Mondelez 2013 Annual Report Download - page 60

Table of Contents
On May 8, 2013, $1 billion of our 2.625% U.S. dollar notes matured. The notes and accrued interest to date were paid with cash on
hand and the issuance of commercial paper.
On February 11, 2013, $750 million of our 6.00% U.S. dollar notes matured. The notes and accrued interest to date were paid with
cash on hand.
On October 2, 2012, our $150 million Canadian dollar variable rate loan matured. The loan and accrued interest to date were
repaid with cash from operations.
On October 1, 2012, approximately $10 billion of our U.S. dollar debt on our balance sheet at September 30, 2012 was transferred
to or retained by Kraft Foods Group. As described below, the debt primarily included: $6.0 billion of senior unsecured notes issued
on June 4, 2012; $3.6 billion of debt exchanged on July 18, 2012; and $400 million migrated on October 1, 2012. See Note 2,
Divestitures and Acquisition, for more information regarding the Spin-Off and liabilities transferred.
On October 1, 2012, in connection with the Spin-Off and related debt capitalization plan, a $400 million 7.55% senior unsecured
U.S. dollar note was retained by Kraft Foods Group. No cash was generated from the transaction.
On July 18, 2012, we completed a debt exchange in which $3.6 billion of our U.S. dollar debt held by third-party note holders was
exchanged for notes issued by Kraft Foods Group in order to migrate debt to Kraft Foods Group in connection with our Spin-Off
capitalization plan. No cash was generated from the exchange and we incurred one-time financing costs of $18 million which we
recorded in interest expense. As a result of the exchange, we retired the following debt:
On June 4, 2012, Kraft Foods Group issued $6.0 billion of senior unsecured U.S. dollar notes and distributed $5.9 billion of net
proceeds to us in connection with the Spin-Off capitalization plan. We used the proceeds to pay $3.6 billion of outstanding
commercial paper borrowings and expect to use the remaining cash proceeds to pay down additional debt over time or for general
corporate purposes. This debt and approximately $260 million of related deferred financing costs were retained by Kraft Foods
Group in the Spin-Off.
On June 1, 2012, $900 million of our 6.25% U.S. dollar notes matured. The notes and accrued interest to date were repaid using
primarily commercial paper borrowings which were subsequently repaid from the $5.9 billion of net proceeds received from the
Kraft Foods Group $6.0 billion notes issuance on June 4, 2012.
On March 20, 2012, € 2.0 billion of our 5.75% Euro bonds matured. The bonds and accrued interest to date were repaid using
proceeds from the issuance of commercial paper which was subsequently repaid in June 2012 as discussed above.
On January 10, 2012, we issued $800 million of floating rate U.S. dollar notes which bear interest at a rate equal to three-month
LIBOR plus 0.875%. We received net proceeds of $798.8 million from the issuance. The notes were set to mature on July 10, 2013
or subject to a mandatory redemption tied to the public announcement of the Record Date for the Spin-Off. After announcing the
Record Date, on September 24, 2012, the notes were redeemed at a redemption price equal to 100% of the aggregate principal
amount of the notes, or $800 million, plus accrued interest of $2 million from cash on hand.
We expect to continue to comply with our long-term debt covenants. Refer to Note 8, Debt and Borrowing Arrangements , for
further details of these debt offerings.
From time to time, we refinance long-term and short-term debt. The nature and amount of our long-term and short-term debt and
the proportionate amount of each varies as a result of future business requirements, market conditions and other factors. As of
December 31, 2013, we had $7.9 billion remaining in long-term financing authority from our Board of Directors.
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• $596 million of our 6.125% Notes due in February 2018
• $439 million of our 6.125% Notes due in August 2018
• $900 million of our 5.375% Notes due in February 2020
• $233 million of our 6.875% Notes due in January 2039
• $290 million of our 6.875% Notes due in February 2038
• $185 million of our 7.000% Notes due in August 2037
• $170 million of our 6.500% Notes due in November 2031
• $787 million of our 6.500% Notes due in 2040