Debt

9 Months Ended

Sep. 28, 2018



12.	Debt

Debt was comprised of the following at the end of each period:



	September 28, 2018				December 29, 2017
	Principal		Unamortized Discount and Debt Issuance Costs		Principal		Unamortized Discount and Debt Issuance Costs
Current maturities of long-term debt:
3.50% notes due April 2018	$	—	$	—	$	300.0	$	0.2
Term loan due September 2024	12.3		0.2		14.0		0.3
Term loan due February 2025	4.5		0.1		—		—
ACOA ⁽¹⁾ loan due December 2028	0.2		—		—		—
Capital lease obligation and vendor financing agreements	—		—		0.2		—
Total current debt	17.0		0.3		314.2		0.5
Long-term debt:
4.875% notes due April 2020	700.0		3.8		700.0		5.7
Variable-rate receivable securitization due July 2020	225.0		0.5		200.0		0.7
9.50% debentures due May 2022	10.4		—		10.4		—
5.75% notes due August 2022	884.0		8.0		884.0		9.5
8.00% debentures due March 2023	4.4		—		4.4		—
4.75% notes due April 2023	500.2		3.7		526.5		4.5
5.625% notes due October 2023	731.4		8.4		738.0		9.7
Term loan due September 2024	1,601.5		20.7		1,837.2		26.7
Term loan due February 2025	592.5		11.1		—		—
5.50% notes due April 2025	692.1		8.0		692.1		9.0
ACOA loan due December 2028	1.6		—		—		—
Revolving credit facility	300.0		4.9		900.0		5.9
Total long-term debt	6,243.1		69.1		6,492.6		71.7
Total debt	$	6,260.1	$	69.4	$	6,806.8	$	72.2


(1)	Atlantic Canada Opportunities Agency ("ACOA")

In April 2018, $300.0 million of the Company's 3.50% unsecured, fixed-rate notes matured and were repaid with cash on hand.

In March 2018, BioVectra entered into an agreement with the ACOA to obtain an interest-free loan of up to $5.0 million Canadian Dollars ("CAD") in exchange for specified investments in Canada. The loan is repayable in equal monthly installments over 10 years starting in January 2019. The Company has the option of prepaying this loan without any penalties. As of September 28, 2018, the outstanding principal under this agreement was approximately $1.8 million.

In February 2018, in conjunction with the Sucampo Acquisition, Mallinckrodt International Finance S.A. ("MIFSA") and Mallinckrodt CB LLC ("MCB") issued a $600.0 million senior secured term loan. The variable-rate loan bears an interest rate of LIBOR plus 300 basis points and was issued with a discount of 25 basis points. The incremental term loan requires quarterly principal amortization payments in an amount equal to 1.00% of the original principal balance of the incremental term loan, and may be reduced by making optional prepayments. The quarterly principal amortization is payable on the last day of each calendar quarter, which commenced on June 30, 2018, with the remaining principal balance due on February 24, 2025. The incremental term loan matures on February 24, 2025 under terms generally consistent with the term loan due September 2024.

In January 2018, the Company made a $225.0 million prepayment on its term loan due September 2024. In making this payment, the Company satisfied certain obligations included within external debt agreements to reinvest proceeds from the sale of assets and businesses within one year of the respective transaction or use the proceeds to pay down debt.

As of September 28, 2018, the applicable interest rate and outstanding borrowings on the Company's variable-rate debt instruments were as follows:



	Applicable interest rate		Outstanding borrowings
Term loan due September 2024	5.14	%	$	1,613.8
Term loan due February 2025	5.52	%	597.0
Variable-rate receivable securitization	3.16	%	225.0
Revolving credit facility	4.64	%	300.0

As of September 28, 2018, the Company continues to be in full compliance with the provisions and covenants associated with its debt agreements. The Company's debt instruments are further described within the notes to the financial statements included within the Company's Annual Report filed on Form 10-K for the fiscal year ended December 29, 2017.