Albertsons 2011 Annual Report Download - page 51

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NOTE 6—LONG-TERM DEBT
The Company’s long-term debt and capital lease obligations consisted of the following:
2011 2010
1.39% to 4.75% Revolving Credit Facility and Variable Rate Notes due
June 2011 – October 2015 $ 1,382 $ 1,415
8.00% Notes due May 2016 1,000 1,000
7.45% Debentures due August 2029 650 650
7.50% Notes due November 2014 490 490
6.34% to 7.15% Medium Term Notes due July 2012 – June 2028 440 440
8.00% Debentures due May 2031 400 400
7.50% Notes due May 2012 300 300
8.00% Debentures due June 2026 272 272
8.70% Debentures due May 2030 225 225
7.75% Debentures due June 2026 200 200
7.25% Notes due May 2013 200 200
7.90% Debentures due May 2017 96 96
Accounts Receivable Securitization Facility 90 —
Notes and debentures paid off during fiscal 2011 — 834
Other 102 104
Net discount on debt, using an effective interest rate of 6.28% to 8.97% (250) (258)
Capital lease obligations 1,154 1,267
Total debt and capital lease obligations 6,751 7,635
Less current maturities of long-term debt and capital lease obligations (403) (613)
Long-term debt and capital lease obligations $ 6,348 $ 7,022
Future maturities of long-term debt, excluding the net discount on the debt and capital lease obligations, as of
February 26, 2011 consist of the following:
Fiscal Year
2012 $ 338
2013 806
2014 340
2015 514
2016 568
Thereafter 3,281
Certain of the Company’s credit facilities and long-term debt agreements have restrictive covenants and cross-
default provisions which generally provide, subject to the Company’s right to cure, for the acceleration of
payments due in the event of a breach of the covenant or a default in the payment of a specified amount of
indebtedness due under certain other debt agreements. The Company was in compliance with all such
covenants and provisions for all periods presented.
During fiscal 2007, the Company entered into senior secured credit facilities provided by a group of lenders
consisting of a five-year revolving credit facility (the “Revolving Credit Facility”), a five-year term loan
(“Term Loan A”) and a six-year term loan (“Term Loan B”). On April 5, 2010, the Company entered into an
Amended and Restated Credit Agreement (the “Credit Agreement”), which provides for an extension of the
maturity of portions of the senior secured credit facilities provided under the original credit agreement.
Specifically, $1,500 of the Revolving Credit Facility was extended until April 5, 2015 and $500 of Term Loan
B (“Term Loan B-2”) was extended until October 5, 2015. The remaining $600 of the Revolving Credit
Facility will expire on June 2, 2011 and the remaining $502 of Term Loan B (“Term Loan B-1”) will mature
on June 2, 2012. The maturity date of Term Loan A was not extended and will mature on June 2, 2011.
The fees and rates in effect on outstanding borrowings under the Credit Agreement are based on the
Company’s current credit ratings. As of February 26, 2011, there was $14 of outstanding borrowings under the
non-extended portion of the Revolving Credit Facility at LIBOR plus 1.25 percent, Term Loan A had a
47