SANDRIDGE ENERGY INCSD

SANDRIDGE ENERGY INC Debt Disclosure

10-KFiled Mar 10, 20222 min read
Long-Term Debt
Long-term debt consists of the following (in thousands):
December 31,
20212020
2020 Credit Facility - Term Loan$— $20,000 
Long-term debt$— $20,000 

Credit Facility. On November 30, 2020 the Company entered into the $30 million 2020 Credit Facility with a related party and affiliate of Icahn Enterprises, as Lender and Icahn Agency Services LLC, as administrative agent (the “New Administrative Agent”). The 2020 Credit Facility consisted of a $10.0 million revolving loan facility and a $20 million term loan facility.

The 2020 Credit Facility replaced the Company’s 2017 Credit Facility, dated February 10, 2017, as amended which was terminated effective November 30, 2020 and otherwise would have matured on April 1, 2021. The Company used the $20.0 million term loan proceeds to repay the $12.0 million outstanding on the 2017 Credit Facility on November 30, 2020.

On September 2, 2021, the Company repaid its $20.0 million, term loan in full and terminated all commitments and obligations under the 2020 Credit Facility. The Company’s payment to the Lender under the Credit Agreement satisfied all of the Company’s remaining term debt and revolving debt obligations. The Company did not incur any early termination penalties as a result of the repayment of indebtedness or termination of the Credit Agreement. The 2020 Credit Facility would have matured on November 30, 2023.

At December 31, 2021, the Company did not have any term or revolving debt obligations and as of December 31, 2020, the Company had a $20.0 million term loan outstanding under the 2020 Credit Facility.

During the year ended December 31, 2021, the weighted average interest rate paid for borrowings outstanding under the 2020 Credit Facility was approximately 2.6%. During the year ended December 31, 2020, the weighted average interest rate paid for borrowings outstanding under both the outstanding 2017 Credit Facility and the 2020 Credit Facility was approximately 3.2%.

As a result of the termination of the 2020 Credit Facility, the company does not have any covenants to maintain.

During the year ended December 31, 2021, the Company paid a related party, an affiliate of Icahn Enterprises, $0.4 million of interest expense which is included on the Interest expense, net line item on the Consolidated Statement of Operations. During the year ended December 31, 2020, the Company paid a related party, an affiliate of Icahn Enterprises, an immaterial amount of interest expense which is included on the Interest expense, net line item on the Consolidated Statement of Operations. The total outstanding balance of the 2020 Credit facility is recorded in long-term debt on the consolidated balance sheet as of December 31, 2020.

Historical Timeline

Fiscal YearFiled
2021Mar 10, 2022Showing above
2020Mar 4, 2021
2019Feb 27, 2020
2018Mar 5, 2019
2017Feb 22, 2018
2016Mar 3, 2017
2015Mar 30, 2016

About Debt Disclosures

Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.

Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.

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