Debt

Short-term borrowings, including current portion of long-term debt, consists of the following:



	July 1, 2017		December 31, 2016
3.00% notes, due 2018	$	299,432	$	—
Commercial paper	45,000		—
Other short-term borrowings	82,601		93,827
	$	427,033	$	93,827

Other short-term borrowings are primarily utilized to support working capital requirements. The weighted-average interest rate on these borrowings was 2.8% and 2.4% at July 1, 2017 and December 31, 2016, respectively.

Long-term debt consists of the following:



	July 1, 2017		December 31, 2016
Asset securitization program	$	700,000	$	460,000
6.875% senior debentures, due 2018	—		199,348
3.00% notes, due 2018	—		299,013
6.00% notes, due 2020	208,670		299,183
5.125% notes, due 2021	130,044		248,843
3.50% notes, due 2022	346,143		345,776
4.50% notes, due 2023	296,881		296,646
4.00% notes, due 2025	344,901		344,625
7.50% senior debentures, due 2027	109,435		198,514
3.875% notes, due 2028	493,322		—
Interest rate swaps designated as fair value hedges	300		152
Other obligations with various interest rates and due dates	12,347		4,234
	$	2,642,043	$	2,696,334

The 7.50% senior debentures are not redeemable prior to their maturity. The 3.00% notes, 6.00% notes, 5.125% notes, 3.50% notes, 4.50% notes, 4.00% notes, and 3.875% notes may be called at the option of the company subject to "make whole" clauses.

The estimated fair market value, using quoted market prices, is as follows:



	July 1, 2017		December 31, 2016
6.875% senior debentures, due 2018	$	—	$	212,500
3.00% notes, due 2018	302,500		303,500
6.00% notes, due 2020	228,500		325,500
5.125% notes, due 2021	141,000		265,500
3.50% notes, due 2022	357,500		349,500
4.50% notes, due 2023	316,500		305,500
4.00% notes, due 2025	357,000		345,000
7.50% senior debentures, due 2027	137,500		238,000
3.875% notes, due 2028	498,000		—

The carrying amount of the company's short-term borrowings in various countries, revolving credit facility, asset securitization program, commercial paper, and other obligations approximate their fair value.

The company has a $1,800,000 revolving credit facility maturing in December 2021. This facility may be used by the company for general corporate purposes including working capital in the ordinary course of business, letters of credit, repayment, prepayment or purchase of long-term indebtedness, acquisitions, and as support for the company's commercial paper program, as applicable. Interest on borrowings under the revolving credit facility is calculated using a base rate or a euro currency rate plus a spread (1.18% at July 1, 2017), which is based on the company's credit ratings, or an effective interest rate of 2.35% at July 1, 2017. The facility fee, which is based on the company's credit ratings, was .20% at July 1, 2017. There were no outstanding borrowings under the revolving credit facility at July 1, 2017 and December 31, 2016.

The company has a commercial paper program and the maximum aggregate balance of commercial paper outstanding may not exceed the borrowing capacity of $1,200,000. The company had $45,000 in outstanding borrowings under the commercial paper program at July 1, 2017 with a weighted average interest rate of 1.74%. The company had no outstanding borrowings under this program at December 31, 2016.

The company has an asset securitization program collateralized by accounts receivable of certain of its subsidiaries. The company may borrow up to $910,000 under the asset securitization program, which matures in September 2019. The asset securitization program is conducted through Arrow Electronics Funding Corporation ("AFC"), a wholly-owned, bankruptcy remote subsidiary. The asset securitization program does not qualify for true sale treatment. Accordingly, the accounts receivable and related debt obligation remain on the company's consolidated balance sheets. Interest on borrowings is calculated using a base rate or a commercial paper rate plus a spread (.40% at July 1, 2017), which is based on the company's credit ratings, or an effective interest rate of 1.62% at July 1, 2017. The facility fee is .40%.

At July 1, 2017 and December 31, 2016, the company had $700,000 and $460,000, respectively, in outstanding borrowings under the asset securitization program, which was included in "Long-term debt" in the company's consolidated balance sheets. Total collateralized accounts receivable of approximately $1,877,771 and $2,045,464, respectively, were held by AFC and were included in "Accounts receivable, net" in the company's consolidated balance sheets. Any accounts receivable held by AFC would likely not be available to other creditors of the company in the event of bankruptcy or insolvency proceedings before repayment of any outstanding borrowings under the asset securitization program.

Both the revolving credit facility and asset securitization program include terms and conditions that limit the incurrence of additional borrowings and require that certain financial ratios be maintained at designated levels. The company was in compliance with all covenants as of July 1, 2017 and is currently not aware of any events that would cause non-compliance with any covenants in the future.

The company has a $100,000 uncommitted line of credit. There were no outstanding borrowings under the uncommitted line of credit at July 1, 2017 and December 31, 2016.

During June 2017, the company completed the sale of $500,000 principal amount of 3.875% notes due in 2028. The net proceeds of the offering of $494,625 were used to redeem the company's 6.875% senior debenture due June 2018 and refinance a portion of the company’s 6.00% notes due April 2020, 5.125% notes due March 2021, and 7.50% notes due January 2027. The company recorded a loss on extinguishment of debt of $58,759 in the second quarter and first six months of 2017.

Interest and other financing expense, net, includes interest and dividend income of $7,441 and $15,366 for the second quarter and first six months of 2017, respectively. Interest and other financing expense, net, includes interest and dividend income of $3,918 and $8,585 for the second quarter and first six months of 2016, respectively.