Quarterly report pursuant to Section 13 or 15(d)

Debt

 v2.3.0.11
Debt
 6 Months Ended
Jun. 30, 2011
Debt [Abstract]  
Debt
(11) Debt
          Our debt consists of the following:
                         
    Conversion              
    Price     June 30,     December 31,  
    (per share)     2011     2010  
3.25% Convertible Notes due 2011 (a)
  $ 5.30     $ 23,866     $ 191,979  
Less: discount
            (24 )     (515 )
8.75% Senior Notes due 2015 (b)
    N/A       800,000       800,000  
Less: discount
            (11,011 )     (12,213 )
9.75% Senior Secured Notes due 2015 (c)
    N/A       257,000       257,000  
Less: discount
            (9,260 )     (10,116 )
11.25% Senior Secured Notes due 2013 (d)
    N/A       —       36,685  
Less: discount
            —       (1,705 )
13% Senior Notes due 2013 (e)
    N/A       778,500       778,500  
Less: discount
            (49,965 )     (59,592 )
7% Exchangeable Senior Subordinated Notes due 2014 (f)
  $ 1.875       550,000       550,000  
Less: discount
            (6,809 )     (7,620 )
7.625% Senior Notes due 2018 (g)
    N/A       700,000       700,000  
Less: discount
            (11,488 )     (12,054 )
Other debt:
                       
Capital leases
    N/A       4,151       7,229  
 
                   
Total debt
            3,024,960       3,217,578  
Less: total current maturities non-related party
            25,894       195,815  
 
                   
Total long-term
            2,999,066       3,021,763  
Less: related party
            327,296       325,907  
 
