Notes Payable (Notes Payable)

6 Months Ended

Jun. 30, 2013

Notes Payable

Debt instrument

Notes Payable

9.     Notes Payable

A.  General

Our senior unsecured notes and bonds consist of the following, sorted by maturity date (dollars in millions):

	June 30,		December 31,
	2013		2012
5.375% notes, issued in March 2003 and due in March 2013	$	-	$	100
5.5% notes, issued in November 2003 and due in November 2015	150		150
5.95% notes, issued in September 2006 and due in September 2016	275		275
5.375% notes, issued in September 2005 and due in September 2017	175		175
2.0% notes, issued in October 2012 and due in January 2018	350		350
6.75% notes, issued in September 2007 and due in August 2019	550		550
5.75% notes, issued in June 2010 and due in January 2021	250		250
3.25% notes, issued in October 2012 and due in October 2022	450		450
5.875% bonds, $100 issued in March 2005 and $150 issued in June 2011, both due in March 2035	250		250
	$	2,450	$	2,550

As of June 30, 2013, the weighted average interest rate of our notes and bonds payable was 4.97% and the weighted average remaining years until maturity was 7.5 years.

B. Note Repayment

On their maturity date in March 2013, using proceeds from our March 2013 common stock offering and our credit line, we repaid the $100 million of outstanding 5.375% notes we issued in March 2003 at a price equal to 100% of the principal amount, plus accrued and unpaid interest.

C. Note Issuance

See note 23 which discusses the notes issued in July 2013.