Coca Cola 2005 Annual Report Download - page 88

Download and view the complete annual report

Please find page 88 of the 2005 Coca Cola annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 142

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142

THE COCA-COLA COMPANY AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTE 7: SHORT-TERM BORROWINGS AND CREDIT ARRANGEMENTS (Continued)
discussed above, the Company had $1,150 million in lines of credit for general corporate purposes, including
commercial paper backup. There were no borrowings under these lines of credit during 2005.
These credit facilities are subject to normal banking terms and conditions. Some of the financial
arrangements require compensating balances, none of which is presently significant to our Company.
NOTE 8: LONG-TERM DEBT
Long-term debt consisted of the following (in millions):
December 31, 2005 2004
57⁄8% euro notes due 2005 $—$ 663
4% U.S. dollar notes due 2005 —750
53⁄4% U.S. dollar notes due 2009 399 399
53⁄4% U.S. dollar notes due 2011 499 499
73⁄8% U.S. dollar notes due 2093 116 116
Other, due through 20141,2 168 220
$ 1,182 $ 2,647
Less current portion 28 1,490
Long-term debt $ 1,154 $ 1,157
12004 balance includes a $5 million fair value adjustment related to interest rate swap agreements.
Refer to Note 11.
2The weighted-average interest rate on outstanding balances was 6% and 4% for the years ended
December 31, 2005 and 2004, respectively.
The above notes include various restrictions, none of which is presently significant to our Company.
After giving effect to interest rate management instruments, the principal amount of our long-term debt
that had fixed and variable interest rates, respectively, was $1,181 million and $1 million on December 31, 2005.
After giving effect to interest rate management instruments, the principal amount of our long-term debt that had
fixed and variable interest rates, respectively, was $1,895 million and $752 million on December 31, 2004.
Including the effect of interest rate management instruments, the weighted-average interest rate on the
outstanding balances of our Company’s long-term debt was 6.0 percent and 4.4 percent per year for the years
ended December 31, 2005 and 2004, respectively.
Total interest paid was approximately $233 million, $188 million and $180 million in 2005, 2004 and 2003,
respectively. For a more detailed discussion of interest rate management, refer to Note 11.
Maturities of long-term debt for the five years succeeding December 31, 2005, are as follows (in millions):
Maturities of
Long-Term Debt
2006 $ 28
2007 29
2008 70
2009 409
2010 9
86