Long-Term Debt

9 Months Ended

Aug. 31, 2020

The following summarizes our long-term debt carrying values (including unamortized discounts and premiums, valuation adjustments and debt issuance costs, where applicable) (in thousands):



	Maturity	Effective Interest Rate	August 31, 2020		November 30, 2019
Unsecured long-term debt:
2.375% Euro Medium Term Notes	May 20, 2020	—%	$	—	$	550,622
6.875% Senior Notes	April 15, 2021	4.40%	761,430		774,738
2.250% Euro Medium Term Notes	July 13, 2022	4.08%	4,613		4,204
5.125% Senior Notes	January 20, 2023	4.47%	760,999		610,023
1.000% Euro Medium Term Notes	July 19, 2024	1.00%	594,965		548,880
4.850% Senior Notes (1)	January 15, 2027	4.93%	814,873		768,931
6.450% Senior Debentures	June 8, 2027	5.46%	369,662		371,426
4.150% Senior Notes	January 23, 2030	4.26%	989,342		988,662
6.250% Senior Debentures	January 15, 2036	6.03%	510,943		511,260
6.500% Senior Notes	January 20, 2043	6.09%	419,931		420,239
Structured notes (2)	Various	Various	1,522,105		1,215,285
Total unsecured long-term debt			6,748,863		6,764,270
Secured long-term debt:
Revolving Credit Facility			189,571		189,088
Secured Bank Loan	September 27, 2021		50,000		50,000
Total long-term debt (3)			$	6,988,434	$	7,003,358


(1)	The carrying value of these senior notes includes losses of $45.5 million and $72.3 million in the nine months ended August 31, 2020 and 2019, respectively, associated with an interest rate swap based on its designation as a fair value hedge. See Note 5, Derivative Financial Instruments, for further information.

(2)

These structured notes contain various interest rate payment terms and are accounted for at fair value, with changes in fair value resulting from a change in the instrument-specific credit risk presented in other comprehensive income and changes in fair value resulting from non-credit components recognized in Principal transactions revenues. A weighted average coupon rate is not meaningful, as all of the structured notes are carried at fair value.


(3)	The Total Long-term debt has a fair value of $7,465.6 million and $7,280.4 million at August 31, 2020 and November 30, 2019, respectively, which would be classified as Level 2 and Level 3 in the fair value hierarchy.

The net decrease in long-term debt during the nine months ended August 31, 2020 is primarily due to the maturity and repayment of our 2.375% Euro Medium Term Notes, partially offset by approximately $244.4 million structured notes issuances, net of retirements, and a $150.0 million principal amount issuance of additional 5.125% Senior Notes due 2023. Subsequent to quarter-end, on October 7, 2020, we issued 2.75% Senior Notes with a principal amount of $500.0 million, due 2032.

We have a senior secured revolving credit facility (“Revolving Credit Facility”) with a group of commercial banks for an aggregate principal amount of $190.0 million. The Revolving Credit Facility contains certain covenants that, among other things, requires Jefferies Group LLC to maintain specified level of tangible net worth and liquidity amounts, and imposes certain restrictions on future indebtedness of and requires specified levels of regulated capital for certain of our subsidiaries. Interest is based on an annual

alternative base rate or an adjusted LIBOR, as defined in the Revolving Credit Facility. The obligations of certain of our subsidiaries under the Revolving Credit Facility are secured by substantially all its assets. At August 31, 2020, we were in compliance with the debt covenants under the Revolving Credit Facility.

On September 27, 2019, one of our subsidiaries entered into a Loan and Security Agreement for a term loan with a principal amount of $50.0 million (“Secured Bank Loan”). This Secured Bank Loan matures on September 27, 2021 and is collateralized by certain trading securities. Interest on the Secured Bank Loan is 1.25% plus LIBOR. The agreement contains certain covenants that, among other things, restrict lien or encumbrance upon any of the pledged collateral. At August 31, 2020, we were in compliance with all covenants under the Loan and Security Agreement.