DEBT

9 Months Ended

Mar. 31, 2020

DEBT

DEBT

5.    DEBT

The Company’s debt as of March 31, 2020 and June 30, 2019 consists of the following:

	As of March 31, 2020						As of June 30, 2019
	Principal		Debt Issuance Costs		Total		Principal		Debt Issuance Costs		Total
		(Amounts in thousands)						(Amounts in thousands)
Revolving credit facility	$	105,000	$	(4,846)	$	100,154	$	220,000	$	(5,446)	$	214,554
Total debt	$	105,000	$	(4,846)	$	100,154	$	220,000	$	(5,446)	$	214,554

Revolving credit facility

On September 20, 2019, the Company entered into a third amendment to our revolving credit facility dated as of June 2, 2017. Under the amendment, the Company’s Swiss subsidiary RGLD Gold was added as a co-borrower and joint and several obligor, certain of the Company’s Canadian subsidiaries were added as guarantors, and certain equity pledges that previously had been granted in favor of the lenders to support the facility were released, with the result that the facility is now unsecured.

As of March 31, 2020, the Company had $105 million outstanding and $895 million available under the revolving credit facility. As of March 31, 2020, the interest rate on borrowings under the revolving credit facility was LIBOR plus 1.10% for an all-in rate of 1.87%. Interest expense, which includes interest on the outstanding borrowings under the revolving credit facility and the amortization of the debt issuance costs, was $1.2 million and $5.0 million for the three and nine months ended March 31, 2020, respectively, and $0.3 million and $0.9 million for the three and nine months ended March 31, 2019, respectively. As discussed in Note 5 to the consolidated financial statements in the Company’s Fiscal 2019 10-K, the Company has financial covenants associated with its revolving credit facility. As of March 31, 2020, the Company was in compliance with each financial covenant.

On April 3, 2020, the Company drew an additional $200 million on its revolving credit facility at an interest rate of LIBOR plus 1.10% for an all-in rate of 2.54%, resulting in a total of $305 million outstanding and $695 million available. There is no immediate requirement for the additional funds. However, due to the uncertain environment caused by the COVID-19 pandemic and the impact on certain operations where we hold a stream or royalty interest, we believe the drawdown was a prudent precautionary measure to help ensure cash is readily available to support continued business activities. We occasionally borrow and repay amounts under our revolving credit facility and may do so in the future.

Royal Gold may repay any borrowings under the revolving credit facility at any time without premium or penalty.