Rayovac 2008 Annual Report Download - page 152

Table of Contents
Index to Financial Statements
SPECTRUM BRANDS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
(In thousands, except per share amounts)
The amortization expense related to intangibles subject to amortization for Fiscal 2008, 2007 and 2006 is as follows:
2008(A) 2007(A) 2006
Proprietary technology amortization $ 3,934 $ 3,601 $ 3,600
Customer list amortization 23,328 9,737 16,421
Trade names amortization 3,445 508 3,452
$ 30,707 $ 13,846 $ 23,473
(A) Fiscal 2007 does not include amortization expense associated with the Home and Garden Business, as the Home and Garden Business was designated a
discontinued operation in Fiscal 2007, in accordance with SFAS 144. Fiscal 2008 includes amortization expense related to Fiscal 2007, as a result of the
reclassification of the Home and Garden Business as a continuing operation during Fiscal 2008. (See also Note 13, Segment Assets, for further details on
amortization expense related to the Home and Garden Business).
The Company estimates annual amortization expense for the next five fiscal years will approximate $20,382 per year.
(7) Debt
Debt consists of the following:
September 30, 2008 September 30, 2007
Amount Rate Amount Rate(A)
Senior Subordinated Notes, due February 1, 2015 $ 700,000 7.4% $ 700,000 7.4%
Senior Subordinated Notes, due October 2, 2013 347,012 12.0% 347,012 11.3%
Term Loan B, U.S. Dollar, expiring March 30, 2013 976,458 6.8% 997,500 9.6%
Term Loan, Euro, expiring March 30, 2013 369,283 9.6% 369,855 8.8%
Senior Subordinated Notes, due October 1, 2013 2,873 8.5% 2,873 8.5%
Revolving Credit Facility, expiring September 28, 2011 80,000 5.0% — —
Other notes and obligations 34,210 9.7% 28,719 5.6%
Capitalized lease obligations 13,583 4.9% 14,395 5.0%
2,523,419 2,460,354
Less current maturities 48,637 43,438
Long-term debt $ 2,474,782 $ 2,416,916
(A) Interest rates on senior credit facilities represent the period-end weighted average rates on balances outstanding exclusive of the effects of any interest rate
swaps.
Senior Credit Facilities
During Fiscal 2007, the Company refinanced its outstanding senior credit facilities with new senior secured credit facilities pursuant to a new senior credit
agreement (the “Senior Credit Agreement”) consisting of a $1,000,000 U.S. Dollar Term B Loan facility (the “U.S. Dollar Term B Loan”), a $200,000
U.S. Dollar Term B II Loan facility (the “U.S. Dollar Term B II Loan”), a €262,000 Term Loan facility (the “Euro Facility”), and a
147
Source: Spectrum Brands, Inc, 10-K, December 10, 2008