Note 4 - Financing Arrangements

3 Months Ended

Mar. 31, 2013

Debt Disclosure [Text Block]

4.     Financing Arrangements

Outstanding borrowings under our current financing arrangements consist of the following (in millions):

	March 31, 2013			December 31, 2012
Senior revolving line of credit	$	43.7		$	85.8
Senior term loan		150.0			200.0
Senior notes, net of unamortized discount		399.6			399.5
Less current portion of long-term debt		(200.0	)		(100.0	)
Total long-term debt	$	393.3		$	585.3

Senior Revolving Line of Credit

At March 31, 2013, we were authorized to borrow up to $500 million under a senior revolving line of credit, which is supported by a credit agreement with a group of banks and expires in August 2016.  This senior credit facility allows us to request an increase in the total commitment by up to $250 million and to request a one-year extension of the maturity date.  The applicable interest rate under this agreement is based on either the Prime Rate, the Federal Funds Rate or LIBOR, depending upon the specific type of borrowing, plus an applicable margin based on our credit rating and other fees.  At March 31, 2013, we had $43.7 million outstanding at an average interest rate of 1.15% under this agreement.

Senior Term Loan

Our senior term loan at March 31, 2013, consists of an unsecured $150 million variable-rate agreement, which matures in March 2014.  The entire $150 million balance is payable at maturity.  The applicable interest rate under this agreement is based on either the Prime Rate, the Federal Funds Rate or LIBOR, depending upon the specific type of borrowing, plus an applicable margin based on our credit rating and other fees.  At March 31, 2013, the interest rate on this facility was 1.2%.

Senior Notes

Our senior notes consist of two separate issuances.  The first is $150 million of 6.08% senior notes, which mature in July 2014.  We are required to make an installment payment in the amount of $50 million in July 2013, with the remainder due upon maturity.  Interest payments are due semiannually in January and July of each year.  The second is $250 million of 3.375% senior notes, which mature in September 2015, with interest payments due semiannually in March and September of each year.  We have the option to redeem for cash some or all of the notes based on a redemption price set forth in the note indenture.

Our financing arrangements require us to maintain certain covenants and financial ratios.  We were in compliance with all covenants and financial ratios at March 31, 2013.