Debt

12 Months Ended

Dec. 31, 2024

Debt Disclosure [Abstract]

Debt

Debt

On November 1, 2024, Skyland, a consolidated subsidiary of the Company as of our acquisition on November 1, 2024, entered into an amended and restated credit agreement (the "Skyland Credit Agreement") with COBANK, ACB and Farm Credit Mid-America, PCA. The Skyland Credit Agreement provides for a three-year $300.0 million revolving credit facility, a five-year $15.0 million revolving term loan facility, and $78.2 million of term notes consisting of several individual tranches of debt, with various payment schedules, and all with maturities of 5 years or less. The proceeds were used to refinance Skyland's existing debt after the acquisition. The $300.0 million revolving credit facility, a five-year $15.0 million revolving term loan facility, and $67.0 million of the term notes will bear interest at variable rates, which are based on the Secured Overnight Financing Rate plus an applicable spread, with the remaining $11.2 million of term notes bearing fixed interest rates between 3.85% - 5.80%. The Skyland Credit Agreement is secured by the assets of Skyland and is non-recourse to the Company.

The capacity of the Company's short-term lines of credit at December 31, 2024 was $2,161.7 million, of which the Company had a total of $1,991.3 million available for borrowing. The Company's borrowing capacity is reduced by a combination of outstanding borrowings and letters of credit. The weighted-average interest rate on short-term borrowings outstanding at December 31, 2024, and 2023, was 7.15% and 7.28%, respectively.

Total interest paid was $31.1 million, $47.0 million, and $56.7 million for the years ended December 31, 2024, 2023, and 2022, respectively.

As of December 31, 2024, and 2023, the estimated fair value of long-term debt, including the current portion, was $635.4 million and $585.1 million, respectively. The Company estimates the fair value of its long-term debt based upon the Company’s credit standing and current interest rates offered by the Company on similar bonds and rates currently available to the Company for long-term borrowings with similar terms and remaining maturities.

As of December 31, 2024, the Company was in compliance with all financial covenants.

Long-Term Debt

	December 31,
(in thousands, except percentages)	2024		2023
Note payable, variable rate (6.01% at December 31, 2024), payable in increasing amounts plus interest, due 2029	$	180,586	$	191,055
Note payable, variable rate (5.88% at December 31, 2024), payable in increasing amounts plus interest, due 2027	121,289		128,320
Note payable, variable rate (6.01% at December 31, 2024), payable in increasing amounts plus interest, due 2031	92,500		97,500
Note payable, 4.50%, payable at maturity, due 2034 (a)	87,818		91,744
Note payable, variable rate (7.56% at December 31, 2024), payable in increasing amounts plus interest, due 2029 (b)	67,000		—
Note payable, 4.85%, payable at maturity, due 2026	25,000		25,000
Industrial revenue bond, variable rate (4.97% at December 31, 2024), payable at maturity, due 2036	21,000		21,000
Note payable, 4.50%, payable at maturity, due 2030	16,000		16,000
Note payable, 5.00%, payable at maturity, due 2040	14,000		14,000
Note payable, 3.85%, payable at maturity, due 2029 (b)	4,500		—
Note payable, 4.80%, payable at maturity, due 2026 (b)	1,499		—
Note payable, 4.11%, payable at maturity, due 2026 (b)	1,378		—
Note payable, 5.80%, payable at maturity, due 2028 (b)	1,088		—
Note payable, 5.60%, payable at maturity, due 2025 (b)	600		—
Note payable, 4.13%, payable at maturity, due 2026 (b)	553		—
Note payable, 4.05%, payable at maturity, due 2026 (b)	439		—
Note payable, 5.40%, payable at maturity, due 2025(b)	93		—
Finance lease obligations, due serially to 2043 (a)	7,880		9,013
Finance lease obligations, due serially to 2029 (b)	3,619		—
	646,842		593,632
Less: current maturities	36,139		27,561
Less: unamortized prepaid debt issuance costs	2,552		3,111
	$	608,151	$	562,960

(a) Debt is collateralized by first mortgages on certain facilities and related equipment or other assets with a book value of $48.8 million.

(b) Debt is non-recourse to the Company and collateralized by substantially all assets of Skyland with a net book value of $133.2 million.

The aggregate annual maturities of long-term debt are as follows: 2025 -- $36.1 million; 2026 -- $63.2 million; 2027 -- $137.1 million; 2028 -- $30.1 million; 2029 -- $194.9 million; and $185.4 million thereafter.