Lamb Weston Holdings, Inc. (NYSE:LW) Q3 2020 Earnings Conference Call - Final Transcript
Apr 01, 2020 • 10:00 am ET
back about $23 million of stock and paid $88 million in dividends to our shareholders.
As Tom mentioned, we believe we have sufficient liquidity to weather the current operating environment, even if there is a prolonged decline in demand. This includes having more than $500 million of cash on hand, after drawing down our revolver last week. We have a strong balance sheet with about $2.2 billion of total debt at the end of the quarter. Our maturity profile is also attractive. We have an approximately $280 million balance on a term loan facility that matures in November of 2021 and an approximately $290 million balance on another facility that matures in June 2024. The mandatory annual amortization on these two loans is about $30 million combined. In addition, we have two $833 million high-yield notes that mature in 2024 and 2026 respectively.
We're also in good shape with respect to our financial covenants. Our first covenant is to maintain debt to EBITDA, including joint ventures, leverage ratio of less than 4.5 times. At the end of the third quarter, we were at 2.4 times. Our second covenant is an EBITDA, including joint ventures, to interest expense ratio of at least 2.75 times. At the end of the quarter, we were at nearly 9 times.
Now, here's Tom for some closing comments.
Thanks Rob. These are difficult times for all of us, and we don't know how long these times will last. But we've faced challenges before and we will always come out stronger on the other side. I hope we were able to provide you with some insight on our priorities and our ability to manage through this crisis. We don't have all the answers, but I'm confident that our entire team will focus on doing our part to keep feeding people around the world. We're closely working with our customers and our suppliers as we continue to navigate through this environment. And because of that, Lamb Weston will continue to be a strong and valued business partner.
Thank you for joining us today. Now, we're ready to take your questions.