Sunoco 2011 Annual Report Download - page 58

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The following table sets forth Sunoco’s cash and cash equivalents and outstanding debt (in millions of
dollars):
December 31,
2011 2010
Cash and cash equivalents* ............................................ $2,064 $1,485
Short-term borrowings ............................................... $ 103 $ 115
Current portion of long-term debt ....................................... 282 178
Long-term debt ..................................................... 3,159 2,136
Total debt** ........................................................ $3,544 $2,429
*Includes $112 and $128 million, respectively, attributable to Sunoco Logistics Partners L.P. and SunCoke Energy, Inc. at December 31, 2011.
**Includes $1,698 and $1,129 million, respectively, attributable to Sunoco Logistics Partners L.P. at December 31, 2011 and 2010 and $726
million attributable to SunCoke Energy, Inc. at December 31, 2011.
In July 2011, the Partnership issued $600 million of long-term debt, consisting of $300 million of 4.65
percent notes due in 2022 and $300 million of 6.10 percent notes due in 2042. In July 2011, concurrent with its
IPO, SunCoke Energy issued $400 million aggregate principal of 7.625 percent notes which mature in 2019 and
borrowed $300 million under a senior secured term loan credit facility which matures in 2018. SunCoke Energy’s
term loan credit facility provides for incremental borrowings up to $75 million which are available subject to the
satisfaction of certain conditions. SunCoke Energy borrowed an additional $30 million under the term loan credit
facility in December 2011.
In February 2012, the Company announced that it intends to spend approximately $400 million in 2012 to
reduce debt, including approximately $100 million of floating-rate notes that were redeemed in January 2012
(see above).
Management believes the Company can access the capital markets to pursue strategic opportunities as they
arise. In addition, the Company has the option of selling a portion of its Partnership interests, and the Partnership
has the option of issuing additional common units.
Contractual Obligations—The following table summarizes the Company’s significant contractual
obligations (excluding those attributable to SunCoke Energy which was spun-off on January 17, 2012) as of
December 31, 2011 (in millions of dollars):
Payment Due Dates
Total 2012 2013-2014 2015-2016 Thereafter
Total debt:
Principal ........................................ $ 2,818 $ 382 $ 427 $425 $1,584
Interest ......................................... 1,716 164 301 212 1,039
Operating leases* .................................. 584 81 121 90 292
Purchase obligations:
Crude oil, other feedstocks and refined products ........ 6,764 6,764 — — —
Transportation and distribution ...................... 546 101 155 125 165
Other .......................................... 214 58 59 32 65
$12,642 $7,550 $1,063 $884 $3,145
*Includes $177 million pertaining to lease extension options which are assumed to be exercised.
Sunoco’s operating leases include leases for marine transportation vessels, service stations, office space and
other property and equipment. Operating leases include all operating leases that have initial noncancelable terms
in excess of one year. Approximately 20 percent of the $584 million of future minimum annual rentals relates to
time charters for marine transportation vessels.
50