Related Party Debt

Consolidated related party debt obligations comprise the following as of the dates indicated:



	December 31,
	2016			2015
Five-Year Revolver, variable rate, due October 31, 2019 ⁽¹⁾	$	686.9		$	320.8
364-Day Revolver, variable rate, due March 1, 2017⁽²⁾	—			137.4
Zydeco Revolver, variable rate, due August 6, 2019⁽³⁾	—			—
Unamortized debt issuance costs	(0.9		)	(0.6		)
Debt payable - related party	$	686.0		$	457.6

⁽¹⁾ As of December 31, 2016, availability under the $760.0 million Five-Year Revolver was $73.1 million. We pay interest of 0.19% on the unused capacity of the Five-Year Revolver.

⁽²⁾ As of December 31, 2016, availability under the $180.0 million 364-Day Revolver was $180.0 million. We pay interest of 0.12% on the unused capacity of the 364-Day Revolver.

⁽³⁾ As of December 31, 2016, availability under the $30.0 million Zydeco Revolver was $30.0 million. We pay interest of 0.23% on the unused capacity of the Zydeco Revolver.

We paid interest of $7.0 million, $2.7 million, and approximately $0.1 million in 2016, 2015 and 2014 respectively.

Revolving Credit Facility Agreements

Five-Year Revolver

On November 3, 2014, we entered into the Five-Year Revolver, with an initial borrowing capacity of $300.0 million. Loans advanced under the initial agreement had up to a six-month term. On May 12, 2015, we and STCW amended and restated the Five-Year Revolver to increase the borrowing capacity amount to $400.0 million. In connection with the amendment and restatement of the Five-Year Revolver, we paid an issuance fee of $0.2 million. The Five-Year Revolver, as amended and restated, provides for covenants such as restricting additional indebtedness above other certain levels and requiring pari passu ranking with any new indebtedness, and contains customary events of default, such as nonpayment of principal when due, nonpayment of interest, fees or other amounts, violation of covenants, and cross-payment default (due to indebtedness in excess of $100.0 million).

Borrowings under the Five Year Revolver bear interest at the three-month LIBOR rate plus a margin. As of December 31, 2016, the weighted average interest rate for the Five-Year Revolver was 2.1%. The Five-Year Revolver also provides for customary fees, including administrative agent fees and commitment fees. Commitment fees began to accrue beginning on the date we entered into the Revolver agreement. The Five Year Revolver was to originally mature on October 31, 2019.

On February 22, 2016, we and STCW again amended and restated the Five Year Revolver to provide that loans advanced under the facility could have a term ending on or before its maturity date. This amendment and restatement makes it possible for us, at our option, to borrow under the facility for periods in excess of the one-year maximum time period previously stipulated in the agreement. On September 27, 2016, we and STCW amended and restated the Five Year Revolver to further increase the amount of the facility to $760.0 million. In connection with this amendment and restatement of the Five Year Revolver, we incurred an issuance fee of $0.6 million, which was paid on October 3, 2016. All other terms and conditions of the agreement are materially unchanged.

364-Day Revolver

On June 29, 2015, in connection with the July 2015 Acquisition, we entered into a second revolving credit facility (the “364-Day Revolver”) with STCW as lender with an initial borrowing capacity of $100.0 million.

All other terms and conditions are materially the same as those of the Five-Year Revolver. Borrowings under the 364-Day Revolver bear interest at the three-month LIBOR rate plus a margin. As of December 31, 2016 the weighted average interest rate for the 364-Day Revolver was 2.2%. The 364-Day Revolver also provides for customary fees, including administrative agent fees and commitment fees. Commitment fees began to accrue beginning on the date we entered into the 364-Day Revolver agreement. We paid a credit facility issuance fee of $0.1 million.

On November 11, 2015, we and STCW amended and restated the 364-Day Revolver to increase the borrowing capacity amount $180.0 million. We also agreed to an additional issuance fee of $0.1 million paid within five business days. The 364-Day Revolver was amended to mature on November 10, 2016.

On February 22, 2016, we and STCW again amended and restated the 364-Day Revolver to extend its maturity to March 1, 2017. All other terms and conditions of the agreement were unchanged.

For 2016 and 2015, interest and fee expenses associated with our borrowings were approximately $8.6 million and $4.0 million, respectively.

Borrowings and repayments under our credit facilities for 2016 and 2015 are disclosed in our consolidated statements of cash flows. For additional information regarding our use of borrowings see Note 3 – Acquisitions. For additional information regarding the source of our repayments see Note 10 – Equity. There were no borrowings or repayments during 2014.

Zydeco Revolving Credit Facility Agreement

On August 6, 2014, Zydeco entered into the Zydeco Revolver, a senior unsecured revolving credit facility agreement with STCW. The facility has a borrowing capacity of $30.0 million. Loans advanced under the agreement have up to a six-month term. Borrowings under the credit facility bear interest at the three-month LIBOR rate plus a margin. As of December 31, 2016 the interest rate for the Zydeco Revolver was 2.4%. The credit agreement governing the Zydeco Revolver provides for covenants such as requiring pari passu ranking with any new indebtedness and contains customary events of default, such as nonpayment of principal when due, nonpayment of interest, fees or other amounts, violation of covenants, and cross-payment default (due to indebtedness in excess of $100.0 million). The Zydeco Revolver also requires payment of customary fees, including issuance and commitment fees and matures in August 2019.

During 2014, Zydeco had borrowings of $6.0 million from its revolving credit facility agreement in order to meet working capital requirements, which were repaid within two months of the withdrawal. Interest and fees incurred was approximately $0.1 million. There were no outstanding borrowings on the Zydeco Revolver as of December 31, 2016 and 2015.

As of December 31, 2016, we were in compliance with the covenants contained in the Five-Year Revolver and the 364-Day Revolver, and Zydeco was in compliance with the covenants contained in the Zydeco Revolver.

Any breach of covenants included in our debt agreements which could result in our related party lender demanding payment of the unpaid principal and interest balances will have a material adverse effect upon us and would likely require us to seek to renegotiate these debt arrangements with our related party lender and/or obtain new financing from other sources.

Pecten Line of Credit

On October 29, 2015, Pecten borrowed $6.0 million under a temporary line of credit with STCW. Pecten repaid this loan on November 25, 2015 and canceled this line of credit shortly thereafter.