Nucor 2015 Annual Report Download - page 64

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62
Nucor has a $1.50 billion unsecured revolving credit facility that matures in August 2018. The unsecured revolving credit facility
provides up to $1.50 billion in revolving loans and allows up to $500.0 million in additional commitments at Nucor’s election in
accordance with the terms set forth in the credit agreement. Up to the equivalent of $850.0 million of the credit facility is available
for foreign currency loans, up to $500.0 million is available for the issuance of letters of credit and up to $500.0 million is available
for the issuance of revolving loans for Nucor subsidiaries in accordance with terms set forth in the credit agreement. The credit
facility provides for a pricing grid based upon the credit rating of Nucor’s senior unsecured long-term debt and, alternatively, interest
rates quoted by lenders in connection with competitive bidding. The credit facility includes customary financial and other covenants,
including a limit on the ratio of funded debt to capital of 60%, a limit on Nucor’s ability to pledge the Company’s assets and a limit
on consolidations, mergers and sales of assets. As of December 31, 2015, Nucor’s funded debt to total capital ratio was 36%, and
Nucor was in compliance with all covenants under the credit facility. No borrowings were outstanding under the credit facility as of
December 31, 2015 and 2014.
Harris Steel has credit facilities totaling approximately $25.1 million, with no outstanding borrowings at December 31, 2015
($1.5 million at December 31, 2014). In addition, the business of Nucor Trading S.A. is financed by uncommitted trade credit
arrangements with a number of European banking institutions. As of December 31, 2015, Nucor Trading S.A. had outstanding
borrowings of $51.3 million, which is presented in short-term debt in the consolidated balance sheets ($54.6 million at
December 31, 2014).
Letters of credit totaling $58.0 million were outstanding as of December 31, 2015 ($42.2 million as of December 31, 2014), related
to certain obligations, including workers’ compensation, utilities deposits and credit arrangements by Nucor Trading S.A. for
commitments to purchase inventories.
13. CAPITAL STOCK
The par value of Nucor’s common stock is $0.40 per share and there are 800 million shares authorized. In addition, 250,000
shares of preferred stock, par value of $4.00 per share, are authorized, with preferences, rights and restrictions as may be fixed
by Nucor’s Board of Directors. There are no shares of preferred stock issued or outstanding.
In September 2015, Nucor’s Board of Directors approved the repurchase of up to $900 million of the Company’s common stock.
The Board of Directors also terminated any previously authorized repurchase programs. The Company repurchased $66.5 million
of common stock in 2015 (no repurchases in 2014 or 2013).