Debt (Tables)

3 Months Ended

Apr. 30, 2022

Debt Disclosure [Abstract]

Outstanding Indebtedness

Our outstanding indebtedness consisted of the following (dollars in thousands):

	April 30, 2022		January 29, 2022
Credit agreement - Revolving facility (matures April 2026)	$	—	$	—
Credit agreement - Term loan facility, net (matures April 2026)	343,233		347,438
4.50% senior notes, net (mature April 2029)	493,578		493,313
	836,811		840,751
Less: current portion	(17,500)		(17,500)
Long-term debt	$	819,311	$	823,251

Schedule Interest Rates for the Credit Agreement

Under the Credit Agreement, borrowings bear interest at the rates described below based upon our consolidated net leverage ratio, which is the ratio of our consolidated total funded debt reduced by unrestricted cash and equivalents in excess of $25.0 million to our trailing twelve-month consolidated EBITDA, as defined by the Credit Agreement. In addition, we incur certain fees for unused balances and letters of credit at the rates described below, also based upon our consolidated net leverage ratio.

Borrowings - Eurodollar Rate Loans	1.25% - 2.00% plus LIBOR(1)
Borrowings - Base Rate Loans	0.25% - 1.00% plus Base rate(2)
Unused Revolver Commitment	0.20% - 0.40%
Standby Letters of Credit	1.25% - 2.00%
Commercial Letters of Credit	0.625% -1.000%

(1) To address the transition in financial markets away from LIBOR, the Credit Agreement includes provisions related to the replacement of LIBOR with a LIBOR Successor Rate (as defined in the Credit Agreement), which may be a rate based on the secured overnight financing rate published by the Federal Reserve Bank of New York.

(2) Base rate is described in our Credit Agreement as the highest of (i) the Federal Funds Rate plus 0.50%, (ii) the administrative agent’s prime rate, and (iii) the Eurodollar rate plus 1.00% and, if such rate is less than zero, such rate shall be deemed zero.

The weighted average interest rates and fees for balances under our Credit Agreement as of April 30, 2022 and January 29, 2022 were as follows:

	Weighted Average Rate End of Period
	April 30, 2022	January 29, 2022
Borrowings - Term loan facility	2.30%	1.86%
Borrowings - Revolving facility(1)	—%	—%
Standby Letters of Credit	1.75%	1.63%
Unused Revolver Commitment	0.35%	0.30%

(1) There were no outstanding borrowings under our revolving facility as of April 30, 2022 and January 29, 2022.

Carrying Value and Fair Value of Notes

The following table summarizes the fair value of the 2029 Notes, net of debt issuance costs. The fair value of the 2029 Notes is based on the closing trading price per $100 of the 2029 Notes as of the last day of trading (Level 2), which was $91.25 and $97.50 as of April 30, 2022 and January 29, 2022, respectively (dollars in thousands):

	April 30, 2022		January 29, 2022
Fair value of principal amount of 2029 Notes	$	456,250	$	487,500
Less: Debt issuance costs	(6,422)		(6,687)
Fair value of 2029 Notes	$	449,828	$	480,813

Schedule of Long-term Debt Instruments

The following table summarizes the net carrying value of the 2029 Notes as of April 30, 2022 and January 29, 2022 (dollars in thousands):

	April 30, 2022		January 29, 2022
Principal amount of 2029 Notes	$	500,000	$	500,000
Less: Debt issuance costs	(6,422)		(6,687)
Net carrying amount of 2029 Notes	$	493,578	$	493,313