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INDEBTEDNESS
 6 Months Ended
Jun. 30, 2024
Debt Disclosure [Abstract]  
INDEBTEDNESS INDEBTEDNESS
Long-term debt consisted of the following as of June 30, 2024 (in thousands):
Principal AmountDiscountDebt Issuance CostsNet Balance
Revolver Facility$— $— $— $— 
First Lien Term Loan634,872 (6,234)(8,506)620,132 
Senior Notes500,000 — (8,045)491,955 
$1,134,872 $(6,234)$(16,551)1,112,087 
Less: current portion(6,512)
Total long-term debt$1,105,575 
Long-term debt consisted of the following as of December 31, 2023 (in thousands):
Principal AmountDiscountDebt Issuance CostsNet Balance
Revolver Facility$— $— $— $— 
First Lien Term Loan588,000 (6,974)(9,678)571,348 
Senior Notes500,000 — (8,698)491,302 
$1,088,000 $(6,974)$(18,376)1,062,650 
Less: current portion(6,000)
Total long-term debt$1,056,650 
On May 8, 2024, the Company entered into the third amendment to the amended and restated First Lien Credit Agreement (the “Third Amendment”). The Third Amendment, among other things, reduces the interest rate on the First Lien Term Loan from Term Secured Overnight Financing Rate (“SOFR”) (including a credit spread adjustment) plus 2.75% to Term SOFR plus 2.25%, increases borrowings by $50.0 million, and removes the credit spread adjustment with respect to such First Lien Term Loan.
The interest rate on the First Lien Term Loan was 7.58% and 8.21% as of June 30, 2024 and December 31, 2023, respectively. The weighted average interest rate incurred on the First Lien Term Loan was 7.77% and 7.98% for the three and six months ended June 30, 2024, respectively. The weighted average interest rate incurred on the First Lien Term Loan was 7.76% and 7.52% for the three and six months ended June 30, 2023, respectively. The interest rate on the Senior Notes was 4.375% as of June 30, 2024 and December 31, 2023. The weighted average interest rate incurred on the Senior Notes was 4.375% for the three and six months ended June 30, 2024, respectively. The weighted average interest rate incurred on the Senior Notes was 4.375% for the three and six months ended June 30, 2023, respectively.
The Company assessed whether the repayment of the First Lien Term Loan indebtedness resulted in an insubstantial modification or an extinguishment of the existing debt for each loan in the syndication by grouping lenders as follows: (i) Lenders participating in both the First Lien Term Loan and Senior Notes; (ii) previous lenders that exited; and (iii) new lenders. The Company determined that $0.4 million of the First Lien Term Loan was extinguished. The First Lien Term Loan had insubstantial modifications for lenders that participated in both debt instruments, which resulted in a cash inflow from financing activities of $50.0 million in the unaudited condensed consolidated statements of cash flows. The Company incurred $1.6 million in fees, of which $0.1 million was capitalized, relative to the First Lien Term Loan and an immaterial amount of the total fees incurred was netted against the $50.0 million of debt proceeds as financing activities within the unaudited condensed consolidated statements of cash flows.
The Company recognized a loss on extinguishment of debt of $0.4 million included in the line entitled “Other, net” in the unaudited condensed consolidated statements of comprehensive income.
Long-term debt matures as follows (in thousands):
Fiscal Year Ended December 31,Minimum Payments
2024$3,256 
20256,512 
20266,512 
20276,512 
2028612,080 
Thereafter500,000 
Total$1,134,872 
During the three and six months ended June 30, 2024 and 2023, the Company engaged in hedging activities to limit its exposure to changes in interest rates. See Note 10, Derivative Instruments, for further discussion.
The following table presents the estimated fair values of the Company’s debt obligations as of June 30, 2024 (in thousands):
Financial Instrument
Carrying Value as of June 30, 2024
Markets for Identical Item (Level 1)Significant Other Observable Inputs
(Level 2)		Significant Unobservable Inputs (Level 3)
First Lien Term Loan$620,132 $— $638,872 $— 
Senior Notes491,955 — 459,250 — 
Total debt instruments$1,112,087 $— $1,098,122 $— 
See Note 11, Fair Value Measurements, for further discussion.
On December 7, 2023, the Company entered into the second amendment to the amended and restated First Lien Credit Agreement dated as of October 27, 2021 (the “Second Amendment”). The Second Amendment, among other things, provides for revolving credit commitments by the applicable Revolving Credit Lenders in an aggregate amount of $400.0 million (the “Revolver Facility”), pursuant to which such lenders have agreed to make Revolving Credit Loans to the Company. As of June 30, 2024, the Company had $4.1 million of undrawn letters of credit issued and outstanding, resulting in net borrowing availability under the Revolver Facility of $395.9 million.