Johnson Controls 2011 Annual Report Download - page 69

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69
8. DEBT AND FINANCING ARRANGEMENTS
Short-term debt consisted of the following (in millions):
September 30,
2011
2010
Bank borrowings and commercial paper
$
596
$
75
Weighted average interest rate on short-term
debt outstanding
2.4%
6.2%
During the quarter ended March 31, 2011, the Company replaced its $2.05 billion committed five-year credit
facility, scheduled to maturity in December 2011, with a $2.5 billion committed four-year credit facility scheduled
to mature in February 2015. The facility is used to support the Company’s outstanding commercial paper. There
were no draws against the committed credit facilities during the fiscal years ended September 30, 2011 and 2010.
Average outstanding commercial paper for the fiscal year ended September 30, 2011 was $955 million and $409
million was outstanding at September 30, 2011. Average outstanding commercial paper for the fiscal year ended
September 30, 2010 was $342 million and none was outstanding at September 30, 2010.
Long-term debt consisted of the following (in millions; due dates by fiscal year):
September 30,
2011
2010
Unsecured notes
5.25% due in 2011 ($654 million 2010 par value)
$
-
$
655
5.8% due in 2013 ($100 million par value)
101
102
4.875% due in 2013 ($300 million par value)
321
327
Floating rate notes due in 2014 ($350 million par value)
350
-
1.75% due in 2014 ($450 million par value)
462
-
7.7% due in 2015 ($125 million par value)
125
125
5.5% due in 2016 ($800 million par value)
800
800
7.125% due in 2017 ($150 million par value)
164
167
5.0% due in 2020 ($500 million par value)
498
498
4.25% due 2021 ($500 million par value)
497
-
6.0% due in 2036 ($400 million par value)
395
395
5.7% due in 2041 ($300 million par value)
299
-
11.5% due in 2042 (760,100 and 917,915 equity units in 2011 and 2010,
respectively)
38
46
11.5% notes due in 2042 ($8 million par value)
8
-
6.95% due in 2046 ($125 million par value)
125
125
Capital lease obligations
70
34
Foreign-denominated debt
Euro
286
27
Other
11
13
Gross long-term debt
4,550
3,314
Less: current portion
17
662
Net long-term debt
$
4,533
$
2,652
At September 30, 2011, the Company’s euro-denominated long-term debt was at fixed rates with a weighted-
average interest rate of 4.7%. At September 30, 2010, the Company’s euro-denominated long-term debt was at fixed
rates with a weighted-average interest rate of 5.0%.
The installments of long-term debt maturing in subsequent fiscal years are: 2012 — $17 million; 2013 — $437
million; 2014 — $930 million; 2015 — $132 million; 2016 — $805 million; 2017 and thereafter — $2,229 million.
The Company’s long-term debt includes various financial covenants, none of which are expected to restrict future
operations.