CAPITALIZATION The following table sets forth our consolidated cash and cash equivalents, short-term investments and consolidated capitalization as of September 30, 2015.
| | | | | (In millions) | September 30, 2015 | Cash and cash equivalents | $ | 1,197.0 |
| Debt: | | HRG Debt: | | HRG Senior Secured Notes due 2019 (1) | $ | 864.4 |
| HRG Senior Notes due 2022(2) | 890.0 |
| Spectrum Brands Debt: | | SBI Term Credit Facility (3) | 1,538.4 |
| SBI Senior Notes (4) (5) (6) | 2,340.0 |
| Other notes and obligations | 11.2 |
| Capital leases and other | 88.2 |
| FGL Debt: | | FGH Notes (7) | 300.0 |
| FGL Credit Agreement (8) | — |
| Compass Debt: | | Credit Agreement (9) | 327.0 |
| Salus Debt: | | Unaffiliated long term debt of consolidated variable interest entity (10) | 40.4 |
| Secured borrowings under non-qualified loan participations (11) | 8.8 |
| Original issuance net premium (discount) on debt | (25.7) |
| Total debt | 6,382.7 |
| Total HRG stockholders’ equity | 586.7 |
| Total capitalization | $ | 6,969.4 |
|
| | (1) | Consists of $700.0 million and $225.0 million aggregate principal amount of 2019 notes that were issued at a price equal to 99.362% and 101.50%, respectively, of the principal amount thereof, net of $320.6 million aggregate principal amount of 2019 notes that were exchanged for $350.0 million aggregate principal amount of 2022 notes, together with $100.0 million of 2019 initial notes and $160.0 million of 2019 initial notes that were issued in April 2015 and May 2015, respectively, that are the 2019 initial notes for which the 2019 exchange notes are being offered. |
| | (2) | In January 2014, HRG issued $200.0 million aggregate principal amount of 2022 notes. In May 2014, HRG exchanged a portion of its outstanding 2019 notes for $350.0 million aggregate principal amount of additional 2022 notes. In September 2014, HRG issued $200.0 million aggregate principal amount of 2022 notes. In May 2015, HRG issued $140.0 million aggregate principal amount of 2022 initial notes that are the 2022 initial notes for which the 2022 exchange notes are being offered. |
| | (3) | On June 23, 2015, SBI entered into term loan facilities pursuant to a Senior Credit Agreement consisting of a $1,450.0 million U.S. dollar denominated term loan facility due June 23, 2022 (the “USD Term Loan”), a $75.0 million CAD term loan due June 23, 2022 (“CAD Term Loan”) and a €300.0 million Euro denominated term loan facility due June 23, 2022 (“Euro Term Loan” and together with “USD Term Loan” and “CAD Term Loan”, the “Term Loans”) and entered into a $500.0 million Revolver Facility due June 23, 2020 (the “Revolver”). The proceeds from the Term Loans and draws on the Revolver were used to repay SBI’s then-existing senior term credit facility, repay SBI’s outstanding 6.75% senior notes due 2020 (the “6.75% Notes”), repay and replace SBI’s then-existing asset based revolving loan facility, and to pay fees and expenses in connection with the refinancing and for general corporate purposes. |
The Term Loans and Revolver are subject to variable interest rates, (i) the USD Term Loan is subject to either adjusted International Exchange London Interbank Offered Rate (“LIBOR”), subject to a 0.75% floor, plus 3.0% per annum, or base rate plus 2.0% per annum, (ii) the CAD Term Loan is subject to either Canadian Dollar Offered Rate (“CDOR”), subject to a 0.75% floor plus 3.5% per annum, or base rate plus 2.5% per annum, (iii) the Euro Term Loan is subject to either Euro Interbank Offered Rate (“EURIBOR”), subject to a 0.75% floor, plus 2.75% per annum, with no base rate option available and (iv) the Revolver is subject to either adjusted LIBOR plus 3.0% per annum, or base rate plus 2.0% per annum.
|
