Long-Term External Borrowings

12 Months Ended

Oct. 30, 2022

Long-Term External Borrowings

Long-Term External Borrowings

Note 9. Long-Term External Borrowings

Long-term external borrowings of the Company at October 30, 2022 and October 31, 2021 consisted of the following (in millions of dollars):

	2022		2021
Senior Debt:
Medium-term notes	$	22,595.4	$	20,649.2
Other notes		2.5		15.6
Total senior debt		22,597.9		20,664.8
Unamortized debt discount and debt issuance costs		(70.1)		(57.5)
Total	$	22,527.8	$	20,607.3

Medium-term notes are primarily offered by prospectus and issued at fixed and variable rates. The medium-term notes in the table above include unamortized fair value adjustments related to interest rate swaps. The weighted-average interest rate of medium-term notes at October 30, 2022 and October 31, 2021 was 2.9 percent and 1.1 percent, respectively. The principal balances of the medium-term notes were $23,564.6 million and $20,378.2 million at October 30, 2022 and October 31, 2021, respectively, and have serial maturity dates through 2032. The principal amounts of medium-term notes maturing in each of the next five years, in millions of dollars, are as follows: 2023 - $5,976.3, 2024 - $6,050.7,

2025 - $5,268.5, 2026 - $3,397.8, and 2027 - $2,900.0. All outstanding medium-term notes and other notes in the table above are senior unsecured borrowings and generally rank equally with each other.

In April 2022, the Company issued $600.0 million of sustainability-linked medium-term notes with an initial interest rate of 3.35 percent, which are due in 2029. This transaction supports John Deere’s commitment to environmental sustainability. Failure to meet the stated sustainability performance target would result in a 25-basis point increase to the interest rate payable on the 2029 notes from and including April 2026.