Quarterly report pursuant to Section 13 or 15(d)

Debt

v3.22.2.2
Debt
 6 Months Ended
Jun. 30, 2022
Debt Disclosure [Abstract]  
Debt
NOTE 10 – Debt
Credit Agreement Amendment
On June 30, 2022, the Company amended its Revolving Credit and Term Loan Agreement which included a senior secured revolving credit facility (the “Revolver”) with an initial commitment of $250 million and a senior secured term loan credit facility (the “Term Loan”) with an initial commitment of $220 million. The amendment, among other things, increased the aggregate total commitment from the original syndicate of lenders plus two additional lenders by approximately $630 million to a total of $1.1 billion, and provides for a $400 million Term Loan and a $700 million Revolver (together, the “Credit Facilities”). In addition, on June 1, 2022, the benchmark interest rate was revised to the secured overnight financing rate (“SOFR”) plus 2.75% for the Revolver and SOFR plus 3.25% for the Term Loan. The maturity date of the Credit Facilities remains unchanged at September 15, 2026.

The Company had outstanding borrowings under the Term Loan of $400.0 million at an interest rate of 4.89% and under the Revolver of $50.0 million at an interest rate of 4.39% as of June 30, 2022. The Company had issued letters of credit under the Credit Facilities of $23.8 million, resulting in available borrowing capacity of $626.2 million under the Revolver as of June 30, 2022.
The Company’s outstanding debt consists of the following as of June 30, 2022 and December 31, 2021:
(in thousands)
 June 30, 2022 December 31, 2021
Credit Agreement, as amended - Term Loan
 $ 400,000  $ 218,625 
Credit Agreement, as amended - Revolver 50,000  — 
Wilmington Trust – 4.47% Term Note
 60,828  60,828 
Wilmington Trust – 3.75% Term Note
 69,667  72,542 

580,495  351,995 
Less unamortized debt issuance costs
 (10,027) (9,221)
Long-term debt less debt issuance costs
 570,468  342,774 
Less current maturities, net
 (21,568) (11,378)
Total long-term debt, net
 $ 548,900  $ 331,396 
Scheduled future maturities of long-term debt principal amounts are as follows:

(in thousands)
Remainder of 2022 $ 10,502 
2023 26,108 
2024 26,371 
2025 26,598 
2026 and thereafter
 490,916 
Total
 $ 580,495 
Fair Value of Debt
The Company estimates the fair value of fixed-rate term loans based on quoted market yields for similarly rated debt instruments in an active market, which are considered a Level 2 input in the fair value hierarchy. As of June 30, 2022 and December 31, 2021, the estimated fair value of the Company’s outstanding debt was approximately $523.0 million and $353.1 million, respectively.