Borrowings

3 Months Ended

Jan. 31, 2021


	Effective Interest Rate		January 31, 2021		November 1, 2020

	(In millions, except percentages)
January 2021 Senior Notes - fixed rate
1.950% notes due February 2028	2.10	%	$	750	$	—
2.450% notes due February 2031	2.56	%	2,750		—
2.600% notes due February 2033	2.70	%	1,750		—
3.500% notes due February 2041	3.60	%	3,000		—
3.750% notes due February 2051	3.84	%	1,750		—
June 2020 Senior Notes - fixed rate
3.459% notes due September 2026	4.19	%	1,695		1,695
4.110% notes due September 2028	5.02	%	2,222		2,222
May 2020 Senior Notes - fixed rate
2.250% notes due November 2023	2.40	%	112		1,000
3.150% notes due November 2025	3.29	%	2,250		2,250
4.150% notes due November 2030	4.27	%	2,750		2,750
4.300% notes due November 2032	4.39	%	2,000		2,000
April 2020 Senior Notes - fixed rate
4.700% notes due April 2025	4.88	%	2,250		2,250
5.000% notes due April 2030	5.18	%	2,250		2,250
November 2019 Term Loans - floating rate
LIBOR plus 1.125% term loan due November 2022	1.54	%	—		1,819
LIBOR plus 1.250% term loan due November 2024	1.56	%	—		4,069
April 2019 Senior Notes - fixed rate
3.125% notes due April 2021	3.61	%	274		525
3.125% notes due October 2022	3.53	%	188		693
3.625% notes due October 2024	3.98	%	1,044		1,044
4.250% notes due April 2026	4.54	%	2,500		2,500
4.750% notes due April 2029	4.95	%	3,000		3,000
2017 Senior Notes - fixed rate
2.200% notes due January 2021	2.41	%	—		282
3.000% notes due January 2022	3.21	%	569		842
2.650% notes due January 2023	2.78	%	261		1,000
3.625% notes due January 2024	3.74	%	1,352		1,352
3.125% notes due January 2025	3.23	%	1,000		1,000
3.875% notes due January 2027	4.02	%	4,800		4,800
3.500% notes due January 2028	3.60	%	1,250		1,250
Assumed CA Senior Notes - fixed rate
3.600% notes due August 2022	4.07	%	144		283
4.500% notes due August 2023	4.10	%	143		250
4.700% notes due March 2027	5.15	%	350		350
Other borrowings
2.500% - 4.500% notes due August 2022 - August 2034	2.59% - 4.55%		22		22
Total principal amount outstanding			42,426		41,498
Less: Unamortized discount and issuance costs			(558)		(504)
Total debt			$	41,868	$	40,994

As of January 31, 2021 and November 1, 2020, short-term finance lease liabilities of $21 million and $20 million, respectively, were included in the current portion of long-term debt and long-term finance lease liabilities of $43 million and $48 million, respectively, were included in long-term debt.

January 2021 Senior Notes

In January 2021, we issued $10 billion of senior unsecured notes (the “January 2021 Senior Notes”). The January 2021 Senior Notes are fully and unconditionally guaranteed, jointly and severally, on an unsecured, unsubordinated basis by Broadcom Corporation and Broadcom Technologies Inc. At our option, we may redeem or purchase, in whole or in part, any of the January 2021 Senior Notes prior to their respective maturities, subject to a specified make-whole premium determined in accordance with the indenture governing the January 2021 Senior Notes, plus accrued and unpaid interest. In the event of a change in control, note holders will have the right to require us to repurchase their notes at a price equal to 101% of the principal amount of such notes plus accrued and unpaid interest. As of January 31, 2021, the January 2021 Senior Notes were recorded as long-term debt, net of discount and issuance costs, which are amortized to interest expense over the respective terms of these borrowings.

During the fiscal quarter ended January 31, 2021, we used the net proceeds from the January 2021 Senior Notes to repay an aggregate of $5,888 million, or the outstanding balance, of our unsecured term A-3 facility and unsecured term A-5 facility under the credit agreement entered into on November 4, 2019 (the “November 2019 Credit Agreement”). Additionally, pursuant to a cash tender offer that we announced on January 4, 2021 (the “Tender Offer”), we early settled and repurchased $2,902 million of certain series of our outstanding notes maturing between 2021 and 2023. As a result of these transactions, we incurred premiums of $128 million and wrote off $44 million of unamortized discount and issuance costs, both of which were included in interest expense. We also repaid $282 million of our 2.200% notes upon maturity in January 2021.

Subsequent to the fiscal quarter ended January 31, 2021, we completed the Tender Offer and repurchased an additional $9 million of certain series of our outstanding notes maturing between 2021 and 2023. In February 2021, we used the remaining proceeds from the January 2021 Senior Notes to repurchase $606 million, or the outstanding balances, of our 3.125% notes due April 2021, 3.125% notes due October 2022, and 3.600% notes due August 2022. On March 5, 2021, we repurchased $314 million of our 3.000% notes due January 2022. As a result of these repurchases, we incurred premiums of $23 million.

January 2021 Credit Agreement

In January 2021, we entered into a credit agreement ( the “January 2021 Credit Agreement”), which provides for a five-year $7.5 billion unsecured revolving credit facility (the “Revolving Facility”), of which $500 million is available for the issuance of multi-currency letters of credit. The issuance of letters of credit and certain other instruments would reduce the aggregate amount otherwise available under the Revolving Facility for revolving loans. Subject to the terms of the January 2021 Credit Agreement, we are permitted to borrow, repay and reborrow revolving loans at any time prior to the earlier of (a) January 19, 2026 and (b) the date of termination in whole of the revolving lenders’ commitments under the January 2021 Credit Agreement. In connection with the January 2021 Credit Agreement, we terminated the credit agreement entered into on May 7, 2019, which provided for a five-year $5 billion unsecured revolving credit facility, and the November 2019 Credit Agreement. As of January 31, 2021, we had no borrowings outstanding under the Revolving Facility.

Commercial Paper

In February 2019, we established a commercial paper program pursuant to which we may issue unsecured commercial paper notes (“Commercial Paper”) in principal amount of up to $2 billion outstanding at any time with maturities of up to 397 days from the date of issue. Commercial Paper is sold under customary terms in the commercial paper market and may be issued at a discount from par or, alternatively, may be sold at par and bear interest at rates dictated by market conditions at the time of their issuance. The discount associated with the Commercial Paper is amortized to interest expense over its term. Outstanding Commercial Paper reduces the amount that would otherwise be available to borrow for general corporate purposes under the Revolving Facility. As our commercial paper program is supported by the Revolving Facility, we have the ability and intent to continuously refinance Commercial Paper. As of January 31, 2021 and November 1, 2020, we had no Commercial Paper outstanding.

Fair Value of Debt

As of January 31, 2021, the estimated aggregate fair value of debt was $46,533 million. The fair value of our senior notes was determined using quoted prices from less active markets. All of our debt obligations are categorized as Level 2 instruments.

Future Principal Payments of Debt

The future scheduled principal payments of debt as of January 31, 2021 were as follows:


Fiscal Year:	Future Scheduled Principal Payments
	(In millions)
2021 (remainder)	$	274
2022	910
2023	404
2024	2,515
2025	3,250
Thereafter	35,073
Total	$	42,426

As of January 31, 2021 and November 1, 2020, we accrued interest payable of $308 million and $304 million, respectively, and were in compliance with all debt covenants.