Debt

12 Months Ended

Dec. 31, 2018

Debt at December 31 was as follows:


	2018		2017
5.75% debentures due November 2040	$	599,208	$	599,171
4.375% debentures due November 2021	249,116		248,803
9.2% debentures due August 2021	4,315		4,294
1.00% Euro loan due May 2021	169,976		177,218
Term loan due July 2022	158,949		246,328
Commercial paper, average rate of 2.15% in 2018 and 1.24% in 2017	120,000		124,000
Other foreign denominated debt, average rate of 3.7% in 2018 and 3.8% in 2017	57,867		21,735
Other notes	25,731		25,780
Total debt	1,385,162		1,447,329
Less current portion and short-term notes	195,445		159,327
Long-term debt	$	1,189,717	$	1,288,002

On April 12, 2018, the Company entered into a $100,000,000 term loan with Bank of America, N.A. The full amount was drawn from this facility

on April 12, 2018, and the proceeds, along with proceeds from existing credit facilities, were used to fund the acquisition of Highland Packaging. The loan had a 364-day term and the Company had a one-time option to extend the term for an additional 364 days at its sole discretion. Interest was assessed at the London Interbank Offered Rate (LIBOR) plus a margin based on a pricing grid that used the Company's credit ratings. There was no required amortization and repayment could be accelerated at any time at the discretion of the Company. The entire $100,000 of the borrowings from this term loan had been repaid as of the end of 2018.

On March 13, 2017, the Company entered into a $150,000 unsecured three-year floating-rate assignable loan agreement. The proceeds from this term loan were used to fund the acquisition of Packaging Holdings.

On July 20, 2017, the Company entered into a Credit Agreement in connection with a new $750,000 bank credit facility with a syndicate of eight banks replacing an existing credit facility entered into on October 2, 2014, and reflecting substantially the same terms and conditions. Included in the new facility are a $500,000 five-year revolving credit facility and a $250,000 five-year term loan. Based on the pricing grid in the Credit Agreement and the Company's current credit ratings, the borrowing has an all-in drawn margin of 112.5 basis points above the London Interbank Offered Rate (LIBOR). Borrowings under the Credit Agreement are pre-payable at any time at the discretion of the Company and the term loan has annual amortization payments totaling $12,500. During 2018, the Company prepaid an additional $75,000 of the term loan.

The $500,000 revolving credit facility supports the Company's $350,000 commercial paper program. If circumstances were to prevent the Company from issuing commercial paper, it has the contractual right to draw funds directly on the underlying bank credit facility. The Company had $120,000 of outstanding commercial paper at December 31, 2018 and $124,000 at December 31, 2017.

Proceeds from the $250,000 term loan were used to repay the $150,000 term loan entered into on March 13, 2017, and the remaining $100,000 was used to partially fund the Clear Lam acquisition.

In addition to the $500,000 committed revolving bank credit facility, the Company had approximately $225,000 available under unused short-term lines of credit at December 31, 2018. These short-term lines of credit are for general Company purposes, with interest at mutually agreed-upon rates.

Certain of the Company’s debt agreements impose restrictions with respect to the maintenance of financial ratios and the disposition of assets. The most restrictive covenants currently require the Company to maintain a minimum level of interest coverage, and a minimum level of net worth, as defined. As of December 31, 2018, the Company had substantial tolerance above the minimum levels required under these covenants.

The principal requirements of debt maturing in the next five years are: 2019 – $195,445; 2020 – $16,763; 2021 – $440,658; 2022 – $124,197 and 2023 – $1,781.