Note 14. Notes payable and other borrowings

Notes payable and other borrowings are summarized below (in millions). The weighted average interest rates and maturity date ranges shown in the following tables are based on borrowings as of September 30, 2013.


	Weighted Average Interest Rate			September 30, 2013		December 31, 2012
Insurance and other:
Issued by Berkshire parent company due 2013-2047		2.7	%	$	8,305	$	8,323
Short-term subsidiary borrowings		0.3	%		1,063		1,416
Other subsidiary borrowings due 2013-2035		5.9	%		3,655		3,796

				$	13,023	$	13,535

In January 2013, Berkshire issued $2.6 billion of senior notes with interest rates ranging from 0.8% to 4.5% and maturities that range from 2016 to 2043. In February 2013, Berkshire repaid $2.6 billion of maturing senior notes.


	Weighted Average Interest Rate			September 30, 2013		December 31, 2012
Railroad, utilities and energy:
Issued by MidAmerican Energy Holdings Company (“MidAmerican”) and its subsidiaries:
MidAmerican senior unsecured debt due 2014-2037		6.3	%	$	4,621	$	4,621
Subsidiary and other debt due 2013-2043		5.0	%		18,329		17,002
Issued by BNSF due 2013-2097		5.3	%		17,066		14,533

				$	40,016	$	36,156

MidAmerican subsidiary debt represents amounts issued pursuant to separate financing agreements. All, or substantially all, of the assets of certain MidAmerican subsidiaries are, or may be, pledged or encumbered to support or otherwise secure the debt. These borrowing arrangements generally contain various covenants including, but not limited to, leverage ratios, interest coverage ratios and debt service coverage ratios. During the first nine months of 2013, MidAmerican subsidiaries issued term debt of $2.5 billion in the aggregate. MidAmerican and subsidiaries repaid approximately $1.4 billion of debt in 2013. In March 2013, BNSF issued $1.5 billion in debentures consisting of $700 million of 3.0% debentures due in 2023 and $800 million of 4.45% debentures due in 2043. In August 2013, BNSF issued $1.5 billion in debentures consisting of $800 million of 3.85% debentures due in 2023 and $700 million of 5.15% debentures due in 2043. BNSF’s borrowings are primarily unsecured. As of September 30, 2013, BNSF and MidAmerican and their subsidiaries were in compliance with all applicable debt covenants. Berkshire does not guarantee any debt or other borrowings of BNSF, MidAmerican or their subsidiaries.


	Weighted Average Interest Rate			September 30, 2013		December 31, 2012
Finance and financial products:
Issued by Berkshire Hathaway Finance Corporation (“BHFC”) due 2013-2043		3.5	%	$	11,182	$	11,186
Issued by other subsidiaries due 2013-2036		4.7	%		1,528		1,859

				$	12,710	$	13,045

The borrowings of BHFC, a wholly owned finance subsidiary of Berkshire, are fully and unconditionally guaranteed by Berkshire. During the first nine months of 2013, BHFC issued $2.5 billion aggregate of new senior notes consisting of $275 million of 1.6% senior notes due in 2017, $225 million of 3.0% senior notes due in 2022, $500 million of 1.3% senior notes due in 2018, $500 million of 4.3% senior notes due in 2043, $600 million of 0.95% senior notes due in 2016 and $400 million of 2.0% senior notes due in 2018. During the first nine months of 2013, BHFC repaid $500 million of maturing senior notes in January, $1.0 billion of maturing senior notes in May and $1.0 billion of maturing senior notes in August. In October 2013, an additional $950 million of senior notes matured, and BHFC issued $950 million of additional senior notes at that time.

Our subsidiaries have approximately $5.9 billion in the aggregate of unused lines of credit and commercial paper capacity at September 30, 2013, to support short-term borrowing programs and provide additional liquidity. In addition to borrowings of BHFC, as of September 30, 2013, Berkshire guaranteed approximately $4.1 billion of other subsidiary borrowings. Generally, Berkshire’s guarantee of a subsidiary’s debt obligation is an absolute, unconditional and irrevocable guarantee for the full and prompt payment when due of all present and future payment obligations.