LONG-TERM DEBT AND NOTES PAYABLE

Long-term debt consisted of the following:



(in thousands)	September 30, 2014		December 31, 2013
Credit facility	$	78,900	$	—
7.40% Medium-term Notes, Series A, due July 24, 2017	2,000		2,000
7.36% Medium-term Notes, Series A, due July 24, 2017	15,000		15,000
7.23% Medium-term Notes, Series A, due July 28, 2017	2,000		2,000
7.32% Medium-term Notes, Series A, due July 28, 2022	20,000		20,000
7.60% Medium-term Notes, Series A, due July 26, 2027	5,000		5,000
7.35% Medium-term Notes, Series A, due July 28, 2027	10,000		10,000
7.125% Medium-term Notes, Series B, due February 15, 2028	100,000		100,000
4.625% Notes, due September 1, 2021	400,000		400,000
Senior Term Loans, (floating rate interest LIBOR plus 1.625%)	—		600,000
	632,900		1,154,000
Less amounts due within one year	—		60,000
Less unamortized debt discount	442		459
Total Energen	$	632,458	$	1,093,541

The aggregate maturities of Energen’s long-term debt outstanding at September 30, 2014 are as follows:



(in thousands)
Remaining 2014	2015	2016	2017	2018	2019 and thereafter
—	—	—	$19,000	—	$613,900

In December 2013, Energen issued $600 million in Senior Term Loans (Senior Term Loans) with a floating interest rate due March 31, 2014 through December 17, 2017. In conjunction with the sale of Alagasco, the Senior Term Loans were repaid in September 2014.

The debt agreements of Energen contain financial and nonfinancial covenants including routine matters such as timely payment of principal and interest, maintenance of corporate existence and restrictions on liens. Although none of the agreements have events of default based on credit ratings, the interest rates applicable to the syndicated credit facility discussed below may adjust based on credit rating changes during certain periods.

Under Energen’s Indenture dated September 1, 1996 with The Bank of New York as Trustee, a cross default provision provides that any debt default of more than $10 million by Energen or Energen Resources will constitute an event of default by Energen. The Indenture does not include a restriction on the payment of dividends.

Credit Facility: On September 2, 2014, Energen entered into a $1.5 billion five-year syndicated secured credit facility with domestic and foreign lenders. The credit facility has an initial borrowing base of $2.1 billion. This credit facility refinances and replaces the $1.25 billion five-year syndicated unsecured credit facility entered into on October 30, 2012. Energen’s obligations under the $1.5 billion syndicated credit facility are unconditionally guaranteed by Energen Resources. The current credit facility qualifies for classification as long-term debt on the consolidated balance sheets. The financial covenants of the credit facility require Energen to maintain a ratio of total debt to consolidated income before interest expense, income taxes, depreciation, depletion, amortization, exploration expense and other non-cash income and expenses (EBITDAX) less than or equal to 4.0 to 1.0, to maintain a ratio of consolidated current assets (adjusted to include amounts available for borrowings and exclude non-cash derivative instruments) to consolidated current liabilities (adjusted to exclude maturities under the credit facility and non-cash derivative instruments) greater than or equal to 1.0 to 1.0 and, during certain periods, to maintain a ratio of the net present value of proved reserves of our oil and natural gas properties to consolidated total debt greater than or equal to 1.50 to 1.0. We are also bound by covenants which limit our ability to incur additional indebtedness, make certain distributions or alter our corporate structure. Energen may not pay dividends during an event of default, if the payment would result in an event of default or if availability is less than 10 percent of the loan limit under the credit facility. Our credit facility also limits our ability to enter into commodity hedges based on projected production volumes.

Under the credit facility, a cross default provision provides that any debt default of more than $75 million by Energen or Energen Resources will constitute an event of default by Energen.

Upon an uncured event of default under the credit facility, all amounts owing under the credit facility, if any, depending on the nature of the event of default will automatically, or may upon notice by the administrative agent or the requisite lenders thereunder, become immediately due and payable and the lenders may terminate their commitments under the defaulted facility. Energen was in compliance with the terms of its credit facility as of September 30, 2014.

The following is a summary of information relating to Energen’s credit facilities:



(in thousands)	September 30, 2014			December 31, 2013
Notes payable to banks	$	78,900		$	489,000
Available for borrowings	1,421,100			761,000
Total	$	1,500,000		$	1,250,000
Maximum amount outstanding at any month-end	$	750,000		$	901,000
Average daily amount outstanding	$	559,878		$	804,895
Weighted average interest rates based on:
Average daily amount outstanding	1.43		%	1.38		%
Amount outstanding at period-end	1.66		%	1.32		%

Energen’s interest expense was $11.5 million and $27.4 million for the three months and nine months ended September 30, 2014, respectively. Interest expense for Energen was $10.1 million and $30.2 million for the three months and nine months ended September 30, 2013, respectively. Energen had no capitalized interest for the three months ended September 30, 2014. For the nine months ended September 30, 2014, Energen’s total interest expense included capitalized interest of $37,000. Energen had no capitalized interest expense for the three months ended September 30, 2013. Energen’s total interest expense for the nine months ended September 30, 2013 included capitalized interest expense of $0.2 million. At September 30, 2014, Energen paid commitment fees on the unused portion of the available credit facilities at a current annual rate of 30 basis points. See Note 1, Organization and Basis of Presentation, for further information regarding interest on debt required to be extinguished, associated with the sale of Alagasco, which was classified to discontinued operations.