Siemens 2012 Annual Report Download - page 262

1 A. To our Shareholders 49 C. Combined Management Report 21 B. Corporate Governance
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)   
We have a US$ . billion (€. billion) multi-currency commer-
cial paper program in place including US$ extendible notes capa-
bilities. As of September ,  and  no commercial papers
were outstanding. Siemens’ commercial papers have a maturity
of generally less than  days. Interest rates ranged from –.%
to .% in fiscal  and from .% to .% in fiscal .
)   
Debt Issuance Program, previously
called Euro Medium-Term Note Program
The Company has agreements with financial institutions un-
der which it may issue instruments up to €. billion as of
September ,  and , respectively. As of September ,
 €. billion (: €. billion) in notional amounts were
issued and are outstanding. The outstanding amounts as of
September ,  comprise US$ million (€ million)
.% fixed-rate instruments due March , ; €. billion
.% fixed-rate instruments due June , ; €. billion
.% fixed-rate instruments due June , ; €. billion
.% fixed-rate instruments due February ,  and €.
billion .% fixed-rate instruments due February , . As
of September , , additional instruments were outstand-
ing: €. billion .% fixed-rate instruments and US$
million (€ million) floating rate notes bearing interest of
.% above the three months LIBOR were redeemed at face
value on December ,  and March , , respectively.
In September , Siemens issued €. billion and £. billion
(€. billion as of September , ) in fixed-rate instru-
ments in four tranches comprising € million in .% in-
struments due September , , €. billion in .% instru-
ments due March , , £ million (€ million as of
September , ) in .% instruments due September ,
 and £ million (€ million as of September , )
in .% instruments due September , .
In February , Siemens issued US$ million (€ mil-
lion as of September , ) in floating rate notes ( months
LIBOR + .%) due February , .
US$ Medium Term Notes
In August , the Company issued US$. billion of notes
(€. billion as of September , ). These notes were is-
sued in four tranches of which the following are outstanding
as of September ,  and : US$. billion .% fixed-
rate instruments due October ,  (€. billion as of Sep-
tember , ) and US$. billion .% fixed-rate instru-
ments due August ,  (€. billion as of September ,
); the US$ million, .% fixed-rate instruments were
due on February , , and were redeemed at face value at
its maturity date;
Hybrid Bond
In September , the Company issued a subordinated hybrid
bond. The subordinated bond was issued in a EUR tranche of
€ million and a GBP tranche of £ million (€ million
as of September , ), both with a legal final maturity on
September ,  and with a call option for Siemens in 
or thereafter. The bonds bear a fixed interest rate until Septem-
ber ,  of .% for the EUR tranche and .% for the
GBP tranche, thereafter, floating rate interest is applied accord-
ing to the conditions of the bond.
Bond with Warrant Units
In fiscal , Siemens issued US$ bonds with warrant units in
an aggregate principal amount of US$ billion (€. billion as
of September , ). The bonds are composed of () nomi-
nal US$. billion (€. billion as of September , ), ma-
turing on August ,  bearing interest of notional .%
per annum, and () nominal US$. billion (€. billion as of
September , ), maturing on August ,  bearing in-
terest of notional .% per annum. Each of the US$. billion
bonds were issued with , detachable warrants. The war-
rants are classified as equity instruments with a fair value of
€ million at issuance; they are presented in additional paid-
in capital in line item Other changes in equity. The warrants’
exercise price was fixed in Euro. The warrants entitle the hold-
ers, at their option, to receive ,. Siemens AG shares
per warrant at an exercise price per share of €. during
the exercise period which matures on August ,  and 
for bond () and bond (), respectively. Accordingly, the war-
rants result in option rights relating to a total of . million
Siemens AG shares.