As of the end of the third quarter of fiscal 2013, the Company had approximately $3,230 million of debt outstanding at par, consisting of its ABL facility of $70 million, a senior secured Term Loan of $757 million, $950 million of 9.5% senior secured notes, $520 million of 6.375% senior unsecured notes, $570 million of 6.625% senior unsecured notes, $300 million of 6.75% senior unsecured notes and approximately $63 million of capital leases and other obligations. In addition, the Company had approximately $38 million of letters of credit outstanding.
The Company has made approximately $100 million of payments through July on its term debt and expects to make additional term debt payments in the fourth quarter with its strong free cash flow to reduce term debt by at least $200 million for the year and delever its balance sheet, resulting in leverage (total debt to adjusted EBITDA) of approximately 4.4 times or less at the end of fiscal 2013, prior to any impact of the planned refinancing of its $950 million of 9.5 percent senior secured notes.
Fiscal 2013 Outlook
Including HHI from its December 17, 2012 acquisition date, Spectrum Brands expects fiscal 2013 net sales of between $4,060 million and $4,100 million and adjusted EBITDA of between $640 million and $650 million. Free cash flow, net of HHI acquisition costs, is expected to be approximately $240 million. Fiscal 2013 capital expenditures are projected to be approximately $70 million to $80 million.Conference Call/Webcast Scheduled for 9:00 AM Eastern Time Today Spectrum Brands will host an earnings conference call and webcast at 9:00 a.m. Eastern Time today, August 6. To access the live conference call, U.S. participants may call 877-556-5260 and international participants may call 973-532-4903. The conference ID number is 17711254. A live webcast and related presentation slides will be available by visiting the Event Calendar page in the Investor Relations section of Spectrum Brands’ website at www.spectrumbrands.com. A replay of the live webcast also will be accessible through the Event Calendar page in the Investor Relations section of the Company’s website. A telephone replay of the conference call will be available through Tuesday, August 20. To access this replay, participants may call 855-859-2056 and use the same conference ID number.
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