Long term Debt

				September 30,		March 31,
	2018 Rate (a)	Maturities		2017		2017
				(Unaudited)
				(In thousands)
Real estate loan (amortizing term)	2.74% - 6.93%	2023	$	140,287	$	169,289
Senior mortgages	3.72% - 5.50%	2022 - 2038		1,405,702		1,292,160
Working capital loans (revolving credit)	2.74%	2018		55,000		85,000
Fleet loans (amortizing term)	1.95% - 4.76%	2018 - 2024		319,631		324,977
Fleet loans (securitization)	4.90%	2017		47,183		52,112
Fleet loans (revolving credit)	2.39%	2020 - 2021		446,000		417,000
Capital leases (rental equipment)	1.92% - 4.86%	2017 - 2024		962,140		876,828
Other obligations	2.75% - 8.00%	2017 - 2047		72,005		69,867
Notes, loans and leases payable				3,447,948		3,287,233
Less: Debt issuance costs				(25,871)		(24,353)
Total notes, loans and leases payable			$	3,422,077	$	3,262,880

(a) Interest rate as of September 30, 2017, including the effect of applicable hedging instruments.

Real Estate Backed Loans

Real Estate Loan

Amerco Real Estate Company and certain of its subsidiaries and U-Haul Company of Florida are borrowers under a Real Estate Loan. As of September 30, 2017, the outstanding balance on the Real Estate Loan was $140.3 million. The Real Estate Loan requires monthly principal and interest payments, with the unpaid loan balance and accrued and unpaid interest due at maturity. The Real Estate Loan is secured by various properties owned by the borrowers. The final maturity of the term loan is April 2023.

The interest rate, per the provisions of the amended loan agreement, is the applicable London Inter-Bank Offer Rate (“LIBOR”) plus the applicable margin. At September 30, 2017, the applicable LIBOR was 1.24% and the applicable margin was 1.50%, the sum of which was 2.74%, which was applied to $77.2 million of the Real Estate Loan. The rate of the remaining balance of $63.1 million of the Real Estate Loan is hedged with an interest rate swap fixing the rate at 6.93% based on current margin. The interest rate swap expires in August 2018, after which date the remaining balance will incur interest at a rate of LIBOR plus a margin of 1.50%. The default provisions of the Real Estate Loan include non-payment of principal or interest and other standard reporting and change-in-control covenants. There are limited restrictions regarding our use of the funds.

Senior Mortgages

Various subsidiaries of Amerco Real Estate Company and U-Haul International, Inc. are borrowers under certain senior mortgages. These senior mortgage loan balances as of September 30, 2017 were in the aggregate amount of $1,405.7 million and mature between 2022 and 2038. The senior mortgages require monthly principal and interest payments. The senior mortgages are secured by certain properties owned by the borrowers. The fixed interest rates, per the provisions of the senior mortgages, range between 3.72% and 5.50%. Certain senior mortgages have an anticipated repayment date and a maturity date. If these senior mortgages are not repaid by the anticipated repayment date, the interest rate on these mortgages would increase from the current fixed rate. We are using the anticipated repayment date for our maturity schedule. Amerco Real Estate Company and U-Haul International, Inc. have provided limited guarantees of the senior mortgages. The default provisions of the senior mortgages include non-payment of principal or interest and other standard reporting and change-in-control covenants. There are limited restrictions regarding our use of the funds.

Working Capital Loans

Various subsidiaries of Amerco Real Estate Company and U-Haul International, Inc. are borrowers under an asset backed working capital loan. The maximum amount that can be drawn at any one time is $55.0 million. At September 30, 2017, the outstanding balance was $55.0 million. This loan is secured by certain properties owned by the borrowers. This loan agreement provides for term loans, subject to the terms of the loan agreement. The final maturity of the loan is November 2018. This loan requires monthly interest payments with the unpaid loan balance and accrued and unpaid interest due at maturity. The interest rate, per the provision of the loan agreement, is the applicable LIBOR plus the applicable margin. At September 30, 2017, the applicable LIBOR was 1.24% and the margin was 1.50%, the sum of which was 2.74%. AMERCO is the guarantor of this loan. The default provisions of the loan include non-payment of principal or interest and other standard reporting and change-in-control covenants.

