Chevron 2012 Annual Report Download - page 56

54 Chevron Corporation 2012 Annual Report
Notes to the Consolidated Financial Statements
Millions of dollars, except per-share amounts
Note 15
Short-Term Debt
At December 31
2012 2011
Commercial paper* $ 2,783 $ 2,498
Notes payable to banks and others with
originating terms of one year or less 23 40
Current maturities of long-term debt 20 17
Current maturities of long-term
capital leases 38 54
Redeemable long-term obligations
Long-term debt 3,151 3,317
Capital leases 12 14
Subtotal 6,027 5,940
Reclassied to long-term debt (5,900) (5,600)
Total short-term debt $ 127 $ 340
* Weighted-average interest rates at December 31, 2012 and 2011, were 0.13 percent
and 0.04 percent, respectively.
Redeemable long-term obligations consist primarily of tax-
exempt variable-rate put bonds that are included as current
liabilities because they become redeemable at the option of the
bondholders during the year following the balance sheet date.
e company may periodically enter into interest rate
swaps on a portion of its short-term debt. At December 31,
2012, the company had no interest rate swaps on short-
term debt.
At December 31, 2012, the company had $6,000 in
committed credit facilities with various major banks, expiring
in December 2016, that enable the renancing of short-term
obligations on a long-term basis. ese facilities support com-
mercial paper borrowing and can also be used for general
corporate purposes. e company’s practice has been to
continually replace expiring commitments with new commit-
ments on substantially the same terms, maintaining levels
management believes appropriate. Any borrowings under the
facilities would be unsecured indebtedness at interest rates
based on the London Interbank Oered Rate or an average of
base lending rates published by specied banks and on terms
reecting the company’s strong credit rating. No borrowings
were outstanding under these facilities at December 31, 2012.
At December 31, 2012 and 2011, the company classied
$5,900 and $5,600, respectively, of short-term debt as long-
term. Settlement of these obligations is not expected to require
the use of working capital within one year, as the company has
both the intent and the ability, as evidenced by committed
credit facilities, to renance them on a long-term basis.
Note 16
Long-Term Debt
Total long-term debt, excluding capital leases, at December 31,
2012, was $11,966. e company’s long-term debt
outstanding at year-end 2012 and 2011 was as follows:
At December 31
2012 2011
3.95% notes due 2014 $ – $ 1,998
1.104% notes due 2017 2,000 –
2.355% notes due 2022 2,000 –
4.95% notes due 2019 1,500 1,500
8.625% debentures due 2032 147 147
8.625% debentures due 2031 107 107
7.5% debentures due 2043 83 83
8% debentures due 2032 74 74
9.75% debentures due 2020 54 54
7.327% amortizing notes due 20141 43 59
8.875% debentures due 2021 40 40
Medium-term notes, maturing from
2021 to 2038 (5.92%)2 38 38
Other long-term debt (8.07%)2 – 1
Total including debt due within one year 6,086 4,101
Debt due within one year (20) (17)
Reclassied from short-term debt 5,900 5,600
Total long-term debt $ 11,966 $ 9,684
1 Guarantee of ESOP debt.
2 Weighted-average interest rate at December 31, 2012 and 2011.
In November 2012, the company led with the SEC an
automatic registration statement that expires in 2015. is regis-
tration statement is for an unspecied amount of nonconvertible
debt securities issued or guaranteed by the company.
Long-term debt of $6,086 matures as follows: 2013 – $20;
2014– $23; 2015 – $0; 2016 – $0; 2017 – $2,000; and after
2017 – $4,043.
In December 2012, $4,000 of Chevron Corporation
bonds were issued and $2,000 of Chevron Corporation
3.95% bonds due 2014 were redeemed early.
See Note 8, beginning on page 41, for information
concerning the fair value of the company’s long-term debt.