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Subsequent Event
9 Months Ended
Oct. 31, 2013
Subsequent Event

14. Subsequent Event

As discussed in Note 4, on November 4, 2013, the Company entered into an additional amendment of its Credit Agreement, which among other things waived the covenants for the three months ending October 31, 2013, and provided the Company with adjusted, favorable financial covenants.

On November 12, 2013, the Company issued $110.0 million in aggregate principal amount of the Company’s 4.25% Convertible Senior Notes due 2018 in a private offering to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended. The Company received the proceeds net of the Initial Purchaser’s discount and commission from the Convertible Notes Offering in the amount of $106.4 million. As of November 15, 2013, the Company had paid the outstanding balance of the Credit Agreement in full. The balance of the proceeds received from the Convertible Notes Offering were used to pay the additional fees associated with the transaction and other working capital needs. With the pay down on the outstanding balance of the Credit Agreement, the amount available for borrowing under on this facility is approximately $71.5 million (the $150 million of commitments under the Credit Agreement less outstanding letters of credit of $28.5 million and the $50.0 million of required minimum liquidity). The Purchase Agreement also included an option to purchase up to an additional $15.0 million aggregate principal amount of Notes. On December 5, 2013, the Initial Purchaser exercised this option, which generated proceeds net of the Initial Purchaser’s discount and commission in the amount of $14.6 million. The Company used these proceeds primarily as an increase in cash on hand. See Note 4 for additional information.