Intel Corp., balance sheet: debt

US$ in millions

	Dec 28, 2019	Dec 29, 2018	Dec 30, 2017	Dec 31, 2016	Dec 26, 2015
Short-term debt	3,693	1,261	1,776	4,634	2,634
Long-term debt	25,308	25,098	25,037	20,649	20,036
Total debt (carrying amount)	29,001	26,359	26,813	25,283	22,670

Debt item	Description	The company
Total debt (carrying amount)	Sum of the carrying values as of the balance sheet date of all debt plus capital lease obligations.	Intel Corp.’s total debt decreased from 2017 to 2018 but then increased from 2018 to 2019 exceeding 2017 level.

	Dec 28, 2019
Selected Financial Data (US$ in millions)
Commercial paper and drafts payable	2
Short- and long-term debt, including current portion	30,600
Total debt (fair value)	30,602
Financial Ratio
Debt, fair value to carrying amount ratio	1.06

Weighted-average effective interest rate on debt: 3.30%

Interest Rate	Debt Amount¹	Interest Rate × Debt Amount
2.56%	700	18
2.82%	800	23
1.89%	1,000	19
2.49%	1,750	44
1.79%	500	9
3.71%	2,000	74
2.74%	750	21
3.50%	1,000	35
2.97%	382	11
3.09%	1,500	46
3.22%	400	13
3.07%	1,250	38
2.84%	600	17
4.44%	2,250	100
2.91%	1,000	29
3.48%	1,000	35
2.48%	1,250	31
3.56%	750	27
4.31%	802	35
3.74%	567	21
4.41%	772	34
3.68%	1,250	46
3.64%	1,000	36
3.20%	640	20
4.07%	1,967	80
3.26%	1,500	49
2.48%	423	10
2.88%	138	4
2.48%	438	11
3.37%	372	13
Total	28,751	949
3.30%

¹ US$ in millions

² Weighted-average interest rate = 100 × 949 ÷ 28,751 = 3.30%

Intel Corp., interest costs incurred

US$ in millions

12 months ended	Dec 28, 2019	Dec 29, 2018	Dec 30, 2017	Dec 31, 2016	Dec 26, 2015
Interest expense	489	468	646	733	337
Interest capitalized	472	496	313	135	258
Interest costs incurred	961	964	959	868	595

Debt item	Description	The company
Interest expense	Amount of the cost of borrowed funds accounted for as interest expense for debt.	Intel Corp.’s interest expense decreased from 2017 to 2018 but then slightly increased from 2018 to 2019.
Interest capitalized	Amount of interest costs capitalized disclosed as an adjusting item to interest costs incurred.	Intel Corp.’s interest capitalized increased from 2017 to 2018 but then slightly decreased from 2018 to 2019.
Interest costs incurred	Total interest costs incurred during the period and either capitalized or charged against earnings.	Intel Corp.’s interest costs incurred increased from 2017 to 2018 but then slightly decreased from 2018 to 2019 not reaching 2017 level.

	Dec 28, 2019	Dec 29, 2018	Dec 30, 2017	Dec 31, 2016	Dec 26, 2015
Selected Financial Data (US$ in millions)
Net income	21,048	21,053	9,601	10,316	11,420
Add: Income tax expense	3,010	2,264	10,751	2,620	2,792
Add: Interest expense	489	468	646	733	337
Earnings before interest and tax (EBIT)	24,547	23,785	20,998	13,669	14,549

Interest costs incurred	961	964	959	868	595
Financial Ratio With and Without Capitalized Interest
Interest coverage ratio (without capitalized interest)¹	50.20	50.82	32.50	18.65	43.17
Adjusted interest coverage ratio (with capitalized interest)²	25.54	24.67	21.90	15.75	24.45

2019 Calculations

¹ Interest coverage ratio (without capitalized interest) = EBIT ÷ Interest expense
= 24,547 ÷ 489 = 50.20

² Adjusted interest coverage ratio (with capitalized interest) = EBIT ÷ Interest costs incurred
= 24,547 ÷ 961 = 25.54

Solvency ratio	Description	The company
Adjusted interest coverage ratio	A solvency ratio calculated as EBIT divided by interest payments (including capitalized interest).	Intel Corp.’s adjusted interest coverage ratio improved from 2017 to 2018 and from 2018 to 2019.

Intel Corp. (INTC)

Analysis of Debt