Debt (Tables)

12 Months Ended

Jun. 28, 2024

Debt consisted of the following as of June 28, 2024 and June 30, 2023:


	June 28, 2024		June 30, 2023
	(in millions)
1.50% convertible notes due 2024	$	—	$	1,100
3.00% convertible notes due 2028	1,600		—
4.75% senior unsecured notes due 2026	2,300		2,300
Variable interest rate Term Loan A-2 maturing 2027	2,588		2,700
2.85% senior notes due 2029	500		500
3.10% senior notes due 2032	500		500
Total debt	7,488		7,100
Issuance costs	(54)		(30)
Subtotal	7,434		7,070
Less: current portion of long-term debt	(1,750)		(1,213)
Long-term debt	$	5,684	$	5,857

Schedule of Leverage Ratio

The Credit Agreement requires the Company to maintain a ratio (“Leverage Ratio”) of total funded debt to Consolidated Adjusted EBITDA (as defined in the Credit Agreement) below a maximum at the end of each quarter as follows:


Quarter ending			Leverage ratio




June 28, 2024			5.25 to 1.00
September 27, 2024			5.00 to 1.00
December 27, 2024			4.50 to 1.00
March 28, 2025			4.00 to 1.00
June 25, 2025			3.75 to 1.00
Thereafter			3.25 to 1.00

Schedule of Maturities of Long-term Debt

As of June 28, 2024, the Company is subject to required principal payment or earlier conversion at the option of the holder as follows:


	Contractual Maturity (1)
	(in millions)
Fiscal year:
2025	$	1,750
2026	2,450
2027	2,288
2028	—
2029	500
2030 and thereafter	500
Total debt maturities	7,488
Issuance costs	(54)
Net carrying value	$	7,434

(1) As of June 28, 2024, the holders of the 2028 Convertible Notes have the option to convert the notes through September 30, 2024. As such, the principal portion of these notes is reflected as current in the table above.