E-Z-GO 2005 Annual Report Download - page 75

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55
All of Textron’s acquired intangible assets are subject to amortization and are composed of the following:
December 31, 2005 January 1, 2005
Weighted-
Average
Amortization Gross Gross
Period Carrying Accumulated Carrying Accumulated
(Dollars in millions)
(In years) Amount Amortization Net Amount Amortization Net
Trademarks 20 $ 29 $ 7 $ 22 $ 28 $ 5 $ 23
Patents 8 12 8 4 12 7 5
Other 5 14 8 6 12 7 5
$55 $23 $32 $52 $19 $33
Amortization expense totaled $4 million in 2005, $6 million in 2004 and $9 million in 2003. For each of the next five years, amortization expense
is estimated to be approximately $3 million.
Note 9. Debt and Credit Facilities
Debt and credit facilities are composed of the following:
December 31, January 1,
(In millions)
2005 2005
Textron Manufacturing:
Short-term debt:
Revolving lines of credit $ 267 $ —
Current portion of long-term debt 8 420
Total short-term debt $ 275 $ 420
Long-term senior debt:
Medium-term notes due 2010 to 2011 (average rate of 9.85%) 17 17
5.625% due 2005 — 406
6.375% due 2008 300 300
4.50% due 2010 250 250
6.50% due 2012 300 300
3.875% due 2013 356 —
6.625% due 2020 260 288
Other long-term debt (average rate of 6.2% and 5.8%, respectively) 184 209
1,667 1,770
Current portion of long-term debt (8) (420)
Total long-term debt 1,659 1,350
Total Textron Manufacturing debt $ 1,934 $ 1,770
Textron Manufacturing maintains credit facilities with various banks for both short- and long-term borrowings. Textron Manufacturing has pri-
mary revolving credit facilities of $1.3 billion that expire in March 2010. Textron Manufacturing’s credit facilities permit Textron Finance to borrow
under these facilities. At December 31, 2005 and January 1, 2005, none of the primary revolving credit facilities were used or reserved as support
for commercial paper. The weighted-average interest rates for these facilities in 2005 and 2004 were 3.0% and 1.7%, respectively.
December 31, January 1,
(In millions)
2005 2005
Textron Finance:
Borrowings under or supported by credit facilities* $ 1,200 $ 1,307
Fixed-rate debt at average rate of 4.71% and 4.95%, respectively 3,209 2,360
Variable-rate notes at average rate of 4.73% and 3.04%, respectively 1,011 1,116
Total Textron Finance debt $ 5,420 $ 4,783
* The weighted-average interest rates on these borrowings before the effect of interest rate exchange agreements were 4.4% and 2.4% at the end of 2005 and
2004, respectively, and 3.3% for the year 2005 and 1.6% for the year 2004.
Notes to the Consolidated Financial Statements