IBM 2012 Annual Report Download - page 105

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104 Notes to Consolidated Financial Statements
International Business Machines Corporation and Subsidiary Companies
104
Long-Term Debt
Pre-Swap Borrowing
($ in millions)
At December 31: Maturities 2012 2011
U.S. dollar notes and debentures (average interest rate at December 31, 2012):
2.79% 2013 – 2014 $ 7,131 $ 8,615
1.46% 2015 – 2016 5,807 2,414
5.29% 2017 –2021 7,457 8,600
1.88% 2022 1,000 500
7.00% 2025 600 600
6.22% 2027 469 469
6.50% 2028 313 313
5.875% 2032 600 600
8.00% 2038 83 187
5.60% 2039 745 1,545
4.00% 2042 1,107 —
7.00% 2045 27 27
7.125% 2096 316 322
25,656 24,192
Other currencies (average interest rate at December 31, 2012, in parentheses):
Euros (3.6%) 2013 – 2019 2,338 1,037
Japanese yen (0.7%) 2013 – 2014 878 1,123
Swiss francs (3.8%) 2015 – 2020 178 173
Canadian (2.2%) 2017 502 —
Other (4.6%) 2013 – 2017 107 177
29,660 26,702
Less: net unamortized discount 865 533
Add: fair value adjustment* 886 994
29,680 27,161
Less: current maturities 5,593 4,306
To t a l $24,088 $22,857
* The portion of the company’s fixed-rate debt obligations that is hedged is reflected in the Consolidated Statement of Financial Position as an amount equal to the sum of the debt’s
carrying value plus a fair value adjustment representing changes in the fair value of the hedged debt obligations attributable to movements in benchmark interest rates.
Note J.
Borrowings
Short-Term Debt
($ in millions)
At December 31: 2012 2011
Commercial paper $1,800 $2,300
Short-term loans 1,789 1,859
Long-term debt—current maturities 5,593 4,306
To t a l $9,181 $8,463
The weighted-average interest rate for commercial paper at Decem-
ber 31, 2012 and 2011 was 0.1 percent, respectively. The weighted-
average interest rates for short-term loans was 1.8 percent and 1.2
percent at December 31, 2012 and 2011, respectively.