Windstream 2009 Annual Report Download - page 166

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
4. Goodwill and Other Intangible Assets, Continued:
Amortization expense for intangible assets subject to amortization was $80.9 million in 2009, $51.9 million in
2008 and $51.3 million in 2007. Amortization expense for intangible assets subject to amortization is estimated to
be $91.1 million, $81.8 million, $74.2 million, $60.3 million and $53.0 million in 2010, 2011, 2012, 2013 and
2014, respectively.
5. Debt:
Long-term debt was as follows at December 31:
(Millions) 2009 2008
Issued by Windstream Corporation:
Senior secured credit facility, Tranche A – variable rates, due
July 17, 2011 (a) $ 114.4 $ 283.3
Senior secured credit facility, Tranche A2 – variable rates, due
July 17, 2013 (a) 168.9 -
Senior secured credit facility, Tranche B – variable rates, due
July 17, 2013 (a) 289.8 1,379.0
Senior secured credit facility, Tranche B2 – variable rates, due
December 17, 2015 (a) 1,075.3 -
Senior secured credit facility, Revolving line of credit – variable rates, due
July 17, 2011 and July 17, 2013 (a) (b) - 150.0
Debentures and notes, without collateral:
2016 Notes – 8.625%, due August 1, 2016 (d) 1,746.0 1,746.0
2017 Notes – 7.875%, due November 1, 2017 (c) (d) 1,100.0 -
2013 Notes – 8.125%, due August 1, 2013 (d) 800.0 800.0
2019 Notes – 7.000%, due March 15, 2019 (d) 500.0 500.0
Issued by subsidiaries of the Company:
Valor Telecommunications Enterprises LLC and Valor Telecommunications
Finance Corp. – 7.75%, due February 15, 2015 (d) (e) 400.0 400.0
Windstream Holdings of the Midwest, Inc. – 6.75%, due April 1, 2028 (d) (e) 100.0 100.0
Debentures and notes, without collateral:
Windstream Georgia Communications LLC – 6.50%,
due November 15, 2013 40.0 50.0
Teleview, LLC – 7.00%, due January 2, 2010 - 0.3
Discount on long-term debt, net of premiums (39.2) (26.1)
6,295.2 5,382.5
Less current maturities (23.8) (24.3)
Total long-term debt $ 6,271.4 $ 5,358.2
Weighted average interest rate 7.7% 7.7%
Weighted maturity 6.3 years 6.3 years
(a) In the fourth quarter of 2009, Windstream received the consent of lenders to an amendment and restatement
of its $2.1 billion senior secured credit facility, Among other things, the amendment extended the maturity
profile of the indebtedness, required a 100 to 125 basis point increase in the interest rate on the extended
portion of the debt and modified certain covenants to increase flexibility for acquisitions. The revolving
credit agreement was also extended, as discussed further below.
(b) Windstream has a $500.0 million unsecured line of credit under a revolving credit agreement. Of the
available credit, $152.4 million expires July 17, 2011 and $347.6 million expires July 17, 2013. Letters of
credit are deducted in determining the total amount available for borrowing under the revolving credit
agreement. Accordingly, the total amount outstanding under the letters of credit and the indebtedness
incurred under the revolving credit agreement may not exceed $500.0 million. At December 31, 2009, the
amount available for borrowing under the revolving credit agreement was $491.8 million.
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