Best Buy 2008 Annual Report Download - page 84

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$ in millions, except per share amounts or as otherwise noted
The final purchase price allocation, net of cash acquired, Sales Co., Ltd. Purchases from this affiliate were $65 and
was as follows: $43 in fiscal 2008 and 2007, respectively. At March 1,
2008, and March 3, 2007, $22 and less than $1,
Restricted cash $ 204 respectively, was due to this affiliate for the purchase of
Merchandise inventories 109 appliances.
Property and equipment 78
Other assets 80 3. Investments
Tradename 21 Investments were comprised of the following:
Goodwill 22
Accounts payable (368) March 1, March 3,
2008 2007
Other current liabilities (35)
Short-term investments
Debt (64)
Debt securities $ 64 $2,588
Long-term liabilities (1)
Minority interests(1) (33) Equity and other investments
Debt securities $417 $ 318
Total $ 13
Marketable equity securities 172 4
(1) The minority owners’ proportionate share of assets and Other investments 16 16
liabilities were recorded at historical carrying values.
Total equity and other investments $605 $ 338
The minority owners’ proportionate share of net earnings
was $3 and $1 in fiscal 2008 and 2007, respectively.
Five Star owns a 40% interest in, and purchases
appliances from, Jiangsu Heng Xin Ge Li Air Conditioner
Debt Securities
The following table presents the fair values, related weighted-average interest rates (taxable equivalent) and major security
types for our investments:
March 1, 2008 March 3, 2007
Weighted- Weighted-
Fair Average Fair Average
Value Interest Rate Value Interest Rate
Short-term investments $ 64 4.94% $2,588 5.68%
Long-term investments 417 7.60% 318 5.68%
Total $481 $2,906
Auction-rate securities $417 $2,377
Municipal debt securities — 506
Commercial paper 64 —
Variable-rate demand notes and asset-backed securities — 23
Total $481 $2,906
The carrying values of our investments were at fair value at investment or sell these securities at par in order to
March 1, 2008, and March 3, 2007. As discussed in provide us with liquidity as needed. At March 1, 2008, we
Note 1, our investments include auction-rate securities, the had $417 (par value) of auction-rate securities.
interest rates of which are reset through an auction In mid-February 2008, auctions began to fail due to
process, most commonly at intervals of 7, 28 and insufficient buyers, as the amount of securities submitted
35 days. The same auction process has historically for sale in auctions exceeded the aggregate amount of the
provided a means by which we may rollover the
76