This work is licensed under a Creative Commons License.
| Entity Registrant Name | CARDINAL HEALTH INC |
| CIK | 0000721371 |
| Accession number | 0000721371-14-000181 |
| Link to XBRL instance | http://www.sec.gov/Archives/edgar/data/721371/000072137114000181/cah-20140630.xml |
| Fiscal year end | --06-30 |
| Fiscal year focus | 2014 |
| Fiscal period focus | FY |
| Current balance sheet date | 2014-06-30 |
| Current year-to-date income statement start date | 2013-07-01 |
| Commentary | Filer provides a narrative for the disclosure, but does not include a text block: Maturities of long-term obligations and other short-term borrowings for fiscal 2015 through 2019 and thereafter are as follows: $801 million, $22 million, $788 million, $561 million, $1 million and $1,799 million. |
| Level 1 (Note level) Text Block concept | us-gaap:DebtDisclosureTextBlock |
Long-Term Obligations and Other Short-Term Borrowings The following table summarizes long-term obligations and other short-term borrowings at June 30:
Maturities of long-term obligations and other short-term borrowings for fiscal 2015 through 2019 and thereafter are as follows: $801 million, $22 million, $788 million, $561 million, $1 million and $1,799 million. Long-Term Debt The 1.7%, 1.9%, 3.2%, 4.0%, 4.6%, 4.625%, 5.8%, 5.85% and 6.0% Notes represent unsecured obligations of Cardinal Health, Inc. The 7.0% and 7.8% Debentures represent unsecured obligations of Allegiance Corporation (a wholly-owned subsidiary), which Cardinal Health, Inc. has guaranteed. None of these obligations are subject to a sinking fund and the Allegiance obligations are not redeemable prior to maturity. Interest is paid pursuant to the terms of the obligations. These notes are effectively subordinated to the liabilities of our subsidiaries, including trade payables of $12.1 billion. In June 2013, we used cash on hand to repay $300 million of our 5.5% Notes that were due on June 15, 2013. In February 2013, we sold in a registered offering $400 million aggregate principal amount of 1.7% Notes that mature on March 15, 2018, $550 million aggregate principal amount of 3.2% Notes that mature on March 15, 2023 and $350 million aggregate principal amount of 4.6% Notes that mature on March 15, 2043. These notes are unsecured obligations and rank equally in right of payment with all of our existing and future unsecured and unsubordinated indebtedness. We used the proceeds to fund a portion of the purchase price of AssuraMed as discussed in Note 2. In May 2012, we sold in a registered offering $250 million aggregate principal amount of 1.9% Notes that mature on June 15, 2017 and $250 million aggregate principal amount of 3.2% Notes that mature on June 15, 2022. These notes are unsecured and unsubordinated obligations and rank equally in right of payment with all of our existing and future unsecured and unsubordinated indebtedness. The 6.0% Notes due 2017, 1.9% Notes due 2017, 1.7% Notes due 2018, 4.625% Notes due 2020, 3.2% Notes due 2022, 3.2% Notes due 2023 and 4.6% Notes due 2043 require us to offer to purchase the notes at 101% of the principal amount plus accrued and unpaid interest, if we have a defined change of control and specified ratings below investment grade by Standard & Poor's Ratings Services, Moody's Investors Service, Inc. and Fitch Ratings. Other Financing Arrangements In addition to cash and equivalents, at June 30, 2014 and 2013, our sources of liquidity include a $1.5 billion revolving credit facility and a commercial paper program of up to $1.5 billion, backed by the revolving credit facility. The revolving credit facility exists largely to support issuances of commercial paper as well as other short-term borrowings for general corporate purposes. On November 6, 2012, we renewed our $950 million committed receivables sales facility program through Cardinal Health Funding, LLC ("CHF") until November 6, 2014. On October 15, 2013, we reduced our committed receivables sales facility program from $950 million to $700 million in light of the Walgreens contract expiration. CHF was organized for the sole purpose of buying receivables and selling undivided interests in those receivables to third-party purchasers. Although consolidated in accordance with GAAP, CHF is a separate legal entity from Cardinal Health and from our subsidiary that sells the receivables to CHF. CHF is designed to be a special purpose, bankruptcy-remote entity whose assets are available solely to satisfy the claims of its creditors. We had no outstanding balance under the revolving credit facility at June 30, 2014 and 2013, except for standby letters of credit of zero and $43 million at June 30, 2014 and 2013, respectively. We had no outstanding borrowings from the commercial paper program at June 30, 2014 and 2013. We had no outstanding balance under the committed receivables sales facility program at June 30, 2014 and 2013, except for standby letters of credit of $41 million and zero at June 30, 2014 and 2013, respectively. Our revolving credit facility and committed receivables sales facility program require us to maintain a consolidated interest coverage ratio, as of any fiscal quarter end, of at least 4-to-1 and a consolidated leverage ratio of no more than 3.25-to-1. As of June 30, 2014, we were in compliance with these financial covenants. We also maintain other short-term credit facilities and an unsecured line of credit that allowed for borrowings up to $369 million and $304 million at June 30, 2014 and 2013, respectively. The $319 million and $190 million balance of other obligations at June 30, 2014 and 2013, respectively, consisted of short-term borrowings and capital leases. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Level 4 (Note level) Text Block concept - Maturities of Long Term Debt | Filer provides maturities in textual form, therefore provides no text block |
Filer provides maturities in textual form, therefore provides no text block |
| Level 4 (Note level) Text Block concept - Debt Instruments | us-gaap:ScheduleOfDebtTableTextBlock |
The following table summarizes long-term obligations and other short-term borrowings at June 30:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Level 4 Details Key Concepts: Long-term Debt Maturities
| Description | Fact value | US GAAP XBRL Concept |
|---|---|---|
| Year 1 (Current portion) | 801,000,000 | us-gaap:LongTermDebtMaturitiesRepaymentsOfPrincipalInNextTwelveMonths |
| Year 2 | 22,000,000 | us-gaap:LongTermDebtMaturitiesRepaymentsOfPrincipalInYearTwo |
| Year 3 | 788,000,000 | us-gaap:LongTermDebtMaturitiesRepaymentsOfPrincipalInYearThree |
| Year 4 | 561,000,000 | us-gaap:LongTermDebtMaturitiesRepaymentsOfPrincipalInYearFour |
| Year 5 | 1,000,000 | us-gaap:LongTermDebtMaturitiesRepaymentsOfPrincipalInYearFive |
| Thereafter | 1,799,000,000 | us-gaap:LongTermDebtMaturitiesRepaymentsOfPrincipalAfterYearFive |
| Total Long-term Debt | 3,972,000,000 | us-gaap:DebtAndCapitalLeaseObligations |
| CHECK | 0 |
(Classified balance sheet) Deferred tax assets (liabilities), net components current/noncurrent asset/liability
| Description | Fact value | US GAAP XBRL Concept |
|---|---|---|
| Current portion | 801,000,000 | us-gaap:LongTermDebtAndCapitalLeaseObligationsCurrent |
| Noncurrent portion | 3,171,000,000 | us-gaap:LongTermDebtAndCapitalLeaseObligations |
| Total Long-Term Debt | 3,972,000,000 | us-gaap:DebtAndCapitalLeaseObligations |
| CHECK | 0 |
This work is licensed under a Creative Commons License.
