What is the total amount of new debt financing announced in this filing?

The company announced two main debt issuances totaling $200 million ($125 million with Prudential and $75 million with New York Life). Additionally, there is an uncommitted shelf facility with Prudential that could allow for up to $175 million in future debt issuances.

What will the proceeds from these debt issuances be used for?

The net proceeds from both the Prudential and New York Life financings are intended for general corporate purposes, which includes repaying amounts outstanding under the company's revolving credit facility.

What are the key terms of the debt issued under the Prudential Agreement?

The Prudential Agreement includes $50 million of 3.32% Senior Notes due July 21, 2021, and $75 million of 3.76% Senior Notes due July 21, 2024. Both have fixed interest rates and can be prepaid with a make-whole amount. The obligations are guaranteed by certain IDEXX subsidiaries.

What are the key terms of the debt issued under the NYL Agreement?

The NYL Agreement is for $75 million of 3.72% Senior Notes due in twelve years (expected 2026), to be issued at par. This issuance is subject to closing conditions and expected to close in September 2014. It also includes prepayment options with a make-whole amount and is guaranteed by certain IDEXX subsidiaries.

IDXX 8-K: Material Agreements & Financial Events

Summary

IDEXX LABORATORIES INC /DE (IDXX) filed an 8-K on July 24, 2014, reporting two material definitive agreements related to debt financing. On July 21, 2014, the company entered into a Note Purchase and Private Shelf Agreement with Prudential Investment Management, Inc. ("Prudential") to issue and sell $125 million in senior notes: $50 million of 3.32% Series A Senior Notes due 2021 and $75 million of 3.76% Series B Senior Notes due 2024. These proceeds are intended for general corporate purposes, including repaying amounts under its revolving credit facility. The agreement also includes an uncommitted shelf facility for up to an additional $175 million in senior notes over three years. Additionally, on July 22, 2014, IDEXX entered into a Note Purchase Agreement with New York Life Insurance Company and its affiliates to issue and sell $75 million of 3.72% Senior Notes due 2026, expected to close in September 2014. Proceeds from this issuance will also be used for general corporate purposes, including revolving credit facility repayment. Both agreements contain customary covenants and provide for guarantees from certain IDEXX subsidiaries.

Key Highlights

1IDEXX secured $125 million in senior notes financing through a private placement with Prudential Investment Management, Inc.
2The financing includes $50 million in 3.32% notes due 2021 and $75 million in 3.76% notes due 2024.
3An additional uncommitted shelf facility with Prudential allows for up to $175 million in future senior note issuances over three years.
4IDEXX also entered into an agreement with New York Life Insurance Company for an additional $75 million in 3.72% senior notes due 2026, expected to close in September 2014.
5Proceeds from both financing arrangements are earmarked for general corporate purposes, including the repayment of outstanding amounts under the company's revolving credit facility.
6Both agreements contain standard covenants and financial covenants, including a consolidated leverage ratio test.
7Certain IDEXX subsidiaries are providing unconditional guarantees for the notes issued under these agreements.

IDEXX LABORATORIES INC /DE 8-K Report, Material Agreement (Jul 25, 2014)

Summary

Key Highlights

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