v3.6.0.2
Debt (Tables)
12 Months Ended
Dec. 31, 2016
Debt Disclosure [Abstract]  
Schedule of Short-Term Debt

Short-term debt

 

     2016      2015  

Short-term bank borrowings

     —           6   

Current portion of long-term debt (*)

     421         550   
  

 

 

    

 

 

 

Total

     421         556   

 

(*)  Net of adjustment for debt issuance costs.
Summary of Outstanding Long-Term Debt

The following table summarizes the outstanding long-term debt as of December 31, 2016 and 2015:

 

            2016      2015  
     Maturities      Amount     Effective
rate
     Amount     Effective
rate
 

Floating-rate term loan

     Mar, 2017        388       2.770        392       2.750  

Floating-rate term loan

     Jan, 2020        387       3.270        391       3.250  

Floating-rate term loan

     Dec, 2020        1,436       3.270        2,700       3.750  

Fixed-rate 3.5% senior unsecured notes

     Sep, 2016        —         —          500       3.500  

Fixed-rate 3.75% senior unsecured notes

     Jun, 2018        750       3.750        750       3.750  

Fixed-rate 4.125% senior unsecured notes

     Jun, 2020        600       4.125        600       4.125  

Fixed-rate 4.125% senior unsecured notes

     Jun, 2021        1,350       4.125        —         —    

Fixed-rate 5.75% senior unsecured notes

     Feb, 2021        500       5.750        500       5.750  

Fixed-rate 5% senior secured notes

     May, 2021        —         —          500       5.000  

Fixed-rate 3.875% senior unsecured notes

     Sep, 2022        1,000       3.875        —         —    

Fixed-rate 6% senior secured notes

     Jan, 2022        —         —          960       6.000  

Fixed-rate 4.625% senior unsecured notes

     Jun, 2022        400       4.625        400       4.625  

Fixed-rate 5.75% senior unsecured notes

     Mar, 2023        500       5.750        500       5.750  

Fixed-rate 4.625% senior unsecured notes

     Jun, 2023        900       4.625        —         —    

Fixed-rate 1% cash convertible notes

     Dec, 2019        1,150       1.000        1,150       1.000  

Floating-rate revolving credit facility

     Dec, 2020        —         —          —         —    
     

 

 

      

 

 

   

Total principal

        9,361          9,343    

Liabilities arising from capital lease transactions

        15          31    

Unamortized discounts, premiums and debtissuance costs

        (61        (82  

Fair value of embedded cash conversion option

        (128        (167  

Purchase accounting fair value adjustmentFreescale Senior Secured Notes

        —            81    
     

 

 

      

 

 

   

Total debt, including unamortized discounts,premiums, debt issuance costs and fair value adjustments

        9,187          9,206    

Current portion of long-term debt

        (421        (550  
     

 

 

      

 

 

   

Long-term debt

        8,766          8,656    

Schedule of Long-Term Debt


     Range of
interest rates
     Average
rate of
interest
    Principal
amount
outstanding

2016
     Due in
2017
     Due
after
2017
     Due after
2021
     Average
remaining
term

(in years)
     Principal
amount
outstanding
2015
 
                      

USD notes

     2.8%-5.8%        4.1     8,211        406        7,805        2,800        4.2        8,193  

2019 Cash Convertible Senior Notes

     1.0%-1.0%        1.0     1,150        —          1,150        —          2.9        1,150  

Revolving Credit Facility (1)

     —          —         —          —          —          —          —          —    

Bank borrowings

     —          —         —          —          —          —          —          —    

Liabilities arising from capital lease transactions

     2.5%-13.8%        3.0     15        15        —          —          1.3        31  
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 
        3.7     9,376        421        8,955        2,800        4.1        9,374  

 

(1)  We do not have any borrowings under the $600 million Revolving Credit Facility as of December 31, 2016.
Principal Amounts of Long-Term Debt

As of December 31, 2016, the following principal amounts of long-term debt are due in the next 5 years:

 

2017

     421  

2018

     768  

2019

     1,167  

2020

     2,370  

2021

     1,850  

Due after 5 years

     2,800  
  

 

 

 
     9,376  

 

Summary of Principal Amount, Unamortized Debt Discount and Net Carrying Amount of Liability Component

The principal amount, unamortized debt discount and net carrying amount of the liability component of the 2019 Cash Convertible Senior Notes as of December 31, 2016 and 2015 was as follows:

 

(in millions)    As of December 31  
     2016      2015  

Principal amount of 2019 Cash Convertible Senior Notes

     1,150         1,150   

Unamortized debt discount of 2019 Cash Convertible Senior Notes

     136         178   

Net liability of 2019 Cash Convertible Senior Notes

     1,014         972   

Summary of Effective Interest Rate, Contractual Interest Expense and Amortization of Debt Discount

The effective interest rate, contractual interest expense and amortization of debt discount for the 2019 Cash Convertible Senior Notes for fiscal 2016 and 2015 were as follows:

 

(in millions, except percentage)    2016     2015  

Effective interest rate

     5.14     5.14

Contractual interest expense

     12        12   

Amortization of debt discount

     40        38