Cardinal Health 2011 Annual Report Download - page 57

C
ontractual
O
bl
ig
at
i
on
s
A
s of June 30, 2011, our contractual obligations, including estimated payments due by period, are a
s
f
o
ll
o
w
s
:
(
in millions
)
2
0
1
2
2
01
3
-2014
20
15-2
0
1
6
Th
e
r
eaf
t
e
r
To
t
al
O
nBa
l
ance
Sh
eet
:
Lon
g
-term debt (1
)
................................
$
325.2 $308.5 $532.8 $1,330.6 $2,497.1
I
nterest on long-term debt
.
........................
.
1
06.3 17
5
.0 167.7 239.6 688.6
C
ap
i
ta
ll
ease o
bli
gat
i
ons(2) ........................ 1.8 3.
9
0.0 0.0 5.7
Other lon
g
-term liabilities (3)
.
......................
5
.
5
0.0 2.0 0.0 7.
5
Off-Balance Sheet:
Operat
i
ng
l
eases (4)
...............................
72.2
9
6.7 46.6 3
9
.3 254.
8
Purchase obli
g
ations (
5)
...........................
15
3.4 73.2 13.7
5
.8 246.1
T
ota
l
contractua
l
o
bli
gat
i
ons
........................
$
664.4 $657.3 $762.8 $1
,
615.3 $3
,
699.
8
(1) Represents matur
i
t
i
es o
f
our
l
ong-term
d
e
b
to
bli
gat
i
ons exc
l
u
di
ng cap
i
ta
ll
ease o
bli
gat
i
ons
d
escr
ib
e
db
e
l
ow.
S
ee Note 8 of “Notes to Consolidated Financial Statements” for further information
.
(2) Represents maturities of our capital lease obligations included within long-term debt on our consolidated
b
a
l
ance s
h
eet an
d
t
h
ere
l
ate
d
est
i
mate
df
uture
i
nterest payments.
(3) Represents cash outflows b
y
period for certain of our lon
g
-term liabilities in which cash outflows could be
reasonably estimated. Certain long-term liabilities, such as unrecognized tax benefits and deferred taxes
,
h
ave
b
een exc
l
u
d
e
df
rom t
h
eta
bl
ea
b
ove
b
ecause o
f
t
h
e
i
n
h
erent uncerta
i
nty o
f
t
h
eun
d
er
l
y
i
ng tax pos
i
t
i
on
s
or because of the inabilit
y
to reasonabl
y
estimate the timin
g
of an
y
cash outflows. See Note 9 of “Notes to
Consolidated Financial Statements” for further discussion of income taxes.
(4) Represents m
i
n
i
mum renta
l
payments an
d
t
h
ere
l
ate
d
est
i
mate
df
uture
i
nterest payments
f
or operat
i
ng
l
ease
s
h
avin
g
initial or remainin
g
non-cancelable lease terms as described in Note 10 of “Notes to Consolidate
d
Financial Statements.
”
(5) Purchase obligations are defined as an agreement to purchase goods or services that is enforceable an
d
le
g
all
y
bindin
g
and specif
y
in
g
all si
g
nificant terms, includin
g
the followin
g
: fixed or minimum quantities to
be purchased; fixed, minimum or variable price provisions; and approximate timing of the transaction. Th
e
purc
h
ase o
bli
gat
i
on amounts
di
sc
l
ose
d
a
b
ove represent est
i
mates o
f
t
h
em
i
n
i
mum
f
or w
hi
c
h
we ar
e
obli
g
ated and the time period in which cash outflows will occur. Purchase orders and authorizations t
o
purchase that involve no firm commitment from either party are excluded from the above table. In addition
,
c
ontracts t
h
at can
b
eun
il
atera
ll
y cance
l
e
d
w
i
t
h
no term
i
nat
i
on
f
ee or w
i
t
h
proper not
i
ce are exc
l
u
d
e
df
ro
m
our total purchase obli
g
ations except for the amount of the termination fee or the minimum amount of
g
oods
that must be purchased during the requisite notice period.
O
ur acquisition of P4 Healthcare durin
g
fiscal 2011 involves the potential pa
y
ment of contin
g
en
t
consideration. The table above does not reflect any such obligation, as the timing and amount are uncertain. See
Note 2 o
f
“Notes to Conso
lid
ate
d
F
i
nanc
i
a
l
Statements”
f
or
f
urt
h
er
di
scuss
i
on o
f
t
h
e max
i
mum potent
i
a
l
amoun
t
o
f future contin
g
ent consideration we could be required to pa
y
associated with this acquisition
.
R
ecent Financial Accountin
g
Standard
s
S
ee Note 1 of “Notes to Consolidated Financial Statements” for a discussion of recent financial accountin
g
stan
d
ar
d
s
.
Critical Accounting Policies and Sensitive Accounting Estimate
s
Critical accountin
g
policies are those accountin
g
policies that (i) can have a si
g
nificant impact on the
presentation of our financial condition and results of operations for continuing operations and (ii) require use o
f
31