Indebtedness

12 Months Ended

Sep. 28, 2019

We maintain short-term line of credit facilities with banks throughout the world that are principally demand lines subject to revision by the banks.

Long-term debt consists of:



	September 28, 2019			September 29, 2018
U.S. revolving credit facility	$	395,712		$	430,000
SECT revolving credit facility	7,000			—
Senior notes	300,000			300,000
Securitization program	130,000			130,000
Obligations under capital leases	679			918
Senior debt	833,391			860,918
Less deferred debt issuance cost	(158		)	(1,717		)
Less current installments	(249		)	(365		)
Long-term debt	$	832,984		$	858,836

On October 15, 2019, we amended and restated our U.S. revolving credit facility, which now matures on October 15, 2024. Previously, the revolving credit facility was to mature on June 28, 2021. Our amended and extended U.S. revolving credit facility has a capacity of $1,100,000 and provides an expansion option, which permits us to request an increase of up to $400,000 to the credit facility upon satisfaction of certain conditions. The credit facility is secured by substantially all of our U.S. assets. The loan agreement contains various covenants which, among others, specify interest coverage and maximum leverage. We are in compliance with all covenants. The weighted-average interest rate on the majority of the outstanding credit facility borrowings is 3.68% and is based on LIBOR plus the applicable margin, which was 1.63% at September 28, 2019.

The SECT has a revolving credit facility with a borrowing capacity of $35,000, maturing on July 26, 2022. Interest is based on LIBOR plus an applicable margin of 2.13%. A commitment fee is also charged based on a percentage of the unused amounts available and is not material.

At September 28, 2019, we had $300,000 principal amount of 5.25% senior notes due December 1, 2022 with interest paid semiannually on June 1 and December 1 of each year. The senior notes are unsecured obligations, guaranteed on a senior unsecured basis by certain subsidiaries and contain normal incurrence-based covenants and limitations such as the ability to incur additional indebtedness, pay dividends, make other restricted payments and investments, create liens and certain corporate acts such as mergers and consolidations. The effective interest rate for these notes after considering the amortization of deferred debt issuance costs is 5.73%.

The Securitization Program was extended on October 16, 2019 and matures on October 29, 2021 and effectively increases our borrowing capacity by up to $130,000. Previously, the Securitization Program was to mature on October 30, 2020. Under the Securitization Program, we sell certain trade receivables and related rights to an affiliate, which in turn sells an undivided variable percentage ownership interest in the trade receivables to a financial institution, while maintaining a subordinated interest in a portion of the pool of trade receivables. Interest for the Securitization Program is 2.86% at September 28, 2019 and is based on 30-day LIBOR plus an applicable margin. A commitment fee is also charged based on a percentage of the unused amounts available and is not material. The agreement governing the Securitization Program contains restrictions and covenants which include limitations on the making of certain restricted payments, creation of certain liens, and certain corporate acts such as mergers, consolidations and sale of substantially all assets. The Securitization Program has a minimum borrowing requirement equal to the lesser of either 80% of our borrowing capacity or 100% of our borrowing base, which is a subset of the trade receivables sold under this agreement. As of September 28, 2019, our minimum borrowing requirement was $104,000.

Maturities of long-term debt are:



	2020		2021		2022		2023		2024		Thereafter
Long-term debt maturities	$	249	$	214	$	137,141	$	300,064	$	11	$	395,712

At September 28, 2019, we had pledged assets with a net book value of $1,641,952 as security for long-term debt.

At September 28, 2019, we had $708,779 of unused short and long-term borrowing capacity, including $669,838 from the U.S. revolving credit facility.

Commitment fees are charged on some of these arrangements and on the U.S. revolving credit facility based on a percentage of the unused amounts available and are not material.