XML 32 R19.htm IDEA: XBRL DOCUMENT
v3.8.0.1

REVOLVING CREDIT FACILITY AND LONG-TERM DEBT | 12 Months Ended
--- | ---
Dec. 31, 2017
Debt Disclosure [Abstract] |
REVOLVING CREDIT FACILITY AND LONG-TERM DEBT | REVOLVING CREDIT FACILITY AND LONG-TERM DEBT Long-term debt consisted of the following as of the dates set forth below (amounts in thousands):
| December 31, 2017
| Principal Balance |  | Unamortized Debt Issuance |  | Net Carrying Amount
6.50% senior secured notes due 2023 | $ | 400,000 |  |  | $ | (5,716 | ) |  | $ | 394,284 |
Titan Europe credit facilities | 33,485 |  |  | — |  |  | 33,485 |
Other debt | 22,564 |  |  | — |  |  | 22,564 |
Capital leases | 489 |  |  | — |  |  | 489 |
Total debt | 456,538 |  |  | (5,716 | ) |  | 450,822 |
Less amounts due within one year | 43,651 |  |  | — |  |  | 43,651 |
Total long-term debt | $ | 412,887 |  |  | $ | (5,716 | ) |  | $ | 407,171 |
| December 31, 2016
| Principal Balance |  | Unamortized Debt Issuance |  | Net Carrying Amount
6.875% senior secured notes due 2020 | $ | 400,000 |  |  | $ | (4,148 | ) |  | $ | 395,852 |
5.625% convertible senior subordinated notes due 2017 | 60,161 |  |  | (13 | ) |  | 60,148 |
Titan Europe credit facilities | 33,710 |  |  | — |  |  | 33,710 |
Other debt | 15,560 |  |  | — |  |  | $ | 15,560 |
Capital leases | 902 |  |  | — |  |  | $ | 902 |
Total debt | 510,333 |  |  | (4,161 | ) |  | 506,172 |
Less amounts due within one year | 97,425 |  |  | (13 | ) |  | 97,412 |
Total long-term debt | $ | 412,908 |  |  | $ | (4,148 | ) |  | $ | 408,760 |
The weighted-average interest rates on total short-term borrowings, excluding current maturities of long-term debt, at December 31, 2017 and December 31, 2016, were 5.0% and 5.3%, respectively. Aggregate maturities of long-term debt at December 31, 2017, for each of the years (or other periods) set forth below were as follows (amounts in thousands):
2018 | $ | 43,651 |
2019 | 7,768 |
2020 | 4,347 |
2021 | 772 |
Thereafter | 400,000 |
| $ | 456,538 |
6.50% senior secured notes due 2023 The Company’s 6.50% senior secured notes (senior secured notes due 2023) were issued on November 20, 2017, and are due November 2023. Including the impact of debt issuance costs, these notes had an effective yield of 6.79% at issuance. These notes will be secured by the land and buildings of the following subsidiaries of the Company: Titan Tire Corporation, Titan Tire Corporation of Bryan, Titan Tire Corporation of Freeport, and Titan Wheel Corporation of Illinois. The outstanding balance for the Company's senior secured notes due 2023 was $400.0 million at December 31, 2017. 6.875% senior secured notes due 2020 In the fourth quarter of 2017, Titan satisfied and discharged the indenture relating to the 6.875% senior secured notes due 2020 (senior secured notes due 2020) by completing a tender offer settlement and redemption of all of its outstanding $400.0 million principal amount of the senior secured notes due 2020. In connection with this tender offer and redemption, the Company recorded expenses of $18.6 million. Including the impact of debt issuance costs, these notes had an effective yield of 7.20% at issuance. 5.625% convertible senior subordinated notes due 2017 In January 2017, the Company converted 97.1% of the principal balance of its 5.625% convertible senior subordinated notes (2017 Notes), which matured on January 15, 2017, into shares of Titan common stock. Immediately prior to maturity, $60.2 million in aggregate principal amount of the 2017 Notes was outstanding, of which holders of $58.5 million in aggregate principal amount of the 2017 Notes, or 97.1%, converted their 2017 Notes into shares of Titan common stock pursuant to the terms of the indenture governing the 2017 Notes. The $58.5 million in principal amount of converted 2017 Notes was converted into 5,462,264 shares of Titan common stock, representing approximately 10% of Titan’s common stock outstanding prior to conversion. Each $1,000 principal amount of the 2017 Notes was convertible into 93.436 shares of Titan common stock. The remaining $1.7 million principal amount of the 2017 Notes that was not converted was paid in cash at maturity. Titan Europe credit facilities The Titan Europe credit facilities included borrowings from various institutions totaling $33.5 million at December 31, 2017. Maturity dates on this debt range from less than one year to three years. The Titan Europe facilities are primarily secured by the assets of Titan's subsidiaries in Italy, Spain, Germany, and Brazil. Revolving credit facility In February 2017, the Company entered into a credit and security agreement with respect to a new $75 million revolving credit facility (credit facility) with agent BMO Harris Bank N.A. and other financial institutions party thereto. The credit facility is collateralized by accounts receivable and inventory of certain of the Company’s domestic subsidiaries and is scheduled to mature in February 2022. From time to time Titan's availability under this credit facility may be less than $75 million as a result of outstanding letters of credit and eligible accounts receivable and inventory balances at certain of its domestic subsidiaries. At December 31, 2017, an outstanding letter of credit under the credit facility totaled $12.5 million and the amount available under the facility totaled $62.5 million. During 2017 and at December 31, 2017, there were no borrowings under the credit facility. Other Debt At December 31, 2017, Titan had working capital loans for the Sao Paulo, Brazil and Voltyre-Prom manufacturing facilities. At December 31, 2017, Titan Brazil had outstanding debt totaling $5.8 million with maturity dates from less than one year up to two years. Voltyre-Prom had outstanding debt totaling $16.4 million at December 31, 2017, with maturity dates from less than one year up to two years.

X
- References No definition available. + Details
Name: | us-gaap_DebtDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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 470 -URI http://asc.fasb.org/topic&trid=2208564 + Details
Name: | us-gaap_DebtDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration