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Debt | 12 Months Ended
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Sep. 30, 2017
Debt Disclosure [Abstract] |
Debt | Debt Commercial Paper The Company issues unsecured short-term promissory notes (“Commercial Paper”) pursuant to a commercial paper program. The Company uses net proceeds from the commercial paper program for general corporate purposes, including dividends and share repurchases. As of September 30, 2017 and September 24, 2016, the Company had $12.0 billion and $8.1 billion of Commercial Paper outstanding, respectively, with maturities generally less than nine months. The weighted-average interest rate of the Company’s Commercial Paper was 1.20% as of September 30, 2017 and 0.45% as of September 24, 2016. The following table provides a summary of cash flows associated with the issuance and maturities of Commercial Paper for 2017 and 2016 (in millions):
| 2017 |  | 2016
Maturities less than 90 days: |  |  |
Proceeds from/(Repayments of) commercial paper, net | $ | (1,782 | ) |  | $ | (869 | )
Maturities greater than 90 days: |  |  |
Proceeds from commercial paper | 17,932 |  |  | 3,632 |
Repayments of commercial paper | (12,298 | ) |  | (3,160 | )
Proceeds from/(Repayments of) commercial paper, net | 5,634 |  |  | 472 |
Total change in commercial paper, net | $ | 3,852 |  |  | $ | (397 | )
Term Debt As of September 30, 2017, the Company had outstanding floating- and fixed-rate notes with varying maturities for an aggregate principal amount of $104.0 billion (collectively the “Notes”). The Notes are senior unsecured obligations, and interest is payable in arrears, quarterly for the U.S. dollar-denominated and Australian dollar-denominated floating-rate notes, semi-annually for the U.S. dollar-denominated, Australian dollar-denominated, British pound-denominated, Japanese yen-denominated and Canadian dollar-denominated fixed-rate notes and annually for the euro-denominated and Swiss franc-denominated fixed-rate notes. The following table provides a summary of the Company’s term debt as of September 30, 2017 and September 24, 2016:
| Maturities |  | 2017 |  | 2016
| Amount (in millions) |  | Effective Interest Rate |  | Amount (in millions) |  | Effective Interest Rate
2013 debt issuance of $17.0 billion: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Floating-rate notes | 2018 |  | 2018 |  | $ | 2,000 |  |  |  | 1.10% |  | 1.10 | % |  | $ | 2,000 |  |  |  | 1.10% |  | 1.10 | %
Fixed-rate 1.000% – 3.850% notes | 2018 | – | 2043 |  | 12,500 |  |  |  | 1.08% | – | 3.91 | % |  | 12,500 |  |  |  | 1.08% | – | 3.91 | %
2014 debt issuance of $12.0 billion: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Floating-rate notes | 2019 |  | 2019 |  | 1,000 |  |  |  | 1.61% |  | 1.61 | % |  | 2,000 |  |  |  | 0.86% | – | 1.09 | %
Fixed-rate 2.100% – 4.450% notes | 2019 | – | 2044 |  | 8,500 |  |  |  | 1.61% | – | 4.48 | % |  | 10,000 |  |  |  | 0.85% | – | 4.48 | %
2015 debt issuances of $27.3 billion: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Floating-rate notes | 2019 | – | 2020 |  | 1,549 |  |  |  | 1.56% | – | 1.87 | % |  | 1,781 |  |  |  | 0.87% | – | 1.87 | %
Fixed-rate 0.350% – 4.375% notes | 2019 | – | 2045 |  | 24,522 |  |  |  | 0.28% | – | 4.51 | % |  | 25,144 |  |  |  | 0.28% | – | 4.51 | %
2016 debt issuances of $24.9 billion: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Floating-rate notes | 2019 | – | 2021 |  | 1,350 |  |  |  | 1.45% | – | 2.44 | % |  | 1,350 |  |  |  | 0.91% | – | 1.95 | %
Fixed-rate 1.100% – 4.650% notes | 2018 | – | 2046 |  | 23,645 |  |  |  | 1.13% | – | 4.78 | % |  | 23,609 |  |  |  | 1.13% | – | 4.58 | %
| Maturities |  | 2017 |  | 2016
(Continued) | Amount (in millions) |  | Effective Interest Rate |  | Amount (in millions) |  | Effective Interest Rate
Second quarter 2017 debt issuance of $10.0 billion: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Floating-rate notes |  |  | 2019 |  | 500 |  |  |  |  |  | 1.39 | % |  | — |  |  |  |  |  | — | %
Floating-rate notes |  |  | 2020 |  | 500 |  |  |  |  |  | 1.51 | % |  | — |  |  |  |  |  | — | %
Floating-rate notes |  |  | 2022 |  | 1,000 |  |  |  |  |  | 1.81 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 1.550% notes |  |  | 2019 |  | 500 |  |  |  |  |  | 1.59 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 1.900% notes |  |  | 2020 |  | 1,000 |  |  |  |  |  | 1.51 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 2.500% notes |  |  | 2022 |  | 1,500 |  |  |  |  |  | 1.80 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 3.000% notes |  |  | 2024 |  | 1,750 |  |  |  |  |  | 2.11 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 3.350% notes |  |  | 2027 |  | 2,250 |  |  |  |  |  | 2.25 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 4.250% notes |  |  | 2047 |  | 1,000 |  |  |  |  |  | 4.26 | % |  | — |  |  |  |  |  | — | %
