Cash America 2009 Annual Report Download - page 126

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CASH AMERICA INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
98
8. Long-Term Debt
The Company’s long-term debt instruments and balances outstanding at December 31, 2009 and
2008, were as follows (in thousands):
December 31,
2009 2008
USD line of credit up to $300,000 due 2012 $189,663 $274,344
GBP line of credit up to £7,500 due 2009 - 7,310
6.21% senior unsecured notes due 2021 25,000 25,000
6.09% senior unsecured notes due 2016 35,000 35,000
6.12% senior unsecured notes due 2012 40,000 40,000
7.20% senior unsecured notes due 2009 - 8,500
Variable rate senior unsecured note due 2012 38,000 38,000
$10 million senior unsecured term note due 2012 - 10,000
5.25% convertible senior unsecured notes due 2029 101,520 -
Total debt $429,183 $438,154
Less current portion 25,493 15,810
Total long-term debt $403,690 $422,344
The Company’s $300.0 million domestic line of credit (the “USD Line of Credit”) matures in March
2012. Interest on the USD Line of Credit is charged, at the Company’s option, at either LIBOR plus a margin
or at the agent’s base rate. The margin on the USD Line of Credit varies from 0.875% to 1.875% (1.625% at
December 31, 2009), depending on the Company’s cash flow leverage ratios as defined in the amended
agreement. The Company also pays a fee on the unused portion ranging from 0.25% to 0.30% (0.30% at
December 31, 2009) based on the Company’s cash flow leverage ratios. The weighted average interest rate
(including margin) on the USD Line of Credit for each of the one-year periods ending December 31, 2009 and
December 31, 2008 was 1.91%.
At December 31, 2009, borrowings under the Company’s USD Line of Credit consisted of three
pricing tranches with maturity dates ranging from one to 29 days, respectively. However, pursuant to the
credit agreement, the Company routinely refinances these borrowings within its long-term facility. Therefore,
these borrowings are reported as part of the line of credit and as long-term debt. The Company had
outstanding letters of credit of $15.9 million at December 31, 2009, which are considered outstanding
indebtedness under the Company’s USD Line of Credit for purposes of determining available borrowings
under that line of credit.
In December 2008, the Company issued $38.0 million of senior unsecured long-term notes, due in
November 2012 pursuant to a Credit Agreement dated November 21, 2008. Interest is charged, at the
Company’s option, at either LIBOR plus a margin of 3.50% or at the agent’s base rate plus a margin of
3.50%. The notes are payable in quarterly payments of $3.0 million beginning on March 31, 2010, with any
outstanding principal due at maturity in November 2012. The notes may be prepaid at the Company’s option
anytime after November 20, 2009 without penalty. The weighted average interest rate (including margin) on
the $38.0 million term notes at December 31, 2009 and 2008 was 3.75% and 4.75%, respectively.
In December 2008, the Company issued $10.0 million of senior unsecured long-term notes, due in
November 2012 pursuant to a Credit Agreement dated December 5, 2008. Interest was charged, at the