Debt

The Company is party to borrowing arrangements with a syndicate of banks. See Note 10 in the Company’s 2011 Form 10-K for a complete description of these arrangements. Total borrowing capacity for the Company under all lines of credit is currently at $878.1 million, including $28.1 million non-recourse debt of The Andersons Denison Ethanol LLC ("TADE") discussed below. At September 30, 2012, the Company had a total of $517.4 million available for borrowing under its lines of credit.

Borrowings on the short-term line of credit increased to $275.5 million at September 30, 2012 due to margin calls on commodity contracts as a result of rising commodity prices. The Company drew $55 million on the long-term syndicate line in the second quarter. In the third quarter, a portion of this balance was paid down and replaced by a $19.3 million loan with a fixed interest rate of 3.29%, secured by rail assets, due September 22, 2022. The long-term portion of the syndicate line can be drawn on and the resulting debt considered long-term when used for long-term purposes such as replacing long-term debt that is maturing, funding the purchase of long-term assets, or increasing permanent working capital when needed. The expectation at the time of drawing is that it will be kept open until more permanent replacement debt is secured, until other long-term assets are sold, or earnings are generated to pay it down.

TADE, a consolidated subsidiary of the Company, is party to borrowing arrangements with a syndicate of financial institutions which provide a $13 million short-term line of credit, a $15.1 million long-term line of credit, and a $12.4 million term loan. TADE had standby letters of credit outstanding of $0.8 million at September 30, 2012, which reduces the amount available on the lines of credit. As of September 30, 2012, $0.5 million in borrowings were outstanding on the short-term line of credit, $15.1 million in borrowings were outstanding on the long-term line of credit and $12.4 million in borrowings were outstanding on the term loan. Borrowings under the lines of credit and the term loan bear interest at variable interest rates, which are based off LIBOR plus an applicable spread. The maturity date for the short-term line of credit is June 1, 2013, January 20, 2022 for the long-term line of credit and January 1, 2017 for the term loan. TADE was in compliance with all financial and non-financial covenants as of September 30, 2012, including but not limited to minimum working capital and net worth. TADE debt is collateralized by the mortgage on the ethanol facility and related equipment or other assets and is not guaranteed by the Company.

The Company’s short-term and long-term debt at September 30, 2012, December 31, 2011 and September 30, 2011 consisted of the following:



(in thousands)	September 30, 2012		December 31, 2011		September 30, 2011
Borrowings under short-term line of credit - nonrecourse	$	522	$	—	$	—
Borrowings under short-term line of credit - recourse	275,000		71,500		105,000
Total borrowings under short-term line of credit	$	275,522	$	71,500	$	105,000
Current maturities of long -term debt – nonrecourse	$	1,716	$	157	$	2,806
Current maturities of long-term debt – recourse	30,939		32,051		42,365
Total current maturities of long-term debt	$	32,655	$	32,208	$	45,171
Long-term debt, less current maturities – nonrecourse	$	25,686	$	797	$	6,971
Long-term debt, less current maturities – recourse	286,718		238,088		228,758
Total long-term debt, less current maturities	$	312,404	$	238,885	$	235,729