AMERCO is a borrower under working capital loan. The current maximum credit commitment is $150.0 million, which can be increased to $300.0 million by bringing in other lenders. At September 30, 2017, the full $150.0 million was available to be drawn. This loan agreement provides for revolving loans, subject to the terms of the loan agreement. The final maturity of this loan is September 2020. This loan requires monthly interest payments with the unpaid loan balance and accrued and unpaid interest due at maturity. The interest rate is the applicable LIBOR plus a margin between 1.38% and 1.50% depending on the amount outstanding. The default provisions of the loan include non-payment of principal or interest and other standard reporting and change-in-control covenants. There is a 0.30% fee charged for unused capacity.

Fleet Loans

Rental Truck Amortizing Loans

U-Haul International, Inc. and several of its subsidiaries are borrowers under amortizing term loans. The aggregate balance of the loans as of September 30, 2017 was $319.6 million with the final maturities between June 2018 and June 2024.

The Amortizing Loans require monthly principal and interest payments, with the unpaid loan balance and accrued and unpaid interest due at maturity. These loans were used to purchase new trucks. The interest rates, per the provision of the Loan Agreements, are the applicable LIBOR plus the applicable margins. At September 30, 2017, the applicable LIBOR was between 1.23% and 1.24% and applicable margins were between 1.72% and 2.38%. The interest rates are hedged with interest rate swaps fixing the rates between 2.82% and 4.76% based on current margins. Additionally, $260.7 million of these loans are carried at fixed rates ranging between 1.95% and 3.94%.

AMERCO and, in some cases, U-Haul International, Inc. are guarantors of these loans. The default provisions of these loans include non-payment of principal or interest and other standard reporting and change-in-control covenants.

Rental Truck Securitizations

2010 U-Haul S Fleet and its subsidiaries (collectively, “2010 USF”) issued a $155.0 million asset-backed note (“2010 Box Truck Note”). 2010 USF is a bankruptcy-remote special purpose entity wholly-owned by U-Haul International, Inc. The net proceeds from the securitized transaction were used to finance new box truck purchases. U.S. Bank, NA acts as the trustee for this securitization.

The 2010 Box Truck Note has a fixed interest rate of 4.90% with an expected final maturity of October 2017. At September 30, 2017, the outstanding balance was $47.2 million. In October 2017, the note was repaid in full. The note is secured by the box trucks purchased and the corresponding operating cash flows associated with their operation.

The 2010 Box Truck Note is subject to certain covenants with respect to liens, additional indebtedness of the special purpose entity, the disposition of assets and other customary covenants of bankruptcy-remote special purpose entities. The default provisions of this note include non-payment of principal or interest and other standard reporting and change-in-control covenants.

Rental Truck Revolvers

Various subsidiaries of U-Haul International, Inc. entered into three revolving fleet loans in aggregate for $490.0 million, which can be increased to a maximum of $565.0 million. These loans mature between March 2020 and November 2021. The interest rate, per the provision of the Loan Agreements, is the applicable LIBOR plus the applicable margin. At September 30, 2017, the applicable LIBOR was 1.24% and the margin was 1.15%, the sum of which was 2.39%. Only interest is paid on the loans until the last nine months when principal is due monthly. As of September 30, 2017, the outstanding balance of the loans was $446.0 million.

Capital Leases

We regularly enter into capital leases for new equipment with the terms of the leases between five and seven years. During the first six months of fiscal 2018, we entered into $233.9 million of new capital leases. At September 30, 2017 and March 31, 2017, the balance of our capital leases was $962.1 million and $876.8 million, respectively. The net book value of the corresponding capitalized assets was $1,367.0 million and $1,233.3 million at September 30, 2017 and March 31, 2017, respectively.

