SCHN 2017 Annual Report

71 / Schnitzer Steel Industries, Inc. Form 10-K 2017 Accumulated goodwill impairment charges were $471 million as of August 31, 2017 and 2016. The following table presents the Company’s intangible assets as of August 31 (in thousands): 2017 2016 Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net Covenants not to compete $ 6,094 $ (3,140) $ 2,954 $ 6,145 $ (2,791) $ 3,354 Other intangible assets subject to amortization (1) 1,162 (773) 389 1,162 (666) 496 Indefinite-lived intangibles (2) 1,081 — 1,081 1,081 — 1,081 Total $ 8,337 $ (3,913) $ 4,424 $ 8,388 $ (3,457) $ 4,931 _____________________________ (1) Other intangible assets subject to amortization include leasehold interests, permits and licenses. (2) Indefinite-lived intangibles include trade names, permits and licenses, and real property options. Total intangible asset amortization expense was $1 million, $1 million and $2 million for the years ended August 31, 2017, 2016 and 2015, respectively. Amortization expense of less than $1 million was reported within discontinued operations for the year ended August 31, 2015. No amortization expense was reported within discontinued operations for the years ended August 31, 2017 and 2016. Impairments of intangible assets were immaterial for all periods presented. The estimated amortization expense, based on current intangible asset balances, during the next five fiscal years and thereafter is as follows (in thousands): Years Ending August 31, Estimated Amortization Expense 2018 $ 456 2019 303 2020 274 2021 274 2022 273 Thereafter 1,763 Total $ 3,343 Note 7 – Debt Debt consisted of the following as of August 31 (in thousands): 2017 2016 Bank revolving credit facilities, interest at LIBOR plus a spread $ 140,000 $ 180,000 Tax-exempt economic development revenue bonds due January 2021, redeemed and repaid in full in September 2016 — 7,700 Capital lease obligations due through February 2028 4,418 4,053 Other debt obligations 706 765 Total debt 145,124 192,518 Less current maturities (721) (8,374) Debt, net of current maturities $ 144,403 $ 184,144 The Company's senior secured revolving credit facilities, which provide for revolving loans of $335 million and C$15 million mature in April 2021 pursuant to a credit agreement with Bank of America, N.A., as administrative agent, and other lenders party thereto. Subject to the terms and conditions of the agreement, the Company may request that the commitments under the U.S. credit facility be increased by an aggregate amount not exceeding $100 million if certain conditions are met including pre-approval by the lenders and achievement of certain pro forma financial results. As of August 31, 2017 and 2016, borrowings outstanding SCHNITZER STEEL INDUSTRIES, INC. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS