Note 16: Indebtedness

Long-term debt was comprised of the following:

	Fiscal year of maturity	March 31, 2014			March 31, 2013

Foreign credit agreements	2016	$	0.5		$	1.9
6.8% notes	2017-2021		125.0			125.0
Revolving credit facility	2018		-			-
			125.5			126.9
Capital lease obligations	2015-2030		6.5			6.1
			132.0			133.0
Less: current portion			(0.8	)		(0.5	)
Total long-term debt		$	131.2		$	132.5

During fiscal 2014, the Company entered into a $175.0 million Amended and Restated Credit Agreement with a syndicate of banks. The multi-currency credit agreement, which expires in August 2018, replaced the Company’s then-existing $145.0 million revolving credit facility that would have expired in August 2014. Borrowings under the credit agreement bear interest at a variable rate based on the London Interbank Offered Rate (“LIBOR”) plus 125 to 225 basis points (1.5 percent at March 31, 2014) depending upon the Company’s leverage ratio, defined below. At March 31, 2014, no borrowings were outstanding under the revolving credit facility. At March 31, 2014, domestic letters of credit totaled $9.0 million, resulting in available borrowings under the Company’s domestic revolving credit facility of $166.0 million.

The Company also maintains credit agreements for its foreign subsidiaries with outstanding short-term borrowings at March 31, 2014 and 2013 of $32.4 million and $30.6 million, respectively. At March 31, 2014, the Company’s foreign unused lines of credit totaled $52.0 million. In aggregate, the Company had total available lines of credit of $218.0 million at March 31, 2014.

Provisions in the Company’s revolving credit facility, Senior Note agreements, and various foreign credit agreements require the Company to maintain compliance with various covenants and include certain cross-default clauses. Under the Company’s primary debt agreements in the U.S., the Company is subject to a leverage ratio covenant, which requires the Company to limit its consolidated indebtedness, less a certain portion of the Company’s cash balance, both as defined by the credit agreement, to no more than three and one-quarter times consolidated net earnings before interest, taxes, depreciation, amortization, and certain other adjustments (“Adjusted EBITDA”). The Company is also subject to an interest expense coverage ratio, which requires the Company to maintain Adjusted EBITDA of at least three times consolidated interest expense. The Company was in compliance with its debt covenants as of March 31, 2014.

Long-term debt matures as follows:

Fiscal Year
2015	$	0.8
2016		0.5
2017		8.3
2018		16.3
2019		16.4
2020 & beyond		89.7
Total	$	132.0

The Company estimates the fair value of long-term debt using discounted future cash flows at rates offered to the Company for similar debt instruments of comparable maturities. At March 31, 2014 and 2013, the carrying value of Modine’s long-term debt approximated fair value, with the exception of the Senior Notes, which had a fair value of approximately $140.0 million and $139.0 million, respectively. The fair value of the Senior Notes is categorized as Level 2 within the fair value hierarchy. Refer to Note 4 for the definition of a Level 2 fair value measurement.