Gilead Sciences Inc. (GILD)

Analysis of Debt

Difficulty: Advanced

Gilead Sciences Inc., Statement of Financial Position, Debt

USD $ in millions

	Dec 31, 2017	Dec 31, 2016	Dec 31, 2015	Dec 31, 2014	Dec 31, 2013
Current portion of long-term debt, net	2,747	–	983	483	2,697
Long-term debt, net, excluding current portion	30,795	26,346	21,195	11,921	3,939
Total long-term debt (carrying amount)	33,542	26,346	22,178	12,404	6,636

Source: Based on data from Gilead Sciences Inc., Annual Reports

Item	Description	The company
Total long-term debt (carrying amount)	Sum of the carrying values as of the balance sheet date of all debt plus capital lease obligations.	Gilead Sciences Inc.'s total debt increased from 2015 to 2016 and from 2016 to 2017.

	Dec 31, 2017
Selected Financial Data (USD $ in millions)
Total long-term debt (fair value)	35,500
Ratio
Debt, fair value to carrying amount	1.06

Source: Based on data from Gilead Sciences Inc., Annual Reports

Weighted-average effective interest rate on debt: 3.70%

	Interest Rate	Debt Amount¹	Interest Rate × Debt Amount	Weighted-average Interest Rate²
	1.85%	999	18
	2.05%	499	10
	1.85%	997	18
	2.35%	499	12
	2.55%	1,994	51
	4.50%	995	45
	4.40%	1,246	55
	1.95%	497	10
	3.25%	996	32
	2.50%	745	19
	3.70%	1,742	64
	3.50%	1,744	61
	3.65%	2,729	100
	2.95%	1,244	37
	4.60%	990	46
	4.00%	740	30
	5.65%	995	56
	4.80%	1,733	83
	4.50%	1,730	78
	4.75%	2,215	105
	4.15%	1,723	72
Total		27,052	1,001	3.70%

Source: Based on data from Gilead Sciences Inc., Annual Reports

¹ USD $ in millions

² Weighted-average interest rate = 100 × 1,001 ÷ 27,052 = 3.70%