Other Obligations

In February 2011, AMERCO and U.S. Bank, NA (the “Trustee”) entered into the U-Haul Investors Club® Indenture. AMERCO and the Trustee entered into this indenture to provide for the issuance of notes by us directly to investors over our proprietary website, uhaulinvestorsclub.com (“U-Notes®”). The U-Notes® are secured by various types of collateral including, but not limited to, rental equipment and real estate. U-Notes® are issued in smaller series that vary as to principal amount, interest rate and maturity. U-Notes® are obligations of the Company and secured by the associated collateral; they are not guaranteed by any of the Company’s affiliates or subsidiaries.

At September 30, 2017, the aggregate outstanding principal balance of the U-Notes® issued was $76.1 million of which $4.1 million is held by our insurance subsidiaries and eliminated in consolidation. Interest rates range between 2.75% and 8.00% and maturity dates range between 2017 and 2047.

Oxford is a member of the Federal Home Loan Bank (“FHLB”) and, as such, the FHLB has made deposits with Oxford. As of June 30, 2017, one deposit balance was $45.0 million, for which Oxford pays a fixed interest rate of 1.00%, due on the maturity date of September 29, 2017. As of June 30, 2017, the other deposit amount was $15.0 million with a maturity of March 30, 2020 at an interest rate of 1.75%. As of June 30, 2017, available-for-sale investments held with the FHLB totaled $130.2 million, of which $69.3 million was pledged as collateral to secure the outstanding deposits. The balances of these deposits are included within Liabilities from investment contracts on the consolidated balance sheet.

Annual Maturities of Notes, Loans and Leases Payable

The annual maturities of long term debt, including capital leases and excluding debt issuance costs, as of September 30, 2017 for the next five years and thereafter are as follows:

		Twelve Months Ending September 30,
		2018		2019		2020		2021		2022		Thereafter
		(Unaudited)
		(In thousands)
Notes, loans and leases payable, secured	$	451,564	$	490,060	$	404,931	$	497,718	$	273,441	$	1,330,234

Interest on Borrowings

Interest Expense

Components of interest expense include the following:

		Quarter Ended September 30,
		2017		2016
		(Unaudited)
		(In thousands)
Interest expense	$	31,863	$	25,879
Capitalized interest		(1,929)		(985)
Amortization of transaction costs		1,014		804
Interest expense resulting from derivatives		1,075		2,291
Total interest expense		32,023		27,989

		Six Months Ended September 30,
		2017		2016
		(Unaudited)
		(In thousands)
Interest expense	$	61,492	$	49,964
Capitalized interest		(3,694)		(2,298)
Amortization of transaction costs		1,946		1,647
Interest expense resulting from derivatives		2,624		5,102
Total interest expense		62,368		54,415

Interest paid in cash, including payments related to derivative contracts, amounted to $32.4 million and $28.1 million for the second quarter of fiscal 2018 and 2017, respectively and $63.4 million and $55.3 million for the first six months of fiscal 2018 and 2017, respectively.

Interest Rates

Interest rates and Company borrowings were as follows:

		Revolving Credit Activity
		Quarter Ended September 30,
		2017		2016
		(Unaudited)
		(In thousands, except interest rates)
Weighted average interest rate during the quarter		2.43%		1.73%
Interest rate at the end of the quarter		2.43%		1.73%
Maximum amount outstanding during the quarter	$	538,000	$	462,000
Average amount outstanding during the quarter	$	516,946	$	431,815
Facility fees	$	49	$	49

		Revolving Credit Activity
		Six Months Ended September 30,
		2017		2016
		(Unaudited)
		(In thousands, except interest rates)
Weighted average interest rate during the period		2.34%		1.73%
Interest rate at the end of the period		2.43%		1.73%
Maximum amount outstanding during the period	$	538,000	$	462,000
Average amount outstanding during the period	$	508,350	$	400,896
Facility fees	$	125	$	89