|12 Months Ended|
Jan. 28, 2012
|Long-term Debt, Unclassified [Abstract]|
11) Long-Term Debt
(1) Contain provisions that, at the holders' option, would put the debt back to the Company in the event of a change of control coupled with certain debt rating minimum standards or downgrades.
During 2011, there were no debt issuances or debt reductions. During 2010, we had the following debt issuances and debt reductions:
2010 Debt Issuance
In May 2010, we closed on our offering of $400 million aggregate principal amount of 5.65% Senior Notes due 2020 and used proceeds of the offering, net of underwriting discounts, of approximately $392 million to make a voluntary cash contribution to the J. C. Penney Corporation, Inc. Pension Plan.
2010 Debt Reductions
In May 2010, we accepted for purchase $300 million principal amount of JCP's outstanding 6.375% Senior Notes due 2036 (2036 Notes), which were validly tendered pursuant to a cash tender offer. We paid approximately $314 million aggregate consideration, including accrued and unpaid interest, for the accepted 2036 Notes in May 2010.
In March 2010, we repaid at maturity the remaining $393 million outstanding principal amount of JCP's 8.0% Notes due 2010 (2010 Notes).
Long-Term Debt Financial Covenants
We have an indenture covering approximately $255 million of long-term debt that contains a financial covenant requiring us to have a minimum of 200% net tangible assets to senior funded indebtedness (as defined in the indenture). This indenture permits our Company to issue additional long-term debt if we are in compliance with the covenant. At year-end 2011, our percentage of net tangible assets to senior funded indebtedness was 322%.
Scheduled Annual Principal Payments on Long-Term Debt
The entire disclosure for long-term debt.
Reference 1: http://www.xbrl.org/2003/role/presentationRef