Costco 2007 Annual Report Download - page 64

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Short-Term Borrowings
The weighted average borrowings, maximum borrowings and weighted average interest rate under all
short-term borrowing arrangements were as follows for fiscal 2007 and 2006:
Category of Aggregate
Short-term Borrowings
Maximum Amount
Outstanding
During the Fiscal Year
Average Amount
Outstanding
During the Fiscal Year
Weighted Average
Interest Rate
During the Fiscal Year
Fiscal year ended September 2, 2007
Bank borrowings:
Canada ........................ $103,599 $37,809 4.63%
United Kingdom ................. 77,732 40,532 5.75
Japan ......................... 18,031 10,103 1.00
Bank overdraft facility:
United Kingdom ................. 34,922 6,002 6.16
Other:
United Kingdom Money Market Line
Borrowing .................... 39,624 13,301 5.99
Fiscal year ended September 3, 2006
Bank borrowings:
Canada ........................ $ 11,254 $ 313 5.32%
United Kingdom ................. 61,852 38,179 5.06
Japan ......................... 17,850 10,463 0.74
Bank overdraft facility:
United Kingdom ................. 13,100 1,892 5.51
Long-Term Debt
Long-term debt at September 2, 2007 and September 3, 2006 consisted of the following:
2007 2006
5.5% Senior Notes due March 2017 ..................... $1,094,376 $ —
5.3% Senior Notes due March 2012 ..................... 897,770 —
3.5% Zero Coupon convertible subordinated notes due
August 2017 ....................................... 47,826 88,028
0.92% Promissory notes due April 2010 .................. 34,444 34,069
2.070% Promissory notes due October 2007 .............. 30,139 29,810
1.187% Promissory notes due July 2008 .................. 25,833 25,551
0.88% Promissory notes due November 2009 ............. 25,833 25,551
5.5% Senior Notes due March 2007 ..................... — 301,243
Capital lease obligations and other ...................... 11,662 19,640
Total long-term debt .................................. 2,167,883 523,892
Less current portion ................................... 59,905 308,523
Long-term debt, excluding current portion ................. $2,107,978 $215,369
On February 20, 2007, the Company issued $900,000 of 5.3% Senior Notes due March 15, 2012
(2012 Notes) at a discount of $2,493 and $1,100,000 of 5.5% Senior Notes due March 15, 2017 (2017
Notes) at a discount of $5,940 (together the 2007 Senior Notes). Interest on the 2007 Senior Notes is
payable semi-annually on March 15 and September 15 of each year, with the first payment due
September 15, 2007. The net proceeds were used, in part, to repay the 5.5% 2002 Senior Notes due in
March 2007, and the balance has been and will be used for general corporate purposes, including
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