Costco 2009 Annual Report Download - page 72

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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 2009 and 2008:
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
Year ended August 30, 2009
Bank borrowings:
Canada ....................... $ 90 $64 2.80%
United Kingdom ................. 31 23 1.72
Japan ......................... 29 22 0.93
Bank overdraft facility:
United Kingdom ................. 20 4 1.64
Other:
United Kingdom Money Market Line
Borrowing .................... 31 13 4.47
Year ended August 31, 2008
Bank borrowings:
Canada ....................... $175 $82 3.79%
United Kingdom ................. 32 22 5.87
Japan ......................... 22 15 1.07
Bank overdraft facility:
United Kingdom ................. 8 2 6.26
Other:
United Kingdom Money Market Line
Borrowing .................... 38 16 5.56
At August 30, 2009, the Company was in compliance with all restrictive covenants of its short-term
borrowings.
Long-Term Debt
Long-term debt at August 30, 2009 and August 31, 2008 consisted of the following:
2009 2008
5.5% Senior Notes due March 2017 ........................... $1,096 $1,095
5.3% Senior Notes due March 2012 ........................... 899 898
2.695% Promissory notes due October 2017 .................... 69 60
0.92% Promissory notes due April 2010 ........................ 43 37
3.5% Zero Coupon convertible subordinated notes due
August 2017 ............................................. 32 49
0.35% over Yen Tibor (6-month) Term Loan due June 2018 ....... 32 28
0.88% Promissory notes due November 2009 ................... 32 28
Capital lease obligations and other ............................ 84 17
Total long-term debt ........................................ 2,287 2,212
Less current portion ........................................ 81 6
Long-term debt, excluding current portion ....................... $2,206 $2,206
In July 2009, the Company entered into a capital lease for a new warehouse location and recorded a
liability in the amount of $72, representing the net present value of $150 in aggregate future minimum
70