Amgen 2009 Annual Report Download - page 155

AMGEN INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
Holders of the remaining outstanding 2032 Modified Convertible Notes may, subject to certain conditions,
convert each of their notes based on a conversion rate of 8.8601 shares of our common stock. The conversion
price per share of the convertible notes as of any day will equal the accreted value on that day, divided by the
conversion rate, or $88.01, as of December 31, 2009. If converted, the 2032 Modified Convertible Notes will be
settled in cash for an amount equal to the lesser of the accreted value of the 2032 Modified Convertible Notes at
the conversion date or the conversion value, as defined, and shares of our common stock, if any, to the extent the
conversion value exceeds the amount paid in cash. As of December 31, 2009, these notes were not convertible
and the accreted value exceeded the amount that would have been received upon conversion.
Other
We had $100 million of debt securities outstanding at December 31, 2009 and 2008 with a fixed interest rate
of 8.125% due in 2097.
Shelf registration statements and other facilities
As of December 31, 2009, we have a commercial paper program that allows us to issue up to $2.3 billion of
unsecured commercial paper to fund our working capital needs. At December 31, 2009, no amounts were out-
standing under our commercial paper program.
As of December 31, 2009, we have a $2.3 billion syndicated, unsecured, revolving credit facility which ma-
tures in November 2012 and is available for general corporate purposes or as a liquidity backstop to our
commercial paper program. Annual commitment fees for this facility are 0.045% based on our current credit rat-
ing. As of December 31, 2009, no amounts were outstanding under this facility.
We have filed a shelf registration statement with the SEC, which allows us to issue an unspecified amount
of debt securities; common stock; preferred stock; warrants to purchase debt securities, common stock, preferred
stock or depository shares; rights to purchase common stock or preferred stock; securities purchase contracts; se-
curities purchase units and depository shares. Under this registration statement, all of the securities available for
issuance may be offered from time to time with terms to be determined at the time of issuance.
As of December 31, 2009, we have $400 million remaining under a shelf registration statement that was es-
tablished in 1997. In connection with this shelf registration, we established a $400 million medium-term note
program. All of the $400 million of debt securities available for issuance may be offered from time to time under
our medium-term note program with terms to be determined at the time of issuance. As of December 31, 2009,
no securities were outstanding under the $400 million medium-term note program.
To achieve a desired mix of fixed and floating interest rate debt, we enter into interest rate swap agreements
that effectively convert a fixed rate interest coupon to a LIBOR-based floating rate coupon over the life of the re-
spective note. These interest rate swap agreements qualify and are designated as fair value hedges. As of
December 31, 2009 and 2008, we had interest rate swap agreements with an aggregate face value of $1.5 billion
and $2.6 billion, respectively.
Certain of our financing arrangements contain non-financial covenants and we were in compliance with all
applicable covenants as of December 31, 2009. None of our financing arrangements contain any financial cove-
nants.
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