Raytheon 2009 Annual Report Download - page 80

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As of December 31, 2008
Principal Payments and Interest Rate Detail by Contractual Maturity Dates
(In millions, except percentages)
Long—Term Debt 2009 2010 2011 2012 2013 Thereafter Total Fair Value
Fixed-rate debt $— $— $ 453 $ 333 $ 345 $1,158 $2,289 $2,493
Average interest rate — — 4.85% 5.50% 5.38% 6.84% 6.03%
As of December 31, 2008
Aggregate Notional Amounts Associated with Interest Rate Swaps in Place
and Interest Rate Detail by Contractual Maturity Dates
(In millions, except percentages)
Interest Rate Swaps 2009 2010 2011 2012 2013 Thereafter Total Fair Value
Fixed to variable $— $— $ 250 $— $ 325 $— $ 575 $48
Average variable rate paid — — 1.50% — 2.10% — 1.84%
Average fixed receive rate — — 4.09% — 4.80% — 4.49%
The notional amounts of outstanding foreign exchange forward contracts consisted of the following at:
December 31, 2009 December 31, 2008
(In millions) Buy Sell Buy Sell
British Pounds $407 $498 $382 $489
Canadian Dollars 212 46 189 27
Euros 190 35 87 1
All other 176 53 146 40
Total $985 $632 $804 $557
Unrealized gains of $69 million and $81 million were included in non-current assets and unrealized losses of $33 million
and $107 million were included in current liabilities at December 31, 2009 and December 31, 2008, respectively. For
foreign currency forward contracts designated and qualifying for hedge accounting, we record the effective portion of the
gain or loss on the derivative in accumulated other comprehensive loss, net of tax, and reclassify it into earnings in the
same period or periods during which the hedged revenue or cost of sales transaction affects earnings. Realized gains and
losses resulting from these cash flow hedges offset the foreign currency exchange gains and losses on the underlying assets
or liabilities being hedged. We believe our exposure due to changes in foreign currency rates is not material due to our
hedging policy.
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