Quarterly report pursuant to Section 13 or 15(d)

Borrowings

 v2.3.0.11
Borrowings
 6 Months Ended
Aug. 31, 2011
Borrowings [Abstract]  
BORROWINGS
10.     BORROWINGS:
          Borrowings consist of the following:
                                 
                            February 28,  
    August 31, 2011     2011  
    Current     Long-term     Total     Total  
(in millions)                                
Notes Payable to Banks
                               
Senior Credit Facility –
                               
Revolving Credit Loans
  $ 189.8     $ -     $ 189.8     $ 74.9  
Other
    8.2       -       8.2       8.8  
 
                       
 
  $ 198.0     $ -     $ 198.0     $ 83.7  
 
                       
 
                               
Long-term Debt
                               
Senior Credit Facility – Term Loans
  $ 0.9     $ 825.7     $ 826.6     $ 1,228.0  
Senior Notes
    -       1,894.2       1,894.2       1,893.6  
Other Long-term Debt
    12.8       14.8       27.6       31.0  
 
                       
 
  $ 13.7     $ 2,734.7     $ 2,748.4     $ 3,152.6  
 
                       
          Senior credit facility –
          The Company and certain of its U.S. subsidiaries, JPMorgan Chase Bank, N.A. as a lender and administrative agent, and certain other agents, lenders, and financial institutions are parties to a credit agreement, as amended (the “2006 Credit Agreement”). The 2006 Credit Agreement provides for aggregate credit facilities of $3,842.0 million, consisting of (i) a $1,200.0 million tranche A term loan facility with an original final maturity in June 2011, fully repaid as of February 28, 2011, (ii) a $1,800.0 million tranche B term loan facility, of which $1,500.0 million has a final maturity in June 2013 (the “2013 Tranche B Term Loans”) and $300.0 million has a final maturity in June 2015 (the “2015 Tranche B Term Loans”), and (iii) an $842.0 million revolving credit facility (including a sub-facility for letters of credit of up to $200.0 million), of which $192.0 million terminated in June 2011 and $650.0 million terminates in June 2013 (the “2013 Revolving Facility”). The Company uses its revolving credit facility under the 2006 Credit Agreement for general corporate purposes.
          As of August 31, 2011, following the prepayment of $400.0 million of the tranche B term loan facility during the first quarter of fiscal 2012, under the 2006 Credit Agreement, the Company had outstanding 2013 Tranche B Term Loans of $624.7 million bearing an interest rate of 1.8%, 2015 Tranche B Term Loans of $201.9 million bearing an interest rate of 3.0%, 2013 Revolving Facility of $189.8 million bearing an interest rate of 2.7%, outstanding letters of credit of $12.8 million, and $447.4 million in revolving loans available to be drawn.
          As of August 31, 2011, the required principal repayments of the tranche B term loan facility for the remaining six months of fiscal 2012 and for each of the four succeeding fiscal years are as follows:
         
    Tranche B  
    Term Loan  
    Facility  
(in millions)        
2012
  $ -  
2013
    314.1  
2014
    314.1  
2015
    99.7  
2016
    98.7  
 
     
 
  $ 826.6  
 
     
          Through February 28, 2010, the Company had outstanding interest rate swap agreements which were designated as cash flow hedges of $1,200.0 million of the Company’s floating LIBOR rate debt. The designated cash flow hedges fixed the Company’s interest rates on $1,200.0 million of the Company’s floating LIBOR rate debt through February 28, 2010. In addition, the Company had offsetting undesignated interest rate swap agreements with an absolute notional amount of $2,400.0 million outstanding as of February 28, 2010. On March 1, 2010, the Company paid $11.9 million in connection with the maturity of these outstanding interest rate swap agreements, which is reported in other, net in cash flows from operating activities in the Company’s Consolidated Statements of Cash Flows. In June 2010, the Company entered into a new five year delayed start interest rate swap agreement effective September 1, 2011, which was designated as a cash flow hedge for $500.0 million of the Company’s floating LIBOR rate debt. Accordingly, the Company fixed its interest rates on $500.0 million of the Company’s floating LIBOR rate debt at an average rate of 2.9% (exclusive of borrowing margins) through September 1, 2016. The Company did not reclassify any amount from AOCI to interest expense, net on its Consolidated Statements of Operations for the six months and three months ended August 31, 2011, and August 31, 2010.