Debt (Tables)

6 Months Ended

Jan. 23, 2016

The Company's outstanding indebtedness consisted of the following:



	January 23, 2016			July 25, 2015
	(Dollars in thousands)
Credit Agreement - Revolving facility (matures April 2020)	$	103,250		$	95,250
Credit Agreement - Term Loan (matures April 2020)	150,000			150,000
0.75% senior convertible notes, net (matures September 2021)	364,830			—
7.125% senior subordinated notes	—			277,500
Long-term debt premium on 7.125% senior subordinated notes	—			2,841
	618,080			525,591
Less: current portion	(5,625		)	(3,750		)
Long-term debt	$	612,455		$	521,841

Convertible Debt

The Notes consist of the following components:



	January 23, 2016
	(Dollars in thousands)
Liability component
Principal amount of 0.75% senior convertible notes due September 2021	$	485,000
Less: Debt discount	(110,460		)
Less: Debt issuance costs attributable to the liability component⁽¹⁾	(9,710		)
Net carrying amount of Notes	$	364,830
Equity Component⁽²⁾	$	112,554

⁽¹⁾Issuance costs of approximately $15.1 million related to the Notes included the initial purchasers' discount of approximately $13.3 million and approximately $1.8 million paid to third parties. Approximately $10.1 million of issuance costs paid to the initial purchasers of the Notes was allocated to the liability component and recorded as a contra-liability, presented net against the carrying amount of the Notes on the Company's condensed consolidated balance sheet, of which $9.7 million remains unamortized as of January 23, 2016. Approximately $1.3 million of issuance costs paid to third parties was allocated to the liability component and recorded as deferred costs within other assets in the Company's condensed consolidated balance sheets. Debt issuance costs attributable to the liability component are amortized to interest expense on the effective interest rate method over the term of the Notes. During the three and six months ended January 23, 2016, the Company recorded $0.4 million and $0.5 million, respectively, related to the amortization of debt issuance costs of the Notes.

⁽²⁾ Approximately $3.6 million of issuance costs paid to the initial purchasers of the Notes and third parties was allocated to the equity component and recorded net against the equity component in stockholders' equity on the condensed consolidated balance sheets.

Schedule Interest Rates for the Credit Agreement

The weighted average interest rates and fees for balances under the Credit Agreement as of January 23, 2016 and July 25, 2015 were as follows:



	Weighted Average Rate End of Period
	January 23, 2016	July 25, 2015
Borrowings - Term Loan	2.42%	1.94%
Borrowings - Revolving facility	2.66%	2.02%
Standby Letters of Credit	2.00%	1.75%
Unused Revolver	0.40%	0.35%

Borrowings under the Credit Agreement bear interest at rates described below based upon the Company's consolidated leverage ratio, which is the ratio of the Company's consolidated total funded debt to its trailing twelve month consolidated EBITDA, as defined by the Credit Agreement. In addition, the Company incurs certain fees for unused balances and letters of credit at the rates described below, also based upon the Company’s consolidated leverage ratio.



Borrowings - Eurodollar Rate Loans	1.25% - 2.00% plus LIBOR
Borrowings - Base Rate Loans	0.25% - 1.00% plus administrative agent's base rate*
Unused Revolver Commitment	0.25% - 0.40%
Standby Letters of Credit	1.25% - 2.00%
Commercial Letters of Credit	0.625% - 1.00%

*The agent's base rate is described in the Credit Agreement as the highest of (i) the administrative agent's prime rate, (ii) the Federal Funds Rate plus 0.50%, and (iii) the Eurodollar rate plus 1.00%, plus an applicable margin.