Travelers 2011 Annual Report Download - page 222

THE TRAVELERS COMPANIES, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
8. DEBT
Debt outstanding was as follows:
(at December 31, in millions) 2011 2010
Short-term:
Commercial paper ................................................. $ 100 $ 100
5.375% Senior notes due June 15, 2012 .................................. 250 —
7.22% Real estate non-recourse debt due September 1, 2011 .................. —9
Total short-term debt ............................................. 350 109
Long-term:
5.375% Senior notes due June 15, 2012 .................................. —250
5.00% Senior notes due March 15, 2013 ................................. 500 500
5.50% Senior notes due December 1, 2015 ............................... 400 400
6.25% Senior notes due June 20, 2016 ................................... 400 400
5.75% Senior notes due December 15, 2017 ............................... 450 450
5.80% Senior notes due May 15, 2018 ................................... 500 500
5.90% Senior notes due June 2, 2019 .................................... 500 500
3.90% Senior notes due November 1, 2020 ............................... 500 500
7.75% Senior notes due April 15, 2026 .................................. 200 200
7.625% Junior subordinated debentures due December 15, 2027 ................ 125 125
6.375% Senior notes due March 15, 2033 ................................. 500 500
6.75% Senior notes due June 20, 2036 ................................... 400 400
6.25% Senior notes due June 15, 2037 ................................... 800 800
5.35% Senior notes due November 1, 2040 ............................... 750 750
8.50% Junior subordinated debentures due December 15, 2045 ................. 56 56
8.312% Junior subordinated debentures due July 1, 2046 ..................... 73 73
6.25% Fixed-to-floating rate junior subordinated debentures due March 15, 2067 .... 115 115
Total long-term debt .............................................. 6,269 6,519
Total debt principal ............................................... 6,619 6,628
Unamortized fair value adjustment ..................................... 53 54
Unamortized debt issuance costs ....................................... (67) (71)
Total debt ...................................................... $6,605 $6,611
2011 Debt Repayment. On June 1, 2011, the Company repaid the remaining $9 million principal
balance on its 7.22% real estate non-recourse debt.
2010 Debt Issuance—On November 1, 2010, the Company issued $500 million aggregate principal
amount 3.90% senior notes that will mature on November 1, 2020, and $750 million aggregate principal
amount 5.35% senior notes that will mature on November 1, 2040. The net proceeds of these issuances,
after original issuance discount and the deduction of underwriting expenses and commissions and other
expenses, totaled approximately $496 million and $738 million, respectively. Interest on the senior notes
is payable semi-annually in arrears on November 1 and May 1 of each year. The senior notes are
redeemable in whole at any time or in part from time to time, at the Company’s option, at a
redemption price equal to the greater of (a) 100% of the principal amount of senior notes to be
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