Debt
On May 3, 2013, we issued $350 of fixed rate senior notes due May 15, 2018 (Fixed Rate Senior Notes) and $150 of floating rate senior notes due November 3, 2014 (Floating Rate Senior Notes). The Fixed Rate Senior Notes bear an annual interest rate of 0.95%, and may be redeemed at our option at any time for a redemption price equal to the full principal amount plus any accrued and unpaid interest and a make-whole premium. The Floating Rate Senior Notes bear an annual interest rate of three-month LIBOR plus one basis point, and are not redeemable prior to maturity. The notes are unsecured senior obligations and rank equally in right of payment with our existing and future unsecured and unsubordinated indebtedness. The net proceeds of the issuance totaling $494, after deducting underwriting discounts, commissions and offering expenses, were used to fund BCC.
Interest incurred, including amounts capitalized, was $548, $625 and $683 for the years ended December 31, 2013, 2012 and 2011, respectively. Interest expense recorded by BCC is reflected as a separate line item on our Consolidated Statements of Operations, and is included in Earnings from operations. Total Company interest payments were $551, $614 and $626 for the years ended December 31, 2013, 2012 and 2011, respectively.
We have $4,845 currently available under credit line agreements, of which $2,392 is a 364-day revolving credit facility expiring in November 2014 and $2,453 is a five-year credit facility, of which $2,393 expires in November 2018 and $60 in November 2017. The 364-day credit facility has a one-year term out option which allows us to extend the maturity of any borrowings one year beyond the aforementioned expiration date. We continue to be in full compliance with all covenants contained in our debt or credit facility agreements.
Short-term debt and current portion of long-term debt at December 31 consisted of the following:
|
| | | | | | | |
| 2013 | 2012 |
Unsecured debt securities |
| $1,370 |
| |
| $1,224 |
|
Non-recourse debt and notes | 32 |
| | 51 |
|
Capital lease obligations | 68 |
| | 96 |
|
Other notes | 93 |
| | 65 |
|
Total |
| $1,563 |
| |
| $1,436 |
|
Debt at December 31 consisted of the following:
|
| | | | | | | |
| 2013 |
| | 2012 |
|
Unsecured debt securities | | | |
Variable rate: 3-month USD LIBOR plus 1 basis point due 2014 |
| $150 |
| |
|
|
0.95% - 5.00% due through 2023 | 4,832 |
| |
| $4,521 |
|
5.80% - 6.88% due through 2043 | 2,392 |
| | 3,591 |
|
7.25% – 8.75% due through 2043 | 1,672 |
| | 1,672 |
|
Non-recourse debt and notes | | | |
4.12% - 4.84% notes due through 2013 | | | 13 |
|
6.98% - 7.38% notes due through 2021 | 233 |
| | 231 |
|
Capital lease obligations due through 2017 | 151 |
| | 179 |
|
Other notes | 205 |
| | 202 |
|
Total debt |
| $9,635 |
| |
| $10,409 |
|
Total debt is attributable to:
|
| | | | | | | |
| 2013 |
| | 2012 |
|
BCC |
| $2,577 |
| |
| $2,742 |
|
Other Boeing | 7,058 |
| | 7,667 |
|
Total debt |
| $9,635 |
| |
| $10,409 |
|
At December 31, 2013, $256 of debt (non-recourse debt and notes and capital lease obligations) was collateralized by customer financing assets totaling $404.
Scheduled principal payments for debt and minimum capital lease obligations for the next five years are as follows:
|
| | | | | | | | | | | | | | | | | | | |
| 2014 |
| | 2015 |
| | 2016 |
| | 2017 |
| | 2018 |
|
Scheduled principal payments |
| $1,562 |
| |
| $888 |
| |
| $1,075 |
| |
| $58 |
| |
| $638 |
|
