Borrowings Under Lines of Credit Arrangements and Related Items

12 Months Ended

Dec. 31, 2014

Borrowings Under Line of Credit Arrangement and Related Items [Abstract]

Borrowings Under Lines of Credit Arrangements and Related Items

9. Borrowings Under Credit Facilities and Related Items

On July 25, 2014, we closed on a new primary unsecured credit facility with a consortium of 28 banks that includes a $2,500,000,000 unsecured revolving credit facility, a $500,000,000 unsecured term credit facility and a $250,000,000 Canadian-denominated unsecured term credit facility. We have an option to upsize the unsecured revolving credit facility and the $500,000,000 unsecured term credit facility by up to an additional $1,000,000,000 and the $250,000,000 Canadian-denominated unsecured term credit facility by up to an additional $250,000,000 through an accordion feature. The primary unsecured credit facility also allows us to borrow up to $500,000,000 in alternative currencies (none outstanding at December 31, 2014). Borrowings under the unsecured revolving credit facility are subject to interest payable at the applicable margin over LIBOR interest rate (1.22% at December 31, 2014). The applicable margin is based on certain of our debt ratings and was 1.150% at December 31, 2014. In addition, we pay a facility fee quarterly to each bank based on the bank’s respective commitment amount. The facility fee depends on certain of our debt ratings and was 0.200% at December 31, 2014. The primary unsecured credit facility provides us with additional borrowing capacity and extends the agreement to October 31, 2018. It can be extended for an additional year at our option.

The following information relates to aggregate borrowings under our primary unsecured credit facility for the periods presented (dollars in thousands):


		Year Ended December 31,
		2014		2013		2012
Balance outstanding at year end⁽¹⁾		$	-	$	130,000	$	-
Maximum amount outstanding at any month end		$	637,000	$	1,019,050	$	897,000
Average amount outstanding (total of daily
	principal balances divided by days in period)	$	207,452	$	488,842	$	191,378
Weighted-average interest rate (actual interest
	expense divided by average borrowings outstanding)		1.50%		1.45%		1.80%


(1) As of December 31, 2014, letters of credit in the aggregate amount of $71,276,000 have been issued which reduce the available borrowing capacity on the primary unsecured credit facility.