Honeywell 2004 Annual Report Download - page 86

HONEYWELL INTERNATIONAL INC.
NOTES TO FINANCIAL STATEMENTS—(Continued)
(Dollars in millions, except per share amounts)
Note 15—Long-term Debt and Credit Agreements
December 31,
2004 2003
6.875% notes due 2005 $ — $ 750
5.25% notes due 2006 368 339
85⁄8% debentures due 2006 100 100
51⁄8% notes due 2006 500 500
7.0% notes due 2007 350 350
71⁄8% notes due 2008 200 200
6.20% notes due 2008 200 200
Zero coupon bonds and money multiplier notes, 13.0%–14.26%, due 2009 100 100
Floating rate notes due 2009-2011 252 267
7.50% notes due 2010 1,000 1,000
61⁄8% notes due 2011 500 500
Industrial development bond obligations, 1.1%–2.4%, maturing at various dates through 2037 66 66
65⁄8% debentures due 2028 216 216
9.065% debentures due 2033 51 51
Other (including capitalized leases), 0.53%–15.69%, maturing at various dates through 2020 166 322
$4,069 $4,961
The schedule of principal payments on long-term debt is as follows:
At December 31,
2004
2005 $ 956
2006 999
2007 386
2008 402
2009 209
Thereafter 2,073
5,025
Less—current portion (956)
$ 4,069
We maintain $2.3 billion of bank revolving credit facilities with a group of banks, arranged by Citigroup Global Markets Inc. and
J.P. Morgan Securities Inc., and comprises: (a) a $1.3 billion Five-Year Credit Agreement, with a $300 million letter of credit sub-
limit and (b) a $1 billion Five-Year Credit Agreement with a $200 million letter of credit sub-limit. The credit agreements are
maintained for general corporate purposes, including support for the issuance of commercial paper. We had no borrowings
outstanding under either agreement at December 31, 2004. We have issued $115 million of letters of credit under the $1.3 billion Five-
Year Credit Agreement at December 31, 2004.
Neither of the credit agreements restricts our ability to pay dividends and neither contains financial covenants. The failure to
comply with customary conditions or the occurrence of customary events of default contained in the credit agreements would prevent
any further borrowings and would generally require the repayment of any outstanding borrowings under such credit agreements. Such
events of default include: (a) non-payment of credit agreement debt, interest or fees; (b) non-compliance with the terms of the credit
agreement covenants; (c) cross-default to other debt in certain circumstances;
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