GNC 2008 Annual Report Download - page 98

Table of Contents
GENERAL NUTRITION CENTERS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
on hand, to repay a portion of the indebtedness under the prior $285.0 million term loan facility. As of December 31, 2007, the balance has
been fully paid.
Interest on the term loan facility was payable quarterly in arrears and at December 31, 2006 and 2005, carried an average interest rate of
8.1% and 7.4%, respectively.
The Company issues letters of credit as a guarantee of payment to third-party vendors in accordance with specified terms and conditions. It
also issues letters of credit for various insurance contracts. The revolving credit facility allows for $50.0 million of the $75 million revolving credit
facility to be used as collateral for outstanding letters of credit. As of December 31, 2006, $9.3 million of the revolving credit facility was utilized
to secure letters of credit.
Senior Notes. In January 2005, the Company issued $150.0 million of its Senior Notes. The Senior Notes were scheduled to mature on
January 15, 2011, and bear interest at the rate of 8 5/8% per annum, which is payable semi-annually in arrears on January 15 and July 15 of
each year, beginning with the first payment due on July 15, 2005.
Senior Subordinated Notes. In conjunction with the Acquisition, the Company issued $215.0 million of its Senior Subordinated Notes. The
Senior Subordinated Notes mature on December 1, 2010, and bear interest at the rate of 8 1/2% per annum, which is payable semi-annually in
arrears on June 1 and December 1 of each year, beginning with the first payment due on June 1, 2004.
NOTE 14. OTHER LONG TERM LIABILITIES
Other Long Term Liabilities at each respective period consisted of the following:
Successor Predecessor
December 31, December 31,
2007 2006
(in thousands)
Fair value of interest rate swap agreements $ 5,490 $ —
Payable to former shareholders 12,771 —
Liability for unrecognized tax benefits 6,871 —
Rent escalations 9,467 7,734
Other 9,486 3,780
Total $ 44,085 $ 11,514
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