Notes Payable and Long-Term Debt
At February 1, 2014, the carrying value and maturities of our debt portfolio were as follows:
|
| | | | | |
Debt Maturities | February 1, 2014 |
(dollars in millions) | Rate (a) |
| Balance |
|
Due 2014-2018 | 4.5 | % | $ | 4,232 |
|
Due 2019-2023 | 4.0 |
| 2,215 |
|
Due 2024-2028 | 6.7 |
| 252 |
|
Due 2029-2033 | 6.5 |
| 769 |
|
Due 2034-2038 | 6.8 |
| 2,740 |
|
Due 2039-2043 | 4.0 |
| 1,470 |
|
Total notes and debentures | 5.1 |
| 11,678 |
|
Swap valuation adjustments | |
| 53 |
|
Capital lease obligations | |
| 1,971 |
|
Less: Amounts due within one year | |
| (1,080 | ) |
Long-term debt | |
| $ | 12,622 |
|
| |
(a) | Reflects the weighted average stated interest rate as of year-end. |
|
| | | | | | | | | | | | | | | |
Required Principal Payments (millions) | 2014 |
| 2015 |
| 2016 |
| 2017 |
| 2018 |
|
Total required principal payments | $ | 1,001 |
| $ | 27 |
| $ | 751 |
| $ | 2,251 |
| $ | 201 |
|
Concurrent with the sale of our U.S. consumer credit card receivables portfolio, we repaid $1.5 billion of nonrecourse debt collateralized by credit card receivables (the 2006/2007 Series Variable Funding Certificate). We also used $1.4 billion of proceeds from the transaction to repurchase, at market value, an additional $970 million of debt during the first quarter of 2013.
We periodically obtain short-term financing under our commercial paper program, a form of notes payable.
|
| | | | | | | | | |
Commercial Paper (dollars in millions) | 2013 |
| 2012 |
| 2011 |
|
Maximum daily amount outstanding during the year | $ | 1,465 |
| $ | 970 |
| $ | 1,211 |
|
Average amount outstanding during the year | 408 |
| 120 |
| 244 |
|
Amount outstanding at year-end | 80 |
| 970 |
| — |
|
Weighted average interest rate | 0.13 | % | 0.16 | % | 0.11 | % |
In October 2011, we entered into a five-year $2.25 billion revolving credit facility, which was amended in 2013 to extend the expiration date to October 2018. No balances were outstanding at any time during 2013 or 2012.
In June 2012, we issued $1.5 billion of unsecured fixed rate debt at 4.0% that matures in July 2042. Proceeds from this issuance were used for general corporate purposes.
Substantially all of our outstanding borrowings are senior, unsecured obligations. Most of our long-term debt obligations contain covenants related to secured debt levels. In addition to a secured debt level covenant, our credit facility also contains a debt leverage covenant. We are, and expect to remain, in compliance with these covenants, which have no practical effect on our ability to pay dividends.