Second quarter 2017 debt issuance of $1.0 billion: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed-rate 4.300% notes |  |  | 2047 |  | 1,000 |  |  |  |  |  | 4.30 | % |  | — |  |  |  |  |  | — | %
Third quarter 2017 debt issuance of $7.0 billion: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Floating-rate notes |  |  | 2020 |  | 500 |  |  |  |  |  | 1.38 | % |  | — |  |  |  |  |  | — | %
Floating-rate notes |  |  | 2022 |  | 750 |  |  |  |  |  | 1.66 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 1.800% notes |  |  | 2020 |  | 1,000 |  |  |  |  |  | 1.84 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 2.300% notes |  |  | 2022 |  | 1,000 |  |  |  |  |  | 2.34 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 2.850% notes |  |  | 2024 |  | 1,750 |  |  |  |  |  | 2.25 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 3.200% notes |  |  | 2027 |  | 2,000 |  |  |  |  |  | 2.43 | % |  | — |  |  |  |  |  | — | %
Third quarter 2017 euro-denominated debt issuance of €2.5 billion: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed-rate 0.875% notes |  |  | 2025 |  | 1,469 |  |  |  |  |  | 3.03 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 1.375% notes |  |  | 2029 |  | 1,469 |  |  |  |  |  | 3.37 | % |  | — |  |  |  |  |  | — | %
Third quarter 2017 debt issuance of $1.0 billion: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed-rate 3.000% notes |  |  | 2027 |  | 1,000 |  |  |  |  |  | 3.03 | % |  | — |  |  |  |  |  | — | %
Fourth quarter 2017 Canadian dollar-denominated debt issuance of C$2.5 billion: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed-rate 2.513% notes |  |  | 2024 |  | 2,017 |  |  |  |  |  | 2.66 | % |  | — |  |  |  |  |  | — | %
Fourth quarter 2017 debt issuance of $5.0 billion: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed-rate 1.500% notes |  |  | 2019 |  | 1,000 |  |  |  |  |  | 1.54 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 2.100% notes |  |  | 2022 |  | 1,000 |  |  |  |  |  | 1.92 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 2.900% notes |  |  | 2027 |  | 2,000 |  |  |  |  |  | 2.55 | % |  | — |  |  |  |  |  | — | %
Fixed-rate 3.750% notes |  |  | 2047 |  | 1,000 |  |  |  |  |  | 3.78 | % |  | — |  |  |  |  |  | — | %
Total term debt |  |  |  |  | 104,021 |  |  |  |  |  |  |  | 78,384 |  |  |  |  |  |
Unamortized premium/(discount) and issuance costs, net |  |  |  |  | (225 | ) |  |  |  |  |  |  | (174 | ) |  |  |  |  |
Hedge accounting fair value adjustments |  |  |  |  | (93 | ) |  |  |  |  |  |  | 717 |  |  |  |  |  |
Less: Current portion of long-term debt |  |  |  |  | (6,496 | ) |  |  |  |  |  |  | (3,500 | ) |  |  |  |  |
Total long-term debt |  |  |  |  | $ | 97,207 |  |  |  |  |  |  |  | $ | 75,427 |  |  |  |  |  |
To manage interest rate risk on certain of its U.S. dollar-denominated fixed- or floating-rate notes, the Company has entered into interest rate swaps to effectively convert the fixed interest rates to floating interest rates or the floating interest rates to fixed interest rates on a portion of these notes. Additionally, to manage foreign currency risk on certain of its foreign currency-denominated notes, the Company has entered into foreign currency swaps to effectively convert these notes to U.S. dollar-denominated notes. A portion of the Company’s Japanese yen-denominated notes is designated as a hedge of the foreign currency exposure of the Company’s net investment in a foreign operation. As of September 30, 2017 and September 24, 2016, the carrying value of the debt designated as a net investment hedge was $1.6 billion and $1.9 billion, respectively. For further discussion regarding the Company’s use of derivative instruments see the Derivative Financial Instruments section of Note 2, “Financial Instruments.” The effective interest rates for the Notes include the interest on the Notes, amortization of the discount or premium and, if applicable, adjustments related to hedging. The Company recognized $2.2 billion, $1.4 billion and $722 million of interest expense on its term debt for 2017, 2016 and 2015, respectively. The future principal payments for the Company’s Notes as of September 30, 2017 are as follows (in millions):
2018 | $ | 6,500 |
2019 | 8,863 |
2020 | 9,220 |
2021 | 7,750 |
2022 | 10,297 |
Thereafter | 61,391 |
Total term debt | $ | 104,021 |
As of September 30, 2017 and September 24, 2016, the fair value of the Company’s Notes, based on Level 2 inputs, was $106.1 billion and $81.7 billion, respectively.

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- Definition The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -URI http://asc.fasb.org/topic&trid=2208564 + Details
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