10. Senior Notes

On May 7, 2008, we issued $275 million of Senior Notes in a private placement to a group of institutional investors (the “2008 Senior Notes”). The 2008 Senior Notes were issued in four series as follows:


Series	Amount	Interest Rate			Maturity Date
A	$41 million		6.37	%		May 7, 2013
B	$40 million		6.37	%		May 7, 2015
C	$63 million		6.71	%		May 7, 2015
D	$131 million		7.18	%		May 7, 2018

On July 14, 2010, we issued $245 million of Senior Notes in a private placement to a group of institutional investors (the “2010 Senior Notes” and, with the 2008 Senior Notes, the “Senior Notes”). The 2010 Senior Notes were issued in four series as follows:


Series	Amount	Interest Rate			Maturity Date
E	$60 million		4.72	%		July 14, 2016
F	$72 million		5.04	%		July 14, 2017
G	$28 million		5.42	%		July 14, 2019
H	$85 million		5.59	%		July 14, 2020

We are required to pay the entire unpaid principal balances of each note series on its maturity date except for Series B notes, which required annual principal payments of $8.0 million starting on May 7, 2011 and ending on May 7, 2015. The Series A note matured on May 7, 2013 and the entire $41 million principal balance was repaid. The Senior Notes require interest payments semi-annually and also include certain restrictive covenants. As of September 30, 2013, we were in compliance with all financial covenants which include the maintenance of consolidated net debt to consolidated EBITDA ratio and a fixed charge coverage ratio. The issuance of the Senior Notes also required us to make certain covenants typical of unsecured facilities.

The following table presents the principal amounts, carrying amounts, and fair values for our Senior Notes at September 30, 2013 and 2012:


	September 30, 2013						September 30, 2012
	Principal		Carrying Amounts		Fair Value		Principal		Carrying Amounts		Fair Value
	(In thousands)						(In thousands)
May 2008 $275 million Senior Notes	$	210,000	$	210,000	$	221,393	$	259,000	$	259,000	$	275,201
July 2010 $245 million Senior Notes	$	245,000	$	245,000	$	241,035	$	245,000	$	245,000	$	243,866

We measure the fair value of our Senior Notes based on Level 2 inputs, which include quoted market prices and interest rate spreads of similar securities.

Future principal payments for the Senior Notes are as follows (in thousands):


Year Ended September 30,
2014	$	8,000
2015		71,000
2016		60,000
2017		72,000
2018		131,000
Thereafter		113,000

Total	$	455,000