Debt (Tables)

9 Months Ended

Dec. 31, 2021

Debt obligations included in the condensed consolidated balance sheets consisted of the following (in millions):


	Coupon Interest Rate	Effective Interest Rate	Fair Value of Liability Component at Issuance(1)
					December 31, 2021	March 31, 2021

Revolving Credit Facility						$	1,540.1	$	2,346.6


3.922% 2021 Notes	3.922%	4.5%				—		1,000.0
4.333% 2023 Notes	4.333%	4.7%				1,000.0		1,000.0
2.670% 2023 Notes	2.670%	2.8%				1,000.0		1,000.0
0.972% 2024 Notes	0.972%	1.1%				1,400.0		1,400.0
0.983% 2024 Notes(2)	0.983%	1.1%				1,000.0		—
4.250% 2025 Notes	4.250%	4.6%				1,200.0		1,200.0
Total Senior Indebtedness(3)						7,140.1		7,946.6
Senior Subordinated Convertible Debt - Principal Outstanding
2015 Senior Convertible Debt	1.625%	5.9%	$	30.4		34.4		141.4
2017 Senior Convertible Debt	1.625%	6.0%	$	155.9		193.0		333.3
2020 Senior Convertible Debt	0.125%	5.1%	$	555.5		665.5		665.5
Junior Subordinated Convertible Debt - Principal Outstanding
2017 Junior Convertible Debt	2.250%	7.4%	$	5.4		10.1		122.6

Total Convertible Debt						903.0		1,262.8

Gross long-term debt including current maturities						8,043.1		9,209.4
Less: Debt discount(4)						(146.9)		(273.0)
Less: Debt issuance costs(5)						(27.7)		(32.3)
Net long-term debt including current maturities						7,868.5		8,904.1
Less: Current maturities(6)						—		(1,322.9)
Net long-term debt						$	7,868.5	$	7,581.2

(1) As each of the convertible debt instruments may be settled in cash upon conversion, for accounting purposes, they were bifurcated into a liability component and an equity component. The amount allocated to the equity component is the difference between the principal value of the instrument and the fair value of the liability component at issuance. The resulting debt discount is being amortized to interest expense at the respective effective interest rate over the contractual term of the debt.

(2) The 0.983% 2024 Notes mature on September 1, 2024, and interest is payable semi-annually in arrears on March 1 and September 1 of each year.

(3) The 4.333% 2023 Notes, the 2.670% 2023 Notes, the 0.972% 2024 Notes, the 0.983% 2024 Notes, the 4.250% 2025 Notes, and the Revolving Credit Facility are senior unsecured debt. Prior to the December 16, 2021 amendment, the 4.333% 2023 Notes, the 2.670% 2023 Notes, the 0.972% 2024 Notes, the 0.983% 2024 Notes, and the Revolving Credit Facility were senior secured debt.

(4) The unamortized discount consists of the following (in millions):


	December 31,	March 31,
				2021	2021

3.922% 2021 Notes		$	—		$	(0.3)
4.333% 2023 Notes		(1.6)			(2.4)
2.670% 2023 Notes		(1.6)			(2.3)
0.972% 2024 Notes		(2.8)			(3.8)
0.983% 2024 Notes		(2.5)			—
4.250% 2025 Notes		(10.8)			(12.8)
2015 Senior Convertible Debt		(4.0)			(20.1)
2017 Senior Convertible Debt		(36.9)			(71.3)
2020 Senior Convertible Debt		(82.0)			(101.6)
2017 Junior Convertible Debt		(4.7)			(58.4)
Total unamortized discount		$	(146.9)		$	(273.0)

(5) Debt issuance costs consist of the following (in millions):


	December 31,	March 31,
				2021	2021
Revolving Credit Facility		$	(11.2)		$	(10.0)


3.922% 2021 Notes		—			(0.7)
4.333% 2023 Notes		(3.5)			(5.3)
2.670% 2023 Notes		(0.9)			(1.3)
0.972% 2024 Notes		(1.5)			(2.0)
0.983% 2024 Notes		(1.5)			—
4.250% 2025 Notes		(1.4)			(1.7)
2015 Senior Convertible Debt		(0.1)			(0.7)
2017 Senior Convertible Debt		(0.9)			(1.8)
2020 Senior Convertible Debt		(6.7)			(8.3)
2017 Junior Convertible Debt		—			(0.5)
Total debt issuance costs		$	(27.7)		$	(32.3)

(6) As of March 31, 2021, current maturities consisted of the liability component of the 2017 Senior Convertible Debt and the 2017 Junior Convertible Debt, and the 3.922% 2021 Notes which were due June 1, 2021.

