Note 7. Long-Term Debt

Long-term debt consists of the following (in thousands):

	2012			2011

$1.1 billion unsecured revolving credit facility, LIBOR plus 1.75%, currently 1.96% and a facility fee of 0.3675%, due 2016	$	48,000		$	523,000
$525.0 million unsecured revolving credit facility, LIBOR plus 2.50%, currently 2.71% and a facility fee of 0.625%, due 2014		12,000			67,000
Unsecured senior notes and senior debentures, 5.25% to 11.88%, due 2013 through 2016, 2018, 2022 and 2027		2,698,531			2,059,510
€745.0 million unsecured senior notes, 5.63%, due 2014		1,004,940			1,356,312
Unsecured term loans, LIBOR plus 2.75%, due 2013		—			100,000
$225 million unsecured term loan, LIBOR plus 1.25%, due 2012		—			32,085
$570 million unsecured term loan, 4.02%, due through 2013		40,714			122,143
$589 million unsecured term loan, 4.39%, due through 2014		126,214			210,358
$530 million unsecured term loan, LIBOR plus 0.62%, currently 1.21%, due through 2015		189,286			265,000
$519 million unsecured term loan, LIBOR plus 0.45%, currently 1.01%, due through 2020		346,097			389,360
$420 million unsecured term loan, 5.41%, due through 2021⁽¹⁾		318,230			348,142
$420 million unsecured term loan, LIBOR plus 2.10%, currently 2.65%, due through 2021⁽¹⁾		315,000			350,000
€159.4 million unsecured term loan, EURIBOR plus 1.58%, currently 1.98%, due through 2021⁽¹⁾		157,643			172,463
$524.5 million unsecured term loan, LIBOR plus 0.50%, currently 1.23%, due through 2021		393,375			437,083
$566.1 million unsecured term loan, LIBOR plus 0.37%, currently 0.97%, due through 2022		448,138			495,311
$1.1 billion unsecured term loan, LIBOR plus 2.10%, currently 2.65%, due through 2022⁽²⁾		767,754			844,529
$632.0 million unsecured term loan, LIBOR plus 0.40%, currently 1.13%, due through 2023		579,295			631,959
$673.5 million unsecured term loan, LIBOR plus 0.40%, currently 1.03%, due through 2024		673,474			—
$290.0 million unsecured term loan, LIBOR plus 2.5%, currently 2.72%, due through 2016		290,000			—
$7.3 million unsecured term loan, LIBOR plus 2.5%, currently 2.81%, due through 2023		5,867			6,343
$30.3 million unsecured term loan, LIBOR plus 3.75%, currently 4.06%, due through 2021		22,458			25,173
Capital lease obligations		52,931			60,082

		8,489,947			8,495,853
Less—current portion		(1,519,483	)		(638,891	)

Long-term portion	$	6,970,464		$	7,856,962

(1): Corresponds to Oasis of the Seas unsecured term loan. With respect to 60% of the financing, the lenders have the ability to exit the facility in October 2015.
(2): Corresponds to Allure of the Seas unsecured term loan. With respect to 100% of the financing, the lenders have the ability to exit the facility in October 2017.

During 2012, the credit facility we obtained in connection with our purchase of Celebrity Solstice was assigned from Celebrity Solstice Inc., our subsidiary which owns the ship, to Royal Caribbean Cruises Ltd. Similar assignments were simultaneously made from the ship-owning subsidiary level to Royal Caribbean Cruises Ltd. for the facilities relating to Celebrity Equinox, Celebrity Eclipse, Celebrity Silhouette, Celebrity Reflection, Oasis of the Seas and Allure of the Seas. Other than the change in borrower, the economic terms of these facilities remain unchanged. These amended facilities each contain covenants substantially similar to the covenants in our other parent-level ship financing agreements and our revolving credit facilities.

