Kraft 2005 Annual Report Download - page 69

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MERRILL CORPORATION FLANGST// 9-MAR-06 02:24 DISK126:[06CHI5.06CHI1135]DW1135A.;8
mrll.fmt Free: 120D*/0D Foot: 0D/ 0D VJ RSeq: 3 Clr: 0
DISK024:[PAGER.PSTYLES]UNIVERSAL.BST;51
KRAFT FOODS-FSC CERTIFIED-10K/AR Proj: P1102CHI06 Job: 06CHI1135 File: DW1135A.;8
Merrill Corporation/Chicago (312) 786-6300 Page Dim: 8.250X 10.750Copy Dim: 38. X 54.3
Note 9. Long-Term Debt:
At December 31, 2005 and 2004, the Company’s long-term debt consisted of the following:
2005 2004
(in millions)
Notes, 4.00% to 7.55% (average effective rate 5.49%), due through 2031 ..... $9,537 $ 10,259
7% Debenture (effective rate 11.32%), $200 million face amount, due 2011 . . . 165 161
Foreign currency obligations ..................................... 16 15
Other ..................................................... 25 38
9,743 10,473
Less current portion of long-term debt .............................. (1,268) (750)
$ 8,475 $ 9,723
Aggregate maturities of long-term debt are as follows (in millions):
2006 .................................................. $1,268
2007 .................................................. 1,405
2008 .................................................. 707
2009 .................................................. 754
2010 .................................................. 1
2011-2015 .............................................. 4,893
Thereafter .............................................. 751
Based on market quotes, where available, or interest rates currently available to the Company for
issuance of debt with similar terms and remaining maturities, the aggregate fair value of the Company’s
long-term debt, including the current portion of long-term debt, was $9,945 million and $11,017 million at
December 31, 2005 and 2004, respectively.
Note 10. Capital Stock:
The Company’s articles of incorporation authorize 3.0 billion shares of Class A common stock,
2.0 billion shares of Class B common stock and 500 million shares of preferred stock. Shares of Class A
common stock issued, repurchased and outstanding were as follows:
Shares Shares
Shares Issued Repurchased Outstanding
Balance at January 1, 2003 ..................... 555,000,000 (4,381,150) 550,618,850
Repurchase of shares ......................... (12,508,908) (12,508,908)
Exercise of stock options and issuance of other stock
awards .................................. 3,827,182 3,827,182
Balance at December 31, 2003 ................... 555,000,000 (13,062,876) 541,937,124
Repurchase of shares ......................... (21,543,660) (21,543,660)
Exercise of stock options and issuance of other stock
awards .................................. 4,961,610 4,961,610
Balance at December 31, 2004 ................... 555,000,000 (29,644,926) 525,355,074
Repurchase of shares ......................... (39,157,600) (39,157,600)
Exercise of stock options and issuance of other stock
awards .................................. 3,683,281 3,683,281
Balance at December 31, 2005 ................... 555,000,000 (65,119,245) 489,880,755
68
6 C Cs: 54142