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Debt | 12 Months Ended
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Dec. 31, 2019
Debt Disclosure [Abstract] |
Debt | Collectively, our credit facility is comprised of a term loan with a face amount of $545.0 million, maturing on October 19, 2022 (the “Senior Secured Term Loan”); a term loan with a face amount of $300.0 million, maturing on October 19, 2022 (the “Incremental Term Loan”); and a revolving line of credit with a face amount of $75.0 million, maturing on July 20, 2022 (the “Senior Secured Revolver”). The credit facility is collateralized by all of our assets. The following table presents outstanding debt balances as of December 31, 2019 and 2018.
|  | As of December 31,
|  | 2019 |  | 2018
Senior Secured Term Loan |  | $ | 526,313 |  |  | $ | 532,063 |
Incremental Term Loan |  | 257,111 |  |  | 279,000 |
Senior Secured Revolver |  | — |  |  | 38,720 |
International lines of credit and other loans |  | 9,823 |  |  | 9,810 |
Total principal |  | 793,247 |  |  | 859,593 |
Less-current maturities of long-term debt |  | 19,160 |  |  | 31,280 |
Principal, net of current portion |  | 774,087 |  |  | 828,313 |
Less-unamortized debt issuance costs (1) |  | 16,647 |  |  | 16,842 |
Long-term debt, net of current portion |  | $ | 757,440 |  |  | $ | 811,471 |
_______________________________ (1) In addition to this amount, costs of $3.0 million related to the Senior Secured Revolver are recorded in other non-current assets as of December 31, 2019. We capitalized interest costs of $1.8 million, $1.2 million, and $1.1 million in the years ended December 31, 2019, 2018, and 2017, respectively, related to construction in progress. Senior Secured Term Loan Outstanding borrowings under the Senior Secured Term Loan bear interest at the greater of 0.75% or one-month London Interbank Offered Rate (“LIBOR”) plus an applicable margin. In December 2019, we amended our existing credit facility (the “December 2019 amendment”) to increase the applicable margin from 3.75% to 5.25%. At December 31, 2019, the Senior Secured Term Loan bore interest at 7.05%. Incremental Term Loan Outstanding borrowings under the Incremental Term Loan bear interest at one-month LIBOR plus an applicable margin. The December 2019 amendment increased the applicable margin from 3.25% to 5.25% and extended the maturity date of the Incremental Term Loan from April 3, 2021, to October 19, 2022. At December 31, 2019, the Incremental Term Loan bore interest at 7.05%. Second Lien Credit Agreement In May 2018, we entered into a $200.0 million Second Lien Credit Agreement to fund the Paragon Medical acquisition. In September 2018, a significant portion of net proceeds from a registered public offering of shares of our common stock was used to voluntarily prepay in full the $200.0 million outstanding principal balance. There were no outstanding borrowings under the Second Lien Credit Agreement at December 31, 2019 and 2018. Senior Secured Revolver Outstanding borrowings under the Senior Secured Revolver bear interest on a variable rate structure with borrowings bearing interest at either one-month LIBOR plus an applicable margin of 4.00% or the prime lending rate plus an applicable margin of 3.00%. We pay a commitment fee of 0.50% for unused capacity under the Senior Secured Revolver. In March 2019, we amended our existing credit facility (the “March 2019 amendment”) to amend the defined terms within the credit facility. In June 2019, we amended our existing credit facility (the “June 2019 amendment”) to reduce the maximum capacity under the Senior Secured Revolver to $110.0 million, reduce the total available capacity to $100.0 million, and modify the consolidated net leverage ratio, as defined in the credit facility agreement, which is utilized for certain financial covenants. The December 2019 amendment extended the maturity date of the Senior Secured Revolver from October 19, 2020, to July 20, 2022, reduced the total available capacity to $75.0 million, and increased the applicable one-month LIBOR margin to a range of 3.00% to 4.00% dependent on the consolidated net leverage ratio. We had no outstanding borrowings under the Senior Secured Revolver at December 31, 2019. Total available capacity under the Senior Secured Revolver was $75.0 million as of December 31, 2019, with $63.9 million available for future borrowings after reductions for outstanding letters of credit and outstanding borrowings as of December 31, 2019. Our credit facility is subject to certain financial covenants based on a consolidated net leverage ratio, becoming more restrictive over time. If our operational or financial performance does not improve in line with our expectations, we may be required to take actions to further reduce expenditures and decrease our net indebtedness to maintain compliance in future periods. We were in compliance with all covenants under our credit facility at December 31, 2019. Unamortized Debt Issuance Costs We incurred a total of $10.8 million for debt issuance costs related to the March 2019 amendment, June 2019 amendment, and December 2019 amendment. Costs related to the Senior Secured Term Loan and the Incremental Term Loan are recorded as a direct reduction to the carrying amount of the associated long-term debt. Costs related to the Senior Secured Revolver are recorded in other non-current assets as of December 31, 2019, as no borrowings were outstanding. Additionally, $3.3 million of unamortized debt issuance costs associated with the March 2019 amendment and the December 2019 amendment were written off in 2019. International Lines of Credit and Other Loans International lines of credit and other loans consist of loans with financial institutions in France, Brazil, China, and the United States with a weighted average interest rate of 3.43% as of December 31, 2019. These sources are used to fund working capital and equipment purchases for our manufacturing plants and have a weighted average remaining term of 9 years. As of December 31, 2019, the international lines of credit and other loans had $9.8 million outstanding of which $1.4 million is classified as “Current maturities of long-term debt” on the Consolidated Balance Sheets. Derivative Instruments and Hedging Activities In February 2019, we entered into a $700.0 million amortizing notional amount fixed-rate interest rate swap agreement to manage the interest rate risk associated with our long-term variable-rate debt until 2022. The fixed-rate interest rate swap agreement calls for us to receive interest monthly at a variable rate equal to one-month LIBOR and to pay interest monthly at a fixed rate of 2.4575%. Refer to Note 22 for further discussion of the interest rate swap agreement. Future Maturities The following table lists aggregate maturities of long-term debt for the next five years and thereafter.
Year Ending December 31, |  | Aggregate Maturities Principal Amounts
2020 |  | $ | 19,160 |
2021 |  | 18,777 |
2022 |  | 749,162 |
2023 |  | 1,274 |
2024 |  | 1,073 |
Thereafter |  | 3,801 |
Total outstanding principal |  | $ | 793,247 |

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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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -URI http://asc.fasb.org/topic&trid=2208564 + Details
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