Harley Davidson 2015 Annual Report Download - page 78

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11. Debt
Debt with contractual terms less than one year is generally classified as short-term debt and consisted of the following as
of December 31 (in thousands):
2015 2014
Unsecured commercial paper $ 1,201,380 $ 731,786
Debt with a contractual term greater than one year is generally classified as long-term debt and consisted of the following
as of December 31 (in thousands):
2015 2014
Secured debt
Asset-backed Canadian commercial paper conduit facility $ 153,839 $ 166,912
Term asset-backed securitization debt 1,463,154 1,271,533
Unsecured notes
1.15% Medium-term notes due in 2015 ($600.0 million par value) — 599,817
3.88% Medium-term notes due in 2016 ($450.0 million par value) 449,991 449,937
2.70% Medium-term notes due in 2017 ($400.0 million par value) 399,980 399,963
1.55% Medium-term notes due in 2017 ($400.0 million par value) 399,650 399,464
6.80% Medium-term notes due in 2018 ($879.0 million par value) 878,308 887,381
2.40% Medium-term notes due in 2019 ($600.0 million par value) 598,296 597,836
2.15% Medium-term notes due in 2020 ($600.0 million par value) 598,856 —
3.50% Senior unsecured notes due in 2025 ($450.0 million par value) 447,608 —
4.625% Senior unsecured notes due in 2045 ($300.0 million par value) 299,326 —
Gross long-term debt 5,689,008 4,772,843
Less: current portion of long-term debt (843,620)(1,011,315)
Long-term debt $ 4,845,388 $ 3,761,528
A summary of the Company’s expected principal payments for debt obligations as of December 31, 2015 is as follows (in
thousands):
2016 2017 2018 2019 2020 Thereafter Total
Principal payments on debt $2,045,000 $1,177,493 $1,303,698 $ 934,386 $ 682,877 $ 746,934 $6,890,388
Commercial paper maturities may range up to 365 days from the issuance date. The weighted-average interest rate of
outstanding commercial paper balances was 0.56% and 0.30% at December 31, 2015 and 2014, respectively.
In April 2014, the Company entered into a new $675.0 million five-year credit facility to refinance and replace a $675
million four-year credit facility that was due to mature in April 2015. The new five-year credit facility matures in April 2019.
The Company also has a $675.0 million five-year credit facility which matures in April 2017. The new five-year credit facility
and the existing five-year credit facility (together, the Global Credit Facilities) bear interest at various variable interest rates,
which may be adjusted upward or downward depending on certain criteria, such as credit ratings. The Global Credit Facilities
also require the Company to pay a fee based upon the average daily unused portion of the aggregate commitments under the
Global Credit Facilities. The Global Credit Facilities are committed facilities and primarily used to support the Company's
unsecured commercial paper program. During July 2015, the Company borrowed C$20 million under the Global Credit
Facilities and repaid the borrowings in August 2015. No borrowings were outstanding at December 31, 2015 and 2014.
In December 2015, the Company entered into a new revolving facility agreement (U.S. Conduit) with a third party bank-
sponsored asset-backed U.S. commercial paper conduit, which provides for a total aggregate commitment of $600.0 million.
The prior facility agreement expired on December 14, 2015 and had similar terms. At December 31, 2015 and 2014, the
Company had no outstanding borrowings under the U.S. Conduit. Refer to Note 6 for further discussion on the U.S. Conduit.
In June 2015, the Company amended its revolving facility agreement (Canadian Conduit) with a Canadian bank-
sponsored asset-backed commercial paper conduit. Under the agreement, the Canadian Conduit is contractually committed, at
the Company's option, to purchase from the Company eligible Canadian retail motorcycle financial receivables for proceeds up