Notes Payable and Long-Term Debt

3 Months Ended

Nov. 30, 2018

Notes payable and long-term debt outstanding as of November 30, 2018 and August 31, 2018 are summarized below (in thousands):



	Maturity Date	November 30, 2018		August 31, 2018
5.625% Senior Notes	Dec 15, 2020	$	398,218	$	397,995
4.700% Senior Notes	Sep 15, 2022	497,514		497,350
4.900% Senior Notes	Jul 14, 2023	298,875		298,814
3.950% Senior Notes	Jan 12, 2028	494,362		494,208
Borrowings under credit facilities⁽¹⁾	Nov 8, 2022 and Aug 24, 2020	—		—
Borrowings under loans	Nov 8, 2022 and Aug 24, 2020	824,136		830,332
Total notes payable and long-term debt		2,513,105		2,518,699
Less current installments of notes payable and long-term debt		25,193		25,197
Notes payable and long-term debt, less current installments		$	2,487,912	$	2,493,502


⁽¹⁾	As of November 30, 2018, the Company has $2.3 billion in available unused borrowing capacity under its revolving credit facilities.

Debt Covenants

Borrowings under the Company’s debt agreements are subject to various covenants that limit the Company’s ability to: incur additional indebtedness, sell assets, effect mergers and certain transactions, and effect certain transactions with subsidiaries and affiliates. In addition, the revolving credit facilities and the 4.900% Senior Notes contain debt leverage and interest coverage covenants. The Company is also subject to certain covenants requiring the Company to offer to repurchase the 5.625%, 4.700%, 4.900% or 3.950% Senior Notes upon a change of control. As of November 30, 2018 and August 31, 2018, the Company was in compliance with its debt covenants.

Fair Value

The estimated fair values of the Company’s publicly traded debt, including the 5.625%, 4.700% and 3.950% Senior Notes, were approximately $410.2 million, $503.7 million and $449.5 million, respectively, as of November 30, 2018. The fair value estimates are based upon observable market data (Level 2 criteria). The estimated fair value of the Company’s private debt, the 4.900% Senior Notes, was approximately $299.0 million, as of November 30, 2018. This fair value estimate is based on the Company’s indicative borrowing cost derived from discounted cash flows (Level 3 criteria). The carrying amounts of borrowings under credit facilities and under loans approximate fair value as interest rates on these instruments approximate current market rates.