Siemens 2005 Annual Report Download - page 171

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171
The Company also has agreements with financial institutions under which it may issue up to
€5.0 billion in medium-term notes. As of September 30, 2005 and 2004, approximately €1 billion
and €0.9 billion, respectively, were outstanding under this program.
In fiscal 2005, the Company renewed a U.S.$ 3.0 billion syndicated multi-currency revolving
credit facility, which was to expire in May 2007. It was replaced by a new syndicated multi-currency
revolving credit facility of U.S.$ 5.0 billion (€4.2 billion as of September 30, 2005) expiring March
2012 from a syndicate of international banks. In fiscal 2005, the Company also terminated its
€0.75 billion revolving credit facility which was to expire in June 2008 and replaced it with a €0.45
billion revolving credit facility maturing in September 2012. Borrowings under these credit facili-
ties bear interest of 0.15% (2004: 0.225%) above either EURIBOR (Euro Interbank Offered Rate) in
case of a drawdown in euros, or LIBOR (London Interbank Offered Rate) in case of a drawdown in
one of the other currencies agreed on. As of September 30, 2005 and 2004, the full amounts of
these lines of credit remained unused. Commitment fees for each of the years ended September
30, 2005 and 2004 totaled approximately €3. The facilities are for general business purposes.
Other financial indebtedness includes €520 and €684, as of September 30, 2005 and 2004,
respectively, for the Company’s continuing involvement in certain real estate assets sold or trans-
ferred in which Siemens has retained significant risks and rewards of ownership, mainly through
assumption of construction risks and obligations or through circumstances in which Siemens
participates directly or indirectly in the change in market value of the property. Therefore, these
transactions have been accounted for as financing obligations. These real estate properties are
carried on the Company’s Consolidated Balance Sheets and no sale and profit has been recog-
nized.
As of September 30, 2005, the minimum lease payments under capital leases for the next five
years and thereafter are as follows:
Notes to Consolidated Financial Statements
Consolidated Financial Statements Notes to Consolidated Financial Statements
(in millions of €, except where otherwise stated
and per share amounts)
Fiscal year
2006 108
2007 53
2008 47
2009 42
2010 45
Thereafter 150
Minimum lease payment obligation 445
Less: unamortized interest expense (92)
Obligations under capital leases 353
Less: current portion (89)
264