Costco 1999 Annual Report Download - page 28

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COSTCO WHOLESALE CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(dollars in thousands, except per share data)
Note 1—Summary of Significant Accounting Policies (Continued)
26
liabilities at the date of the financial statements and the reported amounts of revenues and expenses during
the reporting period. Actual results could differ from those estimates.
Note 2—Debt
Bank Lines of Credit and Commercial Paper Programs
The Company has in place a $425,000 commercial paper program supported by a $425,000 bank credit
facility with a group of nine banks, of which $175,000 expires on January 24, 2000, and $250,000 expires on
January 30, 2001. At August 29, 1999, no amount was outstanding under the loan facility or the commercial
paper program.
In addition, a wholly-owned Canadian subsidiary has a $134,000 commercial paper program supported
by a $94,000 bank credit facility with three Canadian banks, of which $57,000 expires in March 2000, and
$37,000 expires in March 2001. At August 29, 1999, no amount was outstanding under the bank credit
facility or the Canadian commercial paper program.
The Company has agreed to limit the combined amount outstanding under the U.S. and Canadian
commercial paper programs to the $519,000 combined amounts of the respective supporting bank credit
facilities.
Letters of Credit
The Company also has separate letter of credit facilities (for commercial and standby letters of credit),
totaling approximately $294,200. The outstanding commitments under these facilities at August 29, 1999
totaled approximately $176,500, including approximately $45,300 in standby letters of credit.