Page 96 - FY2014_Q4_10K

8 Borrowings

The Company’s borrowings at September 27, 2014 and September 28, 2013, including the impact of interest rate and
cross-currency swaps, are summarized below:

2014

2014 2013 Stated Pay Effective Swap
$ 50 $— Interest Floating Interest Maturities
Rate (1) Interest rate Rate (3)
13,713 13,155 and Cross- 2015 - 2023
530 509 — Currency 2017
110 111 2.73% Swaps (2)
184 238 5.71%
Commercial paper 8.75% $— 0.09%
U.S. medium-term notes 14,587 14,013
Foreign currency denominated debt 253 275 — 6,800 2.10%
Capital Cities/ABC debt 2.88%
Other (4) 14,840 14,288 4.13% 294 5.19%
2,164 1,512 2.91%
HKDL borrowings 1.70% — 6.02%
Total borrowings
Less current portion ——

7,094 2.24%

— 3.30%

7,094 2.27%

— 1.51%

Total long-term borrowings $ 12,676 $ 12,776 $ 7,094

(1) The stated interest rate represents the weighted-average coupon rate for each category of borrowings. For floating rate
borrowings, interest rates are the rates in effect at September 27, 2014; these rates are not necessarily an indication of
future interest rates.

(2) Amounts represent notional values of interest rate and cross-currency swaps outstanding as of September 27, 2014.

(3) The effective interest rate includes the impact of existing and terminated interest rate and cross-currency swaps,
purchase accounting adjustments and debt issuance discounts and costs.

(4) Includes market value adjustments for debt with qualifying hedges totaling $74 million and $117 million at
September 27, 2014 and September 28, 2013, respectively.

Commercial Paper

At September 27, 2014, the Company had $50 million of commercial paper debt outstanding and had bank facilities with
a syndicate of lenders to support commercial paper borrowings as follows:

Facility expiring March 2015 Committed Capacity Unused
Facility expiring June 2017 Capacity Used Capacity
Facility expiring March 2019 $ 1,500 $ 1,500
$—
Total 2,250 — 2,250
2,250 — 2,250
$ 6,000 $ 6,000
$—

All of the above bank facilities allow for borrowings at LIBOR-based rates plus a spread depending on the credit default
swap spread applicable to the Company’s debt, subject to a cap and floor that vary with the Company’s debt rating assigned by
Moody’s Investors Service and Standard and Poor’s. The spread above LIBOR can range from 0.23% to 1.63%. The Company
also has the ability to issue up to $800 million of letters of credit under the facility expiring in March 2019, which if utilized,
reduces available borrowings under this facility. As of September 27, 2014, the Company has issued $223 million of letters of
credit of which none were issued under this facility. The facilities contain only one financial covenant, relating to interest
coverage, which the Company met on September 27, 2014 by a significant margin, and specifically exclude certain entities,
including the International Theme Parks, from any representations, covenants, or events of default.

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