Best Buy 2006 Annual Report Download - page 86

$ in millions, except per share amounts
72
$200 revolving credit facility that would have expired on
March 21, 2005. At February 25, 2006, and February 26,
2005, $199 and $139, respectively, were available under
these facilities. There were no borrowings outstanding under
these facilities for any period presented.However, amounts
outstanding under lettersof credit reduce amounts available
under these facilities.
Our International segment has a $22 revolving demand
facility, of which $17 is available from February through
July and $22 is available fromAugust through January of
each year. There is no set expiration date for this facility.
There were no borrowings outstanding under this facility at
February 25, 2006, or February 26, 2005. Outstanding
letters of credit and letters of guarantee reduced the
amount available under this facility to $17 and $15 at
February 25, 2006, and February 26, 2005, respectively.
All borrowingsunder this facility are made available at the
sole discretion of the lender and are payable on demand.
Borrowings under this facility are unsecured and bear
interest at ratesspecified in the agreement. The agreement
for this facility contains certain reporting and operating
covenants.
Other
The fair value of long-term debtapproximated $693 and
$603 at February 25, 2006, and February 26,2005,
respectively,based onthe ask prices quoted from external
sources, compared with carrying values of $596 and $600,
respectively.
We had a master lease programwhich wasused to
construct and lease new retail locations. At the end of fiscal
2005, $55 in leases for new stores was outstanding under
the master lease program. At February 26, 2005, the debt
associated with the masterlease program was included in
the current portion of long-term debtbased on the terms of
the agreement. On May4, 2005, we repaid the
outstanding balance of $54 on our master lease obligation.
The future maturities of long-termdebt, including
capitalized leases, consist of the following:
Fiscal Year
2007(1)$ 418
2008 16
2009 16
2010 25
2011 17
Thereafter 104
$ 596
(1)Holders of our debentures due in 2022 may require us to
purchase all or aportion of their debentures onJanuary 15,
2007. The table above assumes that all holders of our
debenturesexercise their redemption options.
5. Shareholders’ Equity
Stock Compensation Plans
Our2004 Omnibus Stock and Incentive Plan (Omnibus
Plan) authorizes us to grant or issue non-qualified stock
options, nonvestedshare awards and other equity awards
up to a total of 24 million shares. Under the terms of the
Omnibus Plan, awards may be granted to our employees,
officers, advisors, consultants and directors. Awards issued
under the Omnibus Plan vest as determined by our
Compensation and Human Resources Committee at the
time of grant. At February 25, 2006, a total of 11.4 million
shares were available for future grants under the Omnibus
Plan.
Upon shareholder approval of the Omnibus Plan, all of our
previous stock compensation plans were terminated.
However,existing awards under those plans will continue to
vest in accordance with the original vestingschedule and
will expire at the end of their original term.
Our outstanding non-qualifiedstock options have a
10-year term. Outstanding non-qualified stock options
issued to employees generally vestover afour-year period,
and outstanding non-qualified stock options issued to
directors vest immediately upon grant. Share awards vest
based either upon attainment of established goals or upon
continued employment (time-based). Outstanding share
awards that are not time-based vest at the end of a three-
year incentive periodbased either upon our total