HP 2015 Annual Report Download - page 81

Table of Contents



Our debt-to-equity ratio is calculated as the carrying amount of debt divided by total stockholders' equity. Our debt-to-equity ratio increased by 0.16x in
fiscal 2015, due to an increase in total debt balances of $5.1 billion partially offset by an increase in stockholders' equity by $1.0 billion at the end of fiscal
2015. Our debt-to-equity ratio decreased by 0.10x in fiscal 2014, due to a decrease in total debt balances of $3.1 billion partially offset by a decrease in
stockholders' equity by $0.5 billion at the end of fiscal 2014.
Our weighted-average interest rate reflects the effective interest rate on our borrowings prevailing during the period and reflects the effect of interest rate
swaps. For more information on our interest rate swaps, see Note 13 to the Consolidated Financial Statements in Item 8, which is incorporated herein by
reference.

We had the following resources available to obtain short- or long-term financing if we need additional liquidity:
For more information on our available borrowings resources, see Note 13 to the Consolidated Financial Statements in Item 8, which is incorporated
herein by reference.

Our credit risk is evaluated by major independent rating agencies based upon publicly available information as well as information obtained in our
ongoing discussions with them. While we do not have any rating downgrade triggers that would accelerate the maturity of a material amount of our debt,
previous downgrades have increased the cost of borrowing under our credit facilities, have reduced market capacity for our commercial paper and have
required the posting of additional collateral under some of our derivative contracts. In addition, any further downgrade to our credit ratings by any rating
agencies may further impact us in a similar manner, and, depending on the extent of any such downgrade, could have a negative impact on our liquidity and
capital position. We can rely on alternative sources of funding, including drawdowns under our credit facilities, if necessary, to offset potential reductions in
the market capacity for our commercial paper.
79
 
   
Commercial paper programs $ 16,461
Uncommitted lines of credit $ 2,524
Source: HP INC, 10-K, December 16, 2015 Powered by Morningstar® Document Research℠
The information contained herein may not be copied, adapted or distributed and is not warranted to be accurate, complete or timely. The user assumes all risks for any damages or losses arising from any use of this information,
except to the extent such damages or losses cannot be limited or excluded by applicable law. Past financial performance is no guarantee of future results.