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Borrowings
6 Months Ended
Apr. 28, 2012
Debt Disclosure [Abstract]  
Borrowings
Borrowings
The following table provides details of the Company's long-term debt (in thousands):
 
 
 
 
 
 
 
April 28, 2012
 
October 29, 2011
 
 
Maturity
 
Stated Annual Interest Rate
 
Amount

 
Effective Interest Rate
 
Amount

 
Effective Interest Rate
Senior Secured Notes:
 
 
 
 
 
 
 
 
 
 
 
 
 
2018 Notes
 
2018
 
 
6.625
%
 
$
300,000

 
7.05
%
 
$
300,000

 
7.05
%
2020 Notes
 
2020
 
 
6.875
%
 
300,000

 
7.26
%
 
300,000

 
7.26
%
Senior Secured Credit Facility:
 
 
 
 
 
 
 
 
 
 
 
 
 
Term loan
 
2014
 
LIBOR+
2.25
%
 
70,000

 
6.48
%
 
190,000

 
4.41
%
Capital lease obligations
 
2015
 
 
5.80
%
 
5,863

 
5.80
%
 
6,782

 
5.80
%
Total long-term debt
 
 
 
 
 
 
675,863

 
 
 
796,782

 
 
Less:
 
 
 
 
 
 
 
 
 
 
 
 
 
Unamortized discount
 
 
 
 
 
 
6,168

 
 
 
7,339

 
 
Current portion of long-term debt
 
 
 
 
 
 
17,330

 
 
 
40,539

 
 
Total long-term debt, net of current portion
 
 
 
 
 
 
$
652,365

 
 
 
$
748,904

 
 


Senior Secured Notes
In January 2010, the Company issued $300 million in aggregate principal amount of senior secured notes due 2018 (the “2018 Notes”) and $300 million in aggregate principal amount of senior secured notes due 2020 (the “2020 Notes" and together with the 2018 Notes, the “Senior Secured Notes”). The senior secured notes bear interest payable semi-annually. No payments were made towards the principal of the senior secured notes during the six months ended April 28, 2012.
As of April 28, 2012 and October 29, 2011, the fair value of the Company’s senior secured notes was approximately $646 million and $626 million, respectively, estimated based on broker trading prices.
On or after January 2013, the Company may redeem all or a part of the 2018 Notes at the redemption prices set forth in the Indenture governing the 2018 Notes (the 2018 Indenture), plus accrued and unpaid interest and special interest, if any, to the applicable redemption date. In addition, at any time prior to January 2013, the Company may, on one or more than one occasion, redeem some or all of the 2018 Notes at any time at a redemption price equal to 100% of the principal amount of the 2018 Notes redeemed, plus a “make-whole” premium determined as of, and accrued and unpaid interest and special interest, if any, to the applicable redemption date. On or after January 2015, the Company may redeem all or a part of the 2020 Notes at the redemption prices set forth in the Indenture governing the 2020 Notes (the 2020 Indenture), plus accrued and unpaid interest and special interest, if any, to the applicable redemption date. In addition, at any time prior to January 2015, the Company may, on one or more than one occasion, redeem some or all of the 2020 Notes at any time at a redemption price equal to 100% of the principal amount of the 2020 Notes redeemed, plus a “make-whole” premium determined as of, and accrued and unpaid interest and special interest, if any, to the applicable redemption date. At any time prior to January 2013, the Company may also redeem up to 35% of the aggregate principal amount of the 2018 Notes and 2020 Notes, using the proceeds of certain qualified equity offerings, at the redemption prices set forth in the 2018 Indenture and the 2020 Indenture, respectively.
If the Company experiences specified change of control triggering events, it must offer to repurchase the senior secured notes at a repurchase price equal to 101% of the principal amount of the senior secured notes repurchased, plus accrued and unpaid interest and special interest, if any, to the applicable repurchase date. If the Company or its subsidiaries sell assets under certain specified circumstances, the Company must offer to repurchase the senior secured notes at a repurchase price equal to 100% of the principal amount of the senior secured notes repurchased, plus accrued and unpaid interest and special interest, if any, to the applicable repurchase date.

Senior Secured Credit Facility
In October 2008, the Company entered into a credit facility agreement for (i) a five-year $1,100 million term loan facility and (ii) a five-year $125 million revolving credit facility, which includes a $25 million swing line loan sub-facility and a $25 million letter of credit sub-facility. The credit facility agreement was subsequently amended in January 2010 and June 2011.
The Company may draw additional proceeds from the revolving credit facility in the future for ongoing working capital and other general corporate purposes. The term loan facility and revolving credit facility are referred to together as the “Senior Secured Credit Facility.” There were no principal amounts outstanding under the revolving credit facility as of April 28, 2012 and October 29, 2011.
During the six months ended April 28, 2012, the Company paid $120.0 million towards the principal of the term loan, $104.9 million of which were voluntary prepayments.
The Company believes that the carrying value of its Senior Secured Credit Facility approximates its fair value as the interest rate is based on a floating market rate.
Debt Maturities
Fiscal Year
Estimated
Future
Maturities
2012 (remaining six months)
$
9,180

2013
18,448

2014
47,389

2015
846

2016

Thereafter
600,000

Total
$
675,863