Banana Republic 2005 Annual Report Download - page 35

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G A P I N C . F I N A N C I A L S 2 0 0 5
gap inc. 2005 annual report 33
During fiscal 1997, we issued $500 million aggregate principal amount of debt securities, due September 15, 2007, with a fixed interest rate of 6.90
percent. Interest on these debt securities is payable semi-annually. We repurchased $83 million and $91 million of these debt securities during fiscal
2003 and fiscal 2004, respectively. These debt securities are recorded in the Consolidated Balance Sheets at their issuance amount net of repur-
chases and unamortized discount.
January 28, 2006 January 29, 2005
Carrying Amount Carrying Amount
($ in millions) in U.S. Dollars Fair Value (a) in U.S. Dollars Fair Value
$500 million notes payable, 6.90%,
interest due semi-annually, due September 2007 $ 325 $ 329 $ 325 $ 348
$500 million notes payable, 8.80% (9.55%),
interest due semi-annually, due December 2008 (b) 138 153 138 167
$50 million notes payable, 6.25%,
interest due semi-annually, due March 2009 50 51 50 53
Total long-term debt 513 533 513 568
$1.38 billion senior convertible notes payable, 5.75%,
interest due semi-annually, due March 2009 - - 1,373 1,833
Total long-term debt and senior convertible notes $ 513 $ 533 $ 1,886 $ 2,401
(a) Based on the face amount multiplied by the market price of the note as of January 27, 2006.
(b) The interest rate payable on these notes is subject to increase (decrease) by 0.25 percent for each rating downgrade (upgrade) by the rating agencies.
The rate in parentheses reflects the rate at January 28, 2006. In no event will the interest rate be reduced below the original interest rate on the note.