

	2018			2017
Bank credit agreement:
Term Loan A-1, due April 9, 2018	$	—		$	117,370
Term Loan A-2, due July 31, 2021	95,892			113,327
Term Loan B, due January 3, 2024	1,342,600			1,356,300
Senior unsecured notes:
5.375% Notes, due April 1, 2021	600,000			600,000
6.125% Notes, due October 1, 2022	500,000			500,000
5.625% Notes, due August 1, 2024	550,000			550,000
5.875% Notes, due March 15, 2026	350,000			350,000
5.125% Notes, due February 15, 2027	400,000			400,000
Debt of variable interest entities	25,281			29,614
Debt of non-media subsidiaries	19,577			25,238
Capital leases	29,562			31,696
Capital leases - affiliate	12,524			14,152
Total outstanding principal	3,925,436			4,087,697
Less: Deferred financing costs and discount	(32,981		)	(39,047		)
Less: Current portion	(40,634		)	(159,382		)
Less: Capital leases - affiliate, current portion	(1,930		)	(1,667		)
Net carrying value of long-term debt	$	3,849,891		$	3,887,601



	Notes and Bank Credit Agreement			Capital Leases			Capital Leases - Affiliate			Total
2019	$	38,065		$	5,110		$	2,978		$	46,153
2020	36,631			4,847			3,093			44,571
2021	682,363			4,861			3,046			690,270
2022	521,871			4,744			2,441			529,056
2023	14,663			4,819			2,319			21,801
2024 and thereafter	2,589,757			18,754			2,290			2,610,801
Total minimum payments	3,883,350			43,135			16,167			3,942,652
Less: Deferred financing costs and discount	(32,981		)	—			—			(32,981		)
Less: Amount representing future interest	—			(13,573		)	(3,643		)	(17,216		)
Net carrying value of debt	$	3,850,369		$	29,562		$	12,524		$	3,892,455

Interest expense on the consolidated statements of operations was $292.0 million, $212.3 million, and $211.1 million for the years ended December 31, 2018, 2017, and 2016, respectively. Interest expense included $7.5 million, $7.7 million, and $10.8 million in amortization of deferred financing costs and debt discount for the years ended December 31, 2018, 2017, and 2016, respectively, and $78.5 million in ticking fees and the write-off of previously capitalized debt issuance costs associated with the Tribune acquisition which was subsequently terminated, for the year ended December 31, 2018.



		Weighted Average Effective Rate
	Stated Rate	2018	2017
Bank credit agreement:
Term Loan A-2 (a)	LIBOR plus 2.25%	4.12%	3.30%
Term Loan B	LIBOR plus 2.25%	4.34%	3.32%
Revolver (b)	LIBOR plus 2.00%	—%	—%
Senior unsecured notes:
5.375% Notes	5.38%	5.58%	5.58%
6.125% Notes	6.13%	6.31%	6.31%
5.625% Notes	5.63%	5.83%	5.83%
5.875% Notes	5.88%	6.09%	6.09%
5.125% Notes	5.13%	5.33%	5.33%

We capitalized $0.9 million, $0.5 million, and $2.0 million as deferred financing costs during the years ended December 31, 2018, 2017, and 2016, respectively. Deferred financing costs and original issuance discounts are presented as a direct deduction from the carrying amount of an associated debt liability, except for deferred financing costs related to our Revolver which are presented within other assets in our consolidated balance sheets.

Upon issuance, all of our senior unsecured notes were redeemable up to 35%. We may redeem 100% of the notes upon the date set forth in the indenture of each note. The price at which we may redeem the notes is set forth in the indenture of each note. Also, if we sell certain of our assets or experience specific kinds of changes of control, the holders of our notes may require us to repurchase some or all of the outstanding notes.

We have a syndicated credit facility which includes both revolving credit and issued term loans (Bank Credit Agreement). During the year ended December 31, 2017, the Bank Credit Agreement was amended to provide additional operational flexibility. On January 3, 2017, we entered into an amendment to extend the maturity date of the Term Loan B from April 9, 2020 and July 31, 2021 to January 3, 2024. In connection with this extension we added additional operating flexibility, including a reduction in certain pricing terms related to Term Loan B and the Revolver and revisions to certain covenant ratio requirements. We incurred approximately $11.6 million of financing costs in connection with the amendment, of which $3.4 million related to an original issuance discount, $7.7 million was expensed, $0.5 million was capitalized as a deferred financing cost, and $1.4 million of unamortized deferred financing cost was written off as loss on extinguishment of debt.

Our Bank Credit Agreement, as well as indentures governing our outstanding notes, contains covenants that, among other things, restrict our ability and our subsidiaries’ ability to incur additional indebtedness with certain exceptions; pay dividends; incur liens, engage in mergers or consolidations; make acquisitions, investments or disposals; and engage in activities with affiliates. In addition, under the Bank Credit Agreement, we are required to maintain a ratio of First Lien Indebtedness. See Note 9. Common Stock for further details. As of December 31, 2018, we were in compliance with all financial ratios and covenants.

Our Bank Credit Agreement also contains certain cross-default provisions with certain material third-party licensees, defined as any party that owns the license assets of one or more television stations for which we provided services pursuant to LMAs and/

or other outsourcing agreements and those stations provide 20% or more of our aggregate broadcast cash flows. A default by a material third-party licensee under our agreements with such parties, including a default caused by insolvency, would cause an event of default under our Bank Credit Agreement. As of December 31, 2018, there were no material third party licensees as defined in our Bank Credit Agreement.

We jointly, severally, unconditionally, and irrevocably guarantee $76.5 million and $74.0 million of debt of certain third parties as of December 31, 2018 and 2017, respectively, of which $24.4 million and $29.3 million, net of deferred financing costs, related to consolidated VIEs is included on our consolidated balance sheets as of December 31, 2018 and 2017, respectively. These guarantees primarily relate to the debt of Cunningham as discussed under Cunningham Broadcasting Corporation within Note 13. Related Person Transactions. The credit agreements and term loans of these VIEs each bear interest of LIBOR plus 2.50%. The weighted average effective interest rate for the debt of variable interest entities for the years ended December 31, 2018 and 2017 was 4.87% and 3.59%, respectively. We have determined that as of December 31, 2018 and 2017, it is not probable that we would have to perform under any of these guarantees.

Debt of our consolidated subsidiaries related to our non-media private equity investments and real estate ventures is non-recourse to us. Interest was paid on this debt at a fixed 3.88% during 2018. The weighted average effective interest rate for the debt of other non-media subsidiaries for the years ended December 31, 2018 and 2017 was 3.94% and 4.31%, respectively.