ADT 2011 Annual Report Download - page 234

TYCO INTERNATIONAL LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
14. Financial Instruments (Continued)
As of September 24, 2010
($ in millions) Level 1 Level 2 Total
Available-for-Sale Securities:
Corporate debt securities ......................... $— $ 60 $ 60
U.S. Government debt securities ................... 95 122 217
Other debt securities ............................ — 6 6
Total ......................................... $95 $188 $283
During 2011 and 2010, the Company did not have any significant transfers within the fair value
hierarchy.
Other
The Company had $2.9 billion and $3.0 billion of intercompany loans designated as permanent in
nature as of September 30, 2011 and September 24, 2010, respectively. For the years ended
September 30, 2011, September 24, 2010 and September 25, 2009 the Company recorded $16 million of
cumulative translation gain, $24 million of cumulative translation loss and nil, respectively, through
accumulated other comprehensive loss related to these loans.
15. Commitments and Contingencies
The Company has facility, vehicle and equipment leases that expire at various dates through the
year 2027. Rental expense under these leases was $367 million, $375 million and $386 million for 2011,
2010 and 2009, respectively. The Company also has facility and equipment commitments under capital
leases. Following is a schedule of minimum lease payments for non-cancelable leases as of
September 30, 2011 ($ in millions):
Operating Capital
Leases Leases
2012 ............................................. $228 $ 4
2013 ............................................. 179 4
2014 ............................................. 133 5
2015 ............................................. 105 6
2016 ............................................. 62 8
Thereafter ......................................... 143 30
$850 $ 57
Less: amount representing interest ....................... 1
Total minimum lease payments .......................... $56
The Company also has purchase obligations related to commitments to purchase certain goods and
services. As of September 30, 2011, such obligations were as follows: $492 million in 2012, $32 million
in 2013, $5 million in 2014 and $1 million in 2015.
2011 Financials 131