Long-term Debt

The Company's long-term debt consists of the following:



	March 31, 2012		December 31, 2011
	(dollars in thousands)
U.S. bank debt and receivables facility	$	247,310	$	223,870
Non-U.S. bank debt and other	5,810		140
9 ³/₄% senior secured notes, due December 2017	246,020		245,890
	499,140		469,900
Less: Current maturities, long-term debt	12,980		7,290
Long-term debt	$	486,160	$	462,610

U.S. Bank Debt

The Company is a party to a credit facility consisting of a $125.0 million revolving credit facility, which matures in June 2016 and is subject to interest at London Interbank Offered Rates ("LIBOR") plus 3.25%, and a $225.0 million term loan facility, which matures in June 2017 and is subject to interest at LIBOR plus 3.00% (subject to a 1.25% LIBOR floor) (collectively, the "Credit Agreement").

Under the Credit Agreement, the Company may be required to prepay a portion of its term loan under an excess cash flow sweep provision, as defined, with the amount of such prepayment based on the Company's leverage ratio, as defined. At March 31, 2012 , $5.0 million was included in current maturities of long-term debt under this provision. The Company is also able to issue letters of credit, not to exceed $50.0 million in aggregate, against its revolving credit facility commitments. At March 31, 2012 and December 31, 2011, the Company had letters of credit of approximately $23.3 million and $23.9 million, respectively, issued and outstanding.

At March 31, 2012 and December 31, 2011, the Company had no amounts outstanding under its revolving credit facilities and had $101.7 million and $101.1 million, respectively, potentially available after giving effect to approximately $23.3 million and $23.9 million, respectively, of letters of credit issued and outstanding. However, including availability under its accounts receivable facility and after consideration of leverage restrictions contained in the Credit Agreement, the Company had $150.3 million and $158.8 million, respectively, of borrowing capacity available to it for general corporate purposes.

The bank debt is an obligation of the Company and certain of its subsidiaries. Although the terms of the Credit Agreement do not restrict the Company's subsidiaries from making distributions to it in respect of its 9³/4% senior secured notes, it does contain certain other limitations on the distribution of funds from TriMas Company LLC, the Company's principal subsidiary. The restricted net assets of the guarantor subsidiaries of approximately $445.5 million and $412.8 million at March 31, 2012 and December 31, 2011, respectively, are presented in Note 15, "Supplemental Guarantor Condensed Consolidating Financial Information." The Credit Agreement also contains various negative and affirmative covenants and other requirements affecting the Company and its subsidiaries. The Company was in compliance with its covenants at March 31, 2012.

The Company's term loan facility traded at approximately 99.8% and 99.0% of par value as of March 31, 2012 and December 31, 2011, respectively, and was valued based on Level 2 inputs as defined in the fair value hierarchy.

Non-U.S. Bank Debt

In Australia, the Company's subsidiary is party to a debt agreement which matures on May 31, 2012 and is secured by substantially all the assets of the subsidiary. At March 31, 2012, the balance outstanding under this agreement was approximately $5.7 million at an average interest rate of 6.2%. At December 31, 2011, the Company's subsidiary had no amounts outstanding under this debt agreement.

Notes

The Company's 9³/4% senior secured notes due 2017 ("Senior Notes") indenture contains negative and affirmative covenants and other requirements that are comparable to those contained in the Credit Agreement. At March 31, 2012, the Company was in compliance with all such covenant requirements.

The Company's Senior Notes traded at approximately 109.5% and 108.5% of par value as of March 31, 2012 and December 31, 2011, respectively, and was valued based on Level 2 inputs as defined in the fair value hierarchy.

Receivables Facility

The Company is a party to an accounts receivable facility through TSPC, Inc. ("TSPC"), a wholly-owned subsidiary, to sell trade accounts receivable of substantially all of the Company's domestic business operations. Under this facility, TSPC, from time to time, may sell an undivided fractional ownership interest in the pool of receivables up to approximately $90.0 million to a third party multi-seller receivables funding company. The net amount financed under the facility is less than the face amount of accounts receivable by an amount that approximates the purchaser's financing costs. The cost of funds under this facility consisted of a 3-month LIBOR-based rate plus a usage fee of 1.50% and 3.00% as of March 31, 2012 and 2011, respectively, and a fee on the unused portion of the facility of 0.45% and 0.75% as of March 31, 2012 and 2011, respectively.

The Company had $24.0 million outstanding under the facility as of March 31, 2012 and had $48.6 million available but not utilized. The Company had no amounts outstanding under the facility as of December 31, 2011 and $57.6 million available but not utilized. Aggregate costs incurred under the facility were $0.2 million and $0.4 million for the three months ended March 31, 2012 and 2011, respectively, and are included in interest expense in the accompanying consolidated statement of operations. The facility expires on September 15, 2015.

The cost of funds fees incurred are determined by calculating the estimated present value of the receivables sold compared to their carrying amount. The estimated present value factor is based on historical collection experience and a discount rate based on a 3-month LIBOR-based rate plus the usage fee discussed above and is computed in accordance with the terms of the securitization agreement. As of March 31, 2012, the costs of funds under the facility was based on an average liquidation period of the portfolio of approximately 1.6 months and an average discount rate of 1.7%.