Seagate 2011 Annual Report Download - page 86
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Table of Contents
SEAGATE TECHNOLOGY PLC
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
The following table summarizes the Company's restructuring activities for fiscal years 2012, 2011 and 2010:
Of the accrued restructuring balance of approximately $25 million at June 29, 2012, $9 million is included in Accrued expenses and
$16 million is included in Other non-current liabilities in the Company's Consolidated Balance Sheet. Of the accrued restructuring balance of
approximately $39 million at July 1, 2011, $15 million is included in Accrued expenses and $24 million is included in Other non-current
liabilities in the Company's Consolidated Balance Sheet.
6. Debt
Short-Term Borrowings
On January 18, 2011, the Company, and its subsidiary Seagate HDD Cayman entered into a Credit Agreement which provides for a
$350 million senior secured revolving credit facility. The Company and certain of its material subsidiaries fully and unconditionally guarantee,
on a senior secured basis, the revolving credit facility. The $350 million revolving credit facility matures in January 2015. The $350 million
revolving credit facility is available for cash borrowings and for the issuance of letters of credit up to a sub-limit of $75 million. As of June 29,
2012, no borrowings have been drawn under the revolving credit facility, and $2 million had been utilized for letters of credit. The line of credit
is available for borrowings, subject to compliance with financial covenants and other customary conditions to borrowing. The credit agreement
that governs the revolving credit facility contains certain covenants that the Company must satisfy in order to remain in compliance with the
credit agreement, including three financial covenants: (1) minimum amount of cash, cash equivalents and marketable securities; (2) a fixed
charge coverage ratio; and (3) a net leverage ratio. As of June 29, 2012, the Company was in compliance with all covenants, including the
financial ratios that it is required to maintain.
80
(Dollars in millions)
Post-
Employment
Benefits Operating
Leases
Other
Exit
Costs Total
All Restructuring Activities
Accrual balances at July 3, 2009
$
61
$
40
$
—
$
101
Restructuring charges
42
15
7
64
Cash payments
(62
)
(14
)
(7
)
(83
)
Adjustments
(3
)
5
—
2
Accrual balances at July 2, 2010
38
46
—
84
Restructuring charges
3
4
8
15
Cash payments
(36
)
(19
)
(8
)
(63
)
Adjustments
3
—
—
3
Accrual balances at July 1, 2011
8
31
—
39
Restructuring charges
3
—
2
5
Cash payments
(8
)
(8
)
(2
)
(18
)
Adjustments
—
(
1
)
—
(
1
)
Accrual balances at June 29, 2012
$
3
$
22
$
—
$
25