XML 26 R15.htm IDEA: XBRL DOCUMENT v3.20.2
REVOLVING CREDIT FACILITY AND LONG-TERM DEBT
 9 Months Ended
Sep. 30, 2020
Debt Disclosure [Abstract]  
REVOLVING CREDIT FACILITY AND LONG-TERM DEBT DEBT
Long-term debt consisted of the following (amounts in thousands):
September 30, 2020
Principal BalanceUnamortized Debt IssuanceNet Carrying Amount
6.50% senior secured notes due 2023$400,000 $(3,358)$396,642 
Titan Europe credit facilities47,457 — 47,457 
Revolving credit facility— — — 
Other debt20,331 — 20,331 
     Total debt467,788 (3,358)464,430 
Less amounts due within one year32,641 — 32,641 
     Total long-term debt$435,147 $(3,358)$431,789 
December 31, 2019
Principal BalanceUnamortized Debt IssuanceNet Carrying Amount
6.50% senior secured notes due 2023$400,000 $(4,040)$395,960 
Titan Europe credit facilities43,591 — 43,591 
Revolving credit facility36,000 — 36,000 
Other debt24,171 — 24,171 
     Total debt503,762 (4,040)499,722 
Less amounts due within one year61,253 — 61,253 
     Total long-term debt$442,509 $(4,040)$438,469 

Aggregate principal maturities of long-term debt at September 30, 2020, for each of the years (or other periods) set forth below were as follows (amounts in thousands):
October 1 - December 31, 2020$16,853 
202123,207 
20229,954 
2023410,945 
20246,158 
Thereafter671 
 $467,788 
6.50% senior secured notes due 2023
The senior secured notes are due in November 2023. Including the impact of debt issuance costs, these notes had an effective yield of 6.79% at issuance. These notes are 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.

Titan Europe credit facilities
The Titan Europe credit facilities include borrowings from various institutions totaling $47.5 million in aggregate principal amount at September 30, 2020. Maturity dates on this debt range from less than one year to nine years. The Titan Europe facilities are secured by the assets of Titan's subsidiaries in Italy, Spain, Germany, and Brazil.
Revolving credit facility
The Company has a $125 million revolving credit facility with BMO Harris Bank N.A., as agent, 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 $125 million as a result of outstanding letters of credit and eligible accounts receivable and inventory balances at certain of its domestic subsidiaries. At September 30, 2020, there were no outstanding borrowings under the credit facility and $19.7 million in outstanding letters of credit, and the amount available for borrowing totaled $61.4 million.

Other debt
The Company has working capital loans at Titan Pneus do Brasil Ltda and Voltyre-Prom at various interest rates, which totaled $11.8 million and $6.9 million at September 30, 2020, respectively. Maturity dates on this debt range from less than one year to three years.