Sunbeam 2005 Annual Report Download - page 59

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Jarden Corporation
Notes to Consolidated Financial Statements (cont’d)
December 31, 2005
On April 11, 2005, the Company completed a $100 million add-on to the Term Loan as part of the first
amendment to the Senior Credit Facility. These proceeds were used for general corporate purposes and
strategic initiatives. The spread on the $850 million Term Loan and the $100 million add-on to the Term
Loan is 2.00% over London Interbank Offered Rate (“LIBOR”).
On July 18, 2005, as discussed in Note 3, the Company completed a $380 million add-on to the Term
Loan in connection with the THG Acquisition. As part of the second amendment to the Senior Credit
Facility, the spread on the $380 million add-on loan was set at 1.75% over LIBOR.
The relevant LIBOR interest rate at December 31, 2005 is 4.53%.
Financing for Foreign Dividend Repatriation
During the fourth quarter of 2005, the Company repatriated funds to its United States subsidiaries
from certain of its foreign subsidiaries in accordance with Internal Revenue Code §965 and the American
Jobs Creation Act of 2004. As part of the repatriation transactions, the Company, through certain of its
foreign subsidiaries, incurred additional term debt of approximately $56 million (included in non-U.S.
borrowings in the table above) (the “Foreign Senior Debt”). The aggregate proceeds from these additional
borrowings were repatriated to the United States and immediately used to pay down an equivalent amount
of the outstanding balance of the Term Loan.
Capital Leases
During 2005, the Company acquired equipment under capital leases that mature through 2010, and
amounts due under these leases are included in debt in the Consolidated Balance Sheet as of December 31,
2005. Future minimum lease payments for these leases as of December 31, 2005 are as follows (in millions):
Years Ended December 31, Amount
2006 ............................................................. $ 2.2
2007 ............................................................. 2.2
2008 ............................................................. 2.2
2009 ............................................................. 2.2
2010 ............................................................. 15.3
2011 and thereafter ................................................ —
Minimum lease payments ........................................... 24.1
Less: amounts representing imputed interest ......................... (5.0)
Present value of minimum lease payments ............................. $19.1
Non-U.S. Borrowings
As of December 31, 2005, non-U.S. borrowings consisted primarily of new term debt described above.
Other outstanding balances totaling $5.9 million were primarily borrowed under various foreign credit lines
and facilities entered into by certain non-U.S. subsidiaries of the Company and are primarily reflected as
“Short-term debt and current portion of long-term debt” in the Consolidated Balance Sheets. Certain of
these foreign credit lines are secured by the non-U.S. subsidiaries’ inventory and/or accounts receivable.
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