XML 17 R12.htm IDEA: XBRL DOCUMENT ﻿
v2.3.0.11

Debt | 6 Months Ended
--- | ---
Jul. 02, 2011
Debt Disclosure [Abstract] |
Debt Disclosure [Text Block] | Debt Short-term borrowings, including current portion of long-term debt, consists of the following:
|  | July 2, 2011 |  | December 31, 2010
Revolving credit facility |  | $ | 222,500 |  |  | $ | — |
Asset securitization program |  | 70,000 |  |  | — |
Bank term loan, due 2012 |  | 200,000 |  |  | — |
Short-term borrowings in various countries |  | 58,155 |  |  | 61,210 |
|  | $ | 550,655 |  |  | $ | 61,210 |
Short-term borrowings in various countries are primarily utilized to support the working capital requirements of certain international operations. The weighted average interest rates on these borrowings at July 2, 2011 and December 31, 2010 were 4.5% and 1.9%, respectively. Long-term debt consists of the following:
|  | July 2, 2011 |  | December 31, 2010
Bank term loan, due 2012 |  | $ | — |  |  | $ | 200,000 |
6.875% senior notes, due 2013 |  | 349,867 |  |  | 349,833 |
3.375% notes, due 2015 |  | 249,243 |  |  | 249,155 |
6.875% senior debentures, due 2018 |  | 198,555 |  |  | 198,450 |
6.00% notes, due 2020 |  | 299,922 |  |  | 299,918 |
5.125% notes, due 2021 |  | 249,238 |  |  | 249,199 |
7.5% senior debentures, due 2027 |  | 197,820 |  |  | 197,750 |
Interest rate swaps designated as fair value hedges |  | 16,175 |  |  | 14,082 |
Other obligations with various interest rates and due dates |  | 3,462 |  |  | 2,816 |
|  | $ | 1,564,282 |  |  | $ | 1,761,203 |
The 7.5% senior debentures are not redeemable prior to their maturity. The 6.875% senior notes, 3.375% notes, 6.875% senior debentures, 6.00% notes, and 5.125% notes may be called at the option of the company subject to "make whole" clauses. The estimated fair market value, using quoted market prices, is as follows:
|  | July 2, 2011 |  | December 31, 2010
6.875% senior notes, due 2013 |  | $ | 382,000 |  |  | $ | 385,000 |
3.375% notes, due 2015 |  | 255,000 |  |  | 243,000 |
6.875% senior debentures, due 2018 |  | 220,000 |  |  | 218,000 |
6.00% notes, due 2020 |  | 321,000 |  |  | 306,000 |
5.125% notes, due 2021 |  | 250,000 |  |  | 238,000 |
7.5% senior debentures, due 2027 |  | 212,000 |  |  | 204,000 |
The carrying amount of the company's short-term borrowings in various countries, revolving credit facility, asset securitization program, bank term loan, and other obligations approximate their fair value. During the second quarter of 2010, the company sold a property and was required to repay the related collateralized debt with a face amount of $9,000. For both the second quarter and first six months of 2010, the company recognized a loss on prepayment of debt of $1,570 ($964 net of related taxes or $.01 per share on both a basic and diluted basis) in the accompanying consolidated statements of operations. The company has an $800,000 revolving credit facility with a group of banks that matures in January 2012. Interest on borrowings under the revolving credit facility is calculated using a base rate or a euro currency rate plus a spread based on the company's credit ratings (.425% at July 2, 2011). The facility fee related to the credit facility is .125%. At July 2, 2011, the company had $222,500 in outstanding borrowings under the revolving credit facility. There were no outstanding borrowings under the revolving credit facility at December 31, 2010. The company has a $600,000 asset securitization program collateralized by accounts receivable of certain of its United States subsidiaries which expires in April 2012. The asset securitization program is conducted through Arrow Electronics Funding Corporation ("AFC"), a wholly-owned, bankruptcy remote subsidiary. The asset securitization program does not qualify for sale treatment. Accordingly, the accounts receivable and related debt obligation remain on the company's consolidated balance sheets. Interest on borrowings is calculated using a base rate or a commercial paper rate plus a spread, which is based on the company's credit ratings (.50% at July 2, 2011). The facility fee is .50%. At July 2, 2011, there was $70,000 outstanding under the asset securitization program, which was included in "Short-term borrowings, including current portion of long-term debt" in the accompanying consolidated balance sheet, and total collateralized accounts receivable of approximately $1,316,543 were held by AFC and were included in "Accounts receivable, net" in the accompanying consolidated balance sheet. Any accounts receivable held by AFC would likely not be available to other creditors of the company in the event of bankruptcy or insolvency proceedings before repayment of any outstanding borrowings under the asset securitization program. There were no outstanding borrowings under the asset securitization program at December 31, 2010. Both the revolving credit facility and asset securitization program include terms and conditions that limit the incurrence of additional borrowings, limit the company's ability to pay cash dividends or repurchase stock, and require that certain financial ratios be maintained at designated levels. The company was in compliance with all covenants as of July 2, 2011 and is currently not aware of any events that would cause non-compliance with any covenants in the future. Interest and other financing expense, net, includes interest income of $1,411 and $2,779 for the second quarter and first six months of 2011 and $1,281 and $1,620 for the second quarter and first six months of 2010, respectively.

X
- Details
Name: | us-gaap_DebtDisclosureAbstract
Namespace Prefix: | us-gaap
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.19,20,22) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 129 -Paragraph 2, 4 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 02 -Paragraph 19, 20, 22 -Article 5 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644 + Details
Name: | us-gaap_DebtDisclosureTextBlock
Namespace Prefix: | us-gaap
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration