Cisco 2013 Annual Report Download - page 39

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THERE CAN BE NO ASSURANCE THAT OUR OPERATING RESULTS AND FINANCIAL CONDITION WILL
NOT BE ADVERSELY AFFECTED BY OUR INCURRENCE OF DEBT
We have senior unsecured notes outstanding in an aggregate principal amount of $16.0 billion that mature at specific dates in
2014, 2016, 2017, 2019, 2020, 2039 and 2040. We have also established a commercial paper program under which we may
issue short-term, unsecured commercial paper notes on a private placement basis up to a maximum aggregate amount
outstanding at any time of $3.0 billion. We had no commercial paper notes outstanding under this program as of July 27, 2013.
The outstanding senior unsecured notes bear fixed-rate interest payable semiannually, except $1.25 billion of the notes which
bears interest at a floating rate payable quarterly. The fair value of the long-term debt is subject to market interest rate
volatility. The instruments governing the senior unsecured notes contain certain covenants applicable to us and our
subsidiaries that may adversely affect our ability to incur certain liens or engage in certain types of sale and leaseback
transactions. In addition, we will be required to have available in the United States sufficient cash to repay all of our notes on
maturity. There can be no assurance that our incurrence of this debt or any future debt will be a better means of providing
liquidity to us than would our use of our existing cash resources, including cash currently held offshore. Further, we cannot be
assured that our maintenance of this indebtedness or incurrence of future indebtedness will not adversely affect our operating
results or financial condition. In addition, changes by any rating agency to our credit rating can negatively impact the value
and liquidity of both our debt and equity securities, as well as the terms upon which we may borrow under our commercial
paper program.
Item 1B. Unresolved Staff Comments
Not applicable.
Item 2. Properties
Our corporate headquarters are located at an owned site in San Jose, California, in the United States of America.
The locations of our headquarters by geographic segment are as follows:
Americas EMEA APJC
San Jose, California, USA Amsterdam, Netherlands Singapore
In addition to our headquarters site, we own additional sites in the United States, which include facilities in the surrounding
areas of San Jose, California; Boston, Massachusetts; Richardson, Texas; Lawrenceville, Georgia; and Research Triangle Park,
North Carolina. We also own land for expansion in some of these locations. In addition, we lease office space in many U.S.
locations.
Outside the United States our operations are conducted primarily in leased sites, such as our Globalisation Centre East campus
in Bangalore, India. Other significant sites (in addition to the two non-U.S. headquarters locations) are located in Belgium,
China, France, Germany, India, Israel, Italy, Japan, Norway and the United Kingdom.
We believe that our existing facilities, including both owned and leased, are in good condition and suitable for the conduct of
our business. For additional information regarding obligations under operating leases, see Note 12 to the Consolidated
Financial Statements.
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