Borrowings Under Lines of Credit Arrangements and Related Items

12 Months Ended

Dec. 31, 2017

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

At December 31, 2017, we had a primary unsecured credit facility with a consortium of 29 banks that includes a $3,000,000,000 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, through an accordion feature, 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, in the aggregate, and the $250,000,000 Canadian-denominated unsecured term credit facility by up to an additional $250,000,000. The primary unsecured credit facility also allows us to borrow up to $1,000,000,000 in alternate currencies (none outstanding at December 31, 2017). Borrowings under the unsecured revolving credit facility are subject to interest payable at the applicable margin over LIBOR interest rate (2.46% at December 31, 2017). The applicable margin is based on certain of our debt ratings and was 0.90% at December 31, 2017. In addition, we pay a facility fee quarterly to each bank based on the bank’s commitment amount. The facility fee depends on certain of our debt ratings and was 0.15% at December 31, 2017. The term credit facilities mature on May 13, 2021. The revolving credit facility is scheduled to mature on May 13, 2020 and can be extended for two successive terms of six months each at our option.

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


		Year Ended December 31,
		2017		2016		2015
Balance outstanding at year end⁽¹⁾		$	719,000	$	645,000	$	835,000
Maximum amount outstanding at any month end		$	1,010,000	$	1,560,000	$	835,000
Average amount outstanding (total of daily
	principal balances divided by days in period)	$	597,422	$	762,896	$	452,644
Weighted-average interest rate (actual interest
	expense divided by average borrowings outstanding)		2.02%		1.39%		1.17%

(1) As of December 31, 2017, letters of credit in the aggregate amount of $22,365,000 have been issued, which reduce the available borrowing capacity on our primary unsecured revolving credit facility.