LONG-TERM DEBT AND FINANCE LEASE OBLIGATIONS

4 Months Ended

Jun. 15, 2019

LONG-TERM DEBT AND FINANCE LEASE OBLIGATIONS

The Company's long-term debt as of June 15, 2019 and February 23, 2019, net of unamortized debt discounts of $117.8 million and $197.0 million, respectively, and deferred financing costs of $62.4 million and $65.2 million, respectively, consisted of the following (in millions):



	June 15, 2019			February 23, 2019
Albertsons Term Loans due 2022 to 2025, interest rate range of 5.44% to 5.69%	$	4,602.9		$	4,610.7
Senior Unsecured Notes due 2024, 2025 and 2026, interest rate of 6.625%, 5.750% and 7.5%, respectively	3,072.8			3,071.6
New Albertsons L.P. Notes due 2026 to 2031, interest rate range of 6.52% to 8.70%	694.6			1,322.3
Safeway Inc. Notes due 2020 to 2031, interest rate range of 3.95% to 7.45%	642.0			675.3
Other Notes Payable, unsecured	47.9			125.4
Mortgage Notes Payable, secured	18.6			18.8
Finance lease obligations (see Note 5)	754.8			762.3
Total debt	9,833.6			10,586.4
Less current maturities	(145.0		)	(148.8		)
Long-term portion	$	9,688.6		$	10,437.6

The Company's term loans (the "Albertsons Term Loans"), asset-based loan facility (the "ABL Facility") and certain of the outstanding notes and debentures have restrictive covenants, subject to the right to cure in certain circumstances, calling for the acceleration of payments due in the event of a breach of a covenant or a default in the payment of a specified amount of indebtedness due under certain debt arrangements. There are no restrictions on the Company's ability to receive distributions from its subsidiaries to fund interest and principal payments due under the ABL Facility, the Albertsons Term Loans and the Company's senior unsecured notes (the "Senior Unsecured Notes"). Each of the ABL Facility, Albertsons Term Loans and the Senior Unsecured Notes restrict the ability of the Company to pay dividends and distribute property to the Company's stockholders. As a result, all of the Company's consolidated net assets are effectively restricted with respect to their ability to be transferred to the Company's stockholders. Notwithstanding the foregoing, the ABL Facility, Albertsons Term Loans and the Senior Unsecured Notes each contain customary exceptions for certain dividends and distributions, including the ability to make cumulative distributions under the Albertsons Term Loans and Senior Unsecured Notes of up to the greater of $1.0 billion or 4.0% of the Company's total assets (which is measured at the time of such distribution) and the ability to make distributions if certain payment conditions are satisfied under the ABL Facility. The Company was in compliance with all such covenants and provisions as of and for the 16 weeks ended June 15, 2019.

Safeway Notes

During the first quarter of 2019, the Company completed a cash tender offer and early redemption of Safeway Inc.'s ("Safeway") notes with a par value of $34.1 million and a book value of $33.3 million for $32.6 million, plus accrued and unpaid interest of $0.7 million (the "Safeway Tender"). Including related fees, the Company recognized a loss on debt extinguishment related to the Safeway Tender of $0.5 million.

NALP Notes

During the first quarter of 2019, the Company completed a cash tender offer and early redemption of New Albertsons L.P.'s notes (the "NALP Notes") with a par value of $402.9 million and a book value of $363.7 million for $382.7 million, plus accrued and unpaid interest of $8.2 million (the "NALP Notes Tender"). Including related fees, the Company recognized a loss on debt extinguishment related to the NALP Notes Tender of $19.1 million.

Also during the first quarter of fiscal 2019, the Company repurchased NALP Notes with a par value of $300.8 million and a book value of $271.3 million for $294.4 million plus accrued and unpaid interest of $6.5 million (the "NALP Notes Repurchase"). In connection with the NALP Notes Repurchase, the Company recorded a loss on debt extinguishment of $23.1 million.

ABL Facility

As of June 15, 2019 and February 23, 2019 there were no loans outstanding under the Company's ABL Facility, and letters of credit ("LOC") issued under the LOC sub-facility were $513.6 million and $520.8 million respectively.