Long-Term Debt, Capital Lease and Letters of Credit

3 Months Ended

Apr. 03, 2016

Long-Term Debt, Capital Lease and Letters of Credit



	Balance at
Long-Term Debt (in millions):	April 3, 2016			January 3, 2016
$750.0 million revolving credit facility due March 2018, weighted average rate of 1.70% at April 3, 2016 and 1.67% at January 3, 2016	99.0			150.5
Term loans due through March 2019, weighted average rate of 1.68% at April 3, 2016 and 1.55% at January 3, 2016	187.5			190.0
4.74% Senior Notes due September 2017*	100.0			100.0
2.61% Senior Notes due December 2019*	30.0			30.0
5.30% Senior Notes due September 2020*	75.0			75.0
2.81% Senior Notes due November 2020*	25.0			25.0
3.09% Senior Notes due December 2021*	95.0			95.0
3.28% Senior Notes due November 2022*	100.0			100.0
Total debt	711.5			765.5
Less: current portion of long-term debt	(11.3		)	(10.0		)
Total long-term debt	$	700.2		$	755.5

* Senior Notes are at a fixed rate of interest.

Available borrowing capacity under the $750.0 million credit facility, which is reduced by borrowings and certain outstanding letters of credit, was $640.5 million at April 3, 2016. The credit agreement requires the Company to comply with various financial and operating covenants and at April 3, 2016, the Company was in compliance with these covenants.

Teledyne estimates the fair value of its long-term debt based on debt of similar type, rating and maturity and at comparable interest rates. The Company’s long-term debt is considered a level 2 fair value hierarchy and is valued based on observable market data. The estimated fair value of Teledyne’s long-term debt at April 3, 2016 and January 3, 2016, approximated the carrying value.

At April 3, 2016, the Company had $8.0 million in capital leases, of which $1.1 million is current. At January 3, 2016, the Company had $8.6 million in capital leases, of which $1.2 million was current. At April 3, 2016, Teledyne had $12.0 million in outstanding letters of credit.