ADT 2009 Annual Report Download - page 215

TYCO INTERNATIONAL LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
11. Related Party Transactions (Continued)
States District Court for the Southern District of New York. Both the felony charge and the civil action
were brought against Mr. Walsh based on such payment. The felony charge accused Mr. Walsh of
intentionally concealing information concerning the payment from Tyco’s directors and shareholders
while engaged in the sale of Tyco securities in the State of New York. The SEC action alleged that
Mr. Walsh knew that the registration statement covering the sale of Tyco securities as part of the CIT
Group acquisition contained a material misrepresentation concerning fees payable in connection with
the acquisition. Pursuant to the plea and settlement, Mr. Walsh paid $20 million in restitution to Tyco
on December 17, 2002. Our claims against Mr. Walsh are still pending.
12. Debt
Debt as of September 25, 2009 and September 26, 2008 is as follows ($ in millions):
2009 2008
Commercial paper(1) ......................................... $ 200 $ 116
364-day senior bridge loan facility due 2008 ........................ — —
6.125% public notes due 2008(2) ................................. — 300
6.125% public notes due 2009(2) ................................. — 215
6.75% public notes due 2011 ................................... 516 516
6.375% public notes due 2011 .................................. 849 849
Revolving senior credit facility due 2011 ........................... — —
Revolving senior credit facility due 2012 ........................... — 286
6.0% public notes due 2013 .................................... 655 655
8.5% public notes due 2019 .................................... 750 —
7.0% public notes due 2019 .................................... 434 435
6.875% public notes due 2021 .................................. 716 717
7.0% public notes due 2028 .................................... 14 16
6.875% public notes due 2029 .................................. 21 23
Other(1)(2) ................................................. 119 136
Total debt ................................................. 4,274 4,264
Less current portion ......................................... 245 555
Long-term debt ............................................. $4,029 $3,709
(1) Commercial paper, plus $45 million of the amount shown as other, comprise the current portion of long-term debt as of
September 25, 2009.
(2) These instruments, plus $40 million of the amount shown as other, comprise the current portion of long-term debt as of
September 26, 2008.
The carrying amount of Tyco’s debt subject to the fair value disclosure requirements as of
September 25, 2009 was $4,155 million. The Company has determined the fair value of such debt to be
$4,578 million as of September 25, 2009. The Company utilizes various valuation methodologies to
determine the fair value of its debt which is primarily dependent on the type of market in which the
Company’s debt is traded. When available, the Company uses quoted market prices to determine the
fair value of its debt which is traded in active markets. As of September 25, 2009, the fair value of the
2009 Financials 123