Debt and Credit Agreements

3 Months Ended

Mar. 31, 2022

Debt Disclosure [Abstract]

Debt and Credit Agreements

Debt and Credit Agreements

On February 22, 2022, the Company amended its Senior Credit Facilities to reset the levels of the net debt to consolidated adjusted EBITDA ratio covenant. As a result of this amendment, the net debt to consolidated adjusted EBITDA ratio covenant was set at 5.75 for the quarter ending March 31, 2022, and then decreases quarterly by 0.25 until reaching 4.00 for the quarter ending December 31, 2023 and thereafter. In addition, upon closing on the divestiture of the former Harsco Rail Segment, the net debt to consolidated adjusted EBITDA ratio covenant will decrease by an additional 0.25, provided, however, it will not go below 4.00.

During the three months ended March 31, 2022 and 2021, the Company recognized total expenses of $0.5 million and $5.3 million, respectively, related to the amended Senior Secured Credit Facilities in the caption Unused debt commitment fees, amendment fees and loss on extinguishment of debt on the Condensed Consolidated Statements of Operations.

Long-term debt consists of the following:

(In thousands)	March 31 2022		December 31 2021
Senior Secured Credit Facilities:
New Term Loan	$	496,250	$	497,500
Revolving Credit Facility	434,000		362,000
5.75% Notes, due July 31, 2027	500,000		500,000
Other financing payable (including finance leases) in varying amounts	27,047		28,389
Total debt obligations	1,457,297		1,387,889
Less: deferred financing costs	(17,534)		(18,217)
Total debt obligations, net of deferred financing costs	1,439,763		1,369,672
Less: current maturities of long-term debt	(17,379)		(10,226)
Long-term debt	$	1,422,384	$	1,359,446