LONG-TERM DEBT AND OTHER BORROWING ARRANGEMENTS

6 Months Ended

Apr. 25, 2021

LONG-TERM DEBT AND OTHER BORROWING ARRANGEMENTS

Long-term Debt consists of:


(in thousands)	April 25, 2021		October 25, 2020
Senior Unsecured Notes, with Interest at 1.800%, Interest Due Semi-annually through June 2030 Maturity Date	$	1,000,000	$	1,000,000
Senior Unsecured Notes, with Interest at 4.125%, Interest Due Semi-annually through April 2021 Maturity Date	—		250,000
Unamortized Discount on Senior Notes	(2,494)		(2,630)
Unamortized Debt Issuance Costs	(7,565)		(7,979)
Finance Lease Liabilities	56,861		61,030
Other Financing Arrangements	3,016		3,206
Total	1,049,818		1,303,627
Less: Current Maturities of Long-term Debt	9,333		258,691
Long-term Debt - Less Current Maturities	$	1,040,486	$	1,044,936

The Company repaid its $250.0 million senior unsecured notes upon maturity in April 2021.

On June 11, 2020, the Company issued senior notes in an aggregate principal amount of $1.0 billion, due June 11, 2030. The notes bear interest at a fixed rate of 1.800% per annum, with interest paid semi-annually in arrears on June 11 and December 11 of each year, commencing December 11, 2020. The notes may be redeemed in whole or in part at any time at the applicable redemption price set forth in the prospectus supplement. If a change of control triggering event occurs, the Company must offer to purchase the notes at a purchase price equal to 101% of their principal amount, plus accrued and unpaid interest, if any, to the date of purchase.

As of April 25, 2021, the Company had a $400.0 million unsecured revolving line of credit, which was scheduled to mature in June 2021. As of April 25, 2021, and October 25, 2020, the Company had no outstanding draws from this line of credit.

The Company is required by certain covenants in its debt agreements to maintain specified levels of financial ratios and financial position. As of April 25, 2021, the Company was in compliance with all of these covenants.

Activities Subsequent to the End of the Quarter: The Company entered several financing arrangements subsequent to the end of the second quarter. Proceeds are intended to be used to fund a portion of the pending acquisition of the Planters® snack nuts business and for general corporate purposes.

On May 6, 2021, the Company entered into an unsecured revolving credit agreement with Wells Fargo Bank, National Association as Administrative Agent, Swingline Lender and Issuing Lender, U.S. Bank National Association, JPMorgan Chase Bank, N.A. and BofA Securities, Inc. as Syndication Agents and the lenders party thereto. In connection with entering the revolving credit agreement, the Company terminated its existing credit facility that was entered into on June 24, 2015. The revolving credit agreement provides for an unsecured revolving credit facility with an aggregate principal commitment amount at any time outstanding of up to $750.0 million with an uncommitted increase option of an additional $375.0 million upon the satisfaction of certain conditions. Extensions of credit under the facility may be made in the form of revolving loans, swingline loans and letters of credit. The lending commitments under the agreement are scheduled to expire on May 6, 2026, at which time the Company will be required to pay in full all obligations then outstanding.

On May 6, 2021, the Company also entered into an unsecured term loan agreement with Wells Fargo Bank, National Association as administrative agent and lender. This agreement provides for an unsecured term loan facility with a single term loan in a principal amount not to exceed $300.0 million. The lending commitments under the term loan agreement are scheduled to expire on May 5, 2022, at which time the Company will be required to pay in full all obligations then outstanding.

On May 25, 2021, the Company entered into an underwriting agreement with several investment banks providing for the issuance and sale of securities as outlined below. The issuance and sale of the notes is scheduled to be completed on June 3, 2021, subject to customary closing conditions.


Senior Unsecured Notes
(in millions)	Aggregate Principal		Interest Rate		Interest Payments
Scheduled Maturity
2024 (1)	$	950	0.65	%	Semi-annual
2028 (2) (3)	750		1.70	%	Semi-annual
2051 (2) (3)	600		3.05	%	Semi-annual
Total Issuance	$	2,300

(1) Notes include the option to redeem in whole or in part one year after their issuance.

(2) Notes include the option to redeem in whole at any time or in part from time to time.

(3) Interest rate risk was hedged utilizing interest rate locks. The Company lifted the corresponding hedges in conjunction with the issuance of the notes. See Note F - Derivatives and Hedging for additional details.