Credit Facilities

6 Months Ended

Jun. 30, 2019

On May 14, 2019, we entered into new five-year, unsecured revolving credit facilities with Wells Fargo Bank, N.A. and BMO Harris Bank N.A., replacing the previous credit facilities with both lenders. We replaced our previous $100.0 million credit facility and $75.0 million term commitment with Wells Fargo Bank, N.A. with a $300.0 million credit facility which will expire on May 14, 2024. Also on May 14, 2019, we replaced our previous $75.0 million credit facility with BMO Harris Bank N.A. with a $200.0 million credit facility which will expire on May 14, 2024. We also have an unsecured line of credit of $75.0 million with U.S. Bank, N.A., which will expire on July 13, 2020. Borrowings under these credit facilities bear variable interest based on the London Interbank Offered Rate (“LIBOR”).

As of June 30, 2019 and December 31, 2018, our outstanding debt totaled $390.0 million and $125.0 million, respectively. We had $315.0 million outstanding under the credit facilities at a weighted average variable interest rate of 3.07% as of June 30, 2019, and we had an additional $75.0 million outstanding under the Wells Fargo Bank, N.A. credit facility at a variable rate of 2.99% as of June 30, 2019, which is effectively fixed at 2.5% with an interest rate swap agreement through September 15, 2019. On July 2, 2019, we (i) terminated our previous $75.0 million interest rate swap agreement with Wells Fargo Bank, N.A., (ii) entered into a $75.0 million interest rate swap agreement with Wells Fargo Bank, N.A., that effectively fixes our interest rate at 2.32% through May 14, 2024, and (iii) entered into a $75.0 million interest rate swap agreement with BMO Harris Bank N.A. that effectively fixes our interest rate at 2.36% through May 14, 2024. The $575.0 million of borrowing capacity under our credit facilities at June 30, 2019, is further reduced by $30.0 million in stand-by letters of credit under which we are obligated. Each of the debt agreements includes, among other things, financial covenants requiring us (i) to exceed a minimum ratio of earnings before interest, income taxes, depreciation and amortization to interest expense and/or (ii) not to exceed a maximum ratio of total funded debt to earnings before interest, income taxes, depreciation and amortization (as such terms are defined in each credit facility). At June 30, 2019, we were in compliance with these covenants.

At June 30, 2019, the aggregate future maturities of long-term debt by year are as follows (in thousands):



2019	$	—
2020	75,000
2021	—
2022	—
2023	—
2024	315,000
Total	$	390,000

The carrying amounts of our long-term debt approximate fair value due to the duration of the notes and the variable interest rates.