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Long-Term Debt (Tables) | 9 Months Ended
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Sep. 30, 2019
Debt Disclosure [Abstract] |
Schedule of Revolving Credit Facility and Long-Term Debt | Our long-term debt consists of the following:
|  | September 30, |  |  | December 31, |
|  | 2019 |  |  | 2018 |
|  | (In Thousands) |
Working Capital Revolver Loan, with a current interest rate of 5.5% (A) |  | $ | — |  |  | $ | 10,000 |
Senior Secured Notes due 2023 (B) |  |  | 435,000 |  |  |  | 400,000 |
Secured Promissory Note due 2021, with an interest rate of 5.25% (C) |  |  | 5,599 |  |  |  | 8,090 |
Secured Promissory Note due 2023, with a current interest rate of 6.35% (D) |  |  | 13,200 |  |  |  | 14,685 |
Secured Financing due 2023, with an interest rate of 8.32% (E) |  |  | 14,128 |  |  |  | — |
Secured Promissory Note due 2019 (E) |  |  | — |  |  |  | 7,165 |
Other (F) |  |  | 1,998 |  |  |  | 221 |
Unamortized discount, net of premium and debt issuance costs |  |  | (13,172 | ) |  |  | (14,962 | )
|  |  | 456,753 |  |  |  | 425,199 |
Less current portion of long-term debt |  |  | 9,090 |  |  |  | 12,518 |
Long-term debt due after one year, net |  | $ | 447,663 |  |  | $ | 412,681 |
(A) As amended in February 2019, o ur revolving credit facility (the “Working Capital Revolver Loan”) provides for advances up to $75 million, based on specific percentages of eligible accounts receivable and inventories and up to $10 million of letters of credit, the outstanding amount of which reduces the available for borrowing under the Working Capital Revolver Loan. At September 30, 2019, our available borrowings under our Working Capital Revolver Loan were approximately $33.8 million, based on our eligible collateral, less outstanding letters of credit. The maturity date of the Working Capital Revolver Loan is February 26, 2024. The Working Capital Revolver Loan also provides for a springing financial covenant (the “Financial Covenant”), which requires that, if the borrowing availability is less than 10.0% of the total revolver commitments, then the borrowers must maintain a minimum fixed charge coverage ratio of not less than 1.00 to 1.00. The Financial Covenant, if triggered, is tested monthl y. (B) On April 25, 2018, LSB completed the issuance and sale of $400 million aggregate principal amount of its 9.625% Senior Secured Notes due 2023 (the “Notes”), pursuant to an indenture (the “Indenture”), dated as of April 25, 2018. The Notes were issued at a price equal to 99.509% of their face value. 5. Long-Term Debt (continued) On June 21, 2019, LSB completed the issuance and sale of $35 million aggregate principal amount of its 9.625% Senior Secured Notes due 2023 (the “New Notes”). The New Notes were issued pursuant to the Indenture (the Notes together with the New Notes, the “Senior Secured Notes”). The New Notes were issued at a price equal to 102.125% of their face value, plus accrued interest from May 1, 2019 to June 21, 2019, in a transaction exempt from the registration requirements under the Securities Act of 1933 (the “Securities Act”) sold to eligible purchasers in reliance on Rule 144A under the Securities Act and to non-U.S. persons in accordance with Regulation S under the Securities Act. Interest on the New Notes accrues from May 1, 2019. The Senior Secured Notes mature on May 1, 2023. Interest is to be paid semiannually in arrears on May 1st and November 1st. As it relates to the issuance of the Notes in April 2018, a portion of the net proceeds from the Notes were used to purchase/redeem the previously outstanding $375 million aggregate principal amount of senior secured notes scheduled to mature in 2019. The remaining net proceeds were primarily used to pay related transaction fees and expenses, redemption premiums, and accrued interest on the senior secured notes purchased/redeemed. A portion of this transaction was accounted for as an extinguishment of debt and a portion was accounted for as a non-substantial debt modification. As a result, approximately $15.2 million of the fees/redemption premiums/discount was deferred and included in discount and debt issuance costs and approximately $0.9 million of fees were expensed as incurred and were included in interest expense in 2018. In addition, we recognized a loss on extinguishment of debt of approximately $6.0 million in 2018, primarily consisting of a portion of the redemption premiums paid and the expensing of a portion of debt issuance costs associated with the senior secured notes purchased/redeemed. (C) El Dorado Chemical Company (EDC), one of our subsidiaries, is party to a secured promissory note due in March 2021. Principal and interest are payable in monthly installments. (D) El Dorado Ammonia L.L.C. (“EDA”), one of our subsidiaries, is party to a secured promissory note due in May 2023. Principal and interest are payable in equal monthly installments with a final balloon payment of approximately $6.1 million. (E) On May 28, 2019, EDC entered into a $15 million secured financing arrangement with an affiliate of LSB Funding L.L.C. (“LSB Funding”) with an interest rate of 8.32%. Beginning in June 2019, principal and interest are payable in 48 equal monthly installments with a final balloon payment of approximately $3 million due on June 1, 2023. This financing arrangement is secured by the cogeneration facility equipment and is guaranteed by LSB. A portion of the proceeds from this secured financing arrangement was used to pay off the Secured Promissory Note that was scheduled to mature in June 2019. (F) Includes $1.8 million relating to a secured loan agreement EDC entered during the first quarter of 2019 with an affiliate of LSB Funding. Under the terms of the agreement, EDC has up to $7.5 million of available borrowings (the “Interim Loan”) during the construction of certain equipment (the “Interim Loan Period), subject to certain conditions. During the Interim Loan Period, interest only is payable in monthly installments. The Interim Loan will be replaced by a term loan upon completion of the construction, which is expected to be during the fourth quarter of 2019. Principal and interest will be payable in 60 equal monthly installments under the term loan.

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