OfficeMax 2005 Annual Report Download - page 81

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15. Debt
Long-Term Debt
Long-term debt, almost all of which is unsecured, consists of the following:
December 31
2005 2004
(thousands)
7.05% notes, due in 2005 .................................. $ — $ 43,972
7.50% notes, due in 2008 .................................. 29,601 29,656
9.45% debentures, due in 2009 .............................. 35,764 35,707
6.50% notes, due in 2010 .................................. 13,680 13,680
7.00% notes, due in 2013 .................................. 19,100 106,393
7.35% debentures, due in 2016 .............................. 17,966 17,967
Medium-term notes, Series A, with interest rates averaging 7.8% and
7.7%, due in varying amounts annually through 2013 ............. 121,000 172,145
Revenue bonds, with interest rates averaging 6.4% and 6.4%, due in
varying amounts annually through 2029 ...................... 189,930 200,815
American & Foreign Power Company Inc. 5% debentures, due in 2030 . 18,469 18,526
Other indebtedness, with interest rates averaging 7.1% and 5.5%, due in
varying amounts annually through 2017 ...................... 31,044 44,738
476,554 683,599
Less unamortized discount ................................. 664 779
Less current portion ...................................... 68,648 97,738
407,242 585,082
5.42% timber notes, due in 2019 ............................. 735,000 735,000
5.54% timber notes, due in 2019 ............................. 735,000 735,000
$1,877,242 $2,055,082
In 2004, the Company repaid approximately $1.6 billion of outstanding debt, primarily with the
proceeds from the Sale, and expensed $137.1 million of costs related to the early retirement of
debt. In 2005, the Company expensed an additional $14.4 million of costs related to the early
retirement of debt and repaid an additional $198.7 million of outstanding debt.
Scheduled Debt Maturities
The scheduled payments of long-term debt are $68.6 million in 2006, $25.4 million in 2007,
$34.6 million in 2008, $50.9 million in 2009 and $15.7 million in 2010 and $281.4 million thereafter.
Credit Agreements
On June 24, 2005, the Company entered into a loan and security agreement for a new
revolving credit facility. The new revolver replaces the Company’s previous revolving credit facility,
which was scheduled to expire on June 30, 2005. The revolving credit facility permits the Company
to borrow up to the maximum aggregate borrowing amount, which is equal to the lesser of (i) a
percentage of the value of certain eligible inventory less certain reserves or (ii) $500 million. Letters
of credit, which may be issued under the revolver up to a maximum of $100 million, reduce
available borrowing capacity under the revolving credit facility. There were $18.7 million in
borrowings outstanding under the new revolver as of December 31, 2005. Borrowings under the
revolver are classified as current liabilities as the Company plans to repay them on a short-term
basis. The minimum and maximum amounts outstanding under the revolving credit facility were
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