Dow Chemical 2013 Annual Report Download - page 134

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112
Annual Installments on Long-Term Debt
for Next Five Years
In millions
2014 $ 697
2015 $ 407
2016 $ 1,366
2017 $ 775
2018 $ 930
2013 Activity
On November 18, 2013, the Company concluded cash tender offers for $700 million aggregate principal amount of certain
notes issued by the Company. As a result of the tender offers, the Company redeemed $414 million of 6.0 percent notes due
2017 and $286 million of 5.7 percent notes due 2018 and recognized a $156 million loss on the early extinguishment of debt,
included in "Sundry income (expense) - net" in the consolidated statements of income and reflected in Corporate.
During the third quarter of 2013, the Company redeemed $209 million aggregate principal amount of InterNotes of various
interest rates and maturities in 2017, 2018, 2020, 2021 and 2022. As a result of this redemption, the Company realized a
$3 million pretax loss on the early extinguishment of debt, included in "Sundry income (expense) - net" in the consolidated
statements of income and reflected in Corporate.
On June 24, 2013, the Company redeemed $1.25 billion aggregate principal amount of 5.9 percent notes due February 15,
2015, at a price of 108.4 percent of the principal amount of the notes, plus accrued and unpaid interest. As a result of this
redemption, the Company realized a $108 million pretax loss on the early extinguishment of debt, included in "Sundry income
(expense) - net" in the consolidated statements of income and reflected in Corporate.
On June 15, 2013, the Company redeemed $142 million aggregate principal amount of InterNotes of various interest rates and
varying maturities in 2017, 2018, 2020, 2021 and 2022. As a result of this redemption, the Company realized a $2 million
pretax loss on the early extinguishment of debt, included in "Sundry income (expense) - net" in the consoldiated statements of
income and reflected in Corporate.
On March 25, 2013, the Company redeemed $750 million aggregate principal amount of 7.6 percent notes due May 15, 2014,
at a price of 107.8 percent of the principal amount of the notes, plus accrued and unpaid interest. As a result of this redemption,
the Company realized a $60 million pretax loss on the early extinguishment of debt, included in "Sundry income (expense) -
net" in the consolidated statements of income and reflected in Corporate.
During 2013, the Company issued $447 million aggregate principal amount of InterNotes with varying maturities in 2018, 2020
and 2023, at various interest rates averaging 3.24 percent; and approximately $80 million of long-term debt (net of $119 million
of repayments) was entered into by consolidated variable interest entities. The Company also drew $300 million on a
Committed Term Loan Facility on April 5, 2013.
During 2013, the Company redeemed $250 million of 5.6 percent notes that matured on March 15, 2013; redeemed
$138 million of 6.85 percent notes that matured on August 15, 2013; redeemed $82 million principal amount of InterNotes at
maturity; and repurchased $200 million of pollution control/industrial revenue tax-exempt bonds of which $126 million is
available for re-marketing. The Company also acquired third party lenders’ interest in Dow Kokam LLC’s $75 million note,
which was previously classified as “Long-Term Debt” in the consolidated balance sheets (see Note 5 for additional
information).
2012 Activity
On December 17, 2012, the Company redeemed $1.0 billion aggregate principal amount of 7.6 percent notes due May 15,
2014, at a price of 109.6 percent of the principal amount of the notes, plus accrued and unpaid interest. As a result of this
redemption, the Company realized a $99 million pretax loss on the early extinguishment of debt, included in "Sundry income
(expense) - net" in the consolidated statements of income and reflected in Corporate.
On November 14, 2012, the Company issued $2.5 billion of senior unsecured notes in a public offering. The offering included
$1.25 billion aggregate principal amount of 3.0 percent notes due 2022 and $1.25 billion aggregate principal amount of 4.375
percent notes due 2042.