debt balances included in the accompanying Condensed Consolidated Balance Sheets and in the table above reflect transactions between the businesses held for sale and businesses held for use that are expected to continue to exist after the close of the FGL Merger. Such transactions are not eliminated in the accompanying Condensed Consolidated Financial Statements in order to appropriately reflect the continuing operations and balances held for sale. HRG On January 13, 2017, subsequent to the end of the fiscal quarter, the Company, through its wholly-owned subsidiaries, entered into the 2017 Loan, pursuant to which it may borrow up to an aggregate amount of $150.0. The 2017 Loan bears interest at an adjusted International Exchange London Interbank Offered Rate (“LIBOR”), plus 2.35% per annum, payable quarterly. The 2017 Loan matures on July 13, 2018, with an option for early termination by the borrower. The 2017 Loan is secured by approximately $508.0 worth of marketable securities owned by a subsidiary of HGI Funding. The Company incurred $1.1 of financing costs in connection with the 2017 Loan which have been capitalized as debt issuance costs and are being amortized through the scheduled maturity date of the loan. As of January 31, 2017, the Company had drawn $50.0 under the 2017 Loan. The 2017 Loan contains a customary mandatory prepayment clause, which requires the borrower to pay back any amounts borrowed under the 2017 Loan if certain events occur, including, but not limited to, a breach of the terms of the agreement by the borrower, a change of control of the borrower or the issuer of the pledged securities or a delisting of the pledged securities. Spectrum Brands Interest terms During three months ended December 31, 2016, Spectrum Brands amended the credit agreement under its term loans reducing the interest rate margins applicable to the U.S. dollar denominated term loan facility (the “USD Term Loan”). At December 31, 2016, Spectrum Brands’ variable interest rate terms were as follows: (i) the USD Term Loan is subject to either adjusted LIBOR, subject to a 0.75% floor, plus margin of 2.50% per annum, or base rate with a 1.75% floor plus margin of 1.50% per annum; (ii) the CAD denominated term loan facility (the “CAD Term Loan”) is subject to either Canadian Dollar Offered Rate, subject to a 0.75% floor plus 3.50% per annum, or base rate plus 2.50% per annum; (iii) the Euro denominated term loan facility (the “Euro Term Loan”) is subject to Euro Interbank Offered Rate, subject to a 0.75% floor, plus margin of 2.75% per annum, with no base rate option available; and (iv) the revolving credit facility (the “Revolver Facility”), is subject to either adjusted LIBOR plus 2.75% per annum or base rate plus 1.75% per annum. As a result of borrowings and payments under the Revolver Facility, at December 31, 2016, the Company had borrowing availability of $300.6, net outstanding letters of credit of $24.7 and a $9.2 amount allocated to a foreign subsidiary. On October 20, 2016, Spectrum Brands redeemed the remaining outstanding aggregate principal on the 6.375% Notes due 2020 (the “6.375% Notes”) of $129.7 with a make whole premium of $4.6 charge to interest expense for the three months ended December 31, 2016 in connection with the issuance of the €425.0 aggregate principal amount of 4.00% Notes and repurchase of the 6.375% Notes on September 20, 2016. Salus In February 2013, September 2013 and February 2015, Salus completed a collateralized loan obligation (“CLO”) securitization of up to $578.5 notional aggregate principal amount. At December 31, 2016 and September 30, 2016, the outstanding notional aggregate principal amount of $37.0 and $39.7, respectively, was taken up by unaffiliated entities and consisted entirely of subordinated debt in both periods, and $58.8 and $63.0, respectively, was taken up by FGL and included in “Assets of business held for sale” in the accompanying Condensed Consolidated Balance Sheets. The obligations of the securitization is secured by the assets of the Variable Interest Entity, primarily asset-based loan receivables and carry residual interest subject to maintenance of certain covenants. Due to losses incurred in the CLO, at December 31, 2016 and September 30, 2016, the CLO was not accruing interest on the subordinated debt.

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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 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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