Borrowings (a)Short-Term Debt
The following table summarizes our short-term debt (in millions, except percentages):
| | | | | | | | | | | | | | | | | | | | | | | |
| | July 26, 2025 | | July 27, 2024 |
| | Amount | | Effective Rate | | Amount | | Effective Rate |
| Current portion of senior notes | $ | 1,749 | | | 4.15 | % | | $ | 488 | | | 6.66 | % |
| Commercial paper | 3,482 | | | 4.37 | % | | 10,853 | | | 5.43 | % |
| Current portion of other debt | 1 | | | 1.13 | % | | — | | | — | |
| Total | $ | 5,232 | | | | | $ | 11,341 | | | |
We have a short-term debt financing program of up to $15.0 billion through the issuance of commercial paper notes. We use the proceeds from the issuance of commercial paper notes for general corporate purposes.
The effective rates for the short- and long-term debt include the interest on the notes, the accretion of the discount, the issuance costs, and, if applicable, adjustments related to hedging.
(b)Long-Term Debt
The following table summarizes our long-term debt (in millions, except percentages):
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | July 26, 2025 | | July 27, 2024 |
| | Maturity Date | | Amount | | Effective Rate | | Amount | | Effective Rate |
| Senior notes: | | | | | | | | | |
| Fixed-rate notes: | | | | | | | | | |
| 3.50% | June 15, 2025 | | $ | — | | | — | | $ | 500 | | | 6.66% |
| 4.90% | February 26, 2026 | | 1,000 | | | 5.00% | | 1,000 | | | 5.00% |
| 2.95% | February 28, 2026 | | 750 | | | 3.01% | | 750 | | | 3.01% |
| 2.50% | September 20, 2026 | | 1,500 | | | 2.55% | | 1,500 | | | 2.55% |
| 4.80% | February 26, 2027 | | 2,000 | | | 4.90% | | 2,000 | | | 4.90% |
| 4.55% | February 24, 2028 | | 1,000 | | | 4.61% | | — | | | — |
| 4.85% | February 26, 2029 | | 2,500 | | | 4.91% | | 2,500 | | | 4.91% |
| 4.75% | February 24, 2030 | | 1,000 | | | 4.73% | | — | | | — |
| 4.95% | February 26, 2031 | | 2,500 | | | 5.04% | | 2,500 | | | 5.04% |
| 4.95% | February 24, 2032 | | 1,000 | | | 4.94% | | — | | | — |
| 5.05% | February 26, 2034 | | 2,500 | | | 4.97% | | 2,500 | | | 4.97% |
| 5.10% | February 24, 2035 | | 1,250 | | | 5.11% | | — | | | — |
| 5.90% | February 15, 2039 | | 2,000 | | | 6.11% | | 2,000 | | | 6.11% |
| 5.50% | January 15, 2040 | | 2,000 | | | 5.67% | | 2,000 | | | 5.67% |
| 5.30% | February 26, 2054 | | 2,000 | | | 5.28% | | 2,000 | | | 5.28% |
| 5.50% | February 24, 2055 | | 750 | | | 5.49% | | — | | | — |
| 5.35% | February 26, 2064 | | 1,000 | | | 5.42% | | 1,000 | | | 5.42% |
| Other debt | | | 3 | | | 1.13% | | 3 | | | 1.13% |
| Total | | | 24,753 | | | | | 20,253 | | | |
| Unaccreted discount/issuance costs | | | (142) | | | | | (133) | | | |
| Hedge accounting fair value adjustments | | | — | | | | | (11) | | | |
| Total | | | $ | 24,611 | | | | | $ | 20,109 | | | |
| | | | | | | | | |
| Reported as: | | | | | | | | | |
| Current portion of long-term debt | | | $ | 1,750 | | | | | $ | 488 | | | |
| Long-term debt | | | 22,861 | | | | | 19,621 | | | |
| Total | | | $ | 24,611 | | | | | $ | 20,109 | | | |
In February 2025, we issued senior notes for an aggregate principal amount of $5.0 billion.
Interest is payable semiannually on each class of the senior fixed-rate notes. Each of the senior fixed-rate notes is redeemable by us at any time, subject to a make-whole premium. The senior notes rank at par with the commercial paper notes that have been issued pursuant to our short-term debt financing program, as discussed above under “(a) Short-Term Debt.” As of July 26, 2025, we were in compliance with all debt covenants.
As of July 26, 2025, future principal payments for long-term debt, including the current portion, are summarized as follows (in millions):
| | | | | |
| Fiscal Year | Amount |
| 2026 | $ | 1,751 | |
| 2027 | 3,502 | |
| 2028 | 1,000 | |
| 2029 | 2,500 | |
| 2030 | 1,000 | |
| Thereafter | 15,000 | |
| Total | $ | 24,753 | |
(c)Credit Facility
On February 2, 2024, we entered into an amended and restated 5-year $5.0 billion unsecured revolving credit agreement. The interest rate for the credit agreement is determined based on a formula using certain market rates. The credit agreement requires that we comply with certain covenants, including that we maintain an interest coverage ratio (defined in the agreement as the ratio of consolidated EBITDA to consolidated interest expense) of not less than 3.0 to 1.0. As of July 26, 2025, we were in compliance with all associated covenants and we had not borrowed any funds under our credit agreement.