Long-Term Debt (Tables)

3 Months Ended

Mar. 31, 2018

Scheduled maturities of long-term debt outstanding

Scheduled maturities of our long-term debt outstanding as of March 31, 2018 are as follows (in thousands):



	Term Loan ⁽¹⁾			2022 Notes			2023 Notes			2032 Notes ⁽²⁾			MARAD Debt			Nordea Q5000 Loan			Total

Less than one year	$	3,276		$	—		$	—		$	809		$	6,693		$	35,714		$	46,492
One to two years	5,147			—			—			—			7,027			35,714			47,888
Two to three years	27,609			—			—			—			7,378			80,357			115,344
Three to four years	—			—			—			—			7,746			—			7,746
Four to five years	—			125,000			—			—			8,133			—			133,133
Over five years	—			—			125,000			—			36,797			—			161,797
Total debt	36,032			125,000			125,000			809			73,774			151,785			512,400
Current maturities	(3,276		)	—			—			(809		)	(6,693		)	(35,714		)	(46,492		)
Long-term debt, less current maturities	32,756			125,000			125,000			—			67,081			116,071			465,908
Unamortized debt discount ⁽³⁾	—			(13,188		)	(19,989		)	—			—			—			(33,177		)
Unamortized debt issuance costs ⁽⁴⁾	(559		)	(2,162		)	(3,148		)	—			(4,391		)	(1,593		)	(11,853		)
Long-term debt	$	32,197		$	109,650		$	101,863		$	—		$	62,690		$	114,478		$	420,878


(1)	Term Loan borrowing pursuant to the Credit Agreement (amended and restated in June 2017) matures in June 2020. Scheduled maturities of the Term Loan have been adjusted to reflect prepayments made in March 2018.


(2)	Our Convertible Senior Notes due 2032 (the “2032 Notes”) that were not repurchased in March 2018 will be redeemed by us on May 4, 2018 and the holders of these notes may convert them at any time before the close of business on May 3, 2018. We have elected to deliver cash to satisfy our conversion obligation upon any conversion of the notes.


(3)	Our Convertible Senior Notes due 2022 (the “2022 Notes”) will increase to their face amount through accretion of the debt discount through May 2022. Our Convertible Senior Notes due 2023 (the “2023 Notes”) will increase to their face amount through accretion of the debt discount through September 2023.


(4)	Debt issuance costs are amortized to interest expense over the term of the applicable debt agreement.

Schedule of debt covenants

These financial covenant requirements are detailed as follows:


(a)	The minimum required Consolidated Interest Coverage Ratio:



Four Fiscal Quarters Ending	Minimum Consolidated Interest Coverage Ratio

March 31, 2018 and each fiscal quarter thereafter	2.50	to 1.00


(b)	The maximum permitted Consolidated Total Leverage Ratio or Consolidated Net Leverage Ratio:



Four Fiscal Quarters Ending	Maximum Consolidated Total or Net Leverage Ratio

March 31, 2018	5.50	to 1.00
June 30, 2018	5.25	to 1.00
September 30, 2018	5.00	to 1.00
December 31, 2018 through and including March 31, 2019	4.50	to 1.00
June 30, 2019 through and including September 30, 2019	4.25	to 1.00
December 31, 2019	4.00	to 1.00
March 31, 2020 and each fiscal quarter thereafter	3.50	to 1.00


(c)	The maximum permitted Consolidated Secured Leverage Ratio:



Four Fiscal Quarters Ending	Maximum Consolidated Secured Leverage Ratio

March 31, 2018 through and including June 30, 2018	3.00	to 1.00
September 30, 2018 and each fiscal quarter thereafter	2.50	to 1.00


(d)	The minimum required Unrestricted Cash and Cash Equivalents:



Consolidated Total Leverage Ratio	Minimum Cash ⁽¹⁾

Greater than or equal to 4.00 to 1.00	$100,000,000
Greater than or equal to 3.50 to 1.00 but less than 4.00 to 1.00	$50,000,000
Less than 3.50 to 1.00	$0

(1)

This minimum cash balance is not required to be maintained in any particular bank account or to be segregated from other cash balances in bank accounts that we use in our ordinary course of business. Because the use of this cash is not legally restricted notwithstanding this maintenance covenant, we present it on our balance sheet as cash and cash equivalents. As of March 31, 2018, we were required to, and did, maintain an aggregate cash balance of at least $100 million in compliance with this covenant.

Components of net interest expense

The following table details the components of our net interest expense (in thousands):



	Three Months Ended March 31,
	2018			2017

Interest expense	$	8,299		$	10,240
Interest income	(590		)	(346		)
Capitalized interest	(3,813		)	(4,668		)
Net interest expense	$	3,896		$	5,226