>
Switch to:

Assurant Long-Term Debt & Capital Lease Obligation

: $2,202 Mil (As of Sep. 2021)
View and export this data going back to 2004. Start your Free Trial

Long-Term Debt & Capital Lease Obligation is the debt and capital lease obligation due more than 12 months in the future. Assurant's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2021 was $2,202 Mil.

Warning Sign:

Assurant Inc has been issuing new debt. Over the past 3 years, it issued USD 544.8 million of debt. But overall, its debt level is acceptable.

LT-Debt-to-Total-Asset is a measurement representing the percentage of a corporation's assets that are financed with loans and financial obligations lasting more than one year. The ratio provides a general measure of the financial position of a company, including its ability to meet financial requirements for outstanding loans. It is calculated as a company's Long-Term Debt & Capital Lease Obligation divides by its Total Assets. Assurant's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2021 was $2,202 Mil. Assurant's Total Assets for the quarter that ended in Sep. 2021 was $33,625 Mil. Assurant's LT-Debt-to-Total-Asset for the quarter that ended in Sep. 2021 was 0.07.

Assurant's LT-Debt-to-Total-Asset increased from Sep. 2020 (0.05) to Sep. 2021 (0.07). It may suggest that Assurant is progressively becoming more dependent on debt to grow their business.


Assurant Long-Term Debt & Capital Lease Obligation Historical Data

The historical data trend for Assurant's Long-Term Debt & Capital Lease Obligation can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Assurant Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Long-Term Debt & Capital Lease Obligation
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1,067.00 1,068.20 2,006.00 2,006.90 2,252.90

Assurant Quarterly Data
Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21
Long-Term Debt & Capital Lease Obligation Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2,008.60 2,252.90 2,203.70 2,550.50 2,201.90

Assurant Long-Term Debt & Capital Lease Obligation Calculation

Long-Term Debt is the debt due more than 12 months in the future. The debt can be owed to banks or bondholders. Some companies issue bonds to investors and pay interest on the bonds.

Long-Term Capital Lease Obligation represents the total liability for long-term leases lasting over one year. It's amount equal to the present value (the principal) at the beginning of the lease term less lease payments during the lease term.

The interest paid on companies' debt is reflected in the income statement as interest expense. If a company has too much debt and it cannot serve the interest payment on the debt or repay the matured debt, the company risks bankruptcy. Peter Lynch famously said: A company that does not have debt cannot go bankrupt.

A company's long term debt may have different dates of maturity and interest rates, depending on the terms.

Usually a company issues long term debt to pay for its capital expenditures. Borrowing allows the company to do things that otherwise cannot be done with only the capital it has. But debt can be risky.


Assurant  (NYSE:AIZ) Long-Term Debt & Capital Lease Obligation Explanation

LT-Debt-to-Total-Asset is a measurement representing the percentage of a corporation's assets that are financed with loans and financial obligations lasting more than one year. The ratio provides a general measure of the financial position of a company, including its ability to meet financial requirements for outstanding loans. A year-over-year decrease in this metric would suggest the company is progressively becoming less dependent on debt to grow their business.

Assurant's LT-Debt-to-Total-Asset ratio for the quarter that ended in Sep. 2021 is calculated as:

LT-Debt-to-Total-Asset (Q: Sep. 2021 )=Long-Term Debt & Capital Lease Obligation (Q: Sep. 2021 )/Total Assets (Q: Sep. 2021 )
=2201.9/33624.8
=0.07

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Buffett says that durable competitive advantages carry little to no long-term debt because the company is so profitable that even expansions or acquisitions are self financed.

We are interested in long term debt load for the last ten years. If the ten years of operation show little to no long term debt, then the company has some kind of strong competitive advantage.

Warren Buffett's historic purchases indicate that on any given year, the company should have sufficient yearly net earnings to pay all long term within 3 or 4 year earnings period. (e.g. Coke + Moody's = 1yr)

Companies with enough earning power to pay long term debt in less than 3 or 4 years is a good candidate in our search for long term competitive advantage.

BUT, these companies are targets for leveraged buy outs, which saddles the business with long term debt.

If all else indicates the company has a moat, but it has ton of debt, a leveraged buyout may have created the debt. In these cases the company's bonds offer the better bet, in that the company’s earnings power is focused on paying off the debt and not growth.

Important: little or no long term debt often means a Good Long Term Bet


Assurant Long-Term Debt & Capital Lease Obligation Related Terms

Thank you for viewing the detailed overview of Assurant's Long-Term Debt & Capital Lease Obligation provided by GuruFocus.com. Please click on the following links to see related term pages.


Assurant Business Description

Assurant logo
Industry
Financial Services » Insurance NAICS : 524298 SIC : 6411
Traded in Other Exchanges
Address
55 Broadway, Suite 2901, New York, NY, USA, 10006
Assurant Inc offers a range of property-casualty, health, employee benefit, and warranty insurance to a client base made up of individuals and institutions. The company has four reportable segments namely Global Housing, Global Lifestyle, Global Preneed and Total Corporate and Other. Global Housing segment provides lender-placed homeowners, manufactured housing, flood insurance, and other related products, Global Lifestyle provides mobile device protection and related services, Global Preneed is engaged in providing pre-funded funeral insurance and annuity products whereas Total Corporate and others includes activities related to holding company primarily related to the company's frozen benefit plans. It generates a majority of its revenue from the Global Lifestyle Segment.
Executives
Dirienzo Dimitry officer: SVP, CAO, Controller C/O ASSURANT, INC. 28 LIBERTY ST. 41 F. NEW YORK NY 10005
Mergelmeyer Gene officer: EVP, COO ASSURANT, INC. 28 LIBERTY ST. 41 FLOOR NEW YORK NY 10005
Dziadzio Richard S officer: EVP and CFO C/O ALLIANCE CAPITAL 1345 AVENUE OF THE AMERICAS NEW YORK NY 10105
Luthi Francesca officer: EVP, CAO 1180 NORTH TOWN CENTER DRIVE SUITE 100 LAS VEGAS NV 89144
Rosenblum Jay officer: EVP and CLO C/O ASSURANT, INC. 28 LIBERTY ST, 41ST FL. NEW YORK NY 10005
Carter J Braxton Ii director C/O T-MOBILE US, INC. 12920 SE 38TH STREET BELLEVUE WA 98006
Jackson Lawrence V director C/O ASSURANT, INC., 28 LIBERTY ST., 41 F NEW YORK NY 10005
Redzic Ognjen director C/O ASSURANT, INC. 28 LIBERTY STREET, 41ST FL. NEW YORK NY 10005
Stein Robert W director ASSURANT, INC. ONE CHASE MANHATTAN PLAZA, 41 FL. NEW YORK NY 10005
Cento Juan director ASSURANT, INC. ONE CHASE MANHATTAN PLAZA, 41 FL. NEW YORK NY 10005
Alves Paget Leonard director SPRINT NEXTEL 6200 SPRINT PARKWAY KSOPHF0410 - 4A403 OVERLAND PARK KS 66251
Perry Debra J director 515 RIDGEWOOD AVENUE GLEN RIDGE NJ 07028
Rosen Elaine director PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> Ownership Information: ROSEN ELAINE a.header:link {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:visited {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:hover {color: #191970;}
Edelman Harriet director PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> Ownership Information: EDELMAN HARRIET a.header:link {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:visited {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:hover {color: #191970;}
Reilly Paul J director C/O ASSURANT, INC. 28 LIBERTY STREET, 41ST FL. NEW YORK NY 10005

Assurant Headlines

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)