Debt

6 Months Ended

Jun. 30, 2019

The Company’s debt instruments consist primarily of term notes, revolving lines of credit and a Securitization Facility as follows (in thousands):



	June 30, 2019		December 31, 2018
Term Loan A note payable (a), net of discounts	$	2,453,464	$	2,515,519
Term Loan B note payable (a), net of discounts	342,512		344,180
Revolving line of credit A Facility(a)	395,000		655,000
Revolving line of credit B Facility(a)	344,656		345,446
Revolving line of credit C Facility(a)	35,000		35,000
Revolving line of credit B Facility - foreign swing line (a)	33,622		—
Other debt(c)	30,514		37,902
Total notes payable and other obligations	3,634,768		3,933,047
Securitization Facility(b)	974,000		886,000
Total notes payable, credit agreements and Securitization Facility	$	4,608,768	$	4,819,047
Current portion	$	1,932,394	$	2,070,616
Long-term portion	2,676,374		2,748,431
Total notes payable, credit agreements and Securitization Facility	$	4,608,768	$	4,819,047

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(a)

The Company has a Credit Agreement that provides for senior secured credit facilities consisting of a revolving credit facility in the amount of $1.285 billion, a term loan A facility in the amount of $2.525 billion and a term loan B facility in the amount of $350 million as of June 30, 2019. The revolving credit facility consists of (a) a revolving A credit facility in the amount of $800 million, with sublimits for letters of credit and swing line loans, (b) a revolving B facility in the amount of $450 million with borrowings in U.S. Dollars, Euros, British Pounds, Japanese Yen or other currency as agreed in advance, and a sublimit for swing line loans, and (c) a revolving C facility in the amount of $35 million for borrowings in U.S. Dollars, Australian Dollars or New Zealand Dollars. The Credit Agreement also includes an accordion feature for borrowing an additional $750 million in term A, term B, revolver A or revolver B debt. Proceeds from the credit facilities may be used for working capital purposes, acquisitions, and other general corporate purposes. The maturity date for the term A loan and revolving credit facilities is December 19, 2023. The maturity date for the term B loan is August 2, 2024.

Interest on amounts outstanding under the Credit Agreement (other than the term B loan) accrues based on the British Bankers Association LIBOR Rate (the Eurocurrency Rate), plus a margin based on a leverage ratio, or our option, the Base Rate (defined as the rate equal to the highest of (a) the Federal Funds Rate plus 0.50%, (b) the prime rate announced by Bank of America, N.A., or (c) the Eurocurrency Rate plus 1.00%) plus a margin based on a leverage ratio. Interest on the term B loan facility accrues based on the Eurocurrency Rate plus 2.00% for Eurocurrency Loans or the Base Rate plus 1.00% for Base Rate Loans. In addition, the Company pays a quarterly commitment fee at a rate per annum ranging from 0.20% to 0.40% of the daily unused portion of the credit facility.

At June 30, 2019, the interest rate on the term A loan, revolving A facility and revolving C facility was 3.90%, the interest rate on the the revolving B facility U.S. Dollar borrowings ($45 million) was 3.94%, the interest rate on the revolving B facility British Pounds borrowings (£236 million) was 2.23%, the interest rate on the term B loan was 4.40% and the interest rate on the foreign swing line loan was 2.17%. The unused credit facility fee was 0.30% for all revolving facilities at June 30, 2019.

(b)

The Company is party to a $1.2 billion receivables purchase agreement (Securitization Facility) that was amended on February 8, 2019 and April 22, 2019. There is a program fee equal to one month LIBOR plus 0.90% or the Commercial Paper Rate plus 0.80%. The program fee was 2.42% plus 0.88% as of June 30, 2019 and 2.52% plus 0.89% as of December 31, 2018. The unused facility fee is payable at a rate of 0.40% per annum as of June 30, 2019 and December 31, 2018.


(c)	Other debt includes the long-term portion of deferred payments associated with business acquisitions.

The Company was in compliance with all financial and non-financial covenants at June 30, 2019. The Company has entered into interest rate swap cash flow contracts with U.S. dollar notional amounts in order to reduce the variability of cash flows in

the previously unhedged interest payments associated with $2.0 billion of variable rate debt. Refer to Footnote 14 for further details.