Schedule of Maturities of Long-term Debt

Expected maturities relating to the Company’s debt obligations as of December 31, 2021 are as follows (in millions):


Fiscal year ending March 31,	Expected Maturities
2022	$	—
2023	—
2024	3,400.0
2025	1,700.0
2026	1,200.0
Thereafter	1,743.1
Total	$	8,043.1

Convertible Debt

The following table sets forth the applicable conversion rates adjusted for dividends declared since issuance of such series of Convertible Debt and the applicable incremental share factors and maximum conversion rates as adjusted for dividends paid since the applicable issuance date:


	Dividend adjusted rates as of December 31, 2021
	Conversion Rate	Approximate Conversion Price		Incremental Share Factor	Maximum Conversion Rate
2015 Senior Convertible Debt(1)	33.3270	$	30.01	16.6635	46.6576
2017 Senior Convertible Debt(1)	21.3712	$	46.79	10.6856	30.4540
2020 Senior Convertible Debt(1)	10.7188	$	93.29	—	15.0062
2017 Junior Convertible Debt(1)	21.7529	$	45.97	10.8766	30.4540

(1) As of December 31, 2021, the 2020 Senior Convertible Debt was not convertible. As of December 31, 2021, the holders of each of the 2015 Senior Convertible Debt, 2017 Senior Convertible Debt, and 2017 Junior Convertible Debt have the right to convert their notes between January 1, 2022 and March 31, 2022 because the Company's common stock price has exceeded the applicable conversion price for such series by 130% for the specified period of time during the quarter ended December 31, 2021. As of December 31, 2021, the adjusted conversion rate for the 2015 Senior Convertible Debt, 2017 Senior Convertible Debt, and 2017 Junior Convertible Debt would be increased to 44.2473 shares of common stock, 26.3137 shares of common stock, and 26.8863 shares of common stock, respectively, per $1,000 principal amount of notes based on the closing price of $87.06 per share of common stock to include an additional maximum incremental share rate per the terms of the applicable indenture. As of December 31, 2021, each of the 2015 Senior Convertible Debt, 2017 Senior Convertible Debt, and 2017 Junior Convertible Debt had a conversion value in excess of par of $98.2 million, $249.2 million, and $13.6 million, respectively.

Schedule of Interest Expense

Interest expense consists of the following (in millions):


	Three Months Ended December 31,	Nine Months Ended December 31,
		2021		2020		2021		2020
Debt issuance cost amortization		$	2.2	$	3.7	$	7.4	$	11.5
Debt discount amortization		1.7		1.6		5.3		4.7
Interest expense		45.3		59.2		144.9		171.3
Total interest expense on Senior Indebtedness		49.2		64.5		157.6		187.5
Debt issuance cost amortization		0.6		0.5		1.8		1.7
Debt discount amortization		9.0		12.8		29.6		52.8
Coupon interest expense		1.5		7.8		6.5		33.9
Total interest expense on Convertible Debt		11.1		21.1		37.9		88.4
Other interest expense		1.8		0.9		3.7		3.0
Total interest expense		$	62.1	$	86.5	$	199.2	$	278.9

Schedule of Settlement Transactions

The Company's settlement transactions in the nine months ended December 31, 2021 consist of the following (in millions)(1):


	Principal Amount Settled		Consideration				Fair Value Settled(2)	Equity Component(2)		Net Loss on Inducements and Settlements
			Cash Paid		Value of Shares Issued							Total
December 2021
2015 Senior Convertible Debt(3)	$	36.6	$	36.6	$	103.9		$	140.5	$	36.2		$	104.2	$	4.1
2017 Senior Convertible Debt(3)	$	39.7	$	39.7	$	61.4		$	101.1	$	37.4		$	63.0	$	6.3
2017 Junior Convertible Debt(3)	$	19.9	$	19.9	$	31.6		$	51.5	$	15.7		$	35.9	$	5.1
Revolving Credit Facility(4)	$	—	$	—	$	—		$	—	$	—		$	—	$	0.6
August 2021(5)
2015 Senior Convertible Debt	$	70.4	$	70.4	$	159.9		$	230.3	$	71.0		$	158.9	$	10.6
2017 Senior Convertible Debt	$	100.7	$	100.7	$	123.5		$	224.2	$	100.0		$	113.0	$	31.5
2017 Junior Convertible Debt	$	92.5	$	92.5	$	115.8		$	208.3	$	87.7		$	116.6	$	43.1
June 2021(6)
3.922% 2021 Notes	$	1,000.0	$	1,000.0	$	—		$	1,000.0	$	—		$	—	$	0.3

(1) The Company settled portions of its convertible debt in privately negotiated transactions that are accounted for as induced conversions.

(2) The total consideration for the convertible debt settlements was allocated to the liability and equity components using the equivalent rate that reflected the borrowing rate for a similar non-convertible debt instrument prior to the settlement.

(3) The Company used cash generated from operations to finance a portion of such settlement.

(4) In connection with the amendment and restatement of its Credit Agreement, the Company recognized a loss on settlement of debt of $0.6 million.

(5) The Company used borrowings under its Revolving Credit Facility to finance a portion of such settlement.

(6) The Company used proceeds from the issuance of the 0.983% 2024 Notes to finance a portion of such settlement.