Subsequent Events Subsequent Events (Notes)

6 Months Ended

Apr. 02, 2016

Subsequent Events [Abstract]

Subsequent Events [Text Block]

15. Subsequent Events

Contingent Earn-Out Payment

The ThingWorx contingent earn-out second year payment criteria were attained in the first quarter of fiscal 2016. As such, the remaining $9 million of the total contingent consideration was paid on April 6, 2016.

Debt Offering

On May 2, 2016, we commenced an offering of $500 million of senior notes due 2024. On May 4, 2016, we priced the notes at a coupon rate of 6.000%, and we expect to complete the offering on May 12, 2016. Interest will accrue from May 12, 2016, and will be payable twice a year with the first payment due on November 15, 2016. We will use the net proceeds from the sale of the notes to repay a portion of the amounts outstanding under our senior credit facility.

We expect to incur approximately $6.7 million of fees and expenses in connection with the offering including underwriting discounts and commissions and estimated offering expenses. These costs will be deferred and amortized to expense over the life of the debt.