Long-Term Debt and Financing Arrangements

Long-term debt and financing arrangements at June 30, 2012 and December 31, 2011 follow:



	Interest Rate	2012			2011
Notes payable due 2012	4.90%	201.7			204.2
Convertible notes payable due in 2012	3 month LIBOR less 3.50%	—			316.1
Notes payable due 2013	6.15%	257.0			259.2
Notes payable due 2014	4.75%	312.0			312.7
Notes payable due 2014	8.95%	380.4			388.7
Notes payable due 2016	5.75%	330.3			330.5
Notes payable due in 2018 (junior subordinated)	4.25%	632.5			632.5
Notes payable due 2021	3.40%	416.9			402.9
Notes payable due 2028	7.05%	173.6			167.5
Notes payable due 2040	5.20%	399.7			399.7
Other, payable in varying amounts through 2021	0.00% – 7.14%	36.7			38.2
Total long-term debt, including current maturities		$	3,140.8		$	3,452.2
Less: Current maturities of long-term debt		(216.3		)	(526.4		)
Long-term debt		$	2,924.5		$	2,925.8

In January 2012, the Company terminated its fixed-to-floating interest rate swaps on its $200.0 million notes payable due in 2012 and $250.0 million notes payable due in 2013. The Company previously had fixed-to-floating rate swaps on these notes that were terminated in December 2008. The $1.7 million adjustment to the carrying value of the $200.0 million 2012 notes at June 30, 2012 pertains to the unamortized gain on both terminated swaps. At June 30, 2012, the carrying value of the $250.0 million notes payable due 2013 includes $7.1 million pertaining to the unamortized gain on the terminated swaps partially offset by $0.1 million unamortized discount on the notes.

In January 2012, the Company terminated its fixed-to-floating interest rate swap on its $300.0 million notes payable due in 2014. At June 30, 2012, the carrying value of the $300.0 million notes payable due 2014 includes $4.7 million pertaining to the unamortized gain on the terminated swap as well as $7.3 million associated with fair value adjustments made in purchase accounting.

In January 2012, the Company terminated its fixed-to-floating interest rate swap on its $300.0 million notes payable due in 2016. At June 30, 2012, the carrying value of the $300.0 million note payable includes $12.3 million pertaining to the unamortized gain on the terminated swap as well as $18.0 million associated with fair value adjustments made in purchase accounting.

In January 2012, the Company entered into an additional $200.0 million fixed-to-floating interest rate swap. The Company previously entered into a $200.0 million fixed-to-floating interest rate swap on its $400.0 million notes payable due in 2021. At June 30, 2012, the carrying value of the $400.0 million notes payable due in 2021 includes $17.3 million pertaining to the fair value adjustment on the swaps partially offset by $0.4 million unamortized discount on the notes.

In January 2012, the Company entered into a fixed-to-floating interest rate swap on its $150.0 million notes payable due in 2028. At June 30, 2012, the carrying value of the $150.0 million notes payable due in 2028 includes $6.2 million pertaining to the fair value adjustment of the swaps as well as $17.4 million associated with fair value adjustments made in purchase accounting.

Unamortized gains and fair value adjustments associated with interest rate swaps and the impact of those swaps terminated this quarter are more fully discussed in Note I, Derivative Financial Instruments.

The Company repaid the $320.0 million principal of its Convertible Notes at maturity, in cash, on May 17, 2012. Additionally, the Company settled the conversion option value by delivering 640,018 common shares. The conversion rate was 15.6666 per $1,000 note (equivalent to a conversion price set at $63.83 per common share), and the applicable market value of the Company's stock at settlement was $73.24. The Company's Bond Hedge also matured May 17, 2012 resulting in the receipt of 640,772 common shares from the counterparties. The aggregate effect of these financial instruments was a 754 decrease in the Company’s common shares. Refer to Note H, Long-Term Debt and Financing Arrangements, of the Company’s Form 10-K for the year ended December 31, 2011 for further discussion.

At June 30, 2012, the Company had $789.2 million of borrowings outstanding against the Company’s $2.0 billion commercial paper program. At December 31, 2011, the Company had no commercial paper borrowings outstanding.