Credit Facilities (Notes)

9 Months Ended

Jun. 30, 2013

Credit Facilities

As of June 30, 2013, the Company had four committed credit facilities under which the Company could borrow up to $355 million, subject to certain conditions. The amounts outstanding under these credit facilities were short term borrowings and carried variable rates of interest, thus approximating fair value.

The following table lists the credit facilities in effect on June 30, 2013, the committed amounts under these facilities as of June 30, 2013 and outstanding borrowings as of June 30, 2013 and September 30, 2012:



(in millions)					Amounts Outstanding
Borrower	Security	Renewal / Expiration Date	Commitment as of June 30, 2013 ^{(1) (2)}		June 30, 2013		September 30, 2012
INTL FCStone Inc.	Certain pledged shares	October 1, 2013	$	105.0	$	79.0	$	48.0
INTL Commodities	Certain commodities assets	Expired July 31, 2013	100.0		60.0		107.0
FCStone, LLC	None	April 10, 2014	75.0		—		20.0
FCStone Merchants	Certain commodities assets	May 1, 2014	75.0		6.6		43.2
			$	355.0	$	145.6	$	218.2

(1) The commitment under the INTL FCStone Inc. facility was increased from $105 million to $135 million on July 29, 2013.


(2)	On July 31, 2013, the commitment under the INTL Commodities facility expired without renewal, and the amount outstanding was repaid in full.

The Company’s credit facility agreements contain financial covenants relating to financial measures on a consolidated basis, as well as on a certain stand-alone subsidiary basis, including minimum net worth, minimum working capital, minimum regulatory capital, minimum net unencumbered liquid assets, minimum equity, minimum interest coverage and leverage ratios and maximum net loss. Failure to comply with these covenants could result in the debt becoming payable on demand. As of June 30, 2013, the Company was in compliance with all of its covenants under its credit facilities.

The INTL Commodities credit facility expired without renewal on July 31, 2013 in conjunction with the decision to wind down and exit the physical base metals business, and the amount outstanding was repaid in full. The Company does not believe the expiration of the committed facility will have a material negative impact on the operations of the Company.

The Company’s current credit facilities consist of the following:

•

$135.0 million facility available to INTL FCStone Inc. and INTL Global Currencies Ltd., for general working capital requirements, committed until October 1, 2013. An additional commitment agreement to the facility was executed on July 29, 2013, securing an additional $30 million in the facility, and increasing the maximum amount which the Company is entitled to borrow from $105 million to $135 million. The line of credit is secured by a pledge of shares held in certain of the Company’s subsidiaries. The Company is currently in discussions with current and potential lenders to renew and potentially increase this facility. Based on our discussions with these lenders, we believe that this facility will be renewed in a timely manner for amounts that equal or exceed the current commitments under this facility.


•	$75.0 million facility available to our wholly owned subsidiary, FCStone, LLC, for short-term funding of margin to commodity exchanges, committed until April 10, 2014. This line of credit is subject to annual review, and the facility is guaranteed by INTL FCStone Inc.


•	$75.0 million committed facility available to our wholly owned subsidiary, FCStone Merchant Services, LLC, for financing traditional commodity financing arrangements and commodity repurchase agreements, committed until May 1, 2014. This facility is secured by the assets of FCStone Merchants, and guaranteed by INTL FCStone Inc.

The current credit facilities are scheduled to expire during the next twelve months. At this time, the Company is unable to determine the duration, applicable interest rates or other costs associated with the renewal or replacement of these facilities.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

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