reduced the short- and long-term portions of our credit facility to $300.0 million and $450.0 million,
respectively. In July 2002, we renewed the long- and short-term portions of our credit facility respectively, on
substantially the same terms and conditions with the long-term portion expiring in 2007 and the short-term
portion expiring in 2003. The short-term portion of the facility was renewed again in July 2003 and 2004 and
expires in June 2005. Borrowings under the credit facility bear interest at LIBOR-based rates. We use our
operating cash Öow and proceeds from our tax-exempt debt Ñnancings to Ñnance our working capital, capital
expenditures, acquisitions, share repurchases, dividends and other requirements. As of December 31, 2004, we
had $373.4 million available under our credit facility.
In May 1999, we sold $600.0 million of unsecured notes in the public market. $225.0 million of these
notes bore interest at 65/8% per annum and matured in May 2004. The remaining $375.0 million bear interest
at 71/8% per annum and mature in 2009. Interest on the outstanding notes is payable semi-annually in May and
November. The $225.0 million and $375.0 million in notes were oÅered at a discount of $1.0 million and
$.5 million, respectively.
In December 1999, we entered into an operating lease facility established to Ñnance the acquisition of
operating equipment consisting primarily of revenue-producing vehicles. In July 2002, we exercised our right
to purchase the equipment underlying this facility by paying $72.6 million using our excess cash, which was
the balance outstanding under the facility at that time.
In August 2001, we sold $450.0 million of unsecured notes in the public market. The notes bear interest
at 63/4% and mature in 2011. Interest on these notes is payable semi-annually in February and August. The
notes were oÅered at a discount of $2.6 million. Proceeds from the notes were used to repay our revolving
credit facility.
In order to manage risk associated with Öuctuations in interest rates and to take advantage of favorable
Öoating interest rates, we have entered into interest rate swap agreements with investment grade-rated
Ñnancial institutions. The swap agreements have total notional values of $225.0 million and $210.0 million,
respectively, and require our company to pay interest at Öoating rates based upon changes in LIBOR and
receive interest at Ñxed rates of 65/8% and 6 3/4%, respectively. Swap agreements with a notional value of
$225.0 million matured in May 2004, and agreements with a notional value of $210.0 million mature in
August 2011.
At December 31, 2004, we had $527.3 million of tax-exempt bonds and other tax-exempt Ñnancings
outstanding of which approximately $65.5 million were obtained during Ñscal 2004. Borrowings under these
bonds and other Ñnancings bear interest based on Ñxed or Öoating interest rates at the prevailing market
ranging from 2% to 51/4% at December 31, 2004 and have maturities ranging from 2005 to 2037. As of
December 31, 2004, we had $119.0 million of restricted cash related to proceeds from tax-exempt bonds and
other tax-exempt Ñnancings. This restricted cash will be used to fund capital expenditures under the terms of
the agreements.
On February 16, 2005, we commenced an oÅer to the holders of our 71/8% unsecured notes due 2009 to
exchange up to $275.0 million aggregate principal amount of such notes for a like principal amount of new
notes due 2035. This oÅering is conditioned upon receiving valid tenders of at least $175.0 million of the
aggregate principal of existing notes. These new notes will bear interest at a rate equal to the sum of: (a) the
bid side yield on the 5.375% U.S. Treasury Note due February 15, 2031, calculated on the second business day
prior to the expiration date of our exchange oÅering, and (b) 130 basis points. The total exchange price for the
old notes is intended to result in a yield to maturity on the settlement date equal to the sum of: (a) the bid-