Starbucks 2011 Annual Report Download - page 69

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As of October 2, 2011, we had $17 million in letters of credit outstanding under the credit facility. As of October 3,
2010, we had letters of credit totaling $15 million outstanding under the 2005 credit facility.
Long-term Debt
In August 2007, we issued $550 million of 6.25% Senior Notes (“the notes”) due in August 2017, in an underwritten
registered public offering. Interest is payable semi-annually on February 15 and August 15 of each year. The notes
require us to maintain compliance with certain covenants, which limit future liens and sale and leaseback
transactions on certain material properties. As of October 2, 2011 and October 3, 2010, the fair value of the notes,
recorded on the consolidated balance sheets, was $549.5 million and $549.4 million, respectively.
Interest Expense
Interest expense, net of interest capitalized, was $33.3 million, $32.7 million, and $39.1 million in fiscal 2011, 2010,
and 2009, respectively. In fiscal 2011, 2010, and 2009, $4.4 million, $4.9 million, and $2.9 million, respectively, of
interest was capitalized for asset construction projects.
Note 9: Other Liabilities (in millions)
Oct 2, 2011 Oct 3, 2010
Accrueddividendpayable .......................................... $126.6 $ 96.5
Other .......................................................... 192.4 166.3
Total other accrued liabilities ........................................ $319.0 $262.8
Oct 2, 2011 Oct 3, 2010
Deferredrent .................................................... $215.2 $239.7
Unrecognized tax benefits .......................................... 56.7 65.1
Asset retirement obligations ......................................... 50.1 47.7
Other .......................................................... 25.8 22.6
Total other long term liabilities ...................................... $347.8 $375.1
Note 10: Leases
Rental expense under operating lease agreements (in millions):
Fiscal Year Ended Oct 2, 2011 Oct 3, 2010 Sep 27, 2009
Minimumrentals...................................... $715.6 $688.5 $690.0
Contingentrentals ..................................... 34.3 26.1 24.7
Total ............................................... $749.9 $714.6 $714.7
Minimum future rental payments under non-cancelable operating leases as of October 2, 2011 (in millions):
Fiscal Year Ending
2012 ...................................................................... $ 751.2
2013 ...................................................................... 699.9
2014 ...................................................................... 630.7
2015 ...................................................................... 545.4
2016 ...................................................................... 442.7
Thereafter.................................................................. 988.0
Total minimum lease payments ................................................. $4,057.9
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