Carnival Cruises 2015 Annual Report Download - page 73

Future Commitments and Funding Sources
At November 30, 2015, our contractual cash obligations, including ship construction contracts entered into
through January 22, 2016,were as follows (in millions):
Payments Due by
2016 2017 2018 2019 2020 Thereafter Total
Recorded Contractual Cash Obligations
Short-term borrowings .................... $ 30 $ - $ - $ - $ - $ - $ 30
Long-term debt (a) ....................... 1,344 1,007 1,477 1,400 1,110 2,419 8,757
Other long-term liabilities reflected on the
balance sheet (b) ....................... - 366 280 58 51 161 916
Unrecorded Contractual Cash Obligations
Shipbuilding (c) ......................... 1,950 1,288 2,459 3,014 2,388 - 11,099
Operating leases (c) ...................... 52 41 34 31 29 203 390
Port facilities and other (c) ................. 211 200 161 104 102 793 1,571
Purchase obligations (d) ................... 915 81 39 14 10 13 1,072
Fixed rate interest payments (e) ............. 173 145 121 106 88 287 920
Floating rate interest payments (e) ........... 72 43 61 50 59 85 370
Total Contractual Cash Obligations (f) ..... $4,747 $3,171 $4,632 $4,777 $3,837 $3,961 $25,125
(a) Our long-term debt has a weighted-average maturity of 4.1 years. See Note 6 – “Unsecured Debt” in the
consolidated financial statements for additional information regarding these debt obligations.
(b) Represents cash outflows for certain of our long-term liabilities that could be reasonably estimated. The
primary outflows are for estimates of our compensation plans’ obligations, crew and guest claims, uncertain
income tax position liabilities and certain deferred income taxes. Customer deposits and certain other
deferred income taxes have been excluded from the table because they do not require a cash settlement in
the future.
(c) Our shipbuilding contractual obligations are legal commitments and, accordingly, cannot be canceled
without cause by the shipyards or us, and such cancellation will subject the defaulting party to significant
contractual liquidating damage payments. See Note 7 – “Commitments” in the consolidated financial
statements for additional information regarding these contractual cash obligations.
(d) Represents legally-binding commitments to purchase inventory and other goods and services made in the
normal course of business to meet operational requirements. Many of our contracts contain clauses that
allow us to terminate the contract with notice, either with or without a termination penalty. Termination
penalties are generally an amount less than the original obligation. Historically, we have not had any
significant defaults of our contractual obligations or incurred significant penalties for their termination.
(e) Fixed rate interest payments represent cash outflows for fixed interest payments, including interest swapped
from a floating rate to a fixed rate. Floating rate interest payments represent forecasted cash outflows for
interest payments on floating rate debt, including interest swapped from a fixed rate to a floating rate, using
the November 30, 2015 forward interest rates for the remaining terms of the loans. Floating rate interest
payments also include debt issuance costs that are payable upon drawing under most of our cancellable
export credit facilities and facility fees on our revolving credit facilities.
(f) Amounts payable in foreign currencies, which are principally the euro, sterling and Australian dollars, are
based on the November 30, 2015 exchange rates.
As of November 30, 2015, our total annual capital expenditures consist of ships under contract for construction,
including ship construction contracts entered into through January 22, 2016, estimated improvements to existing
ships and shoreside assets and are expected to be $3.5 billion in 2016, $2.7 billion in 2017, $3.8 billion in 2018,
$4.4 billion in 2019 and $3.8 billion in 2020.
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