LONG-TERM DEBT AND FINANCING ARRANGEMENTS (Tables)

12 Months Ended

Dec. 31, 2014

LONG-TERM DEBT AND FINANCING ARRANGEMENTS

Long-term debt consisted of a Term Loan under the Credit Agreement (further described in Financing Arrangements within this Note) and notes payable and capital lease obligations related to the financing of revenue equipment (tractors and trailers used primarily in ABF Freight’s operations), real estate, and certain other equipment as follows:

	December 31
	2014		2013
	(in thousands)

Term Loan (interest rate of 1.4% at December 31, 2014)	$	70,000	$	83,750
Notes payable (weighted-average interest rate of 2.0% at December 31, 2014)	56,759		22,082
Capital lease obligations (weighted-average interest rate of 5.8% at December 31, 2014)	971		7,013
	127,730		112,845
Less current portion	25,256		31,513
Long-term debt, less current portion	$	102,474	$	81,332

Scheduled maturities of long-term debt obligations

Scheduled maturities under the Credit Facility (further described in Financing Arrangements within this Note) and notes payable and future minimum payments under capital lease obligations included in long-term debt as of December 31, 2014 were as follows:

					Notes Payable		Capital Lease Obligations(2)
			Credit		Revenue		Land and		Equipment
	Total		Facility(1)		Equipment		Structures		and Other
	(in thousands)

2015	$	27,300	$	1,124	$	25,959	$	206	$	11
2016	20,899		1,727		18,959		213		—
2017	15,699		2,223		13,257		219		—
2018	2,607		2,381		—		226		—
2019	2,732		2,500		—		232		—
Thereafter	70,019		70,000		—		19		—
Total payments	139,256		79,955		58,175		1,115		11
Less amounts representing interest	11,526		9,955		1,416		155		—
Long-term debt	$	127,730	$	70,000	$	56,759	$	960	$	11

(1)

As of December 31, 2014, $70.0 million was outstanding under the Term Loan. On January 2, 2015, the Term Loan was refinanced with the revolving Credit Facility. The future interest payments included in the scheduled maturities due under the Credit Facility are calculated using variable interest rates based on the LIBOR swap curve, plus the anticipated applicable margin. (See Term Loan and Credit Facility within the Financing Arrangements section within this Note.)

(2)

Minimum payments of capital lease obligation include maximum amounts due under rental adjustment clauses

Contained in the capital lease agreements.

Schedule of assets securing notes payable or held under capital leases

Assets securing notes payable or held under capital leases at December 31 were included in property, plant and equipment as follows:

	2014		2013(1)
	(in thousands)

Revenue equipment	$	88,591	$	58,613
Land and structures (terminals)	1,794		1,794
Service, office, and other equipment	255		1,758
Total assets securing notes payable or held under capital leases	90,640		62,165
Less accumulated amortization(2)	26,305		26,847
Net assets securing notes payable or held under capital leases	$	64,335	$	35,318

(1)

The individual line items in this table for 2013 are the same as those previously presented in Note H to the consolidated financial statements in Part II, Item 8 of the Company’s 2013 Annual Report on Form 10-K; however, the total amounts for the 2013 period have been revised to reflect proper calculation.

(2)

Amortization of assets securing notes payble or held under capital leases is included in depreciation expense.