Debt
Commercial Paper
The Company issues unsecured short-term promissory notes pursuant to a commercial paper program. The Company uses net proceeds from the commercial paper program for general corporate purposes, including dividends and share repurchases. As of September 27, 2025 and September 28, 2024, the Company had $8.0 billion and $10.0 billion of commercial paper outstanding, respectively, with maturities generally less than nine months. The weighted-average interest rate of the Company’s commercial paper was 4.19% and 5.00% as of September 27, 2025 and September 28, 2024, respectively. The following table provides a summary of cash flows associated with commercial paper for 2025, 2024 and 2023 (in millions):
202520242023
Maturities 90 days or less:
Proceeds from/(Repayments of) commercial paper, net$(5,820)$3,960 $(1,333)
Maturities greater than 90 days:
Proceeds from commercial paper5,836 — — 
Repayments of commercial paper(2,048)— (2,645)
Proceeds from/(Repayments of) commercial paper, net3,788 — (2,645)
Total proceeds from/(repayments of) commercial paper, net$(2,032)$3,960 $(3,978)
Term Debt
The Company has outstanding Notes, which are senior unsecured obligations with interest payable in arrears. The following table provides a summary of the Company’s term debt as of September 27, 2025 and September 28, 2024:
Maturities
(calendar year)
20252024
Amount
(in millions)
Effective
Interest Rate
Amount
(in millions)
Effective
Interest Rate
2013 – 2023 debt issuances:
Fixed-rate 0.000% – 4.850% notes
2025 – 2062
$86,781 
0.03% – 5.75%
$97,341 
0.03% – 6.65%
2025 debt issuance:
Fixed-rate 4.000% – 4.750% notes
2028 – 2035
4,500 
4.07% – 4.83%
— 
Total term debt principal
91,281 97,341 
Unamortized premium/(discount) and issuance costs, net(309)(321)
Hedge accounting fair value adjustments(294)(358)
Total term debt
90,678 96,662 
Less: Current portion of term debt(12,350)(10,912)
Total non-current portion of term debt$78,328 $85,750 
To manage interest rate risk on certain of its U.S. dollar–denominated fixed-rate notes, the Company uses interest rate swaps to effectively convert the fixed interest rates to floating interest rates on a portion of these notes. Additionally, to manage foreign exchange rate risk on certain of its foreign currency–denominated notes, the Company uses cross-currency swaps to effectively convert these notes to U.S. dollar–denominated notes.
The effective interest rates for the Notes include the interest on the Notes, amortization of the discount or premium and, if applicable, adjustments related to hedging.
The future principal payments for the Company’s Notes as of September 27, 2025, are as follows (in millions):
2026$12,393 
202710,078 
20289,300 
20295,235 
20304,972 
Thereafter49,303 
Total term debt principal$91,281 
As of September 27, 2025 and September 28, 2024, the fair value of the Company’s Notes, based on Level 2 inputs, was $80.4 billion and $88.4 billion, respectively.

Historical Timeline

Fiscal YearFiled
2025Oct 31, 2025Showing above
2024Nov 1, 2024
2023Nov 3, 2023
2022Oct 28, 2022
2021Oct 29, 2021
2020Oct 30, 2020
2019Oct 31, 2019
2018Nov 5, 2018
2017Nov 3, 2017
2016Oct 26, 2016
2015Oct 28, 2015

About Debt Disclosures

Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.

Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.