American Express 2005 Annual Report Download - page 83

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Long-Term Debt
The Company’s long-term debt outstanding, defined
as debt with original maturities of one year or greater,
primarily consists of senior notes and medium-term
notes. Debt issuance costs are deferred and amortized
over the term of the related instrument or, if the holder
has a put option, over the put term. Long-term debt at
December 31, was as follows:
(Millions, except percentages) 2005 2004
Outstanding
Balance
Notional
Amount
of Swaps
Year-End
Stated
Rate on
Debt(b)
Year-End
Effective
Interest
Rate with
Swaps(b) Maturity
of Swaps
Outstanding
Balance
Notional
Amount
of Swaps
Year-End
Stated
Rate on
Debt(b)
Year-End
Effective
Interest
Rate with
Swaps(b) Maturity
of Swaps
American Express Company
(Parent Company only)
Convertible Debentures
due September 1, 2033 $ 2,000 $ — 1.85% — — $ 2,000 $ — 1.85% — —
Fixed Rate Senior Notes
due 2005–2013 3,242 — 4.79% — — 3,740 — 5.07% — —
American Express Travel
Related Services
Company Inc
(e)
Fixed Rate Senior Notes
due 2009 500 — 3.63% — — 500 — 3.63% — —
American Express Credit
Corporation
Fixed and Floating Rate Senior
and Medium-Term Notes due
2005–2015
(a)
13,600 6,350 4.48% 2.99% 2006–2015 14,931 8,350 3.09% 2.85% 2005–2006
Borrowings under Bank Credit
Facilities due 2009 3,329 3,028 5.25% 5.12% 2006–2010 3,683 1,537 4.54% 4.62% 2005–2010
American Express
Centurion Bank
Fixed and Floating Rate Senior
and Medium-Term Notes due
2005–2009 4,342 1,000 4.44% 4.31% 2006–2009 4,058 1,200 2.14% 2.31% 2005–2009
American Express Bank, FSB
Floating Rate Medium-Term
Notes due 2005–2007 2,350 1,000 4.39% 4.18% 2006–2007 1,600 — 1.59% — —
American Express Receivables
Financing Corporation LLC
& American Express
Receivables Financing
Corporation V LLC
Floating Rate Senior Notes
due 2005–2012
(d)
1,116 — 4.42% — — 1,750 — 1.60% — —
Floating Rate Subordinated
Notes due 2005–2012
(d)
84 — 4.70% — — 142 — 1.98% — —
Other
Fixed Rate and Floating Rate
Notes due 2005–2014
(c)
218 105 5.77% 6.38% 2006–2007 272 106 6.03% 5.97% 2006–2007
Total $ 30,781 $ 11,483 4.41% $ 32,676 $ 11,193 3.16%
(a)These balances include $2 billion and $1 billion notes which are subject to extension by the holders through March 5, 2008 and June 20, 2008, respectively.
(b)For floating rate debt issuances, the stated and effective interest rates were based on the respective rate at December 31, 2005 and 2004. These rates
are not indicative of future interest rates.
(c)These balances include $93 million related to two sale-leaseback transactions as described in Note 11.
(d)$1.2 billion of senior and subordinated notes were issued by American Express Receivables Financing Corporation V LLC during 2005. $1.9 billion of
senior and subordinated notes primarily issued by American Express Receivables Financing Corporation LLC (RFC) matured during 2005. Portions of
RFC floating rate senior and subordinated notes were included in the American Express Centurion Bank and the American Express Bank, FSB captions
in prior periods.
(e)American Express Travel Related Services Company Inc. fixed rate senior notes were issued by the Travel Related Services Parent Company. Notes to Consolidated
Financial Statements
AXP / AR.2005
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