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Long-Term Debt

6 Months Ended

Jun. 30, 2011

6.	LONG-TERM DEBT

The balances of long-term debt as of June 30, 2011 and December 31, 2010 are as follows:


	June 30,		Dec. 31,
	2011		2010
*NewPage:*
Revolving credit facility	$	131	$	92
11.375% first-lien senior secured notes (face amount $1,770)		1,692		1,684
Floating rate second-lien senior secured notes (LIBOR plus 6.25%)		225		225
10% second-lien senior secured notes (face amount $806)		806		805
12% senior subordinated notes (face amount $200)		200		199
Capital lease		153		152

Total long-term debt, including current portion		3,207		3,157
Current portion of long-term debt		2,854		—

Subtotal		353		3,157
*NewPage Holding—*
Senior unsecured NewPage Holding PIK Notes (face amount $232 and $224; LIBOR plus 7.00%)		228		219

Long-term debt	$	581	$	3,376

In January 2011, we amended our revolving credit facility to extend its termination date. For those lenders who accepted this amendment (aggregating to $470), the revolving credit facility matures on December 21, 2012, unless we do not repay or refinance our floating rate and 10% second-lien senior secured notes ("Second-Lien Notes") by December 2, 2011, in which case the revolving credit facility matures on March 1, 2012. For the remaining $30 of commitment, the revolving credit facility matures on October 3, 2011, rather than December 21, 2012, as a result of not refinancing our Second-Lien Notes by July 4, 2011.

The 11.375% senior secured first-lien notes (the "First-Lien Notes") mature on the earlier of (i) December 31, 2014 or (ii) the date that is 31 days prior to the maturity date of the Second-Lien Notes, the senior subordinated notes, the NewPage Holding PIK notes or any refinancing thereof. The Second-Lien Notes mature on May 1, 2012. However, if we do not repay or refinance our Second-Lien Notes by January 31, 2012, the First-Lien Notes would mature on March 31, 2012. The senior subordinated notes mature on May 1, 2013. The NewPage Holding PIK Notes mature on November 1, 2013.

As of June 30, 2011, our current liabilities exceeded our current assets by $2,502. This deficit results from the classification of our First-Lien Notes, our Second-Lien Notes, and our revolving credit facility as current liabilities. Also, as of June 30, 2011, we have $48 in deferred financing costs, including $47 for NewPage, recorded in other assets. We have retained advisors to assist us in exploring various restructuring alternatives and are engaged in discussions with various stakeholders to address our ongoing capital needs. We cannot assure you that we will be able to refinance any of our indebtedness, or that we will be able to do so on commercially reasonable terms. If we are unable to refinance our debt or generate sufficient cash flow to service our obligations, we will be required to seek to restructure our existing debt or to voluntarily seek, or be forced to seek, protection under the Chapter 11 of the U.S. Bankruptcy Code and applicable Canadian laws. Any such actions would have a material adverse effect on our financial condition, the value of the outstanding debt and our ability to make required cash payments under our indebtedness.