Occidental Petroleum 2001 Annual Report Download - page 32

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2005 1 157 158
2006 246 450 696
2007 2 300 302
Thereafter 1,576 510 2,086
------------- ------------- -------------
TOTAL $ 2,656 $ 1,417 $ 4,073
============= ============= =============
Average interest rate 7.67% 3.48% 6.21%
====================== ============= ============= =============
(a) Includes fixed-rate debt with fair-value hedges.
(b) Excludes $9 million of unamortized discounts.
The estimated fair value of Occidental's long-term debt at December 31,
2001 was $4.3 billion. Occidental has the option to call certain issues of
long-term debt before their maturity dates.
In February 2002, Occidental filed a shelf registration statement for up to
$1 billion of its senior debt securities, subordinated debt securities,
preferred stock, common stock, depositary shares, warrants, stock purchase
contracts, stock purchase units, preferred securities of two subsidiary trusts
and Occidental's guarantees of such preferred securities. Occidental, at its
option, may issue the entire $1 billion under its medium-term notes program,
which includes its Medium-Term Senior Notes, Series C and its Medium-Term
Subordinated Notes, Series A. Currently, no notes are issued and outstanding
under the program.
In December 2001, Occidental issued $300 million of 5.875-percent senior
notes due 2007 and $500 million of 6.750-percent senior notes due 2012 for net
combined proceeds of approximately $794 million. Approximately $700 million of
the net proceeds were used to extinguish the Altura non-recourse debt.
Occidental recorded an after-tax extraordinary loss of $4 million from this
transaction. The remaining proceeds were used for general corporate purposes.
On March 5, 2001, Occidental retired $20.5 million of 7.8-percent pollution
control revenue bonds due on December 1, 2005. As a result of this transaction,
Occidental recognized an after-tax extraordinary loss of $3 million in the first
quarter of 2001.
24
On December 20, 2000, Occidental redeemed all $270 million of its
outstanding floating-rate extendible notes due 2008 at par.
During the third and fourth quarters of 2000, Occidental repurchased some
of its outstanding public debt securities in open market transactions, with
principal balances totaling $154 million, at current market prices. Occidental
recorded an after-tax extraordinary gain of $1 million that resulted from these
purchases.
On June 1, 2000, Occidental redeemed all of its outstanding 11.125-percent
senior debentures due June 1, 2019, at a redemption price of 100 percent of the
principal amount thereof. The outstanding aggregate principal amount of the
debentures, which were issued on May 15, 1989, was $75 million.
In December 1999, Occidental repurchased for cash, $240 million principal
amount of its 10.125-percent senior notes due November 15, 2001, and $138
million principal amount of its 11.125-percent senior notes due August 1, 2010
and redeemed all of OXY USA's $274 million principal amount of 7-percent
debentures due 2011, for a total of $722 million, including premium, expenses
and accrued interest. Occidental recorded an after-tax extraordinary loss of
$104 million in the fourth quarter of 1999 related to these transactions.
In September 1999, Occidental redeemed $250 million of its 8.5-percent
medium-term notes due 2004 at par.
In August 1999, Occidental called for redemption all of the outstanding
shares of its $3.00 cumulative CXY-indexed convertible preferred stock. Holders
of 3,125,837 shares of such preferred stock converted their shares into
approximately 9.9 million shares of Occidental common stock. Occidental redeemed
the remaining outstanding shares in September 1999.
Also in June 1999, Occidental redeemed $68.7 million of its 11.125-percent
senior debentures due June 1, 2019, at a redemption price of 105.563 percent of
their principal amount. Occidental recorded an after-tax extraordinary loss of
$3 million in the second quarter of 1999 related to the redemption.
In February 1999, Occidental issued $450 million of 7.65-percent senior
notes due 2006 and $350 million of 8.45-percent senior notes due 2029 for net