v3.25.2
Senior Notes
6 Months Ended
Jun. 30, 2025
Debt Disclosure [Abstract]  
SENIOR NOTES SENIOR NOTES
The carrying value of our 4.25% senior notes due 2029 (the “Senior Notes”) is reflected on our Consolidated Balance Sheets as follows (in thousands):
June 30, 2025December 31, 2024
Principal amount$400,000 $400,000 
Debt discount, net of accumulated amortization of $2,126 and $1,848, respectively
(2,374)(2,652)
Debt issuance costs, net of accumulated amortization of $605 and $526, respectively
(672)(751)
Carrying value of the Senior Notes$396,954 $396,597 
At June 30, 2025, the fair value of the Senior Notes, which are Level 2 measurements, was $378.3 million.
The Senior Notes were issued under an indenture, dated as of May 13, 2021 (the “Indenture”), among the Company, the Subsidiary Guarantors and Wilmington Trust, National Association, as trustee. The Senior Notes are unsecured, senior obligations and are fully and unconditionally guaranteed on a senior unsecured basis, jointly and severally by each of the Subsidiary Guarantors. The Senior Notes mature on May 15, 2029, unless earlier redeemed or purchased and bear interest at 4.25% per year, which is payable semi-annually in arrears on May 15 and November 15 of each year, beginning on November 15, 2021.
The Indenture contains restrictive covenants limiting our ability and our Restricted Subsidiaries (as defined in the Indenture) to, among other things, incur additional indebtedness or issue certain preferred shares, create liens on certain assets to secure debt, pay dividends or make other equity distributions, purchase or redeem capital stock, make certain investments, sell assets, agree to certain restrictions on the ability of Restricted Subsidiaries to make payments to us, consolidate, merge, sell or otherwise dispose of all or substantially all assets, or engage in transactions with affiliates. The Indenture also contains customary events of default.
The interest expense and amortization of debt discount and debt issuance costs related to our Senior Notes are as follows (in thousands):
Three months ended June 30,Six months ended June 30,
2025202420252024
Senior Notes interest expense4,250 4,250 $8,500 $8,500 
Senior Notes amortization of debt discount140 134 278 266 
Senior Notes amortization of debt issuance costs40 38 79 76 
The debt discount and the debt issuance costs are being amortized using the effective interest method over the remaining term of approximately 47 months of the Senior Notes. The effective interest rates on the unamortized debt discount and the unamortized debt issuance costs for the Senior Notes for both the three and six months ended June 30, 2025 and 2024 were 4.42% and 4.30%, respectively.