DEBT (Tables)

3 Months Ended

Sep. 30, 2018

Debt Disclosure [Abstract]

Schedule of debt

The Company’s debt balances consisted of the following as of September 30, 2018 and June 30, 2018, respectively:

	September 30, 2018			June 30, 2018
Short-term debt	$	7.9		$	9.2
2018 Coty Credit Agreement
2018 Coty Revolving Credit Facility due April 2023	884.5			368.1
2018 Coty Term A Facility due April 2023	3,326.3			3,371.5
2018 Coty Term B Facility due April 2025	2,383.3			2,390.5
Senior Unsecured Notes
2026 Dollar Notes due April 2026	550.0			550.0
2023 Euro Notes due April 2023	640.1			640.9
2026 Euro Notes due April 2026	291.0			291.4
Other long-term debt and capital lease obligations	1.5			1.6
Total debt	8,084.6			7,623.2
Less: Short-term debt and current portion of long-term debt	(200.7		)	(218.9		)
Total Long-term debt	7,883.9			7,404.3
Less: Unamortized debt issuance costs (a)	(81.9		)	(86.2		)
Less: Discount on Long-term debt	(12.3		)	(12.7		)
Total Long-term debt, net	$	7,789.7		$	7,305.4

^(a) Consists of unamortized debt issuance costs of $29.7 and $31.4 for the 2018 Coty Revolving Credit Facility, $27.6 and $29.2 for the 2018 Coty Term A Facility and $10.5 and $10.9 for the 2018 Coty Term B Facility, $8.0 and $8.3 for the 2026 Dollar and Euro Notes and $6.1 and $6.4 for the 2023 Euro Notes as of September 30, 2018 and June 30, 2018, respectively.

Fair value of long-term debt

In the case of the 2018 Coty Revolving Credit Facility and the 2018 Coty Term A Facility, the applicable margin means the lesser of a percentage per annum to be determined in accordance with the leverage-based pricing grid and the debt rating-based grid below:

Pricing Tier	Total Net Leverage Ratio:	LIBOR plus:	Alternative Base Rate Margin:
1.0	Greater than or equal to 4.75:1	2.000%	1.000%
2.0	Less than 4.75:1 but greater than or equal to 4.00:1	1.750%	0.750%
3.0	Less than 4.00:1 but greater than or equal to 2.75:1	1.500%	0.500%
4.0	Less than 2.75:1 but greater than or equal to 2.00:1	1.250%	0.250%
5.0	Less than 2.00:1 but greater than or equal to 1.50:1	1.125%	0.125%
6.0	Less than 1.50:1	1.000%	—%

Pricing Tier	Debt Ratings S&P/Moody’s:	LIBOR plus:	Alternative Base Rate Margin:
5.0	Less than BB+/Ba1	2.000%	1.000%
4.0	BB+/Ba1	1.750%	0.750%
3.0	BBB-/Baa3	1.500%	0.500%
2.0	BBB/Baa2	1.250%	0.250%
1.0	BBB+/Baa1 or higher	1.125%	0.125%

Schedule of line of credit facilities

Fair Value of Debt

	September 30, 2018		June 30, 2018
	Carrying Amount	Fair Value	Carrying Amount	Fair Value
2018 Coty Credit Agreement	6,594.1	6,478.0	6,130.1	6,070.8
Senior Unsecured Notes	1,481.1	1,427.6	1,482.3	1,449.9

Schedule of maturities of long-term debt

Aggregate maturities of the Company’s long-term debt, including the current portion of long-term debt and excluding capital lease obligations as of September 30, 2018, are presented below:

Fiscal Year Ending June 30,
2019, remaining	$	144.2
2020	192.3
2021	192.3
2022	192.3
2023	4,243.3
Thereafter	3,110.8
Total	$	8,075.2

Summary total net leverage ratio requirement

With certain exceptions as described below, the 2018 Coty Credit Agreement includes a financial covenant that requires us to maintain a Total Net Leverage Ratio (as defined below), equal to or less than the ratios shown below for each respective test period.

Quarterly Test Period Ending	Total Net Leverage Ratio (a)
September 30, 2018 through December 31, 2018	5.50 to 1.00
March 31, 2019 through June 30, 2019	5.25 to 1.00
September 30, 2019 through December 31, 2019	5.00 to 1.00
March 31, 2020 through June 30, 2020	4.75 to 1.00
September 30, 2020 through December 31, 2020	4.50 to 1.00
March 31, 2021 through June 30, 2021	4.25 to 1.00
September 30, 2021 through June 30, 2023	4.00 to 1.00

^(a) Total Net Leverage Ratio means, as of any date of determination, the ratio of: (a) (i) Total Indebtedness minus (ii) unrestricted cash and Cash Equivalents of the Parent Borrower and its Restricted Subsidiaries as determined in accordance with GAAP to (b) Adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) for the most recently ended Test Period (each of the defined terms used within the definition of Total Net Leverage Ratio have the meanings ascribed to them within the 2018 Coty Credit Agreement).