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Debt and Credit Facility
 3 Months Ended
Jun. 30, 2018
Debt Disclosure [Abstract]  
Debt Disclosure [Text Block]
Debt and Credit Facility
2019 Notes and 2021 Notes

On March 12, 2014, the Company issued the 2019 Notes and 2021 Notes at a discounted price of 99.477% and 99.281% of par, respectively. Interest on the 2019 Notes and 2021 Notes is payable semi-annually on March 15 and September 15.

The Company received net proceeds of $990.1 million from issuance of the 2019 Notes and 2021 Notes, after the debt discount and deduction of debt issuance costs. The debt discounts and issuance costs are amortized to interest expense over the terms of the 2019 Notes and 2021 Notes. As of June 30, 2018, the remaining term of the 2019 Notes and 2021 Notes are 0.7 years and 2.7 years respectively.

The following table summarizes the carrying value of the 2019 Notes and 2021 Notes as of June 30, 2018 and March 31, 2018:
 
 
 
 
(In thousands)
June 30, 2018
 
March 31, 2018
Principal amount of the 2019 Notes
$
500,000


$
500,000

Unamortized discount of the 2019 Notes
(365
)

(501
)
Unamortized debt issuance costs associated with 2019 Notes
(228
)

(313
)
Carrying value of the 2019 Notes
499,407

 
499,186

Principal amount of the 2021 Notes
500,000


500,000

Unamortized discount of the 2021 Notes
(1,461
)

(1,593
)
Unamortized debt issuance costs associated with 2021 Notes
(651
)

(711
)
Carrying value of the 2021 Notes
$
497,888

 
$
497,696

Total carrying value
$
997,295

 
$
996,882



Interest expense related to the 2019 Notes and 2021 Notes was included in interest and other income (expense), net on the condensed consolidated statements of income as follows:
 
Three Months Ended
(In thousands)
June 30, 2018
 
July 1, 2017
Contractual coupon interest
$
6,406

 
$
6,406

Amortization of debt issuance costs
146

 
146

Amortization of debt discount, net
268

 
260

Total interest expense related to the 2019 Notes and 2021 Notes
$
6,820

 
$
6,812



2024 Notes

On May 30, 2017, the Company issued the 2024 Notes at a discounted price of 99.887% of par. Interest on the 2024 Notes is payable semi-annually on June 1 and December 1.

The Company received $745.2 million from the issuance of the 2024 Notes, after the debt discount and deduction of debt issuance costs. The debt discounts and issuance costs are amortized to interest expense over the term of the 2024 Notes. As of June 30, 2018, the remaining term of the 2024 Notes is approximately 6.0 years.

In relation to the issuance of the 2024 Notes, the Company entered into interest rate swap contracts with certain independent financial institutions, whereby the Company pays on a semi-annual basis, a variable interest rate equal to the three-month London Interbank Offered Rate (LIBOR) plus 91.43 bps, and receives on a semi-annual basis, interest income at a fixed interest rate of 2.950%. The Company incurred a net interest expense of $851 thousand for the three months ended June 30, 2018 and earned a net interest income of $643 thousand for the three months ended July 1, 2017, from the interest rate swap contracts, which was included in interest and other income (expense), net on the condensed consolidated statements of income. As of June 30, 2018, the fair value of the interest rate swap contracts was $36.4 million, which was recorded in other long-term liabilities.

The following table summarizes the carrying value of the 2024 Notes as of June 30, 2018 and March 31, 2018:

(In thousands)
 
June 30, 2018

March 31, 2018
Principal amount of the 2024 Notes
 
$
750,000


$
750,000

Unamortized discount of the 2024 Notes
 
(727
)

(755
)
Unamortized debt issuance costs associated with 2024 Notes
 
(3,358
)

(3,500
)
Carrying Value of the 2024 Notes
 
$
745,915


$
745,745

Fair value hedge adjustment — interest rate swap contracts
 
(36,416
)

(29,001
)
Net carrying value of the 2024 Notes
 
$
709,499


$
716,744



Interest expense related to the 2024 Notes was included in interest and other income (expense), net on the condensed consolidated statements of income as follows:
 
Three Months Ended
(In thousands)
June 30, 2018

July 1, 2017
Contractual coupon interest (including interest rate swap, net)
$
6,382


$
1,322

Amortization of debt issuance costs
142


47

Amortization of debt discount, net
28


10

Total interest expense related to the 2024 Notes
$
6,552


$
1,379




Revolving Credit Facility

On December 7, 2016, the Company entered into a $400.0 million senior unsecured revolving credit facility that, upon certain conditions, may be extended by an additional $150.0 million, with a syndicate of banks (expiring in December 2021). Borrowings under the credit facility will bear interest at a benchmark rate plus an applicable margin based upon the Company’s credit rating. In connection with the credit facility, the Company is required to maintain certain financial and nonfinancial covenants. As of June 30, 2018, the Company had made no borrowings under this credit facility and was not in violation of any of the covenants.