Debt (Tables)
|
12 Months Ended |
Dec. 31, 2016 |
| Debt Disclosure [Abstract] |
|
| Schedule of Short-Term Debt |
Short-term debt
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| |
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2016 |
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|
2015 |
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|
Short-term bank borrowings
|
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|
— |
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|
6 |
|
|
Current portion of long-term debt (*)
|
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|
421 |
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|
550 |
|
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|
|
|
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|
|
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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:
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2016 |
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2015 |
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| |
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Maturities |
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|
Amount |
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|
Effective
rate |
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|
Amount |
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|
Effective
rate |
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|
Floating-rate term loan
|
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|
Mar, 2017 |
|
|
|
388 |
|
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|
2.770 |
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|
392 |
|
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|
2.750 |
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|
Floating-rate term loan
|
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|
Jan, 2020 |
|
|
|
387 |
|
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|
3.270 |
|
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|
391 |
|
|
|
3.250 |
|
|
Floating-rate term loan
|
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|
Dec, 2020 |
|
|
|
1,436 |
|
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|
3.270 |
|
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|
2,700 |
|
|
|
3.750 |
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|
Fixed-rate 3.5% senior unsecured notes
|
|
|
Sep, 2016 |
|
|
|
— |
|
|
|
— |
|
|
|
500 |
|
|
|
3.500 |
|
|
Fixed-rate 3.75% senior unsecured notes
|
|
|
Jun, 2018 |
|
|
|
750 |
|
|
|
3.750 |
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|
|
750 |
|
|
|
3.750 |
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|
Fixed-rate 4.125% senior unsecured notes
|
|
|
Jun, 2020 |
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|
600 |
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|
4.125 |
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|
600 |
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|
4.125 |
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|
Fixed-rate 4.125% senior unsecured notes
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|
Jun, 2021 |
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|
|
1,350 |
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|
4.125 |
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|
— |
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|
— |
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|
Fixed-rate 5.75% senior unsecured notes
|
|
|
Feb, 2021 |
|
|
|
500 |
|
|
|
5.750 |
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|
|
500 |
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|
|
5.750 |
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|
Fixed-rate 5% senior secured notes
|
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|
May, 2021 |
|
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|
— |
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|
— |
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|
500 |
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|
5.000 |
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|
Fixed-rate 3.875% senior unsecured notes
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|
Sep, 2022 |
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|
1,000 |
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|
3.875 |
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|
— |
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|
— |
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|
Fixed-rate 6% senior secured notes
|
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|
Jan, 2022 |
|
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|
— |
|
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|
— |
|
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|
960 |
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|
6.000 |
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|
Fixed-rate 4.625% senior unsecured notes
|
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|
Jun, 2022 |
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|
400 |
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|
4.625 |
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|
400 |
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4.625 |
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|
Fixed-rate 5.75% senior unsecured notes
|
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|
Mar, 2023 |
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|
|
500 |
|
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|
5.750 |
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|
500 |
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|
5.750 |
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|
Fixed-rate 4.625% senior unsecured notes
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|
Jun, 2023 |
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|
900 |
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4.625 |
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— |
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— |
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|
Fixed-rate 1% cash convertible notes
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|
Dec, 2019 |
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1,150 |
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|
1.000 |
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1,150 |
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1.000 |
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Floating-rate revolving credit facility
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|
Dec, 2020 |
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— |
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— |
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— |
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— |
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Total principal
|
|
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|
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|
9,361 |
|
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9,343 |
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Liabilities arising from capital lease transactions
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15 |
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31 |
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Unamortized discounts, premiums and debtissuance costs
|
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|
(61 |
) |
|
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|
(82 |
) |
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Fair value of embedded cash conversion option
|
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(128 |
) |
|
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(167 |
) |
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Purchase accounting fair value adjustmentFreescale Senior Secured
Notes
|
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— |
|
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|
81 |
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Total debt, including unamortized discounts,premiums, debt issuance
costs and fair value adjustments
|
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9,187 |
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9,206 |
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Current portion of long-term debt
|
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|
|
|
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|
(421 |
) |
|
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(550 |
) |
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Long-term debt
|
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|
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|
8,766 |
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|
8,656 |
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|
| Schedule of Long-Term Debt |
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Range of
interest rates |
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Average
rate of
interest |
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Principal
amount
outstanding
2016 |
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Due in
2017 |
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Due
after
2017 |
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Due after
2021 |
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Average
remaining
term
(in years) |
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Principal
amount
outstanding
2015 |
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USD notes
|
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|
2.8%-5.8% |
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|
4.1 |
% |
|
|
8,211 |
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|
406 |
|
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|
7,805 |
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|
2,800 |
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4.2 |
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|
8,193 |
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|
2019 Cash Convertible Senior Notes
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|
1.0%-1.0% |
|
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|
1.0 |
% |
|
|
1,150 |
|
|
|
— |
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|
1,150 |
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|
— |
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2.9 |
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|
1,150 |
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|
Revolving Credit Facility (1)
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|
— |
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— |
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— |
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|
— |
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|
— |
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|
— |
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|
— |
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|
— |
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Bank borrowings
|
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|
— |
|
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|
— |
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|
— |
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|
— |
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|
— |
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|
— |
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|
— |
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|
— |
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Liabilities arising from capital lease transactions
|
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|
2.5%-13.8% |
|
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|
3.0 |
% |
|
|
15 |
|
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|
15 |
|
|
|
— |
|
|
|
— |
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|
1.3 |
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|
31 |
|
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3.7 |
% |
|
|
9,376 |
|
|
|
421 |
|
|
|
8,955 |
|
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|
2,800 |
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|
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
|
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|
2,800 |
|
|
|
|
|
|
|
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|
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:
|
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|
|
|
|
|
|
|
| (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:
|
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|
|
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|
|
|
|
| (in millions, except percentage) |
|
2016 |
|
|
2015 |
|
|
Effective interest rate
|
|
|
5.14 |
% |
|
|
5.14 |
% |
|
Contractual interest expense
|
|
|
12 |
|
|
|
12 |
|
|
Amortization of debt discount
|
|
|
40 |
|
|
|
38 |
|
|