Sprint - Nextel 2011 Annual Report Download - page 126

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Table of Contents
CLEARWIRE CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)
Our policy is to recognize any interest related to unrecognized tax benefits in interest expense or interest income. We recognize penalties as additional income tax
expense. As of December 31, 2011, we had no material uncertain tax positions and therefore accrued no interest or penalties related to uncertain tax positions.
Long-term debt at December 31, 2011 and 2010 consisted of the following (in thousands):
_
______________________________________
_
______________________________________
F-59
10. Long-term Debt, Net
2011
Interest
Rates Effective
Rate(1) Maturities Par
Amount Net
Discount Carrying
Value
Notes:
Senior Secured Notes and Rollover Notes 12.00% 12.92% 2015 $ 2,947,494 $ (35,272) $ 2,912,222
Second-Priority Secured Notes 12.00% 12.42% 2017 500,000
—
500,000
Exchangeable Notes 8.25% 16.66% 2040 729,250 (209,259) 519,991
Vendor Financing Notes(4) LIBOR based(2) 6.19% 2014/2015 48,379 (103) 48,276
Capital lease obligations(4) 65,590
—
65,590
Total debt, net $ 4,290,713 $ (244,634) 4,046,079
Less: Current portion of Vendor Financing
Notes and capital lease obligations(3) (26,474)
Total long-term debt, net $ 4,019,605
(1) Represents weighted average effective interest rate based on year-end balances.
(2) Coupon rate based on 3-month LIBOR plus a spread of 5.50%.
(3) Included in Other current liabilities on the consolidated balance sheet.
(4) As of December 31, 2011, par value of approximately $114.0 million is secured by assets classified as Network base station equipment.
2010
Interest
Rates Effective
Rate(1) Maturities Par
Amount Net
Discount Carrying
Value
Notes:
Senior Secured Notes and Rollover Notes 12.00% 12.92% 2015 $ 2,947,494 $ (42,387) $ 2,905,107
Second-Priority Secured Notes 12.00% 12.39% 2017 500,000
—
500,000
Exchangeable Notes 8.25% 16.65% 2040 729,250 (230,121) 499,129
Vendor Financing Notes(4) LIBOR based(2) 6.16% 2014 60,251 (264) 59,987
Capital lease obligations(4) 72,160
—
72,160
Total debt, net $ 4,309,155 $ (272,772) 4,036,383
Less: Current portion of Vendor Financing
Notes and capital lease obligations(3) (19,364)
Total long-term debt, net $ 4,017,019
(1) Represents weighted average effective interest rate based on year-end balances.
(2) Coupon rate based on 3-month LIBOR plus a spread of 5.50%.