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74
NOTE 10. Long-Term Debt and Short-Term Borrowings
The following debt tables reflect interest rates, including the effects of interest rate swaps, as of December 31, 2011.
Long-term debt and short-term borrowings as of December 31 consisted of the following:
Long-Term Debt
(Millions)
Description / 2011 Principal Amount
Currency/
Fixed vs.
Floating
Effective
Interest
Rate
Final
Maturity
Date 2011 2010
Eurobond (775 million Euros) ....... Euro Fixed 4.30 % 2014
$ 1,017 $ 1,055
Medium-term note ($1 billion) ....... USD Fixed 1.62 % 2016
992
—
Medium-term note ($850 million) .... USD Fixed 4.42 % 2013
849 849
Medium-term note ................. USD Floating — %
—
—
806
30-year bond ($750 million) ......... USD Fixed 5.73 % 2037
747 747
Medium-term note ($500 million) .... USD Fixed 4.67 % 2012
500 500
Eurobond (250 million Euros) ....... Euro Floating 1.92 % 2014
347 357
30-year debenture ($330 million) .... USD Fixed 6.01 % 2028
348 349
Convertible notes ................. USD Fixed — %
—
—
226
Japan borrowing .................. JPY Floating — %
—
—
142
Canada borrowing ................ CAD Floating — %
—
—
101
Floating rate note ($97 million) ...... USD Floating 0.22 % 2041
97 100
Floating rate note ($59 million) ...... USD Floating 0.20 % 2044
59 60
Other borrowings ................. Various 0.70 % 2012-2040
91 76
Total long-term debt ............... $ 5,047 $ 5,368
Less: current portion of long-term debt 563 1,185
Long-term debt (excluding current portion) $ 4,484 $ 4,183
Short-Term Borrowings and Current Portion of Long-Term Debt
(Millions)
Effective
Interest Rate 2011 2010
Current portion of long-term debt ............................................ 4.19 % $ 563 $ 1,185
U.S. dollar commercial paper .................................................. —
—
—
Other borrowings ..................................................................... 4.93 % 119 84
Total short-term borrowings and current portion of long-term debt
$ 682 $ 1,269
The following weighted-average effective interest rate table reflects the combined effects of interest rate and
currency swaps at December 31, 2011 and 2010.
Weighted-Average Effective Interest Rate
Total
At December 31 2011 2010
Short-term .................................................. 4.32 % 2.41 %
Long-term ................................................... 3.76 % 4.22 %
Maturities of long-term debt for the five years subsequent to December 31, 2011 are as follows (in millions):
2012 2013 2014 2015 2016 After 2016 Total
$ 563 $ 927 $ 1,463 $ 2 $ 995 $ 1,097 $ 5,047
Long-term debt payments due in 2012 include $59 million of floating rate notes. The floating rate notes are classified
as current portion of long-term debt as the result of put provisions associated with these debt instruments. As a result
of put provisions, long-term debt payments due in 2013 include floating rate notes totaling $73 million (included in
other borrowings in the long-term debt table), and in 2014 include floating rate notes totaling $97 million.
The floating rate notes contain put provisions granting the holders the option to require 3M to repurchase the
securities on certain dates. Under the terms of the floating rate notes due in 2044, holders have an annual put
feature. 3M would be required to repurchase these securities at a discount to par ranging from 98 percent to 99
percent up until 2013, and at 100 percent of par value from 2014 and every anniversary thereafter until final maturity.