First Data 2011 Annual Report Download - page 97

The senior subordinated notes are unsecured and (i) rank equally in right of payment with all of the existing and future senior
subordinated debt, (ii) rank senior in right of payment to all future debt and other obligations that are, by their terms, expressly
subordinated in right of payment to the senior subordinated notes, (iii) are effectively subordinated in right of payment to all existing
and future secured debt to the extent of the value of the assets securing such debt, and (iv) are structurally subordinated to all
obligations of each subsidiary that is not a guarantor of the senior subordinated notes.
Deferred Financing Costs
Deferred financing costs were capitalized in conjunction with certain of FDC's debt issuances and totaled $269.8 million and
$331.3 million, as of December 31, 2011 and 2010, respectively. Deferred financing costs are reported in the "Other long-term assets"
line of the Consolidated Balance Sheets and are being amortized on a straight-line basis, which approximates the interest method, over
the remaining term of the respective debt, with a weighted-average period of 5 years.
Guarantees and Covenants
All obligations under the senior secured revolving credit facility and senior secured term loan facility are unconditionally
guaranteed by substantially all existing and future, direct and indirect, wholly-owned, material domestic subsidiaries of FDC other
than Integrated Payment Systems Inc. The senior secured facilities contain a number of covenants that, among other things, restrict
FDC's ability to incur additional indebtedness; create liens; enter into sale and leaseback transactions; engage in mergers or
consolidations; sell or transfer assets; pay dividends and distributions or repurchase FDC's or its parent company's capital stock; make
investments, loans or advances; prepay certain indebtedness; make certain acquisitions; engage in certain transactions with affiliates;
amend material agreements governing certain indebtedness and change its lines of business. The senior secured facilities also require
FDC to not exceed a maximum senior secured leverage ratio and contain certain customary affirmative covenants and events of
default, including a change of control. FDC is in compliance with all applicable covenants.
All obligations under the senior secured notes, senior secured second lien notes, PIK toggle senior secured second lien notes,
senior unsecured notes, and senior unsecured subordinated notes are similarly guaranteed in accordance with their terms by each of
FDC's domestic subsidiaries that guarantee obligations under FDC's senior secured term loan facility described above. These notes
and facilities also contain a number of covenants similar to those described for the senior secured obligations noted above. FDC is in
compliance with all applicable covenants.
Other
In November 2011, FDC paid off its 5.625% notes due 2011 for $32.6 million.
In June 2010, FDC paid off its 4.50% notes due 2010 for $13.1 million.
In 2009, FDC paid off its 3.90% Note due in 2009 for $10.7 million.
Maturities
The following table presents the future aggregate annual maturities of long-term debt:
Year ended December 31,
(in millions) Amount
2013 $ 70.5
2014 6,584.0
2015 1,555.9
2016 2,503.5
Thereafter 11,807.8
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