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Table of Contents E. I. du Pont de Nemours and Company
Notes to the Consolidated Financial Statements (continued)
(Dollars in millions, except per share)
13. LONG-TERM BORROWINGS AND CAPITAL LEASE OBLIGATIONS
December 31, 2011 2010
U.S. dollar:
Medium-term notes due 2013 – 2041 1$ 401 $ 420
4.75% notes due 20122400 400
5.00% notes due 2013 250 250
5.00% notes due 2013 747 746
5.875% notes due 2014 170 170
1.75% notes due 2014 400 —
Floating rate notes due 2014 3600 —
4.875% notes due 2014 499 498
3.25% notes due 2015 41,065 1,038
4.75% notes due 2015 399 399
1.95% notes due 2016 496 495
2.75% notes due 2016 499 —
5.25% notes due 2016 599 599
6.00% notes due 201851,405 1,425
5.75% notes due 2019 499 498
4.625% notes due 2020 997 996
3.625% notes due 2021 999 999
4.25% notes due 2021 499 —
6.50% debentures due 2028 299 299
5.60% notes due 2036 395 395
4.90% notes due 2041 493 493
Other loans (average interest rate of 2.0 percent)28 9
Other loans-various currencies 24 8
12,123 10,137
Less short-term portion of long-term debt 410 4
11,713 10,133
Capital lease obligations 23 4
Total $ 11,736 $ 10,137
1. Average interest rates on medium-term notes at December 31, 2011 and 2010 were 3.7% and 3.4%, respectively.
2. Includes long-term debt due within one year.
3. Interest rate on floating rate notes at December 31, 2011 was 1.0%.
4. At December 31, 2011 and 2010, the company had outstanding interest rate swap agreements with gross notional amounts of $1,000. Over the remaining terms of the notes, the company
will receive fixed payments equivalent to the underlying debt and pay floating payments based on USD LIBOR (London Interbank Offered Rate) . The fair value of outstanding swaps
was an asset of $66 and $40 at December 31, 2011 and 2010, respectively.
5. During 2008, the interest rate swap agreement associated with these notes was terminated. The gain will be amortized over the remaining life of the bond, resulting in an effective yield
of 3.85%.
In March 2011, the company issued $400 of 1.75% Senior Notes due 2014, $600 of Floating Rate Senior Notes due 2014, $500 of 2.75% Senior Notes due
2016 and $500 of 4.25% Senior Notes due 2021. The Floating Rate Notes bear interest at three-month USD LIBOR plus 0.42%. The net proceeds of $1,991
from these issuances were used as part of financing the Danisco acquisition.
Maturities of long-term borrowings are $1,245, $1,669, $1,465 and $1,594 for the years 2013, 2014, 2015 and 2016, respectively, and $5,740 thereafter.
The estimated fair value of the company's long-term borrowings, including interest rate financial instruments, based on quoted market prices for the same or
similar issues or on current rates offered to the company for debt of the same remaining maturities
F-21