Long-Term Debt

12 Months Ended

Jan. 29, 2021


Debt Category (In millions)	Weighted-Average Interest Rate at January 29, 2021		January 29, 2021		January 31, 2020
Secured debt:
Mortgage notes due through fiscal 2027 1	5.03	%	$	5	$	5
Unsecured debt:
Notes due through fiscal 2025	3.59	%	4,225		3,976
Notes due fiscal 2026-2030	3.19	%	8,478		5,004
Notes due fiscal 2031-2035	5.50	%	341		340
Notes due fiscal 2036-2040	5.74	%	1,052		785
Notes due fiscal 2041-2045	4.61	%	1,461		2,256
Notes due fiscal 2046-2050	3.78	%	5,564		4,287
Finance or capitalized lease obligations due through fiscal 2037			654		712
Total long-term debt			21,780		17,365
Less current maturities			(1,112)		(597)
Long-term debt, excluding current maturities			$	20,668	$	16,768

1 Real properties with an aggregate book value of $16 million as of January 29, 2021, were pledged as collateral for secured debt.

Debt maturities, exclusive of unamortized original issue discounts, unamortized debt issuance costs, and finance lease obligations, for the next five fiscal years and thereafter are as follows: 2021, $1.0 billion; 2022, $765 million; 2023, $503 million; 2024, $450 million; 2025, $1.5 billion; thereafter, $17.1 billion.

The Company’s unsecured notes are issued under indentures that generally have similar terms and, therefore, have been grouped by maturity date for presentation purposes in the table above. The notes contain certain restrictive covenants, none of which are expected to impact the Company’s capital resources or liquidity. The Company was in compliance with all covenants of these agreements at January 29, 2021.

During 2020, the Company issued $8.0 billion of unsecured fixed rate notes as follows:


Issue Date	Principal Amount (in millions)		Maturity Date	Interest Rate	Discount (in millions)
March 2020	$	750	April 2025	4.000%	$	4
March 2020	$	1,250	April 2030	4.500%	$	12
March 2020	$	750	April 2040	5.000%	$	10
March 2020	$	1,250	April 2050	5.125%	$	13
October 2020	$	1,000	April 2028	1.300%	$	5
October 2020	$	1,250	October 2030	1.700%	$	10
October 2020	$	1,750	October 2050	3.000%	$	17

Interest on the March 2020 Notes and October 2020 Notes (collectively, the 2020 Notes) is payable semiannually in arrears in April and October of each year until maturity.

During 2019, the Company issued $3.0 billion of unsecured fixed rate notes as follows:


Issue Date	Principal Amount (in millions)		Maturity Date	Interest Rate	Discount (in millions)
April 2019	$	1,500	April 2029	3.650%	$	9
April 2019	$	1,500	April 2049	4.550%	$	19

Interest on the notes issued in 2019 (the 2019 Notes) is payable semiannually in arrears in April and October of each year until maturity.

The indentures governing the 2020 and 2019 Notes contain a provision that allows the Company to redeem these notes at any time, in whole or in part, at specified redemption prices, plus accrued interest, if any, up to the date of redemption. The indentures also contain a provision that allows the holders of the notes to require the Company to repurchase all or any part of their notes if a change of control triggering event occurs. If elected under the change of control provisions, the repurchase of the notes will occur at a purchase price of 101% of the principal amount, plus accrued interest, if any, on such notes up to the date of purchase. The indentures governing the notes do not limit the aggregate principal amount of debt securities that the Company may issue and do not require the Company to maintain specified financial ratios or levels of net worth or liquidity. However, the indentures include various restrictive covenants, none of which is expected to impact the Company’s liquidity or capital resources.

The discounts associated with these issuances, which include the underwriting and issuance discounts, are recorded in long-term debt and are being amortized over the respective terms of the notes using the effective interest method.

During 2020, the Company completed cash tender offers to purchase and retire $3.0 billion combined aggregate principal amount of its outstanding notes with a weighted average interest rate of 4.80%. As a result of the 2020 cash tender offers, the Company recognized a loss on extinguishment of debt of $1.1 billion which includes premium paid to holders of the debt, unamortized deferred financing fees and original issue discounts, and loss on reverse treasury lock derivative contracts. See Note 9 for additional information regarding the reverse treasury lock derivative contracts.