Debt



	December 31,
(In millions)	2018		2017

Debt:
Short-term borrowings
Restricted cash borrowings (year-end weighted-average interest rate of 0.0% in 2018 and 0.0% in 2017^(a)	$	10.5	27.0
Other (year-end weighted-average interest rate of 10.1% in 2018 and 8.9% in 2017)	18.4		18.2
Total short-term borrowings	$	28.9	45.2

Long-term debt
Bank credit facilities:
Term loan A (year-end effective interest rate of 4.3% in 2018 and 3.3% in 2017 )
less unamortized issuance cost of $1.8 million in 2018 and $2.3 million in 2017	$	466.9	491.4
Senior unsecured notes (year-end effective interest rate of 4.6% in 2018 and 4.6% in 2017 )
less unamortized issuance cost of $8.0 million in 2018 and $8.8 million in 2017	592.0		591.2
Revolving Credit Facility (year-end weighted average interest rate of 4.2% in 2018)	340.0		—
Other primarily non-U.S. dollar-denominated facilities (year-end weighted-
average interest rate of 4.8% in 2018 and 4.4% in 2017)	5.7		12.0
Capital leases (year-end weighted-average interest rate of 4.4% in 2018 and 5.0% in 2017)	120.5		96.9
Total long-term debt	$	1,525.1	1,191.5

Total Debt	$	1,554.0	1,236.7

Included in:
Current liabilities	$	82.4	97.1
Noncurrent liabilities	1,471.6		1,139.6
Total debt	$	1,554.0	1,236.7


(a)	These 2018 and 2017 amounts are for short-term borrowings related to cash borrowed under lending arrangements used in the process of managing customer cash supply chains, which is currently classified as restricted cash and not available for general corporate purposes. See Note 20 for more details.

Long-Term Debt

Senior Secured Credit Facility

In October 2017, we entered into a new senior secured credit facility (the “Senior Secured Credit Facility”) with Wells Fargo Bank, National Association, as administrative agent, consisting of a $1 billion revolving credit facility (the "Revolving Credit Facility") and a $500 million term loan facility (the "Term Loan Facility"). Loans under the Revolving Credit Facility mature five years after the closing date (October 17, 2022) and loans under the Term Loan Facility amortize five percent annually and mature five years after the closing date. Interest rates for the Senior Secured Credit Facility are based on LIBOR plus a margin or an alternate base rate plus a margin. The Revolving Credit Facility allows us to borrow money or issue letters of credit (or otherwise satisfy credit needs) on a revolving basis over the term of the facility. As of December 31, 2018, $660 million was available under the Revolving Credit Facility. The obligations under the Senior Secured Credit Facility are secured by a first-priority lien on all or substantially all of the assets of the Company and certain of its domestic subsidiaries, including a first-priority lien on equity interests of certain of the Company’s direct and indirect subsidiaries. The Company and certain of its domestic subsidiaries also guarantee the obligations under the Senior Secured Credit Facility.

The margin on both LIBOR and alternate base rate borrowings under the Senior Secured Credit Facility is based on the Company’s consolidated net leverage ratio. The margin on LIBOR borrowings, which can range from 1.25% to 2.50%, was 1.75% at December 31, 2018. The margin on alternate base rate borrowings, which can range from 0.25% to 1.50%, was 0.75% as of December 31, 2018. We also pay an annual commitment fee on unused portion the Revolving Credit Facility based on the Company’s consolidated net leverage ratio. The commitment fee, which can range from 0.15% to 0.40%, was 0.25% as of December 31, 2018.

Senior Unsecured Notes

In October 2017, we issued at par ten-year senior unsecured notes (the "Senior Notes") in the aggregate principal amount of $600 million. The Senior Notes will mature on October 15, 2027, bearing an annual interest rate of 4.625%. The Senior Notes are general unsecured obligations guaranteed by certain of the Company’s existing and future U.S. subsidiaries, which are also guarantors under the Senior Secured Credit Facility.

The Senior Notes have not been and will not be registered under the Securities Act of 1933 (the “Securities Act”) or the securities laws of any other jurisdiction and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. The notes were offered in the United States only to persons reasonably believed to be qualified institutional buyers in reliance on the exception from registration set forth in Rule 144A under the Securities Act and outside the United States to non-U.S. persons pursuant to Regulation S under the Securities Act.

The aggregate proceeds from the Senior Secured Credit Facility and the Senior Notes were used in part to repay certain prior indebtedness and certain fees and expenses related to the closing of the transactions. Borrowings were used for working capital needs, capital expenditures, acquisitions and other general corporate purposes.

Letter of Credit and Bank Guarantee Facilities

We have three committed letter of credit facilities totaling $104 million, of which approximately $44 million was available at December 31, 2018. At December 31, 2018, we had undrawn letters of credit and guarantees of $60 million issued under these facilities. The $40 million facility expires in January 2019, the $10 million facility expires in March 2019 and the $54 million facility expires in December 2019.

We have two uncommitted letter of credit facilities totaling $57 million, of which approximately $29 million was available at December 31, 2018. At December 31, 2018, we had undrawn letters of credit of $28 million issued under these facilities. The $17 million facility expires in August 2019 and the $40 million facility expires in September 2019.

The Senior Secured Credit Facility is also available for issuance of letters of credit and bank guarantees.

Minimum repayments of long-term debt are as follows:



(In millions)	Capital leases		Other long-term debt	Total

2019	$	25.1	28.4	53.5
2020	23.5		26.3	49.8
2021	21.7		25.0	46.7
2022	19.7		733.7	753.4
2023	16.2		—	16.2
Later years	14.3		601.0	615.3
Total	$	120.5	1,414.4	1,534.9

The Senior Secured Credit Facility, Senior Notes, the letter of credit facilities and bank guarantee facilities contain various financial and other covenants. The financial covenants, among other things, limit our ability to provide liens, restrict fundamental changes, limit transactions with affiliates and unrestricted subsidiaries, restrict changes to our fiscal year and to organizational documents, limit asset dispositions, limit the use of proceeds from asset sales, limit sale and leaseback transactions, limit investments, limit the ability to incur debt, restrict certain payments to shareholders, limit negative pledges, limit the ability to change the nature of our business, provide for a maximum consolidated net leverage ratio and provide for minimum coverage of interest costs. If we were not to comply with the terms of our various financing agreements, the repayment terms could be accelerated and the commitments could be withdrawn. An acceleration of the repayment terms under one agreement could trigger the acceleration of the repayment terms under the other financing agreements. We were in compliance with all financial covenants at December 31, 2018.

Capital Leases

Property and equipment acquired under capital leases are included in property and equipment as follows:



	December 31,
(In millions)	2018			2017

Asset class:
Buildings	$	2.2		2.2
Vehicles	212.4			175.7
Machinery and equipment	0.7			1.5
	215.3			179.4
Less: accumulated amortization	(91.3		)	(76.4	)
Total	$	124.0		103.0