GNC 2009 Annual Report Download - page 101

Table of Contents
GENERAL NUTRITION CENTERS, INC. AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Predecessor Debt:
Senior Credit Facility. In 2003, the Company entered into a senior credit facility with a syndicate of lenders. Our Parent and our domestic
subsidiaries guaranteed our obligations under the senior credit facility. The senior credit facility at December 31, 2004 consisted of a
$285.0 million term loan facility and a $75.0 million revolving credit facility. This facility was subsequently amended in December 2004. In
January 2005, as a stipulation of the December 2004 amendment, we used the net proceeds of their Senior Notes offering of $145.6 million,
together with $39.4 million of cash 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.
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 2003, 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 13. OTHER LONG TERM LIABILITIES
Other long term liabilities at each respective period consisted of the following:
December 31, December 31,
2008 2007
(in thousands)
Fair value of interest rate swap agreements $ 18,902 $ 5,490
Payable to former shareholders 767 12,771
Liability for unrecognized tax benefits 5,542 6,871
Rent escalations 10,089 9,467
Other 5,684 9,486
Total $ 40,984 $ 44,085
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