                   
Total long-term, excluding related party
          $ 2,671,770     $ 2,695,856  
 
                   
     (a) 3.25% Convertible Notes due 2011
          In October 2004, we issued $230,000 in aggregate principal amount of 3.25% Convertible Notes due October 15, 2011 (the “3.25% Notes”), which are convertible, at the option of the holder, into shares of our common stock at any time at a conversion rate of 188.6792 shares of common stock for each $1,000 principal amount, or $5.30 per share of common stock, subject to certain adjustments. Interest is payable semi-annually on April 15 and October 15 of each year. The obligations under the 3.25% Notes are not secured by any of our assets.
          In 2011, we purchased $168,113 of the outstanding 3.25% Notes at prices between 100.75% and 101% of the principal amount plus accrued interest. We recognized a loss on extinguishment of debt for the 3.25% Notes of $1,212 for the three months ended June 30, 2011 and $2,291 for the six months ended June 30, 2011, which consists primarily of cash premiums paid, unamortized discount and deferred financing fees.
     (b) 8.75% Senior Notes due 2015
          In March 2010, we issued $800,000 aggregate principal amount of 8.75% Senior Notes due 2015 (the “8.75% Notes”). Interest is payable semi-annually in arrears on April 1 and October 1 of each year at a rate of 8.75% per annum. The 8.75% Notes mature on April 1, 2015. The 8.75% Notes were issued for $786,000, resulting in an aggregate original issuance discount of $14,000. Substantially all of our domestic wholly-owned subsidiaries guarantee our obligations under the 8.75% Notes on a senior unsecured basis.
     (c) 9.75% Senior Secured Notes due 2015
          In August 2009, we issued $257,000 aggregate principal amount of 9.75% Senior Secured Notes due September 1, 2015 (the “9.75% Notes”). Interest is payable semi-annually in arrears on March 1 and September 1 of each year at a rate of 9.75% per annum. The 9.75% Notes were issued for $244,292, resulting in an aggregate original issuance discount of $12,708. Substantially all of our domestic wholly-owned subsidiaries guarantee our obligations under the 9.75% Notes. The 9.75% Notes and related guarantees are secured by first-priority liens on substantially all of our assets and the assets of the guarantors.
     (d) 11.25% Senior Secured Notes due 2013
          In June 2009, we issued $525,750 aggregate principal amount of 11.25% Senior Secured Notes due 2013 (the “11.25% Notes”). The 11.25% Notes were issued for $488,398, resulting in an aggregate original issuance discount of $37,352.
          In October 2010, we purchased $489,065 in aggregate principal amount of the 11.25% Notes. The aggregate purchase price for the 11.25% Notes was $567,927. We recorded an aggregate loss on extinguishment of the 11.25% Notes of $85,216, consisting primarily of unamortized discount, deferred financing fees and repayment premium to Loss on extinguishment of debt and credit facilities, net, in our 2010 consolidated statement of operations. The remainder of the 11.25% Notes of $36,685 was purchased in January 2011 for an aggregate purchase price of $40,376. A loss from extinguishment of debt of $4,915 was recorded during the six months ended June 30, 2011.
     (e) 13% Senior Notes due 2013
          In July 2008, we issued $778,500 aggregate principal amount of 13% Senior Notes due 2013 (the “13% Notes”). Interest is payable semi-annually in arrears on February 1 and August 1 of each year at a rate of 13% per annum. The 13% Notes mature on August 1, 2013. Substantially all of our domestic wholly-owned subsidiaries guarantee the obligations under the 13% Notes.
     (f) 7% Exchangeable Senior Subordinated Notes due 2014
          In August 2008, we issued $550,000 aggregate principal amount of 7% Exchangeable Senior Subordinated Notes due 2014 (the “Exchangeable Notes”). The Exchangeable Notes are senior subordinated obligations and rank junior in right of payment to our existing and future senior debt and equally in right of payment with our existing and future senior subordinated debt. Substantially all of our domestic wholly-owned subsidiaries have guaranteed the Exchangeable Notes on a senior subordinated basis.
          Interest is payable semi-annually in arrears on June 1 and December 1 of each year at a rate of 7% per annum. The Exchangeable Notes mature on December 1, 2014. The Exchangeable Notes are exchangeable at any time at the option of the holder into shares of our common stock at an initial exchange rate of 533.3333 shares of common stock per $1,000 principal amount of Exchangeable Notes, which is equivalent to an approximate exchange price of $1.875 per share of common stock.
     (g) 7.625% Senior Notes due 2018
          In October 2010, we issued $700,000 aggregate principal amount of 7.625% Senior Notes due 2018 (the “7.625% Senior Notes”). Interest is payable semi-annually in arrears on May 1 and November 1 of each year, commencing on May 1, 2011, at a rate of 7.625% per annum. A majority of the net proceeds were used to purchase $489,065 aggregate principal amount of the 11.25% Notes. The 7.625% Senior Notes mature on November 1, 2018. Substantially all of our domestic wholly-owned subsidiaries guarantee our obligations under the 7.625% Senior Notes.
     Covenants and Restrictions
          Our debt generally requires compliance with certain covenants that restrict our ability to, among other things, (i) incur additional indebtedness unless our consolidated leverage ratio would be no greater than 6.00 to 1.00 after the incurrence of the indebtedness, (ii) incur liens, (iii) pay dividends or make certain other restricted payments, investments or acquisitions, (iv) enter into certain transactions with affiliates, (v) merge or consolidate with another person, (vi) sell, assign, lease or otherwise dispose of all or substantially all of our assets, and (vii) make voluntary prepayments of certain debt, in each case subject to exceptions.
          Under our debt agreements, the following generally constitute an event of default: (i) a default in the payment of interest; (ii) a default in the payment of principal; (iii) failure to comply with covenants; (iv) failure to pay other indebtedness after final maturity or acceleration of other indebtedness exceeding a specified amount; (v) certain events of bankruptcy; (vi) a judgment for payment of money exceeding a specified aggregate amount; and (vii) voidance of subsidiary guarantees, subject to grace periods where applicable. If an event of default occurs and is continuing, our debt could become immediately due and payable.
          At June 30, 2011, we were in compliance with our debt covenants.