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FINANCING ARRANGEMENTS
 9 Months Ended
Sep. 30, 2021
Debt Disclosure [Abstract]  
FINANCING ARRANGEMENTS FINANCING ARRANGEMENTS
The following table is a summary of the Company’s financing arrangements (in thousands):
Current Debt:September 30, 2021December 31, 2020
Secured senior term loans$7,535 $7,535 
Long-Term Debt:
Secured senior term loans due June 30, 2024 ("2024 Term Loans")$713,975 $719,626 
Unsecured senior notes, at 4.875%, due July 15, 2027 ("2027 Notes")
545,000 545,000 
Unsecured senior notes, at 5.125%, due July 15, 2029 ("2029 Notes")
300,000 300,000 
Long-term debt, at par$1,558,975 $1,564,626 
Unamortized debt issuance costs and premium, net(12,691)(14,985)
Long-term debt, at carrying value$1,546,284 $1,549,641 
Financing Activities
As of September 30, 2021 and December 31, 2020, the estimated fair value of the Company’s outstanding long-term debt, including the current portion, was $1.6 billion. The Company’s estimates of fair value of its long-term debt, including the current portion, are based on quoted market prices or other available market data which are considered Level 2 measures according to the fair value hierarchy. Level 2 utilizes quoted market prices in markets that are not active, broker or dealer quotations or alternative pricing sources with reasonable levels of price transparency for similar assets and liabilities.
The Company maintains a $400.0 million revolving credit facility under which the Company had no outstanding loan balances as of September 30, 2021 and December 31, 2020. As of September 30, 2021, the Company had $288.5 million available to borrow under the revolving credit facility and outstanding letters of credit were $111.5 million. This credit facility will expire in October 2025.
On October 8, 2021, the Company, and substantially all of the Company’s domestic subsidiaries as guarantors, entered into Incremental Facility Amendment No. 2 to the Company’s existing Credit Agreement dated as of June 30, 2017 (the “Term Loan Agreement”). Incremental Facility Amendment No. 2 provides for a new class and series of Term Loans (the “2028 Term Loans”) in the aggregate principal amount of $1.0 billion. Proceeds from the issuance of the 2028 Term Loans were $983.0 million, after debt discount and debt issuance costs and were used to fund the acquisition of HydroChemPSC on October 8, 2021. The 2028 Term Loans are in addition to the aggregate of $721.5 million of 2024 Term Loans which were at September 30, 2021 and are also outstanding under the Term Loan Agreement and which will mature on June 30, 2024. The 2028 Term Loans will mature on October 8, 2028, and may be prepaid at any time without premium or penalty other than customary breakage costs with respect to Eurodollar based loans or if the Company engages in certain repricing transactions before May 9, 2022, in which event a 1.0% prepayment premium would be due. The Company’s obligations under the Term Loan Agreement with respect to both the 2024 Term Loans and the 2028 Term Loans are guaranteed by all of the Company’s domestic restricted subsidiaries and secured by liens on substantially all of the assets of the Company and the guarantors.

The 2028 Term Loans under the Term Loan Agreement bear interest, at the Company’s election, at either of the following rates: (a) the sum of the Eurodollar Rate (as defined in the Term Loan Agreement) plus 2.00%, or (b) the sum of the Base Rate (as defined in the Term Loan Agreement) plus 1.00%, with the Eurodollar Rate being subject to a floor of 0.00% and the Base Rate being subject to a floor of 1.00%.

Cash Flow Hedges
The Company’s strategy to hedge against fluctuations in variable interest rates involves entering into interest rate derivative agreements. Although the interest rates on the 2024 Term Loans and the 2028 Term Loans are variable, the Company has effectively fixed the interest rate on $350.0 million aggregate principal amount of the 2024 Term Loans outstanding by entering into interest rate swap agreements in 2018 with a notional amount of $350.0 million. Under the terms of the interest rate swap agreements, the Company receives interest based on the one-month LIBOR index and pays interest at a weighted average annual interest rate of 2.92%, resulting in an effective annual interest rate of 4.67%. The interest rate swap agreements terminate in 2024.
The Company recognizes derivative instruments as either assets or liabilities on the balance sheet at fair value. No ineffectiveness has been identified on these swaps and, therefore, all unrealized changes in fair value are recorded in accumulated other comprehensive loss. Amounts are reclassified from accumulated other comprehensive loss into interest expense on the statement of operations in the same period or periods during which the hedged transaction affects earnings.
As of September 30, 2021 and December 31, 2020, the Company has recorded a derivative liability with a fair value of $23.5 million and $33.6 million, respectively, within accrued expenses and other current liabilities in connection with these cash flow hedges.
The fair value of the interest rate swaps is calculated using discounted cash flow valuation methodologies based upon the one-month LIBOR yield curves that are observable at commonly quoted intervals for the full term of the interest rate swaps and as such is considered a Level 2 measure according to the fair value hierarchy.