LONG-TERM DEBT AND OTHER FINANCING ARRANGEMENTS (Tables)

3 Months Ended

Mar. 31, 2020

Debt Disclosure [Abstract]

Schedule of Debt

Summary

	March 31, 2020			December 31, 2019
Long-term debt	$	576,436		$	590,777
Other credit facilities and finance leases	14,792			16,332
Total long-term debt and other financing arrangements	591,228			607,109
Less: current maturities	(6,655		)	(6,836		)
Total non-current long-term debt and other financing arrangements	$	584,573		$	600,273

Schedule of Long-term Debt Instruments

Our long-term debt comprised the following at March 31, 2020 and December 31, 2019:

	Carrying Amount				Fair Value
	March 31, 2020		December 31, 2019		March 31, 2020		December 31, 2019
2021 Euro Loan	$	66,021	$	67,683	$	61,824	$	68,120
2023 Euro Loan	510,415		523,094		455,765		529,303
	$	576,436	$	590,777	$	517,589	$	597,423

Total long-term debt and credit facilities comprised the following at March 31, 2020:

	Principal Amount of Liability Component		Debt Issuance Costs (1)			Net Carrying Amount
2021 Euro Loan	$	66,103	$	(82	)	$	66,021
2023 Euro Loan	513,617		(3,202		)	510,415
2023 Revolving Credit Facility	—		—			—
Total long-term debt and credit facilities	$	579,720	$	(3,284	)	$	576,436

⁽¹⁾ 

Debt issuance costs related to the 2021 Euro Loan, the 2023 Euro Loan and the 2023 Revolving Credit Facility (each as defined below) are being amortized on a straight-line basis, which approximates the effective interest method, over the life of the respective instruments. Debt issuance costs related to the 2023 Revolving Credit Facility are classified as non-current assets in our condensed consolidated balance sheet

Schedule of Guarantor Obligations

We pay Guarantee Fees to Warner Media based on the amounts outstanding on the Euro Loans calculated on a per annum basis based on our consolidated net leverage as defined in the Reimbursement Agreement, which among other adjustments, takes into consideration cash balances up to US$ 75.0 million for the purposes of the net leverage calculation. The Guarantee Fee rates applicable to our Euro Loans are shown in the tables below:

All-in Rate

Consolidated Net Leverage				2021 Euro Loan		2023 Euro Loan
≥	7.0x			6.00	%	6.50	%
<	7.0x	-	6.0x	5.00	%	5.50	%
<	6.0x	-	5.0x	4.25	%	4.75	%
<	5.0x	-	4.0x	3.75	%	4.25	%
<	4.0x	-	3.0x	3.25	%	3.75	%
<	3.0x			3.25	%	3.50	%

, the following spreads were applicable:

Consolidated Net Leverage				Alternate Base Rate Loans		Eurodollar Loans
≥	7.0x			5.25	%	6.25	%
<	7.0x	-	6.0x	4.25	%	5.25	%
<	6.0x	-	5.0x	3.50	%	4.50	%
<	5.0x	-	4.0x	3.00	%	4.00	%
<	4.0x	-	3.0x	2.50	%	3.50	%
<	3.0x			2.25	%	3.25	%

Schedule of Interest Rate Summary

Interest Rate Summary

	Base Rate			Rate Fixed Pursuant to Interest Rate Hedges			Guarantee Fee Rate		All-in Borrowing Rate
2021 Euro Loan	1.28	%		0.47	%		1.50	%	3.25	%
2023 Euro Loan	1.28	%		0.28	%	(1)	1.94	%	3.50	%
2023 Revolving Credit Facility (if drawn)	4.70	%	(2)	—	%		—	%	4.70	%

⁽¹⁾  Effective until February 19, 2021. From February 19, 2021 through maturity on April 26, 2023, the rate fixed pursuant to interest rate hedges will increase to 0.97%, with a corresponding decrease in the Guarantee Fee rate, such that the all-in borrowing rate remains 3.50% if our net leverage ratio remains unchanged.

⁽²⁾ 

Based on the three-month LIBOR of 1.45% as at March 31, 2020.

Credit Facilities And Capital Lease Obligations

Cash Pooling

We have a cash pooling arrangement with Bank Mendes Gans (“BMG”), a subsidiary of ING Bank N.V., which enables us to receive credit throughout the group in respect of cash balances which our subsidiaries deposit with BMG. Cash deposited by our subsidiaries with BMG is pledged as security against the drawings of other subsidiaries up to the amount deposited. As at March 31, 2020, we had deposits of US$ 51.4 million in and no drawings on the BMG cash pool. Interest is earned on deposits at the relevant money market rate. As at December 31, 2019, we had deposits of US$ 11.6 million in and no drawings on the BMG cash pool.

Factoring Arrangements

Under a factoring framework agreement with Factoring Česka spořitelna a.s., up to CZK 475.0 million (approximately US$ 19.0 million) of receivables from certain customers in the Czech Republic may be factored on a recourse or non-recourse basis. The facility has a factoring fee of 0.19% of any factored receivable and bears interest at one-month PRIBOR plus 0.95% per annum for the period that receivables are factored and outstanding.

Under a factoring framework agreement with Factoring KB, a.s., certain receivables in the Czech Republic may be factored on a non-recourse basis. The facility has a factoring fee of 0.11% of any factored receivable and bears interest at one-month PRIBOR plus 0.95% per annum for the period that receivables are factored and outstanding up to a maximum of 60 days from the due date.

Maturity Of Senior Debt And Credit Facility

At March 31, 2020, the maturity of our long-term debt and credit facilities was as follows:

2020	$	—
2021	66,103
2022	—
2023	513,617
2024	—
2025 and thereafter	—
Total long-term debt and credit facilities	579,720
Debt issuance costs	(3,284		)
Carrying amount of long-term debt and credit facilities	$	576,436