Debt and Credit Agreements

9 Months Ended

Sep. 30, 2023

Debt Disclosure [Abstract]

Debt and Credit Agreements

Debt and Credit Agreements

Long-term debt consists of the following:

(In thousands)	September 30 2023		December 31 2022
Senior Secured Credit Facilities:
New Term Loan	$	488,750	$	492,500
Revolving Credit Facility	426,000		370,000
5.75% Senior Notes	475,000		475,000
Other financing payable (including finance leases) in varying amounts	38,452		26,661
Total debt obligations	1,428,202		1,364,161
Less: deferred financing costs	(12,784)		(15,172)
Total debt obligations, net of deferred financing costs	1,415,418		1,348,989
Less: current maturities of long-term debt	(14,990)		(11,994)
Long-term debt	$	1,400,428	$	1,336,995

The Senior Secured Credit Facilities contain a consolidated net debt to Consolidated Adjusted EBITDA ratio covenant, which is not to exceed 5.50x for the quarter ended September 30, 2023 and through and including the quarter ending December 31, 2023, and then decreasing quarterly until reaching 4.00x on December 31, 2024. The total net leverage ratio covenant applicable to the third quarter of 2024 and earlier is subject to a 0.50x decrease upon the divestiture of Rail. The Company's required coverage of consolidated interest charges is set at a minimum of 2.75x through the end of 2024 (subject to an increase to 3.00x upon closing of the divestiture of Rail).

At September 30, 2023, the Company was in compliance with its debt covenants under the Senior Secured Credit Facilities, with a total net debt to Consolidated Adjusted EBITDA ratio of 4.52x and a total interest coverage ratio of 2.90x. The Company believes it will continue to maintain compliance with these covenants based on its current outlook. However, the Company's estimates of compliance with these covenants could change in the future with a continued deterioration in economic conditions, higher than forecasted interest rate increases, the timing of working capital including the collection of receivables or an inability to successfully execute its plans by quarter to realize increased pricing and to implement cost reduction initiatives that substantially mitigate the impacts of inflation and other factors adversely impacting its realized operating margins.

Facility Fees and Debt-Related Income (Expense)

The components of the Condensed Consolidated Statements of Operations caption Facility fees and debt-related income (expense) were as follows:

	Three Months Ended				Nine Months Ended
	September 30				September 30
(In thousands)	2023		2022		2023		2022
Gain on extinguishment of debt	$	—	$	—	$	—	$	2,254
Unused debt commitment and amendment fees	—		(1,097)		(12)		(1,635)
Securitization and factoring fees	(2,806)		(1,414)		(7,887)		(1,513)
Facility fees and debt-related income (expense)	$	(2,806)	$	(2,511)	$	(7,899)	$	(894)