During 2012, we entered into a credit agreement which provides an unsecured Euro-denominated term loan facility in an amount up to €365.0 million, or approximately $481.2 million based on the exchange rate at December 31, 2012. We have the ability to draw on this facility at anytime on or prior to June 30, 2013. As of February 25, 2013, we have not drawn on this facility. All amounts borrowed under the facility will be due and payable at maturity in July 2017. Interest on the loan accrues at a floating rate based on EURIBOR plus the applicable margin. The applicable margin varies with our debt rating and would have been 3.0% as of December 31, 2012. In addition, we are subject to a commitment fee of 1.05% per annum of the undrawn amount. We anticipate the proceeds from this loan facility will be used primarily as part of our refinancing strategy for our maturities in 2013 and 2014. In connection with entering into this facility, we prepaid our $100.0 million unsecured floating rate term loan due September 2013.

During 2012, we borrowed $290.0 million under an unsecured term loan. All amounts borrowed under the facility will be due and payable at maturity in February 2016. Interest on the loan accrues at a floating rate based on LIBOR plus the applicable margin. The applicable margin varies with our debt rating and was 2.5% as of December 31, 2012. The proceeds of this loan were used to reduce outstanding balances on our revolving credit facilities.

During 2012, we repurchased €255.0 million or approximately $328.0 million in aggregate principal amount of our €1.0 billion 5.625% unsecured senior notes due 2014 through a debt tender offer conducted outside of the United States. Total consideration paid in connection with the tender offer, including premium and related fees and expenses was $344.6 million. The repurchase of the unsecured senior notes resulted in a loss on the early extinguishment of debt of approximately $7.5 million which was recognized in earnings immediately and is reported within extinguishment of unsecured senior notes in our consolidated statements of comprehensive income (loss).

During 2012, we took delivery of Celebrity Reflection. To finance the purchase, we borrowed $673.5 million under our previously committed unsecured term loan which is 95% guaranteed by Hermes. The loan amortizes semi-annually over 12 years and bears interest at LIBOR plus a margin of 0.40%, currently approximately 1.03%. In addition during 2011, we entered into forward-starting interest rate swap agreements which effectively convert the floating rate available to us per the credit agreement to a fixed rate (including applicable margin) of 2.85% effective April 2013 through the remaining term of the loan. See Note 13. Fair Value Measurements and Derivative Instruments for further information regarding these agreements.

In November 2012, we issued $650.0 million of 5.25% unsecured senior notes due 2022 at par. The net proceeds from the offering were used to repay amounts outstanding under our unsecured revolving credit facilities. The issuance of these notes was part of our refinancing strategy for our maturities in 2013 and 2014.

During 2012, we increased the capacity of our revolving credit facility due July 2016 by $233.0 million, bringing our total capacity under this facility to $1.1 billion as of December 31, 2012. We have the ability to increase the capacity of this facility by an additional $67.0 million subject to the receipt of additional or increased lender commitments. We also have a revolving credit facility due November 2014 with capacity of $525.0 million as of December 31, 2012, giving us aggregate revolving borrowing capacity of $1.6 billion.

Certain of our unsecured ship financing term loans are guaranteed by the export credit agency in the respective country in which the ship is constructed. In consideration for these guarantees, depending on the financing arrangement, we pay to the applicable export credit agency fees that range from either (1) 0.88% to 1.48% per annum based on the outstanding loan balance semi-annually over the term of the loan (subject to adjustment in certain of our facilities based upon our credit ratings) or (2) an upfront fee of approximately 2.3% to 2.37% of the maximum loan amount. We amortize the fees that are paid upfront over the life of the loan and those that are paid semi-annually over each respective payment period. We classify these fees within Debt issuance costs in our consolidated statements of cash flows and within Other Assets in our consolidated balance sheets.

Under certain of our agreements, the contractual interest rate, facility fee and/or export credit agency fee vary with our debt rating.

The unsecured senior notes and senior debentures are not redeemable prior to maturity, except that certain series may be redeemed upon the payment of a make-whole premium.

Following is a schedule of annual maturities on long-term debt including capital leases as of December 31, 2012 for each of the next five years (in thousands):

Year

2013	$	1,519,483
2014		1,549,057
2015		1,063,539
2016		1,102,119
2017		744,174
Thereafter		2,511,575

	$	8,489,947