Dollar General 2013 Annual Report Download - page 148

DOLLAR GENERAL CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
5. Current and long-term obligations (Continued)
Collectively, the 2017 Senior Notes, the 2018 Senior Notes and the 2023 Senior Notes comprise the
‘‘Senior Notes’’, each of which were issued pursuant to an indenture as modified by supplemental
indentures relating to each series of Senior Notes (as so supplemented, the ‘‘Senior Indenture’’). The
Company capitalized $10.1 million of debt issuance costs associated with the 2018 Senior Notes and the
2023 Senior Notes. Interest on the 2018 Senior Notes and 2023 Senior Notes is payable in cash on
April 15 and October 15 of each year and commenced on October 15, 2013.
The Company may redeem some or all of its Senior Notes at any time at redemption prices set
forth in the Senior Indenture. Upon the occurrence of a change of control triggering event, which is
defined in the Senior Indenture, each holder of the Senior Notes has the right to require the Company
to repurchase some or all of such holder’s Senior Notes at a purchase price in cash equal to 101% of
the principal amount thereof, plus accrued and unpaid interest, if any, to the repurchase date.
The Senior Indenture contains covenants limiting, among other things, the ability of the Company
(subject to certain exceptions) to consolidate, merge, sell or otherwise dispose of all or substantially all
of the Company’s assets; and the ability of the Company and its subsidiaries to incur or guarantee
indebtedness secured by liens on any shares of voting stock of significant subsidiaries.
The Senior Indenture also provides for events of default which, if any of them occurs, would
permit or require the principal of and accrued interest on the Senior Notes to become or to be
declared due and payable.
On July 15, 2012, the Company redeemed $450.7 million aggregate principal amount of
outstanding senior subordinated notes due 2017 at a premium, resulting in a pretax loss of
$29.0 million which is reflected in Other (income) expense in the consolidated statement of income for
the year ended February 1, 2013. The Company funded the redemption price for the senior
subordinated notes due 2017 with proceeds from the issuance of the 2017 Senior Notes.
In 2011, the Company repurchased or redeemed $864.3 million aggregate principal amount of
outstanding senior notes due 2015 at a premium, resulting in pretax losses totaling $60.3 million which
are reflected in Other (income) expense in the consolidated statement of income for the year ended
February 3, 2012. The Company funded the redemption price for the senior notes due 2015 with cash
on hand and borrowings under the ABL Facility.
Scheduled debt maturities, including capital lease obligations, for the Company’s fiscal years listed
below are as follows (in thousands): 2014—$75,966; 2015—$101,158; 2016—$101,379; 2017—$601,290;
2018—$1,025,892; thereafter—$915,651.
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10-K