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Long-Term Debt | 9 Months Ended
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Sep. 30, 2016
Debt Disclosure [Abstract] |
Long-Term Debt | Note 6. Long-Term Debt Long-term debt at September 30, 2016 and December 31, 2015 consisted of the following:
|  | September 30, |  |  | Restated December 31, |
|  | 2016 |  |  | 2015 |
Borrowings under our $545.0 million Senior Secured Term Loan B bearing interest at the greater of 0.75% or 1 month LIBOR (0.53% at September 30, 2016) plus an applicable margin of 4.25% at September 30, 2016, expiring October 19, 2022, net of debt issuance costs of $21.1 million at September 30, 2016 and $20.6 million at December 31, 2015. |  | $ | 525,203 |  |  | $ | 552,957 |
Borrowings under our $133.0 million Senior Secured Revolver bearing interest at LIBOR (0.53% at September 30, 2016) plus an applicable margin of 3.50% at September 30, 2016, expiring October 19, 2020, net of debt issuance costs of $2.6 million at September 30, 2016 and $2.9 million at December 31, 2015. |  |  | 30,405 |  |  |  | 3,547 |
Borrowings under our $250.0 million Senior Notes bearing interest at 10.25%, maturing on November 1, 2020, net of debt issuance costs of $5.2 million at September 30, 2016 and $5.9 million at December 31, 2015. |  |  | 244,822 |  |  |  | 244,088 |
French Safeguard Obligations (Autocam) |  |  | 496 |  |  |  | 2,000 |
Brazilian lines of credit and equipment notes (Autocam) |  |  | 681 |  |  |  | 826 |
Chinese line of credit (Autocam) |  |  | 2,706 |  |  |  | 3,696 |
Total debt |  |  | 804,313 |  |  |  | 807,114 |
Less current maturities of long-term debt |  |  | 8,621 |  |  |  | 11,714 |
Long-term debt, excluding current maturities of long-term debt |  | $ | 795,692 |  |  | $ | 795,400 |
On September 30, 2016, we amended and restated our credit facility, which lowered the interest rate and rate floor on the Company’s Senior Secured Term Loan B (the “Term Loan B”). The new applicable rate for the Term Loan B is London Inter Bank Offering Rate (“LIBOR”), subject to a 0.75% rate floor, plus 4.25%, which in combination is 75 basis points lower (or 0.75%) than the previous rate. There were no changes to the maturities or covenants under the Term Loan B. Concurrent with the amended and restated Term Loan B, the Senior Secured Revolving Credit Facility (the “Senior Secured Revolver”) was upsized from $100 million to $133 million. Proceeds were drawn under the Senior Secured Revolver to pay down debt under the Term Loan B, reducing the debt under the Term Loan B to $545 million. There were no changes to the Senior Secured Revolver maturities, and the covenant threshold was increased from $30 million to $39.9 million (30% drawn threshold). The refinancing and debt transactions resulted in lower principal amounts outstanding on the Term Loan B, increased borrowings under the Senior Secured Revolver and a lower effective interest rate for the overall debt holdings. In conjunction with the amended and restated credit facility, we incurred $3.7 million in debt issuance costs. We wrote off a total of $2.6 million in debt issuance costs related to the modification and extinguishment of debt. As part of the merger with Autocam Corporation (“Autocam”) in 2014, we assumed certain foreign credit facilities. These facilities relate to local borrowings in France, Brazil and China. These facilities are with financial institutions in the countries in which foreign plants operate and are used to fund working capital and equipment purchases in those countries. The following paragraphs describe these foreign credit facilities. Our French operation (acquired with Autocam) has liabilities with certain creditors subject to Safeguard protection. The liabilities are being paid annually over a 10-year period until 2019 and carry a zero percent interest rate. Amounts due as of September 30, 2016 to those creditors opting to be paid over a 10-year period totaled $0.5 million, of which $0.1 million is included in current maturities of long-term debt and $0.4 million is included in long-term debt, net of current portion, on the Condensed Consolidated Balance Sheet. The Brazilian equipment notes represent borrowings from certain Brazilian banks to fund equipment purchases for Autocam’s Brazilian plants. These credit facilities have annual interest rates ranging from 2.5% to 9.1%. The Chinese line of credit is a working capital line of credit with a Chinese bank bearing an annual interest rate ranging from 1.35% to 4.88%. As discussed in Note 1, we have adopted ASU 2015-03, which provides guidance on simplifying the presentation of debt issuance costs on the balance sheet. To simplify presentation of debt issuance costs, the amendments in ASU 2015-03 require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The following table displays the debt amounts reported as of December 31, 2015, restated for the adoption of ASU 2015-03. The debt issuance costs were reclassified from other non-current assets and directly applied to the associated liability.
|  | Reported December 31, 2015 |  |  | ASU 2015-13 Reclass |  |  | Restated December 31, 2015 |
Borrowings under our $575.0* million Senior Secured Term Loan B |  | $ | 562,580 |  |  | $ | (9,623 | ) |  | $ | 552,957 |
Borrowings under our $100.0** million Senior Secured Revolver |  |  | 6,462 |  |  |  | (2,915 | ) |  |  | 3,547 |
Borrowings under our $250.0 million Senior Notes |  |  | 244,509 |  |  |  | (421 | ) |  |  | 244,088 |
French Safeguard Obligations (Autocam) |  |  | 2,000 |  |  |  |  |  |  |  | 2,000 |
Brazilian lines of credit and equipment notes (Autocam) |  |  | 826 |  |  |  |  |  |  |  | 826 |
Chinese line of credit (Autocam) |  |  | 3,696 |  |  |  |  |  |  |  | 3,696 |
Total debt |  |  | 820,073 |  |  |  |  |  |  |  | 807,114 |
Less current maturities of long-term debt |  |  | 11,714 |  |  |  |  |  |  |  | 11,714 |
Long-term debt, excluding current maturities of long-term debt |  | $ | 808,359 |  |  |  |  |  |  | $ | 795,400 |
* | Amended from $575 million down to $545 million on September 30, 2016.
** | Amended from $100 million up to $133 million on September 30, 2016.

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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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