Kraft 2010 Annual Report Download - page 76

Implementation costs associated with the Restructuring Program were:
2008
(in millions)
Cost of sales $ 38
Selling, general and administrative
costs 67
Total implementation costs $ 105
Total Restructuring Program Costs:
We included the asset impairment, exit and implementation costs discussed above, for the year ended December 31, 2008 in segment operating income as
follows:
For the Year Ended December 31, 2008
Restructuring
Costs
Implementation
Costs Total
(in millions)
Kraft Foods North America:
U.S. Beverages $ 59 $ 8 $ 67
U.S. Cheese 31 7 38
U.S. Convenient Meals 31 7 38
U.S. Grocery 36 5 41
U.S. Snacks 72 9 81
Canada & N.A. Foodservice 100 10 110
Kraft Foods Europe 418 56 474
Kraft Foods Developing Markets 137 3 140
Total $ 884 $ 105 $ 989
Note 7. Debt and Borrowing Arrangements:
Short-Term Borrowings:
At December 31, 2010 and 2009, our short-term borrowings and related weighted-average interest rates consisted of:
2010 2009
Amount
Outstanding
Weighted-Average
Year-End Rate
Amount
Outstanding
Weighted-Average
Year-End Rate
(in millions) (in millions)
Commercial paper $ 483 0.5% $ 262 0.5%
Bank loans 267 6.3% 191 10.5%
Total short-term borrowings $ 750 $ 453
The fair values of our short-term borrowings at December 31, 2010 and 2009, based upon current market interest rates, approximate the amounts disclosed
above.
Borrowing Arrangements:
We maintain a revolving credit facility that we have historically used for general corporate purposes, including for working capital purposes, and to support
our commercial paper issuances. Our $4.5 billion three-year senior unsecured revolving credit facility expires in November 2012. No amounts have been
drawn on the facility.
The revolving credit facility agreement requires us to maintain a minimum total shareholders' equity, excluding accumulated other comprehensive earnings /
(losses), of at least $28.6 billion. This threshold was increased by $5.6 billion to $28.6 billion due to the equity we issued as part of our Cadbury acquisition.
At December 31, 2010, our total shareholders' equity, excluding accumulated other comprehensive earnings / (losses), was $39.7 billion. We expect to
continue to meet this covenant. The revolving credit agreement also contains customary representations, covenants and events of default. However, the
revolving credit facility has no other financial covenants, credit rating triggers or provisions that could require us to post collateral as security.
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