Home Depot 2009 Annual Report Download - page 49

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The Company made no acquisitions during fiscal 2009 and 2008. The aggregate purchase price for acquisitions
in fiscal 2007 was $25 million. The Company recorded Goodwill related to the HD Supply businesses of
$20 million for fiscal 2007 and recorded no Goodwill related to its retail businesses for fiscal 2009, 2008 and
2007.
5. DEBT
The Company has commercial paper programs that allow for borrowings up to $3.25 billion. All of the
Company’s short-term borrowings in fiscal 2009 and 2008 were under these commercial paper programs. In
connection with the commercial paper programs, the Company has a back-up credit facility with a consortium
of banks for borrowings up to $3.25 billion. The credit facility expires in December 2010 and contains various
restrictive covenants. At January 31, 2010, the Company was in compliance with all of the covenants, and they
are not expected to impact the Company’s liquidity or capital resources.
Short-Term Debt under the commercial paper programs was as follows (dollars in millions):
January 31,
2010 February 1,
2009
Balance outstanding at fiscal year-end $— $—
Maximum amount outstanding at any month-end $ 190 $ 1,771
Average daily short-term borrowings $55 $ 403
Weighted average interest rate 1.1% 3.4%
The Company’s Long-Term Debt at the end of fiscal 2009 and 2008 consisted of the following (amounts in
millions):
January 31,
2010 February 1,
2009
3.75% Senior Notes; due September 15, 2009; interest payable semi-annually on
March 15 and September 15 $— $999
Floating Rate Senior Notes; due December 16, 2009; interest payable on
March 16, June 16, September 16 and December 16 —750
4.625% Senior Notes; due August 15, 2010; interest payable semi-annually on
February 15 and August 15 999 998
5.20% Senior Notes; due March 1, 2011; interest payable semi-annually on
March 1 and September 1 1,000 1,000
5.25% Senior Notes; due December 16, 2013; interest payable semi-annually on
June 16 and December 16 1,258 1,245
5.40% Senior Notes; due March 1, 2016; interest payable semi-annually on
March 1 and September 1 3,040 3,047
5.875% Senior Notes; due December 16, 2036; interest payable semi-annually
on June 16 and December 16 2,960 2,959
Capital Lease Obligations; payable in varying installments through January 31,
2055 408 417
Other 17 19
Total debt 9,682 11,434
Less current installments 1,020 1,767
Long-Term Debt, excluding current installments $8,662 $ 9,667
At January 31, 2010, the Company had outstanding interest rate swaps, accounted for as fair value hedges, that
expire on December 16, 2013 with a notional amount of $1.25 billion that swap fixed rate interest on the
Company’s $1.25 billion 5.25% Senior Notes for variable interest equal to LIBOR plus 259 basis points. At
January 31, 2010, the approximate fair value of these agreements was an asset of $12 million, which is the
estimated amount the Company would have received to settle the agreements.
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