Debt

9 Months Ended

Sep. 30, 2019

Long-term debt as of September 30, 2019 and December 31, 2018 consists of the following:



(in thousands)	September 30, 2019			December 31, 2018
Senior secured notes, due 2024	$	350,000		$	350,000
Revolving credit agreement	—			—
	350,000			350,000
Unamortized debt issuance costs related to senior secured notes	(4,177		)	(4,803		)
	345,823			345,197
Less: Current portion of long-term debt	—			—
	$	345,823		$	345,197

Senior Secured Notes

On September 15, 2016, the Company issued $350.0 million of senior secured notes due 2024 (the “Senior Notes”) under an unregistered private placement not subject to the registration requirements of the Securities Act of 1933, as amended (the “Securities Act”). The Senior Notes were issued by BMC East, LLC, a 100% owned subsidiary of the Company, and are guaranteed by the Company and the other subsidiaries that guarantee the Credit Agreement (as defined below). Each of the subsidiary guarantors is 100% owned, directly or indirectly, by the Company, and all guarantees are full and unconditional and joint and several. The interest rate is fixed at 5.5% and is payable semiannually on April 1 and October 1.

As of September 30, 2019, the estimated market value of the Senior Notes was approximately $14.4 million higher than the carrying amount. The fair value is based on institutional trading activity and was classified as a Level 2 measurement in accordance with ASC 820.

Revolving Credit Agreement

On December 1, 2015, the Company entered into a senior secured credit agreement with Wells Fargo Capital Finance, as administrative agent, and certain other lenders (as amended by the first and second amendments, the “Existing Credit Agreement”), which includes a revolving line of credit (the “Revolver”). On May 31, 2019, the Company entered into the third amendment to the Existing Credit Agreement (the “Third Amendment”), which amended and restated the Existing Credit Agreement (the “Credit Agreement”) and increased the aggregate commitment from $375.0 million to $425.0 million. The Company had no outstanding borrowings under the Revolver and net availability of $367.8 million as of September 30, 2019. The Company had $56.1 million in letters of credit outstanding under the Credit Agreement as of September 30, 2019.

The Credit Agreement matures at the earlier of (i) May 31, 2024 or (ii) if the Senior Notes are refinanced or repaid, the date that is 91 days prior to the new maturity date of the replacement notes or other indebtedness that replaced or refinanced the Senior Notes. The effective maturity date of the Revolver was extended from December 1, 2020, the effective maturity date of the Existing Credit Agreement, to May 31, 2024. After considering the increase to the remaining term and the increase in the aggregate commitment resulting from the Third Amendment, the overall borrowing capacity of the Revolver increased. Accordingly, all existing unamortized debt issuance costs and new debt issuance costs related to the Third Amendment are being amortized through May 31, 2024.