Tanger Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Debt of the Operating Partnership

Debt of the Operating Partnership

3 Months Ended

Mar. 31, 2017

Tanger Properties Limited Partnership [Member]

The debt of the Operating Partnership consisted of the following (in thousands):



				As of				As of
				March 31, 2017				December 31, 2016
	Stated Interest Rate(s)		Maturity Date	Principal		Book Value⁽¹⁾		Principal		Book Value⁽¹⁾
Senior, unsecured notes:
Senior notes	6.125	%	June 2020	$	300,000	$	298,351	$	300,000	$	298,226
Senior notes	3.875	%	December 2023	250,000		245,577		250,000		245,425
Senior notes	3.750	%	December 2024	250,000		247,145		250,000		247,058
Senior notes	3.125	%	September 2026	350,000		344,733		350,000		344,600

Mortgages payable:
Atlantic City ⁽²⁾	5.14%-7.65%		November 2021- December 2026	39,733		42,449		40,471		43,286
Foxwoods	LIBOR + 1.55%		December 2017	70,250		69,993		70,250		69,902
Southaven	LIBOR + 1.75%		April 2018	59,277		59,016		59,277		58,957
Unsecured term loan	LIBOR + 0.95%		April 2021	325,000		322,575		325,000		322,410
Unsecured lines of credit	LIBOR + 0.90%		October 2019	72,350		69,622		61,000		58,002
				$	1,716,610	$	1,699,461	$	1,705,998	$	1,687,866


(1)	Including premiums and net of debt discount and debt origination costs.


(2)	The effective interest rate assigned during the purchase price allocation to the Atlantic City mortgages assumed during the acquisition in 2011 was 5.05%.

Certain of our properties, which had a net book value of approximately $323.1 million at March 31, 2017, serve as collateral for mortgages payable. We maintain unsecured lines of credit that provide for borrowings of up to $520.0 million. The unsecured lines of credit include a $20.0 million liquidity line and a $500.0 million syndicated line. The syndicated line may be increased up to $1.0 billion through an accordion feature in certain circumstances. As of March 31, 2017, letters of credit totaling approximately $6.3 million were issued under the lines of credit.

We provide guarantees to lenders for our joint ventures which include standard non-recourse carve out indemnifications for losses arising from items such as but not limited to fraud, physical waste, payment of taxes, environmental indemnities, misapplication of insurance proceeds or security deposits and failure to maintain required insurance. For construction and term loans, we may include a guaranty of completion as well as a principal guaranty ranging from 5% to 100% of principal. The principal guarantees include terms for release or reduction based upon satisfactory completion of construction and performance targets including occupancy thresholds and minimum debt service coverage tests. As of March 31, 2017, the maximum amount of joint venture debt guaranteed by the Company was $28.0 million.

The unsecured lines of credit and senior unsecured notes include covenants that require the maintenance of certain ratios, including debt service coverage and leverage, and limit the payment of dividends such that dividends and distributions will not exceed funds from operations, as defined in the agreements, for the prior fiscal year on an annual basis or 95% of funds from operations on a cumulative basis. As of March 31, 2017, we were in compliance with all of our debt covenants.

Debt Maturities

Maturities of the existing long-term debt as of March 31, 2017 for the next five years and thereafter are as follows (in thousands):



Calendar Year	Amount
2017	$	72,520
2018	62,460
2019	75,719
2020	303,566
2021	330,793
Thereafter	871,552
Subtotal	1,716,610
Net discount and debt origination costs	(17,149		)
Total	$	1,699,461